Topic: Outsourcing and India


To out·source-
[out-sawrs, ‐sohrs] Show IPA verb, out·sourced, out·sourc·ing.
verb (used with object)
1. (of a company or organization) to purchase (goods) or subcontract (services) from an outside supplier or source.
2. to contract out (jobs, services, etc.): a small business that outsources bookkeeping to an accounting firm.
This is the definition of outsourcing. Outsourcing is an arrangement in which one company provides service for another company, sometimes for one out of the country.
Why do people outsource?
It is an easier and cheaper to hire someone in India to do an American's job. Also,by directing a part of the work towards outsourcing the business gains flexibility and they're able to focus their company's core competencies. This increases work flow and allows them to finish projects faster. You'd be surprised at how many American jobs are being outsourced to places like India. 3.3 million jobs are expected to be offshore outsourced to India and China over the next few years. (business week 2003)
Many people ask if there is any one place that is popular with out sourcing. The answer to that question is yes. India remains one of the most favorite outsourcing destinations in the world because company's get cost benefits and control over the project. (BPO Voice) Another reason out sourcing to India is so popular is because India is the worlds seconded most populated country in the world, so unemployment is common. Outsourcing helps create many jobs in India. (BPO Voice) Also, India offers better infrastructure, liberal policies for foreign investments, and a huge work force at a low price. Finally, Sometimes businesses might have to outsource because what they're looking for can not be found locally. For instance, they might want a good project manager and the local market does not have one to hire. Outsourcing can provide them access to a need that is not available at a local level.
These days, outsourcing the jobs is advantageous as it increases the competition among the service providing companies. This will make almost more than 70 percent of the executives to work more. Everyone, even good old Hollywood, outsources. Production is being outsourced from Hollywood to Bollywood (yes, Bollywood is a real place,) in India. (2003) There are some stats that are hard to ignore. In today's fast growing technological world, India currently claims to control 85% of the web technologies market. (Stylus, 2004) Also, 55% of young Indians are opting for careers in web related activites (Stylus, 2004) Furthermore, India's web professionals have grown from just over 2,000 in 1996 to more then a quarter million in 2002 and have continued to grow exponentially. (Stylus, 2004) Last but certainly not least, India has large numbers of well educated English speaking people, so that makes India a major exporter of software services and software makers, one of the highrst in the world. So as you can clearly see, outsourcing is very important to India's economy.

Group Workspace:

Remember that you will be working together with fellow students from other social studies classes. Your task is to collaborate and create a single summary of your topic which will appear in the space in the wiki above. Based on your group member number you will have a unique subtopic you will be personally addressing. However, YOU are also responsible for making sure all necessary information is included. Remember to follow rule #1: You may proofread and edit the work of your group but you may NOT delete anyone else's work!

Group Members:

Type your name next to your role below. Roles must be filled in numeric order.
Group Member #1:Elena
Group Member #2:Spencer
Group Member #3:Hannah
Group Member #4: Grace

Question for Group Member #1: Describe and define outsourcing and completely explain why it is significant in India.
Question for Group Member #2: Describe and define outsourcing and completely explain how it is relevant in the global world today.
Question for Group Member #3: Describe and define outsourcing and incorporate a picture or chart along with an appropriate caption.
Question for Group Member #4: Describe and define outsourcing and add a relevant primary source quotation