Salma and Katie

Globalization and Outsourcing

While not entirely "politically correct" this video accurately depicts many Americans' views on outsourcing.

Views on Outsourcing


noun- economics the buying of parts of a product to be assembled elsewhere, as in purchasing cheap foreign parts rather than manufacturing them at home.


Outsourcing started in the 1980's in order to lower firm costs, redirect/conserve energy directed to certain businesses, and to make use of worldwide employment, technology, capital, and resources. It is when we use labor or components from outside suppliers. We are using outsourcing to connect the world together hence "The World is Flat." Outsourcing has been used by many businesses to reduce the price of materials and labor. Most computer companies do not manufacture all the components used to assemble their computers, instead they depend on components for other companies for parts or hardware such as hard drive, cd-rom drive, etc. For example, Intel microprocessors, Seagate hard drives, and Samsung LCD panels hire outside companies for parts. Some software publishers use outsourcing by hiring outside firms to develop products and manufacture packaging. It offers economies of scale and expertise to companies in the highly competitive computer industry. U.S. computer companies have established manufacturing and development in countries such as India, Malaysia, Thailand, and Mexico, this is where labor is inexpensive but of good quality.Some companies,for example, America Online, American Express, and Dell, have customer support people from India, Singapore, China, and etc. Additional information on outsourcing.

Call Centers:

Call centers have started to outsource their technical support to other countries.

Pros and Cons of Outsourcing:

Pros and Cons of Outsourcing:
supported overseas
exotic languages
strong telecom infrastructure
tensions between countries
access to a large workforce
Canadian costs are similar to US costs
learn our different dialects of English
some countries have poor labor

Outsourcing Advantages and Disadvantages:

Outsourcing advantages:
  • Cost savings
  • Staffing levels
  • Focus
  • Morale
  • Flexibility
  • Knowledge
  • Accountability

Outsourcing disadvantages:
  • Poor quality control
  • Decreased company loyalty
  • A lengthy bid process
  • Loss of strategic alignment

Current News

Current Outsourcing Trends

Articles reviews on current outsourcing trends

Video from CNN's Lou Dobb tonight on Outsourcing American Jobs-Consultants helping companies outsource.

Video from CNN's Paula Zahn Now on Outsourcing American Jobs-The Replacements-Training the New Guy: workers are having to train the people that will be replacing them.

outsourcing - Google News

To outsource or not to outsource-that is the question??

In this article, there is a dilemma as to whether to outsource or not to since outsourcing itself has its own disadvantages.

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Doors are shut..lack of communication...j7j.jpg

out.JPG"While some tech companies farmed out call centers to India, the resulting language problems, cultural differences and information security made the process less than seamless for some customer or tech support services," said Michael Conley, vice president of key accounts for the Forsythe Solutions Group.

So if outsourcing takes place between a developed country and a developing country the employees in the developed country may face problems communicating with those in developing or underdeveloped countries such as different cultures, language and literacy.

Impact on Education

Salma's Video, International School Dhaka

My video mainly focuses on the topic, outsourcing and its impact on education . The guest speaker was Ms Vicki Davis who helped by adding more information to my video. I used CamStudio which was a really interesting software and I became more familiar with it as I used it for test purposes and for the final video. I used msn messenger, the hotmail window and displayed websites that are related to outsourcing.

Online tutoring is the process by which knowledge is acquired by a tutor to a student or knowledge recipient over the Internet. Online tutoring has been around almost as long as the Internet and there are 2 forms of online tutoring. One is tutoring via mail and the other is tutori ng online through the internet.

Online tutoring via mail is basically when the knowledge is written by the tutor and can be accessed by the student at any time. If required to go through a few problems or confusions they can send emails and thus have tests and works which can be mailed to the tutor and sent back with feedback and marks.

Another online tutoring which is through the internet such as instant messaging is easier since problems can be solved and discussed at a specific time. It is the same as being in a classroom with teacher. They use softwares which work as white boards in order to explain and work on problems.This form of tutoring required the use of audio as well as video devices and these are available in Skype or the latest version of MSN messenger and yahoo messenger. A good online tutoring strategy may incorporate both forms of online knowledge delivery for effective and lower cost knowledge delivery.

In the video where Ms Vicki was being interviewed, she discussed how many schools outsource maintenance of their gradebooks system and technical support. Since it has just started there will be more of that in the future. For example in ISD we outsource our blogs thus this saves trouble.

Another wiki (virtual communication) can elaborate on various ways you can communicate for tutoring over the internet.
The Web 2.0 wiki can also describe new ways to communicate for online tutoring.
The Work Flow Software wiki talks about the sharing of information and files.

Impact on Employment

Outsourcing Industry


Many businesses have started relying on other countries for employment. Some rely on other countries for computer parts or etc. Many ask one question about outsourcing: is it Good or Bad?Outsourcing is costing American jobs daily. Some view that outsourcing is not affecting our economy. Some businesses are outsourcing because it is cheaper to pay the people from other countries that it is to pay American workers. In the background section of outsourcing examples are given of some companies that outsource for parts and labor.

My Video on Outsourcing Employment

My video includes introduction to topic, pictures, clip of technical support specialist, an interview with David Stargel, and my opinion.


Some criticism on outsourcing employment is that the unemployment rates may be increasing in America and that the quality of the outsourced items may be poor. America Online uses outsourcing in the technical support area. If you get a call from them, they may be talking in a foreign accent, most cannot understand what they are saying. The majority of the people would rather talk to someone that talks with the same accent and dialect versus someone who talks in, for example, Chinese.


The language is another employment issue. If one cannot speak the correct languages, then they should not be able to work. In India, some of the businesses have to go through courses to learn different dialects of the American language. Personally I would rather speak to someone who speaks like I speak versus someone who you cannot understand at all.

Thomas Sowell

An American economist, commentator, and political writer. He is described as "America's leading philosopher."
'Outsourcing':an article on outsourcing by Thomas Sowell


Some Outsourcing Companies

Should your business outsource?: this website lets you enter figures and etc. to see if your business is right for outsourcing or not.

Full Interviews