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Global Information Systems Strate: IT Off-shoring - Term Paper Example

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The "Global Information Systems Strate: IT Off-shoring" paper discusses IT offshoring and various terms and forms related to it. The paper also looks at some of the benefits of the offshoring that will be presented and looks after some disadvantages associated with offshoring. …
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Global Information Systems Strate: IT Off-shoring
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Download file to see previous pages It is usually done because of the benefits that offshoring gives, which reduces cost, access to talents and capability and 24/7 support to its customers. Other benefits of offshoring are additional capacity, improved productivity, a new market for the company and many more.

Now every process has some drawbacks too. Offshoring has certain disadvantages, which are: business-related risks, legal, social and political risks, regional turmoil, lack of exposure to western business culture, workforce-related risks, infrastructural risks, the capability of off-shored suppliers and productivity, data protection and intellectual property-related risks.

Off-shoring or offshore outsourcing is the process of the relocation of business from one country to another country. It is applicable for any process whether production, manufacturing, services or related to Information technology.

It is a common practice of contracting with individuals or companies by many companies these days, in foreign countries to perform work that might convincingly be conducted locally. The main reason for doing so is to take advantage of lower pay rates, which is given to employees in foreign countries and also the availability of skilled persons for doing the job that can cost the offshoring company as little as few dollars a day.

Offshore outsourcing can be seen as a controversial practice if the domestic unemployment rates are rising or there are more unemployed people are available to do the job. It is an issue that is debated in many countries especially in U.S. and European countries. Also whether it is the US or European countries, it is hard to find unbiased coverage on off-shore outsourcing. Some points are taken from media coverage:

According to the Bureau of Labor Statistics, in the US for the last 20 years, more than 2 million manufacturing jobs went offshore. But in comparison, the service sector had created 13 times as many jobs during the same period (Agarwal 2006). 

In this paper section, 2 will discuss IT offshoring and various terms and forms related to it. In section 3 of the paper, a look at some of the benefits of the offshoring will be presented. Section 4 of the paper will look after some disadvantages associated with offshoring. ...Download file to see next pagesRead More
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