Outsourcing

From a management perspective, outsourcing seems like a terrible idea. The first reason for not outsourcing is that it has a very negative effect on company morale. From all of our learning this semester, it seems as though morale is quite important to the success of a business. The second reason is that it must be a logistical nightmare. We strive to make everything efficient and productive, yet we do so to cut costs. It seems to me that the cost savings in outsourcing would be lost in all the inefficiencies of long distance communication and decision making. The last reason is that it seems short term. At what point do the cost savings cease to outweigh the extra effort put forth? When I picture the long term effects of outsourcing, I see nothing but difficulties.

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