BUSINESS RESEARCH (HI6008M_T1_2018)
NAME: – PARDEEP KAUR
STUDENT ID: – GIM3037
ADVANTAGES AND DISADVANTAGES OF OUTSOURCING
Table of Contents
TOC o “1-3” h z u INTRODUCTION PAGEREF _Toc514955021 h 1PROJECT OBJECTIVE PAGEREF _Toc514955022 h 1PROJECT SCOPE PAGEREF _Toc514955023 h 2LITERATURE REVIEW PAGEREF _Toc514955024 h 2SUMMARIZATION PAGEREF _Toc514955025 h 2GAP ANALYSIS PAGEREF _Toc514955026 h 2RESEARCH QUESTION PAGEREF _Toc514955027 h 3PRIMARY QUESTION PAGEREF _Toc514955028 h 3SECONDARY QUESTION PAGEREF _Toc514955029 h 3QUALITATIVE RESEARCH PAGEREF _Toc514955030 h 3Reliability and validity sampling PAGEREF _Toc514955031 h 3QUANTITATIVE RESEARCH PAGEREF _Toc514955032 h 4RESEARCH LIMITATIONS PAGEREF _Toc514955033 h 5Time schedule PAGEREF _Toc514955034 h 6CONCLUSION PAGEREF _Toc514955035 h 6References PAGEREF _Toc514955036 h 7
INTRODUCTIONThe report is about the advantages and disadvantages that practised due to one of the best strategies being used by the private as well public sector as the methods of doing their work became better, faster, cheaper and best way. Outsourcing helps the business in reduction of the production cost of the firms. Best quality of the products is achieved with the help of outsourcing in the firms. The cost of production is reduced due to the reduction in the cost of raw material and labour that automatically leads to reduction in the production cost. The main focus of the reports is to find out the different ways, processes, methods, sampling, etc. allowed by qualitative research and quantitative research that can be used for the advantages and disadvantages of outsourcing in business. These methods or processes will help the business organizations to enhance their performances by getting the advantages of the outsourcing and the organizations can reduce the threat by analysing the disadvantages of outsourcing. So, the organizations can take the benefits of outsourcing for their business (Rochester and Rochester, n.d.).
PROJECT OBJECTIVEThe main objective of this report is to know the advantages and disadvantages of outsourcing in business. Outsourcing directly impacts the business as there are many uses of outsourcing in business which can further help the business to grow. Different forms of business organizations are affected by the outsourcing as long run businesses are differently benefited by outsourcing and businesses on bigger scale operating with outsourcing. The functions of outsourcing are undertaken by every level of organization is different; therefore, every organization does not get to reach at the same higher level of the success in their business (Lei and Hitt, 1995).
PROJECT SCOPEThe project scope of this report is very clear from the topic i.e. advantages and disadvantages of the outsourcing. There are many advantages of outsourcing like the organizations can get benefit of this faster, better and easy way of getting the work done. On the other hand, the firm who do not want to spend much on the production cost can also use outsourcing as it helps in the cost of production activities by reducing the cost of raw material and labour. Similarly, the disadvantages of outsourcing can also be ignored by the business organizations after the analysis. So, the main scope of this report is the determination of the advantages and disadvantages of outsourcing (Gilley, 2000), (Quélin and Duhamel, 2003).
The main aim of preparing this research report is to get a clear vision about the advantages and disadvantages of outsourcing in business so that the organizations can take the benefit of outsourcing with the advantages identified during the research and the organizations can also reduce the risks involved with outsourcing and can also make some measures for not getting negatively impacted by the outsourcing in business. In this research everything will be covered as the data collections methods by qualitative research and quantitative research that can be used for the further researches also will be identified along with the sampling methods and sample size. These things help will help in clarifying every concept related to the outsourcing methods. In the previous assignment, the author explored outsourcing method in detail that can be helpful for the business both domestically and internationally. There are many benefits but the major benefit that attracts number of customers towards adaptation of outsourcing is its cost reduction feature. Due to this feature, the firms of every scale that is large scale firms as well small scale firms, both are able to get the advantages of outsourcing. The author has also explained about the risks involved in this process. One of the biggest risks is the reveal of confidential information as the outsourcing process needs all the information related to the business activities online, so the firm has to put a great risk about the privacy (PATRICIA, 2017).
GAP ANALYSISAlthough, the authors tried to give their clear views about the advantages and disadvantages of outsourcing in business but still the authors have not succeeded in giving the information about the long term usage of outsourcing in business. This report tries to overcome this gap analysis so that the firms that want to enter into the market along with outsourcing will able to get the view of it.
RESEARCH QUESTIONPRIMARY QUESTION
Question 1) what are the basic advantages and disadvantages of outsourcing in business?
SECONDARY QUESTIONQuestion 1) How far has the businesses benefited from the outsourcing?
Question 2) how can be advantages of outsourcing increased in the business for the future benefits and the risk involved with disadvantages can be reduced?
RESEARCH DESIGN AND METHODOLOGY
Two type of research is suitable for the research study whose processes, researches, data analysis process, sampling, sample size methods are considered to be the best for the research of advantages and disadvantages of outsourcing:
QUALITATIVE RESEARCHQualitative research is useful for the study because the focus of the study is more than on the reason behind the happenings, not on what things happen. Data collection type of this research is non-numeric.
Reliability and validity sampling:
There are some kinds of tools, methods or processes that are used in the qualitative research that are appropriate for this research. Validity of the methods used will be for short period as the method appropriateness level is low in this research, reliability of the data at stands at a very good position as the process of data collection is almost from the main sources (Ebrahim and Bowling, 2018).
Sample size: small sample size has be chosen for this research whereas larger sample size seems to be more suitable for the research as it obtains more accurate results of any research.
Data collection method: the data collection methods those are appropriate for the research in context of leading to the outcomes, creating generalizability and comparability. Structured approaches are more productive than the unstructured ones. Data collected for this research is done e with the help of focus groups that is getting the data directly from a small group of people.
Variables specification: very less variable specification is involved in the study as there is lack of accompanying hypothesis and assumptions are set for the basic and emergent findings(Organizing Your Social Sciences Research Paper: Qualitative Methods, 2018).
QUANTIATIVE RESEARCHFocus of the quantitative research is always on the statistical data required for any research and it helps in collecting the numeric, mathematical or instrumental data required for the research study.
Design process: design process of the research has been done in such a way that the secondary analysis is done in the very initial steps, research is conducted, survey, questionnaires, observations, etc. are done, then the further steps has been solved.
Research instrument: research instrument has been used for the research as to get the focus of the study basically on the examination of the data so that the future business organizations will be able to get the solutions for such a problem that has been faced previously also.
Data analysing method: field force was needed for the research as for getting the information through different surveys in different fields con ducting by the field force made for the research. Many of the data collections methods are used as by personal interviewing the data is collected, through telephone also the data has been collected and also through the mail procedure data from different sources has been collected.
Sampling: sampling has been done more in a statistical manner as systematic tools and processes are required to be conducted for the quantitative research and analytical tools are also required for the study that has been used in the sampling of the data.
Sample size: small sample size has been used for this study which is not effective enough to get the positive outcome of the research study conducted so far.
Interviewing and questionnaire design: the interview and questionnaire designs for the research should be very simple and short as complicated questions or interviews can make the people so much confused that they will not be able to answer.
Reliability and validity of data: nature of the research is the leader of validity and he data sources used for the research are the leaders of reliability, this data has enough validity that it can be used for further studies and the reliability is also enough as the data collection methods have been implemented on the direct sources (Program Management, 2018).
RESEARCH LIMITATIONSAs a research study requires very deep information about the topic respectively, there are some limitations that create some gaps or challenges in the research. Those research limitations also create a threat for the people who want to conduct a research study for their further operations. The research limitations are as follows:-
Formulation of research aims and objectives: there are many chances while conducting research that the research aims and its objectives are formulated very broadly. These aims and objectives of the research should not be formulated as broadly as the research focus is diverted with this too broad concept. These should be specified in a very narrow manner as it will help the researchers to focus on the main study. For this study also the narrow formulation of research aims and objectives should be used.
Implementation of data collection: there are many chances that the implementation of data collection method and its nature is flawed as there is no experience of collecting the primary data. In this research also there is no experience of collecting the primary data, so problems may arise.
Sample size: the research study decides which of the sample size will be most suitable for the research as there are two types of sample size, one is the small sample size and other is larger sample size. For this research small sample size has been used therefore, statistical tests are not able to be performed on the small sample size. If large sample size has been used for the research, then might the results have been more accurate than this.
Lack of previous studies in the research area: main part of the research is the literature review of the research as it is helpful in identifying the work scope that has been done for the research area. These are helpful as a researcher that leads to the achievement of the research study.
Scope of discussions: as discussed above, there is not much experience of research. There are many of the studies or scope that is more than this study as they are done by many of the scholars. Research about the advantages and disadvantages have also been done by many researchers, so there are chances of getting so much previous information about the information related to this. It can create some misconceptions in conducting the research (Research Limitations Research-Methodology, 2018).
CONCLUSIONThe report revolves around the advantages and disadvantages that have been giving benefits to the business and how can the advantages be increased in future and how can the disadvantages of outsourcing be reduced in future. In the beginning of the report, an introduction about the research that has also made by different authors stating different advantages and disadvantages of outsourcing. The project objective and project scope has also been discussed. Literature review of the research is also given for the focus of the study to be maintained, in the previous assignment, the authors has explored their findings about outsourcing in business but in this report, the main focus of the report is to fill the gaps and challenges that have been left by the researchers while conducting the research. The research made possible with the help of qualitative research and quantitative research as different processes and different methods are offered by the qualitative and quantitative research that are beneficial for conducting the research and to made it possible. Although, with the help of every source of information, it is tried to make the research most accurate, but still there are some of the research limitations that create problems while getting the positive outcome of the research, those research limitations has also been discussed in the report as it will be easy to get rid of that research limitations soon.
ReferencesEbrahim, S. and Bowling, A. (2018). Handbook of Health Research Methods. Online Google Books. Available at: https://books.google.com.au/books?hl=en&lr=&id=_HznvwUxkZsC&oi=fnd&pg=PA215&dq=Qualitative+research+is+useful+for+the+study+because+the+focus+of+the+study+is+more+than+on+the+reason+behind+the+happenings,+not+on+what+things+happen.+Data+collection+type+of+this+research+is+non-numeric&ots=ToxYts-BUZ&sig=XKwncWX5EKiHTGaX401RVKhFX4A#v=onepage&q&f=false Accessed 24 May 2018.
Gilley, K. (2000). Making more by doing less: An analysis of outsourcing and its effects on firm performance. Journal of Management, 26(4), pp.763-790.
Lei, D. and Hitt, M. (1995). Strategic Restructuring and Outsourcing: The Effect of Mergers and Acquisitions and LBOs on Building Firm Skills and Capabilities. Journal of Management, 21(5), pp.835-859.
Organizing Your Social Sciences Research Paper: Qualitative Methods. (2018). Research Guides: Organizing Your Social Sciences Research Paper: Qualitative Methods. Online Available at: http://libguides.usc.edu/writingguide/qualitative Accessed 24 May 2018.
PATRICIA, P. (2017). Advantages and Disadvantages of Outsourcing. Online Smart Church Management. Available at: https://smartchurchmanagement.com/advantages-and-disadvantages-of-outsourcing/ Accessed 24 May 2018.
Program Management. (2018). 5 Steps in the Research Process. Online Available at: http://acqnotes.com/acqnote/careerfields/5-steps-in-the-reasearch-process Accessed 24 May 2018.
Quélin, B. and Duhamel, F. (2003). Bringing Together Strategic Outsourcing and Corporate Strategy:. European Management Journal, 21(5), pp.647-661.
Research Limitations Research-Methodology. (2018). Research Limitations Research-Methodology. Online Available at: https://research-methodology.net/research-methods/research-limitations/ Accessed 24 May 2018.
Rochester, J. and Rochester, H. (n.d.). Advantages and disadvantages of outsourcing. 1995 IEEE International Professional Communication Conference. IPCC 95 Proceedings. Smooth Sailing to the Future.