Niyamath Parveez

Life must be tough when you are angry or stupid and unfortunately, it is even harder when you are both. The dumbing down of Western civilization has been happening at a great rate in recent years but in the United Kingdom, it has been extremely noticeable as what was once the loud minority is now giving way to the vocal majority. If it’s not crying over reality TV shows or losing sleep over celebrities, there has been a creeping tendency for the right wing element to rise again and this is shown nowhere better than the Daily Mail newspaper. Quite frankly, the paper is an abomination and nothing more than a shell for racist articles and hatred of all things non-British. With the current economic crisis, any business or organization that didn’t look to protect itself and ensure it has a future would not be doing its job but it seems that even this is not good enough.

The latest issue that has the Daily Mail readers and writers up in arms, clearly the BBC hasn’t put a foot wrong this week, revolves around the British Council and their plans to outsource over 100 jobs to India in order to reduce their costs and help them operate more effectively. The posts are in the finance and IT sectors and are being carried out as part of the larger cost-cutting exercise that the British Council is undertaking. On one level, it can be seen that these jobs are being lost to the British economy and it will be a terrible time for the people directly concerned in losing their jobs. However, this is on a purely personal level, overall, the benefit for the British tax-payer is one of greater benefit by the fact that these services will be run as efficiently for a much lower cost. There obviously has to be a cut off at some point and if all the jobs went this way, there would be a justifiable outrage but for a situation such as this, it would be hailed as a positive move in any company or organization.

Given that the department is concerned with the interaction abroad with other nations, there may well be ancillary benefits to be gained from outsourcing these posts to India which otherwise would not have been available to the British Council in their previous working style. Striking the balance between getting the best working relationships and opportunities to grow needs to be struck with looking after number one but this is something that is not taken on board by a number of people, particularly those who want to rail and rally against anything which may benefit foreigners.

With the perilous state of the economy, anything which shifts the job market is going to grab attention and make people notice it but there are always two sides to every story. It is unlikely you will see any stories or articles praising the British Council for their brave move in outsourcing a number of jobs but these are the moves that will allow them to continue providing a valuable service for many years to come. When it comes to outsourcing, there is always a need to look at the bigger picture and if you have a narrow outlook on life, this is something that you just won’t see.

The telecommunications industry is one of the fastest changing and developing industries which can bring positive and negative elements to firms who are operating in the industry. Those who are deemed to be at the cutting edge of the technology are always likely to be loved and adores by consumers all over the world but if public perception of a firm takes a negative turn, it can be extremely difficult to try and turn this feeling around. This means that companies may be considered only as good as their latest product or service and fortunes can turn quickly if they do not keep up to date. One firm who has experienced a drop in their fortune and popularity of late has been Sprint Nextel, one of the major wireless communicators in America. The company is said to have just under 50 million consumers in their home territory alone but in an industry where upgrades and re-purchases are vital, a firm that falters in providing great resale value to a customer will struggle. There has been a notable dip in the income of the company in recent months and periods and there has been a movement to shore up the inefficient areas of the firm. This has seen Sprint Nextel look to outsourcing as a way to improve their current standing as they, like many firms before them, decide that outsourcing their current workload is the solution to their short term problems.

There is no doubt that this tactic can be a fantastic opportunity for firms to reduce their labor costs whilst retaining the quality of the service or product they offer. As long as the right outsourcing company is selected, there is no reason to believe that the firm will suffer any negative impact or connotations for following such a tactic; in fact, it is likely if the outsourcing is done well that they will receive a great benefit from doing so.

Sprint Nextel will become the first of all the American based telecom providers to begin an association with an external agent for managing their network. This stands in contrast with the tactics that the firm has undertaken in the past as they have been notoriously strict about their dealings and who they allow to work alongside them. Perhaps the $5 billion that the firm will receive for the seven year contract has went some way to changing the mindset of the firm and encouraged them to loosen their approach to working with third party agents and firms. Ericsson are the firm who have been awarded the privilege of being the agent Sprint Nextel entrusted with providing this service and no doubt it will provide a great number of bonuses and benefits to them as well as Sprint Nextel.

At the moment, Sprint Nextel appear to be the only firm who are undertaking this plan of action but if their first foray into the outsourcing industry proves to be a success, you can guarantee they will not be the last. Any industry where there is such a tight margin for error will always be on the lookout for new ways to improve their outlook and if this outsourcing move is a success, expect to see many other firms imitate the moves of Sprint Nextel.

During times of difficulty, it is perhaps only natural that people will take an interest in what is affecting them and choose to attack or criticise anything that sees their local community miss out. An obvious example of this would be in the jobs market and with the current economic situation being what it is, anything which takes jobs away from an area will have people angry or annoyed. Outsourcing has been an extremely popular tool for businesses to use to ensure they are operating as efficiently as possible but this has caused controversy with many jobs being taken away from home-grown workers and being transferred to offshore employees. Whilst the business opportunities of outsourcing are accepted by many leaders and politicians, when even President Obama is moved to comment and review legislation regarding outsourcing work, you know there is the potential for a major problem.

The move to stop the tax incentives that are currently encouraging so many US firms to outsource their work to foreign countries is something that the Obama administration is keen to bring to an end. In doing this, more work should be maintained in America which could go a long way to stimulating the economy and moving more people back into work in America. This is clearly of great benefit to the American nation and economy and is just one of the innovations by Obama that has been warmly approved of in America and could well be copied by a number of other countries.

The vast majority of focus will always fall on the firm and nation who holds the original job but not too many people give much time to consider the fate of those who actually provide the outsourcing work. Recently, many business experts in India, a renowned home of outsourcing work, have felt moved enough to comment on the noises that have been emanating from the Western culture with regards to outsourcing. The need to pinpoint the dangers that could befall the Indian based outsourcing firms is apparent and if work from nations likes the US and the UK dries up, there could be some serious consequences ahead.

With other nations seeing the benefits that have arisen through outsourcing, India and the other established nations like China and Malaysia are now being targeted by emerging nations who are keen to take some of their outsourcing jobs away from them. Such is the way of life in the global economy and it could not have come as a surprise to see potential rivals emerging in order to take work away from the established outsourcing giants. Of course, now that there is pressure also being applied from the Western nations onto the outsourcing firms, it is starting to become a difficult time for the established nations of outsourcing.

Given the current economic climate, there is no doubt that most people will be attempting to re-evaluate their options and look to get the best deal for themselves and their workers. Nations like India are no different to anyone else in this respect but it may well be that they have to argue their case very strongly to remain an important player in the outsourcing world.

Although the downturn in the economic and financial market has been very well documented, its impact on outsourcing has not been as straightforward as many people would have predicted. When the realisation of the financial situation hit many firms, there was a quick move to reduce all unnecessary costs and outlays and the short-sighted approach of this would have led many to think that out-sourcing was a luxury that many firms couldn’t afford. After all, with many firms having to lay off employees in order to remain viable, would it not be better to utilize the existing workforce to complete tasks rather than outsourcing work?

The unfortunate issue with this argument is that there is a huge emotional attachment to the argument which can cloud many people’s opinions of it. If it came to any other factor where a business or organization could make considerable cost savings but with no loss in quality, there would little to no objection to this new method being pursued. However, when it comes to outsourcing in a time of financial cut-backs, the benefits of outsourcing need to be re-iterated and not only focused on the financial element.

When any market becomes more competitive, all the factors of the product or service will be evaluated, not only price. This means that the quality and delivery are as important in the final decision making process for business and customers and this is where outsourcing can provide an advantage. Many of the tasks that are created in-house may be completed by staff members who have no natural talent ort flair for a task and this can result in the quality of the product or service being poorer. With outsourcing enabling organizations to tap into the experience and knowledge of suppliers who are regular providers of their service, there is a better chance to obtain a quality service or product.

The cost of the outsourced product is likely to be of benefit and it should be remembered that outsource suppliers are subjected to the same economic climate and conditions as the rest of the world. Virtually every firm or organization is tightening their expenditure and looking to take on a greater workload and this increased competition is creating a far more attractive element to outsourcing. With outsourcing firms engaging in a price and/or quality war to entice organizations to work with them, the opportunity to significantly lower costs should not be overlooked by any manager or purchaser.

The human cost during tough economic times is invariably high and can be extremely difficult for small to medium sized firms where the staff behave more like a family than a business. However, the longetivity of the business and the livelihoods of the entire workforce need to be considered in all decisions and this is where the benefits of outsourcing can vastly outweigh the negative aspects. This means it is vital to employ an almost removed sense of balance to the decision making process but in a time when so many firms and organizations are folding due to financial difficulties, realizing the benefits of outsourcing and embracing the financial and quality benefits that occur may be enough to greatly improve an organizations chance of survival.