Offshore Labour-Edited

October 30, 2006 at 7:24 pm 8 comments

After researching for an assignment on Offshore Labour, there are many trends and themes, which are common to this topic. Today, I am going to post a blog on one of the trends relating to Offshore Labour.  A reason why businesses and companies rely on offshore labour is to reduce costs and to be more effective.

My research for this class assignment is mostly from journal articles and some internet articles from websites. To start, technological advancements are very important to area of Offshore Labour. In order for Offshore Labour to be effective and for companies to perform well, having a knowledge of the different technological tools is important. The host country relies on technology tools for communication purposes. Without these technological tools the host country would not have an efficient or profitable base to their profit. Hence, it is important companies research and know their labour force offshore.

The term “Outsourcing” is relavant to offshore labour. I performed a search on the definition of Outsourcing on google.ca, and it defines outsourching as taking the internal company functions and paying an outside firm to handle them. Outsourcing is done to save money, improve quality, or free company resources for other activities. In regard to Offshore Labour, all these are primary motives and reasons why companies offshore labour. Hence, it is apparent the theme of cost savings and effectiveness is relavent here.

In today’s global market, companies and businesses are primarily just interested in making money and or profit. With the research I have compiled for this class project, I strongly believe, Offshore Labour will continue to occur in the future. In regard to Public Relations, the practitioner must be able to communicate globally and know the language of the country where the labour is being offshored. Even though, offshore labour is done to save money and be more effectivess, research and culture are very important when considering offshore labour.

Here are some of the sources I used in my research:
Davison, D. (2003, December 9). Top 10 Risks of Offshore Outsourcing. Tech Update. Retrieved October 7, 2006 from Google.ca search engine on the World Wide Web: http://www.METAgroup.com

Kakumanu, P. & Portanova, A. (2006, September 1). Outsourcing: Its Benefits, Drawbacks and Other Related Issues. Journal of American Academy of Business,9 (2), 1-7. Retrieved September 21, 2006 from ProQuest Database on the World Wide Web: http://www.lib.uwo.ca

. King, W. (2006 summer). Offshoring decision time is at hand. Information Systems Management,23 (3), 102-103. Retreived September 23, 2006 from ProQuest Database on the World Wide Web: http://www.lib.uwo.ca

Jamie Gill, CC&PR Edited

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8 Comments Add your own

  • 1. prclass  |  October 30, 2006 at 9:13 pm

    I feel that the use of off shore labour is among the most wicked but at the same time most ingenious tactics a capitalist corporation can use. Correct me if I am wrong Jamie, but the use of off shore labour is nothing more than a corporation taking advantage of maximum efficiency by allowing different countries peoples to produce goods in exchange for money. I love my definition because I see nothing wrong with it. I am definitely not an advocate of child labour or human rights violations, but I think that if a corporation can get its “stuff” produced at a fraction of the labour wage it can here (N.A./ West EU) then it would be hypocritical of a capitalist corporation not to do it.

    dustin

    Reply
  • 2. Jamie Gill  |  October 31, 2006 at 4:14 pm

    To Reply to what Dustin said:

    Hello Dustin and everyone reading this blog,

    Dustin I do think the use of offshore labour is about corporations maximizing their efficiencies, in regard to profit making and reducing costs. I wish that it did not exist, but the reality is, in this “Global Age”, companies and organizations are self interested and just want to make money at the best way they can. In Sandra’s class today, she mentioned 1,700 Manufacturing jobs being lost in Southwestern Ontario. I am going to argue that is because of Offshore Labour and what you said, about corportations just wanting to maximize efficiency at the best cost. As well Michael in class made an excellent point about NAFTA, and jobs can be “legally” moved “downsouth”.
    I want to state again, I believe offshore labour will continue, which is unfortunate, and it is going to be difficult for the PR or COmmunications Practioner to work with employees offshore.
    As well I want to state it is a known fact :THE GAP BETWEEN THE RICH AND THE POOR IS INCREASING IN ALL ASPECTS!!!
    Remember that People!!

    Dustin, or anyone else, do any of you have any opinions on this.

    Jamie Gill, Reply to what Dustin posted

    Reply
  • 3. prclass  |  November 1, 2006 at 12:34 am

    The simple truth about the capitalist system is that it doesn’t care about people, it only cares about profit. The shareholders cannot be appeased with 0% growth or even 10% growth annually. It’s nutty.

    We all know there is enough wealth in the world to allow everyone to be well fed, properly clothed, housed and healthy. Not only are workers in third world countries being exploited and taken advantage of but they are being forced into a way of life they haven’t chosen for themselves.

    As well, I can never figure out how people in this country are expected to be able to spend within our own economy when making such terrible wages. For the most part people make a subsistance living.

    If you want me to go out and watch movies on the weekend with my kids or take a simple vacation or buy non-essential items I have to have the disposable income with which to do it. I’m always frustrated by the low unemployment figures. They don’t tell the story behind the story. A large percentage of people work multiple jobs just to pay the bills. Take away the better paying jobs and send them offshore and you are shooting your own economy in the foot.

    Work for 20 years in a low paying job with massive financial responsibilities and maybe you’ll see the system differently. Darlene.

    Reply
  • 4. Nick Iszakovits  |  November 2, 2006 at 2:30 am

    I do not view outsourcing in and of itself as a problem. The problem lies in the exploitative relationship that North American companies create with the countries that they outsource to.

    Unfortunately, North American companies are not looking at outsourcing as a means of investing in the economic development of foreign countries, but simply as a way of obtaining manufacturing at a cut-rate price. Nor are these countries experiencing any residual benefits from the foreign company outsourcing their labour there, such as an increase in education levels or improvements to infrastructure.

    It’s not like investments such as these would drastically effect the profit margins of the large corporations employing offshore labour, either. The plain truth is that the only way that these corporations can bring in the outlandish profits that they do is by keeping the workers of the countries that they outsource to poor, dumb and hungry.

    Yes, corporations exist to make money. But why must that goal come at the expense of morality, ethics and a fundamental respect for human life?

    Reply
  • 5. Connie Sombrea  |  November 6, 2006 at 12:58 pm

    Hey Jamie,
    Good job on the assignment and on the blog. I totally agree with you that companies want to make more money and profit, but with doing offshore outsourcing that uses up a lot of money and resources as well. I read in one of my articles that “offshoring is a reality of gobal economy, not a choice.” Culture differences was also one thing that I came across as being important to understand because it is believed that that is the main reason why offshoring fails.

    Connie

    Reply
  • 6. Audrey Korol  |  November 8, 2006 at 10:06 pm

    Hi Jamie, your blog has provoked many thoughtful comments! I feel that it’s a pity that so many companies are resorting to producing their products in foreign countries. These companies clearly have the option of keeping production on home ground, which would benefit so many fellow citizens. It’s just unfortunate that companies have missed the element of social responsibility just to make a couple extra bucks.

    Reply
  • 7. Caitlin Yearwood  |  November 10, 2006 at 2:21 am

    Hey Jamie, I really didn’t know much about Offshore Labour, so reading what you have to say about it and what everyone else had to say about it was really interesting. It brought light to a topic that I may not have ever known much about otherwise.

    Reply
  • 8. Wilco  |  January 9, 2007 at 4:24 am

    Hey there

    Thanks for this great post it was just the missing info that i needed for my study

    I have bookmarked your site in the hope that you will bring more of this great stuff to the table

    Greets

    Wilco Breens

    Reply

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