Outsourcing – Outsourcing (including Off-shoring), Beyond Globalization and doing International Business – A Program/Project Manager

Many project and program managers have been involved with global and international projects. Many companies conduct international business and virtual project management outside the borders of the US: Partnerships with other companies and business being conducted on an international basis. Even Y2K and many large migration projects were implemented on an international or global basis. Manufacturing jobs are being outsourced to companies overseas and importing of programmers continues for jobs in the U.S. Now you have the above, other technology jobs, call centers being off-shored, and now the U.S. public is being informed that white collar jobs will be included.

In the beginning I heard that off-shoring was not going to have an impact but it has. You can’t blame individuals and other countries for pursuing contracts for jobs and business in the U.S., as well as in other countries. You would be doing the same. Outsourcing, bottom line, has not been a bad word but many individuals at this time may think so. Outsourcing for many companies has been around for quite a while. Consultants had a heyday a few years back because many companies did not have employees with the skill sets. Many consulting companies specialized and/or had the expertise within their company, and continued to educate and train their personnel to meet the need of companies not having the qualified personnel or necessary technical know-how to implement changes within their organizations. Outsourcing was /is also used to develop (transfer knowledge) in-house expertise. Outsourcing provided companies with the means not to pay for regular full-time jobs and the benefits that come with bringing on full-time employees (a cost saving method).

But then came the following: the economic slow down, 9/11, layoffs and the problem (stated) of not having enough qualified individuals for a number of jobs available or forecasted. Many jobs going offshore, including a significant amount of jobs in manufacturing, has had a significant impact. Manufacturing is a sector that has been hit hard by layoffs and jobs being sent overseas. Usually during war time manufacturing flourishes but during this Iraq war/conflict, that is not the case, or at least not in the U.S. Unknowns (risks factors) could be an element of surprise. One such risk was the impact on U.S companies having employees or consultants being called to duty, without knowing how long their services would be required.

Realize this, as technology and processes are introduced into most businesses, supply and demand changes but where will the people come from to fulfill the national and international manpower requirements? At the same time, companies in the U.S. have continued with layoffs of workers (including essential personnel) for cost cutting purposes to increase profits but does that increase revenue?

Many IT professionals are objecting to what’s happening, “Take care of “home”. Take care of your “backyard” while doing business in other places”. What is occurring in America? More lost jobs and layoffs, and a very slow recovery for the labor force. To me this is only an example of what is to come or what will continue unless immediate steps are taken by businesses and government. The effect has been devastating and it is not over yet. Renewed or new policies are required, must be enforced, and there must be accountability. What is the problem with outsourcing globally? It’s not about outsourcing. It’s about maintaining a stable economy and labor force while doing global and international business.


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