Outsourcing work Created By kevin trang, neil manimtim, adan constanzo, juan Aquino, and Erika estrada

Introduction

outsourcing Outsourcing is the business practice of hiring a party outside a company to perform services and create goods that traditionally were performed in-house by the company's own employees and staff.

Offshoring The relocation of a business process from one country to another.

Companies that Outsource Apple Twitter Microsoft Slack Skype Github Companies that Outsource

Utilitarianism The doctrine that actions are right if they are useful or for the benefit of a majority.

Libertarian A person who believes in the doctrine of free will.

Kantianism Emphasizes the principles behind actions rather than an action’s results.

Arguments

Utilitarianism The doctrine that actions are right if they are useful or for the benefit of a majority.

Efficiency Companies can allocate money and time elsewhere

Increase of company profit Reduced Labor Cost Start Projects Quickly Level the Playing Field

Providing Opportunities

Problems when outsourcing jobs

Lack of communication between developers Less face to face communication between developer diminishes fresh ideas for the product. Lack of documentation in code which can result in re-implementation on recurring problems.

Language barrier Communication being lost by language barrier in terms of technical terms Non-native English speakers might not interpret informal words that other native English speakers exchange

Lost of Hidden Value Cheaper to develop software but loses the knowledge of task being implemented Loses restructure of product and ability to test. Support of change in technology

More Jobs for Americans Keep current jobs Job insecurity Country loses skills Bring jobs back 14 million outsourced jobs 7.5 million unemployed Americans 5.7 million part-time looking for full- time jobs

Control Regulations Wages, working conditions Example: In 2010, Foxconn workers in China earned 51 cents/hr. Quality/safety of products Environmental laws

Kantian Argument It is a contradiction to allow companies to pay wages that American workers would consider unacceptable. Firing workers in favor of cheaper development is treating people as means, not as ends.

Devil's Advocate: Libertarianism Philosophy that upholds Liberty as the core principle Minimal State intervention to citizens and companies This laissez-faire position allows for maximum economic efficiency and individual freedom

Outsourcing as seen by the libertarian view More freedom to companies equals barriers and obstacles in economy, allowing maximum efficiency Banning overseas work is obstructing a fundamental right of companies to make the best decisions for their growth, companies like people have rights to individual freedom Companies like Apple, Google, and Amazon would never have gotten big if they had to pay only American wages

Outsourcing as seen by libertarian view (cont.) Effects are not as bad as people think Companies really don't want to outsource important jobs like software engineering Language and distance barrier prevents good collaboration which is crucial So, companies will only outsource jobs that or menial, easy and don't get in the way Banning outsourcing in these situations unnecessarily restrain companies from making great economic choices Banning would cause great success for companies from other countries as they are not banned from having foreign workers

Questions?