What are the roles and impacts of computers and communications technology in the increase of trans-border economic activity?

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What are the roles and impacts of computers and communications technology in the increase of trans-border economic activity?

I am specifically going to speak about foreign workers handling UK consumer calls and IT jobs in general, better known as offshoring or out-sourcing. Below I have tried to out-line some of the good and bad points about the subject

Benefits

The advocates of offshoring describe it as having high potential; moving jobs to a low cost labour market will save money and provide a good source of employment for the local people. Also as developing countries become richer, they will also buy more from us and invest more in our economy. UK exports of goods and services to India alone are already worth around £2.5billion a year, securing thousands of UK jobs.

The Department of Trade and Industry (DTI) believe that the UK also stands to gain from growing world prosperity and a bigger global market for British goods and services. Offshoring will allow Britain to remain competitive, ensuring that the UK economy continues to generate new and sustainable jobs and new business opportunities. There is also the opportunity to gain from global partnerships.

Problems

Offshoring can have a negative effect on the morale of remaining onshore staff; furthermore, the low wages offshore could put downward pressure on remaining workers’ wages. The company risks trade union and public criticism, which could affect customer loyalty and satisfaction. Overseas workers at call centres may be unable to help beyond their training script, so there could be a reduction in quality. There are a number of challenges the offshore workforce will face:

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cultural differences may create difficulties in forming relationships, managing

remotely can be difficult and the service may require local knowledge, such as geography, or an understanding of British systems, i.e. NHS

My personal opinion

I am totally fed up with ending up in call centres in India. It makes the whole experience lengthy, stressful and frustrating. I hate not being able to speak normally, having to repeat and spell almost everything said and the whole experience is one I could do without. I already have changed a bank for this reason. It Is ridiculous. Why should people have ...

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