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Introduction

Problems in outsourcing 1. Executive Summary Outsourcing is the way of distributing the work in an organization to the other companies, in case the parent company is not having the expertise in handling the situation. Hence, the companies are entering into different business opportunities, even though they are not having the expertise and thus outsourcing the work in the organization to the other potential companies. The outsourcing may be national or international. Generally the outsourcing will be highly seen in the service industry rather than the manufacturing industry. When the work is being distributed to other companies, there will always be a scope for the cultural variations which will affect the efficiency of the organization. As the service outsourcing deals with the different cultured people involved, it is highly discouraged to tie up the performance of the company with the cross cultural management of the organization. Hence, the companies are adopting the cross cultural management such that the different cultured people, processes and the operations will be run under a same hierarchy which will be monitored by the management of the organization. In this document, the effect of the cross cultural environment will be discussed in the outsourcing department and how they have faced problems in designing a global strategy to handle the outsourcing. The management theories like Trompenaars will be specified in this document to enhance the knowledge of these theories on the practical life. ...read more.

Middle

The index is very high in the outsourced company and hence the employees think that the power is distributed unequally among the employees and thus this creates a huge gap between the employees and the managers. The employees will always think that they are given priority in the decision making and implementing the new ideas and they will be de-motivated and the work performance is very less when compared to the other employees. b. Individualism Individualism is generally defined as the way of the people behave in an organization or a society by looking after only their needs and do not worry about the other people. In the outsourced company, the employees are individualistic and hence they are not in a position to cooperate with the other employees and hence there is a lack of communication and knowledge transfer. This is finally affecting the company's performance and thus the clients' business. The better understanding of the work culture by the employees can only be done by the effective communication and educating themselves with the help of others in the company. c. Masculinity (MAS) Masculinity (MAS) describes the nature of the competitiveness over the quality of the life. The competitiveness is generally termed as the 'masculine' value where as the quality of the life is called 'feminine' value. Hence, it is the duty of the company to reduce the feeling of feminine. ...read more.

Conclusion

The individualistic nature of the employees is critically affecting the organization and hence the collectivism among the employees should be increased so that they can cooperate with each other in every perspective of work culture. The good thing is that the cultural variations are not showing effect in the work place. However, steps have to be taken so as to reduce the cultural variations among the employees of the outsourced companies and the customers from abroad. Then only the customers will be willing to speak with the employees of the outsourcing companies. The employees are tolerating the uncertainty in the organization from the managers. This index has to be reduced in the organization so that the certainty will prevail in the work place and will give rise to collectivism and the employees are treated with care and affection. 6. Forecasts and Outcomes The outcomes of the above said recommendations can be seen in the very near future. The implementation of the collectivism and the masculine environment will increase the developments in the way the outsourcing can be handled. The relations between the employees and the managers will be improved and the employees will be given rights to take decisions when needed. The customers and the employees will build up a relation such that they will have to manage a long term relationship. The variations in the culture will be reduced due to the broad mindedness of the employees as well as the customers. The client will be happy for providing better outsourced solutions to the customers. ...read more.

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