Monday, February 20, 2012
Friday, February 17, 2012

http://www.supplychaindigital.com/outsourcing/Maintaining%20a%20global%20reach%20is%20a%20huge%20part%20of%20outsourcing.png
This image has a darkish blue background which gives a sense of strength, reliability, quality, and integrity. Blue is also good for corporate sites to use. The white world jumps out at you as well as the colorful company names. I think this picture helps show the global outreach of companies who outsource. To me it logically shows that if you’re smart with outsourcing, your company could obtain a big global name. It also shows the vast product market that is opened up to companies who outsource.

http://outsourceportfolio.com/wp-content/uploads/2009/08/intelligentOutsource.png
This image has a light blue background with cash falling from the sky. The foreground of the picture shows a hand holding a wad of cash. The light blue color is a calming and relaxing color, while the greenish money emphasizes cash, wealth, and influence. This picture logically says to me that if you undergo intelligent outsourcing, then you will be rewarded with tons of extra cash. The text “intelligent outsourcing” helps prove the point I just said, and connects the picture to my topic. If it didn’t say intelligent outsourcing, I don’t think it would send as strong of a message. Intelligent combined with outsourcing really makes outsourcing seem very beneficial as well.
Questions, Concerns – Conferences
How do you make hyperlinks? I know you showed us, but I don't quite remember. When I tried making hyperlinks for my sources found in the PUC library, clicking on the hyperlink just brought up a blank screen...
What is my grade in this class?
I can't think of anymore questions right now, but when I get farther on my webtext, I'm sure I will have questions.
Saturday, February 11, 2012
Lee, R. P., & Kim, D. (2010). Implications of service processes outsourcing on firm value. Industrial Marketing Management, 39(5), 853-861. Retrieved from http://primo2.hosted.exlibrisgroup.com:1701/primo_library/libweb/action/display.do?frbrVersion=3&tabs=detailsTab&ct=display&fn=search&doc=TN_sciversesciencedirect_elsevierS0019-8501(10)00003-9&indx=9&recIds=TN_sciversesciencedirect_elsevierS0019-8501(10)00003-9&recIdxs=8&elementId=8&renderMode=poppedOut&displayMode=full&frbrVersion=3&fctN=facet_tlevel&fctN=facet_tlevel&dscnt=3&vl(1UI0)=contains&vl(7369302UI0)=any&scp.scps=scope:("CALUMET"),primo_central_multiple_fe&fctV=online_resources&fctV=peer_reviewed&frbg=&tab=default_tab&dstmp=1329025999035&srt=rank&vl(4167432UI1)=all_items&mode=Basic&dum=true&tb=t&vl(freeText0)=outsourcing benefits&vid=PUCL
(I’m not sure what to do about the extremely long website…and again I can’t seem to do a hanging indent on the citation…)
Summary
This article talked about how contract duration, outsourcing functions, and outsourcing locations help determine the effect of outsourcing on a firm’s performance. It had a nice picture showing these three things as well. The authors state that “outsourcing provides firms with a generally positive cumulative abnormal return” (Lee & Kim, 2010). It listed many of the same pros and cons as other articles I have read, but the authors additionally said that “the stock market reacts more favorably to offshore than onshore outsourcing” (Lee & Kim, 2010). Lastly, they suggest that businesses should not outsource IT for a long period of time, because it could reduce innovation.
Assessment
I also think this source is useful and reliable. The authors biographies looked credible again, and this was a peer-reviewed journal I found through the Purdue Library.
Reflection
I will use this source for my project, for some of the additional pros and cons I mentioned above, and maybe the picture of the 3 factors that help determine how outsourcing effects a business.
Kotabe, M., Mol, M., & Murray, J. (2008). Outsourcing, performance, and the role of e-commerce: A dynamic perspective. Industrial Marketing Management, 37-45. Retrieved from http://primo2.hosted.exlibrisgroup.com:1701/primo_library/libweb/action/display.do?frbrVersion=2
(I know the source above has to be indented on the bottom two lines, but I cant tab on this post for some reason.)
Summary
This article gave some arguments for and against outsourcing. Some arguments for outsourcing were that a firm can focus on its core activities, lower production costs, and be more flexible (for example if something goes wrong then the company can easily switch suppliers, which would be a lot more expensive if happened in-house). Some arguments against outsourcing were that if a company outsources too much, consumers might not be able to differentiate their products from competitors. Other cons include possible lower product quality, changing exchange rates, and a high cost for coordinating all the outsourcing. According to Rottman and Lacity, “the transaction costs for offshore projects neared 50% of contract value, compared to 5% to 10% for domestically outsourced projects” (Kotabe, Mol & Murray, 2008). This article also included a graph of firm profitability and degree of outsourcing, concluding that there’s an optimal point of outsourcing for companies. Information technology encourages businesses to outsource more today, but they must make sure they have the right balance of outsourcing.
Assessment
This source will be useful to my project. It seems to be reliable information, and the authors look credible, judging by their biographies. This is also a peer reviewed journal as well, so I trust the information. I found this article through the Purdue Library.
Reflection
I think I will use this source for my project for some pros and cons to outsourcing, as well as a graph on firm profitability and degree of outsourcing. This was a helpful topic and enlightened me on a few new pros and cons.
Tuesday, February 7, 2012
I am using the definition of outsourcing from a Contemporary Business Textbook. I'm not sure that I can make an Annotated Bibliography on a textbook, because it covers such a wide range of topics. All I want to use from this textbook is the definition of outsourcing. So I don't have a summary, assessment, or reflection really about this book.
Saturday, February 4, 2012
Background for Issues
During these tough economic times, many businesses are struggling. Outsourcing is one of the main issues that comes up nowadays. Some say outsourcing overseas eliminates jobs in the U.S., while others beg to differ.
Summary of Project’s Purpose and How Will Accomplish It
The purpose of my project is to determine whether or not international outsourcing is beneficial for the U.S. to engage in. I will accomplish this by researching the pros and cons of outsourcing.
Working Title: Outsourcing: Good or Bad for the U.S.?
Questions to be Answered
Key Question: Is international outsourcing a beneficial economic activity for the U.S. to engage in?
Sub-Questions: How many jobs are lost due to outsourcing overseas? How many jobs are gained due to outsourcing? What are the dangers of outsourcing overseas? What are the benefits of outsourcing? What services do U.S. businesses outsource? What do foreign companies outsource to the U.S.?
Locate Website that Provides response to at least 1 question (APA Annotated Bibliography)
Lamb-Hale, N. (2012, January 20). The manufacturing council: A public/private sector partnership for progress. Retrieved from http://blog.trade.gov/2012/01/20/the-manufacturing-council-a-publicprivate-sector-partnership-for-progress/
Summary
This trade.gov website points out the cons of outsourcing. In the blog article contained on this website, the U.S. Department of Commerce says they are striving to help U.S. manufacturers. So they are against outsourcing manufacturing jobs overseas. This website also contains the Free Trade Agreement, which helps decrease trade barriers between countries and makes it easier and cheaper for the U.S. to export to those in the trade agreement. There are graphs which show the amount of exports to imports as well.
Assessment
I think this source will be very useful in my research. From what I gather, this website really promotes U.S. manufacturing and strives to increase the amount of U.S. exports, because the U.S. is importing a lot more than exporting. I definitely think this website is reliable, because it’s a government website for the International Trade Association and U.S. Department of Commerce. I don’t think this source is biased because again, it’s a government website.
Reflection
I will probably use this website in my project because it brings out the cons of outsourcing overseas and stresses the importance of U.S. manufacturing. Before I was pretty set on explaining on how outsourcing overseas is overall beneficial for the U.S., but now this makes me question that a little bit just because of all the U.S. manufacturing jobs going overseas. Because a lot of our manufacturing has gone overseas, we don’t have near as many U.S. exports.
Is this website valuable for my project? Explain.
I think this website is valuable for my project because like I said, it points out the major cons of outsourcing, which is what I will need in my project.
Annotated Bibliography
Weidenbaum, M. (2005). Outsourcing: Pros and cons. Business Horizons, 48(4), 311-315.
Summary
This source covered the pros and cons of outsourcing overseas. It showed how the pros of outsourcing outweigh the cons. Some dangers of outsourcing are that the U.S. has really high standards of living and business compared to some foreign countries. Other countries might not have such a high standard of quality and performance like we do. Also, to engage in outsourcing is not easy for a company. They must go through all the tax and legal issues. Some say that Americans lose their jobs due to outsourcing, but this is not the whole picture. International outsourcing helps businesses become more competitive and opens a bigger product market. This in addition to the money saved from cheaper labor can increase the efficiency and productivity of a company, causing them to expand and create more jobs in the U.S. Some other things to keep in mind are that foreign countries outsource to the U.S. as well, and most services can’t be outsourced overseas like dentists and lawyers, etc. You can’t outsource “the management, responsibility, or accountability” of your company (Weidenbaum, 2005).
Assessment
I think this source will be very useful for my project. The article covers a wide range of pros and cons of outsourcing overseas, which is what most of my project will be based on. The information seems reliable because the author cites credible-looking sources (ethos). This is also a peer-reviewed journal, which strengthens the authors credibility. I don’t think this source is biased, because the author always cites sources to logically back-up their claims. I googled the author, Murray Weidenbaum, and he is the honorary chairman of Murray Weidenbaum Center on Economy, Government, and Public Policy at Washington University. He was the Assistant Secretary of the Treasury for Economic Policy from ’69 to ’71. Currently Weidenbaum is the Edward Mallinckrodt Distinguished University Professor. This being said I think he has great authority to speak on outsourcing.
Reflection
After reading through this article, I will definitely use it for my project. It will give me a great start on further expanding upon the pros and cons of international outsourcing. This source has shown me that there are definitely some major benefits to outsourcing, and I don’t think we should stop outsourcing altogether. I think it’s healthy to have some amount of outsourcing.
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Are the “evaluating websites” websites valuable to my project? Explain.
These websites that help me evaluate whether or not sources are biased, accurate, or timely are definitely helpful. I can’t just accept whatever is written on the internet. It’s important to see too if the author has authority to speak on the subject they are talking about. Also, the websites that show how to do APA references is again helpful as well, since I’ve never used APA style before.
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