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Thread: Do you think outsourcing finally hurts employee morale?

  1. #11
    Bronze Member Jason76's Avatar
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    Default Re: Do you think outsourcing finally hurts employee morale?

    Quote Originally Posted by to7update View Post
    I am not really sure what you are saying here. So they get fired, and they need to train the people who will succeed them? Well, this doesn't seem fair or wise from the side of the company because they can train them poorly as a revenge. I would not advise this solution.
    The fired employee still needs the former employer for references. I guess that's why they agree to help train their replacements. Note, I have heard all sorts of stories of this thing happening. It's probably not unusual. Of course, if the former employee is cynical in dealing with his/her replacement, then that would be noticed and punished.

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    Default Re: Do you think outsourcing finally hurts employee morale?

    Quote Originally Posted by Jason76 View Post
    The fired employee still needs the former employer for references. I guess that's why they agree to help train their replacements. Note, I have heard all sorts of stories of this thing happening. It's probably not unusual. Of course, if the former employee is cynical in dealing with his/her replacement, then that would be noticed and punished.
    Totally agree with you. It actually happens in corporate world. As you rightly observed the employee who is going to lose job would be doing this only to get a good experience certificate and feedback from his present employer. But the company also has no other option when this employee is the only source of files and sensitive issues he may be dealing with. It is very important if the company is in service sector and as you know customer satisfaction is the prime focus in service sector.

  3. #13
    Regular Member KAIZEN-GUY's Avatar
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    Thumbs up Re: Do you think outsourcing finally hurts employee morale?

    Quote Originally Posted by optimistic View Post
    In a survey conducted by Information Week regarding outsourcing of IT jobs, 61% of IT professionals were of the opinion that it does cause low employee morale and 70% are of the view that it does reduce IT jobs. Whenever there is news of outsourcing especially in IT sector it is not welcomed by IT professionals wholeheartedly as they know finally it is going to cost their future growth. But now they start accepting it as inevitable being a part of globalization.

    Do you think outsourcing actually impact workplace morale? Was there any outsourcing event happened in your firm and how did the management handle it?
    "Work Place Contraction" Problems and Solutions!

    Hah, not easy to discuss, it all depends on whats happening and its happening across the board to all industries those in I.T are no exception.

    Its getting harder to find sales or even a market, because the market was once a false positive and now contracting.

    Of course it hurts employee morale especially when you have contributed to design ideas and creativity in projects that you have managed but belong to the business as IP Copy Right Laws are pushed upon you in the I.T industry where maybe you wrote the entire program but its not yours to take.

    Although they did agree to terms of employment though that this might happen in the employment contract, its a standard clause I believe.

    Question really is if Outsourcing is a good way to do things or not?





    For me personally in Warehousing / Logistics outsourcing to 3PLs is a pet hate.

    I rather expand with careful good planning but banks and financial cash to do so might be a problem.

    The owner or board might not want to look into other avenues of say pulling in other investors to bolster the business direction in support of keeping things in house and expanding but for the sake of the greedy dollar an investor might make it worse depending on terms and conditions and proposals put forward, the sales/profit game to keep it short.

    Outsourcing is selling out your employees that simple its not even in line with a good business vision or values.

    Now there are exceptions where in some industries its better to do so maybe even for a time under a contract deal for start-up companies but thats not really a good way forward long term if you ask me.

    I'm of the view if your in business then do it yourself and be the best at it find the right people in your business or train them up keep them happy dont over capitalize or over invest but be innovative, creative, know the market your in and be smarter at what you do as a business.

    Or merge with a local competitor improving your market footprint with careful negotiations for expansion not reduction and good partnership.

    There are some good companies that have done this and are doing well, because they cover more ground and share the same visions and industry knowledge only improving further their product and how they function.

    Links:-



    I support mergers that keep the employees and entitlements and concentrate on expanding and refinement through business solutions and good business principles.

    Not just greedy profiteering!

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    Default Re: Do you think outsourcing finally hurts employee morale?

    Outsourcing does hurt employee morale. Outsourcing commonly results in the need to reducing staffing levels. Unless it can be planned through attrition, layoffs are inevitable. This is difficult at best and if not managed appropriately, can have a negative impact on remaining employees. Finally, when researching vendors for outsourcing be sure to think through your specific needs and get at least three requests for proposals to ensure you are getting the best value for your money.

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    Default Re: Do you think outsourcing finally hurts employee morale?

    I am not sure if outsourcing always hurt employees all the time or everyone. This question is directed at @Rock1987 you are from a country where BPO is one of the major job contributor and this particular sector helps many undergraduates getting a good job and live a decent life. Just think in terms of these outsourcing companies withdraw their services and millions of people left out of job. I am originally from the same country as you so I know outsourcing is beneficial for everyone.

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    Default Re: Do you think outsourcing finally hurts employee morale?

    It does not have to necessarily hurt their feelings but i would assume that there are a lot of doubts and question in their abilities, therefore helping them get their trust back is mandatory.

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    Default Re: Do you think outsourcing finally hurts employee morale?

    Maybe some employees lose their jobs in certain countries from where the jobs are outsourced to places where labor is cheaper or talent is available at less than half the going rates but as most of the developed countries like America and Australia have been thinking seriously in this direction. Maybe they have an eye on their vote bank but their action would leave a large number of people unemployed in those countries where they outsource their work. Maybe the business houses in outsourcing countries would suffer financially but their employees would be better off with more job opportunities.

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    Default Re: Do you think outsourcing finally hurts employee morale?

    I think outsourcing is designed in such a way these days. That existing employees should not be feeling threatened with it. Because some of the in house jobs will remain as they are. And the external jobs where the employees can't be used, those have to be outsourced eventually. And that seems to be the way people can manage to get closer to the output. At the end it is about company profit. And employees can't always look all about their own benefit. So you can see that it is more about handling the situation right way.

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    Member Plus pramod's Avatar
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    Default Re: Do you think outsourcing finally hurts employee morale?

    Outsourcing can hurt your spirit as a worker since you may see that you are not doing what's needed. The thought process was sure yet individuals are unique and they react in an unexpected way. Be that as it may, a few organizations may outsource and go further to sell out the workers. My Dad lost his activity when we were youthful because of this framework. He never figured out how to land another position in light of the fact that different organizations didn't comprehend why he cleared out the principal organization in any case.

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    Default Re: Do you think outsourcing finally hurts employee morale?

    It is a difficult question, I think outsourcing can hurt employee morale, but now employees are forced to accept and get used to it.

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