Potential Outsourcing Problems

Paper Summary:

This paper discusses some issues that should be considered before, during, and after a proposed outsourcing is accomplished by a company. The writer uses AccuCare of Bradford as a case study, and makes recommendations on convening and informing the employees who will be let go and those who remain. The legal department should ascertain any company liabilities during this process. Alternatives to laying people off are also suggested. The writer explains the importance for AccuCare to highlight the positive aspects of this decision and recommend specific as well as general solutions to its employees in order to retain its reputation as an excellent employer.

From the Paper:

"Another potential problem is that the employee's union may step in, may threaten legal action, and in a worst case scenario may file suit against the company for breach of contract. It is recommended that the company take preventive measures immediately to forestall any such action. This can be accomplished in a number of ways. The immediate response to such a threat would be to sit down with the union and discuss the objectives and reasoning of the company and how it will affect the employees. The key to success in this particular venture is in getting the union to buy in to the situation. Without the union's support this could be a disaster. As usual, it will be a 'tit for tat' discussion so the company may wish to consider extending a few incentives to the union's leadership in an effort to gain their support."

Sample of Sources Used:

• Engardio, P., (2005) The Future of Outsourcing: How it's Transforming Whole Industries and Changing the way we Work, Businessweek (special report), http://www.businessweek.com/magazine/content/06_05/b3969401.htm, accessed Oct 21, 2007
• Prestowicz, C., (2004) Smart Outsourcing, Dumb Outsourcing, Globo Economicus, Issue 21, No 3, pp 40 - 42
• Maintenance - Inside outsourcing - A permanent on-site team has become a vital part of a large UK refineries maintenance programme. (2007). Engineering. Issue 248, No 2, pg 28
• Quinn, J.B., Hillmer, F.G., (1995) Strategic Outsourcing, Questia Journal, http://www.questia.com/googleScholar.qst;jsessionid=Hc0TFwJj1Sls3llWSclFP75HS1K5M7RSFyzQt9m5QvQTVZxThy6f!-1517704538?docId=5000316545 accessed Oct 21, 2007

More papers on Potential Outsourcing Problems:

• Term Paper # 113645 : "Outsourcing and Off-Shoring"
• Research Paper # 101975 : "Human Resources Outsourcing"
• Case Study # 65070 : "The Case of Norrell-Interim Services, Inc."

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