Product details

By continuing to use our site you consent to the use of cookies as described in our privacy policy unless you have disabled them.
You can change your cookie settings at any time but parts of our site will not function correctly without them.
Management article
-
Reference no. SMR45303
Published by: MIT Sloan School of Management
Published in: "MIT Sloan Management Review", 2004
Length: 4 pages

Abstract

Off-shoring, the increasingly common practice among US and European companies of migrating business processes overseas to India, the Philippines, Ireland, China and elsewhere, is often seen as a negative phenomenon that suppresses domestic job markets. On the contrary, says the author, off-shoring is a critical component of next-generation business design, a dynamic process of continually identifying how to deliver superior value to customers and shareholders. Companies such as General Electric, Intel, JP Morgan Chase, Allstate, Prudential, Dell, Cisco and Motorola have all adopted it in some form as they shift their managerial frames of reference toward the requirements of the global-network era. Companies would do well, the author advises, to think rationally - not emotionally - about off-shoring''s relevant issues: What are their core competencies? What form of governance is optimal? How will work will be distributed and integrated?

About

Abstract

Off-shoring, the increasingly common practice among US and European companies of migrating business processes overseas to India, the Philippines, Ireland, China and elsewhere, is often seen as a negative phenomenon that suppresses domestic job markets. On the contrary, says the author, off-shoring is a critical component of next-generation business design, a dynamic process of continually identifying how to deliver superior value to customers and shareholders. Companies such as General Electric, Intel, JP Morgan Chase, Allstate, Prudential, Dell, Cisco and Motorola have all adopted it in some form as they shift their managerial frames of reference toward the requirements of the global-network era. Companies would do well, the author advises, to think rationally - not emotionally - about off-shoring''s relevant issues: What are their core competencies? What form of governance is optimal? How will work will be distributed and integrated?

Related