Disadvantages of Outsourcing




Outsourcing
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39
Cliff, USA

Disadvantages of Outsourcing

All the above mentioned benefits made me think: OK, but what are the limitations and disadvantages of outsourcing? I can think of these:
1. Less management control over the outsourced activities
2. Increased overhead costs (for the activities which are not being outsourced).
3. Potential security or confidentiality issues.
4. Complexity, resulting in a slower reaction to changing circumstances.
5. Potential quality issues, resulting in irritated clients, lower sales.
 

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0
Bas, Netherlands
 

Outsourcing is just a myth...

Disadvantages...?
The efficiency gains which are supposed to be achieved by externalizing activities are mostly unproven, unless maybe in reports with questionable independency. Outsourcing is merely a rationalized myth and many companies experiment with it or do some limited outsourcing because it is a fashionable concept in the boardrooms.

 
6
CROOS, SRI LANKA
 

Disadvantages of Outsourcing

Reduced sales, Loss of control, Slow responce time, Quality problems, Can't understand foreign accen... Sign up

 
2
SH Ong, Malaysia
 

Outsourcing Disadvantages

Some additional comments from my personal experience after Cliff-USA: 1. Devastated brand name in lo... Sign up

 
0
Vivek Singh, India
 

Outsourcing Disadvantage

The disadvantages of o/s are of different nature according to the type and amount of o/s. For exampl... Sign up

 
0
nickdu, China
 

Outsourcing's disadvantage

In some developing countries, most 3rd party companies only have the cost advantage, and their staff... Sign up

 
2
Steve Balogun, Nigeria
 

Disadvantages of Outsourcing

Agreed that outsourcing has many advantages, but to me, its disavantages seem to over weight the adv... Sign up

 
2
Tim, USA
 

Disadvantages?

I will preface this by saying that I work for an IT outsourcer. I speak to many prospects & custome... Sign up

 
2
H. Zoomers, Netherlands
 

Still more Disadvantages / Risks of Outsourcing

- Loss of Core Competence (if associated with the outsourced functions) - Discontinuity of Service ... Sign up

 
2
Maarten de Groot, Netherlands
 

Reasons for Backsourcing of Information Systems

Here is my contribution on disadvantages of outsourcing: Natasha F. Veltri, Carol Saunders, C. Br... Sign up

 
0
Ad Mertens
General Manager, Netherlands
 

Outsourcing Disadvantage

A disadvantage of outsourcing is in the issues that cannot be managed, or only at costs higher than... Sign up

 
2
Siphelo Colbert Nqeketho
Strategy Consultant, South Africa
 

Outsourcing: Disadvantage ....?

Main disadvantages: competitor threat and loss of touch with your market. I agree with Tim; most di... Sign up

 
2
JOE PLANGE
HR PRACTITIONER, Ghana
 

Disadvantages of Outsourcing

It's good to give all the lectures and theories about outsourcing, but does outsourcing really bring... Sign up

 
0
de Ruiter
Project Manager, Netherlands
 

Disadvantages or Risks

In line with Tim, several of the disadvantages mentioned are not disadvantages but risks which need ... Sign up

 
2
Oskar Jellbo
Teacher, Sweden
 

CONs of Outsourcing

Loss of Buyer's Competence due to Outsourcing: If you outsource something that you make today, you a... Sign up

   

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