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Author: | Lewin, A.Y. Peeters, C. |
Title: | Offshoring work: business hype or the onset of fundamental transformation? |
Journal: | Long Range Planning
2006 : VOL. 39:3, p. 221-239 |
Index terms: | developing countries globalization |
Freeterms: | low-cost countries offshoring |
Language: | eng |
Abstract: | The paper discusses offshoring and its effects. Data from Offshoring Research Network (ORN) suggest that offshoring is still at an early stage but growing rapidly. However, as it becomes more widely adopted it is likely to fundamentally change the way companies in the industrialised high-cost economies organise to compete globally. Adoption offshoring practices follow an opportunistic bottom-up. Companies report cost savings and achieved service levels at the early stage. However, offshoring may foreshadow much more fundamental transformation including the commoditisation of organisational processes, emergence of hybrid organisational forms, the competition of developing countries for offshoring jobs, and the globalisation of sourcing and management of human capital. |
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