Risks of outsourcing

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  • While most of the topics covered here apply to almost any outsourcing situation, this book is written primarily for technology professionals; it specifically caters to those working in small- to medium-size companies or in the technology trenches of large organizations. If startups or small- to medium-size companies are your world, you most likely need outside help either to grow your firm quickly or to get a product off the ground fast, or just to add the short-term or specialist expertise you need at a critical juncture.

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  • Our study assessed the opportunity for library space saving and cost avoidance through the systematic and intentional outsourcing of local management operations for digitized books to shared service providers and progressive downsizing of local print collections in favor of negotiated access to the digitized corpus and regionally consolidated print inventory. As detailed in the report that follows, the organizational change required to achieve these gains is likely to be substantial and challenging to implement.

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  • In a highly competitive industry, especially high-tech industry, a firm needs to have appropriate outsourcing strategies in order to survive. However, a firm used to have a strategic dilemma between supplier-oriented strategy and production-oriented strategy. Because of increasin complexity in the socio-economic surroundings along with rapidly changing technologies, how to have a suitable outsourcing investment is becoming an important focus for companies.

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  • One of the unique f iscal agency functions that the Reserve Banks provide to the Treasury is a program through which the Reserve Banks invest Treasury monies until needed to fund the government’s operations. The Treasury receives funds from two principal sources: tax receipts and bor- rowings. The funds that f low into and out of the government’s account vary in amount throughout the year; for example, the account balance tends to be relatively high during the April tax season.

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  • In the enterprise-level software development business, there are formal processes for estimating projects with multi-million dollar values. Each part of the project is divided into tasks, and each role and responsibility is identified. Each individual element of the project undergoes a detailed hourly estimation in order to create a comprehensive schedule. Major risks to the project’s success are identified in a risk assessment process. Additional labor hours are added to the price estimate to compensate for these risks by adding labor hours to the price estimate.

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  • Chapter 15 - Supply chain management. This chapter explain the terms supply chain and logistics; name the key aspects of supply chain management; list, and briefly explain, current trends in supply chain management; outline the benefits and risks related to outsourcing;...

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  • After studying this chapter, you will know: Describe how organizations purchase application software, vendor services, and hardware; explain how information system departments develop custom software; explain how end users develop, use, and control computer-based information systems; explain why organizations outsource their information systems, and evaluate the benefits and risks of this strategy;...

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  • Chapter 21 - AIS development strategies. After studying this chapter, you will know: Describe how organizations purchase application software, vendor services, and hardware; explain how information system departments develop custom software; explain how end users develop, use, and control computer-based information systems; explain why organizations outsource their information systems, and evaluate the benefits and risks of this strategy;...

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  • Like many businesses, hedge funds have to make difficult decisions about which tasks they should perform in-house and which they should outsource. Third-party service providers are available to do nearly all of a fund’s activities outside of making investment decisions. Our observation is that funds typically prefer to do as much of their work in-house as is possible. As a result, they tend to build up significant fixed costs. Some hedge funds are concerned that reliance on a third-party will increase risk or lead to an opera- tional or compliance failure.

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  • Chapter 7 - International strategy: Creating value in global markets. After reading this chapter, you should have a good understanding of the following learning objectives: The importance of international expansion as a viable diversification strategy; the sources of national advantage that is, why an industry in a given country is more (or less) successful than the same industry in another country; the motivations (or benefits) and the risks associated with international expansion, including the emerging trend for greater offshoring and outsourcing activity;...

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