Double Edged Effects of Outsourcing

Outsourcing has many good and bad effects on people, both service provider and organization alike. Because outsourcing is a recent trend, it was able to replace many established practices and methods in business. Some are actually lucky enough to be able to cope, while some are left with no other choice but to tighten their belts and hope to pass the time until they can gather their bearings yet again. For those who are into the outsourcing sector, especially those who are freelancer, the good effect that outsourcing has on them is on savings. They get to save on money because they can cut down on costs that are usually related to work such as commuting, buying clothes to wear at the office and lunch. On the flipside, working alone will also mean an absence of support from the company. You do not have a business healthcare plan so if you get sick you will have to shell out for your own medicines or hospitalization.

For those who outsource businesses, on the other hand, savings is also a good effect that outsourcing has on them. They do not need to hire additional employees, which means they get to save on employee benefits and also the physical space which the workers of their organization will provide. They will also be easier management of people and systems since they will only need to monitor a token few workers, as well as have multiple tasks completed since they can stop their focus on the work being done outside the office. However, outsourcing will also mean bad news for companies that provide service that same as what is being outsourced, because if this is the case then they might lose their clients to the freelancers.