The Perilous Effects of Capability Loss on Outsourcing Management and Performance

Abstract

The recent industrial revolution has witnessed outsourcing of manufacturing and business activities as a pivotal business practice. But alarmingly high proportion of outsourcing activities is not generating optimal results. To achieve dramatic cost saving objectives, many outsourcing activities are interconnected with the organization's resources, and cause the dismantling of the resources which direct the organization to an operational capability loss on account of an outsourcing firm. Amazingly, very little research has been conducted regarding this issue if capability loss which is intermittently correlated with the outsourcing firm. The purpose of this study is to deal and pursue with this contrition. It is possible to avoid the seven deadly sins of outsourcing by a dynamic evaluation of the initiatives of outsourcing activities. Outsourcing provides us the advantage of double out the net income while the revenue remains the constant.

Authors and Affiliations

Abid Imam

Keywords

Related Articles

Role of Cultures and Behaviors in Entrepreneurship Development: A South Asian Perspective

This paper is based on the South Asian culture, social institutions and entrepreneurship in particular to Sri Lankan entrepreneurship. Sri Lankan culture demonstrates various complex and unique behavioral patterns. Sri L...

Entrepreneurial Supply Chain Management Competence: Performance of Manufacturing Small and Medium Enterprises

This research paper investigates the impact of five factors indirectly on entrepreneurial supply chain management competence and two other factors SCM strategies and performance of firm. Five important factors play an im...

Who is Better at Learning? A Comparison of Manufacturing and Service Sectors of Pakistan

This research has been conducted having twofold purposes; first one is to evaluate the degrees at which manufacturing and service sector’s organizations of Pakistan are learning organization—based on Peter M. Senge’s fiv...

Adaptability of SHRM in the Context of Pakistan

Although the concept is not new in the field of management studies, it is found in literature that an integrated framework of strategic human resource management (SHRM) is needed. Strong HR systems have been developed in...

Facilitating Small Enterprises in Developing Brands – A Cluster Perspective

Branding is considered a linchpin to attain sustainable competitive advantage in current global business environment. While a sizable quantum of research work deliberates on determining the constituents of a winning bran...

Download PDF file
  • EP ID EP194489
  • DOI -
  • Views 116
  • Downloads 0

How To Cite

Abid Imam (2012). The Perilous Effects of Capability Loss on Outsourcing Management and Performance. International Journal of Management and Organizational Studies, 1(1), 33-43. https://europub.co.uk/articles/-A-194489