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The Services Shift
Book

The Services Shift

Seizing the Ultimate Offshore Opportunity

FT Press, 2009 más...


Editorial Rating

7

Qualities

  • Applicable
  • Background
  • Concrete Examples

Recommendation

Sending US manufacturing jobs to offshore destinations is already controversial, but what’s happened so far is just the first wave of “outsourcing,” says globalization professor Robert E. Kennedy. A far larger wave is cresting: outsourcing services to offshore destinations. Do you feel your white collar growing tighter? Well, just be glad you’re not a US radiologist waiting for films being read overseas. This book tells managers why offshoring is moving up the service value chain, how to harness its benefits and what to do about its risks. Despite their stated political neutrality about offshoring, these experts do seem to favor it, as seen in their resigned treatment of job losses and their optimism about the complexities of executing offshoring programs, though they acknowledge that they treat in scant pages procedural matters that have been the subject of entire books. This knowledgeable backgrounder offers a lot of useful information about offshoring, though it may not meet all the needs of managers who call for caution before setting sail.

Take-Aways

  • The five forces that compel increased “offshoring” by US firms are here to stay.
  • Offshoring's drawbacks include logistical, personnel, customer service and market challenges.
  • The quest for competitive advantages in cost and quality drives outsourcing.

About the Authors

Robert E. Kennedy teaches business administration and directs the “Global Initiative” at the University of Michigan’s Ross School of Business. He is also the executive director of the William Davidson Institute, where Ajay Sharma is the research manager for the “Globalization of Services Initiative.”


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