Please answer the following discussions and please each discussion with its references at the end of each steps please.Step 308-6Businesses choose outsourcing for many reasons, three of the...

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Answered 4 days AfterApr 22, 2024

Answer To: Please answer the following discussions and please each discussion with its references at the end of...

Nitish Lath answered on Apr 27 2024
16 Votes
Step 308-6
The selected company is Tata Motors Limited. The head office of the entity is located at Mumbai, India. The company has also outsourced some of its operations to other companies and is run
ning its business operations efficiently. There are various advantages and disadvantages of outsourcing and the companies can also face obstacles during outsourcing. The major advantages of outsourcing are as follows:
· It saves lot of time as entity is required to deploy lot of staffs if all of business operations are managed within organization.
· It saves labour and operational costs and resulted increase in business profitability. The outsourcing companies hire highly educated staff as a fraction of the cost of their local counterparts and it helps to run the business operations of the entity in smooth manner.
· The outsourced partner also helps to take care equipment and space for entire operations so it helps to save lot of money on account of office space, staffing costs.
· By outsourcing business operations, the entities can also focus on core business strategies and can plan its future business operations and scalability.
· The companies can focus on its core competencies by delegating small day to day tasks and it can also more leveraging among competitors.
· There are several other advantages which includes increase in efficiency, lower cost, finding expertise in various business operations.
The outsourcing can also have various hurdles and challenges and some of major challenges or hurdles are as follows:
· By outsourcing the operations, there can several quality issues arise as some of the staff may not have adequate technical knowledge. Further, the outsourcing firms are generally not having any accountabilities towards business operations and it can disrupt the business operations in significant manner.
· The threat to security can also arise as sharing of information with third party can be resulted in disclosure of confidential information to third...
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