In Defense of Outsourcing: Why Some Politicians Get It Wrong On Outsourcing

Outsourcing, at its very core, is all about improving the economy. It’s about cost-effectiveness, getting the most value of your money. It’s about increasing the efficiency and effectiveness of your key employees, maximizing the resources of your company and utilizing the best people for the job to boost revenues and repeat business ratios.

Now Barack Obama wants to improve the economy – the American economy. The solution, he implied, is to eliminate outsourcing and implement “insourcing”. His goal is very much commendable. His solution may not.

As Adam Smith (1723-1790), a Scottish social philosopher and pioneer of political economy, once wrote:

“It is the maxim of every prudent master of a family, never to attempt to make at home what it will cost him more to make than to buy… What is prudence in the conduct of every private family, can scarce be folly in that of a great kingdom.”

By delegating time-consuming, routine tasks to an outsourcing provider at a fraction of the cost, you significantly improve core competencies and fortify the bottom line of your business. Instead of spending time, talents and focus on day-to-day activities – answering customer-service calls, resolving IT issues, or generating sales leads for your business – that don’t have immediate impact on revenue, tasks that may have been keeping you to become more productive and successful, you leave them to your outsourced workforce who are trained and skilled to handle those types of jobs, while you save money, enjoy more time and freedom to grow your business.

Here are a few of other best reasons why outsourcing still remains the best win/win solution to go:

Outsourcing brings economic gains

Contrary to popular belief, US businesses and workers are benefiting a lot from outsourcing. With routine tasks delegated offshore, American workers are redeployed for more important, higher paying jobs that create more value to the company. The increase in productivity and revenues can eventually translate to a stronger job demand in the United States for more educated, highly skilled American workers.

Outsourcing makes businesses stay competitive

Outsourcing Creates More JobsFrom large corporations and firms to small businesses and startups, outsourcing provides them the competitive edge they need. They can bring into the equation affordable, best-in-class support they look for to stay competitive in the market.

Outsourcing creates more jobs

When an industry becomes more productive at lower cost, it can sell more products and eventually will have more funds to expand the business and hire more core employees. Read more documented evidence here and here  about how outsourcing creates more jobs for Americans.

Final Thoughts

The thing is: outsourcing doesn’t disrupt the American economy, it enriches it. It doesn’t make the American economy weaker, instead it makes the country a more stronger and productive nation.

Truth is, outsourcing is just an easy economic target when the unemployment rate is up. It’s a convenient scapegoat exploited most especially during election year such as what happened in 2004. Now it’s 2012 and you know what that means.

The real solution isn’t really insourcing but responsible outsourcing.

For all your call center outsourcing needs, contact Live2Sell now!


2 Responses to In Defense of Outsourcing: Why Some Politicians Get It Wrong On Outsourcing

  1. Mike says:

    Outsourcing as a business practice helps organizations maximize their financial resources, which in turn makes organizations more sustainable and profitable in the long run. Organizations’ profitability can trickle down to American society by means of more secure jobs for on-shore employees.

  2. Dr. Drey says:

    Very interesting piece! I’ll share this to others.

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