Leader needs to realize the benefits of outsourcing outweigh the drawbacks

Leader may benefits from their various actions to outweigh their drawbacks. Benefits from Outsourcing are:

  1. The time zone advantage  meaning, your job will be done while you are asleep and when you wake up next morning your service is delivered at right time. Example: IT/business process sector.
  2. Faster and better services by getting ideas converted into products and better at delivering the value-added proposition. Example: KFC
  3. Cost effective method. Example: it is said that, in 2010 if the average manufacturing wage of iPhone was about $2.00 in China then it would be $34.75 in America.
  4. Increase efficiency of company, as it can pay attention on key activity. Example: iPhone not only save money, but also save time and increase their creativity due to mixture of innovative ideas.
  5. Easy access to skilled resource. While catering towards the world business can find well educated, experienced in handling the needs with potential customers. Example: Ford India exports 40 percent of its engine production and 25 percent of its car production to south Asia including Nepal
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