Offshoring and Onshoring in Business

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What are some skills required for outsourcing professionals according to the text?

Graphic design, customer service, and inventory management

Technical expertise, social media marketing, and coding skills

Human resources, accounting, and legal drafting

Negotiation, communication, and project management (correct)

Why does outsourcing in a different country pose unique challenges?

To access intellectual property

Due to lower quality of work

Because it involves language, cultural, and time zone differences (correct)

To increase the cost savings

What is one of the benefits of outsourcing related to knowledge?

Access to intellectual property and wider experience (correct)

Access to legally binding contracts

Access to a larger talent pool

Access to operational best practices

Which benefit of outsourcing focuses on improving the quality of services?

Improvement in quality through new Service Level Agreements (C) Signup and view all the answers

Why is operational expertise listed as a benefit of outsourcing?

To access operational best practice that is hard to develop in-house (B) Signup and view all the answers

How can outsourcing help with time zone coverage according to the text?

A sequential task can be done during normal day shift in different time zones for 24x7 availability (D) Signup and view all the answers

What is the main reason for onshoring?

To tap talent currently unavailable domestically (A) Signup and view all the answers

What is a key advantage of both offshoring and onshoring mentioned in the text?

Reduce and control operating costs (D) Signup and view all the answers

What is the difference between offshoring and onshoring?

The location of service providers (A) Signup and view all the answers

In IT outsourcing, what does offshoring primarily aim to minimize?

IT service costs and related taxes (D) Signup and view all the answers

What is a common outcome of the outsourcing decision in IT outsourcing as mentioned in the text?

Transfer or sale of information processing assets and personnel (B) Signup and view all the answers

Which of the following is NOT listed as an advantage of onshoring and offshoring?

Overcome regulatory obstacles in offshore locations (B) Signup and view all the answers

What is nearshoring, in the context of outsourcing?

Outsourcing to a partner in a geographically closer location (D) Signup and view all the answers

Which of these is NOT an advantage of nearshoring?

Significantly lower labor costs (D) Signup and view all the answers

What is the main differentiator between offshore outsourcing and nearshore outsourcing?

Geographical location of the outsourcing partner (D) Signup and view all the answers

Which of these is NOT a potential disadvantage of outsourcing in general?

Reduced labor expenses (C) Signup and view all the answers

How does nearshoring impact communication and coordination?

It improves communication due to similar time zones (B) Signup and view all the answers

What is the origin of the term 'nearshore' in the context of outsourcing?

From the fishing industry (A) Signup and view all the answers