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The Advantages of Outsourcing:
1. Focus On Core Activities

In rapid growth periods, the back-office operations of a company will expand also.
This expansion may start to consume resources (human and financial) at the expense of the core activities that have made your company successful. Outsouring those activities will allow refocusing on those business activities that are important without sacrificing quality or service in the back-office.

2. Cost And Efficiency Savings

Outsourcing is a good option when you have back-office functions that are complicated in nature, but the size of your company is preventing you from performing them at a consistent and reasonable cost.

3. Reduced Overhead

Overhead  costs of performing a particular back-office function are extremely high. Consider outsourcing those functions which can be moved easily.

4. Operational Control

Operations whose costs are running out of control must be considered for outsourcing. Departments that may have evolved over time into uncontrolled and poorly managed areas are prime motivators for outsourcing. In addition, an outsourcing company can bring better management skills to your company than what would otherwise be available.

5. Staffing Flexibility

Outsourcing will allow operations that have seasonal or cyclical demands to bring in additional resources when you need them and release them when you're done.

6. Continuity & Risk Management

Periods of high employee turnover will add uncertainty and inconsistency to the operations.

Outsourcing will provide a level of continuity to the company while reducing the risk that a substandard level of operation would bring to the company.

7. Develop Internal Staff

A large project needs to be undertaken that requires skills that your staff does not possess. On-site outsourcing of the project will bring people with the skills you need in your company.

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The Advantages of Outsourcing:

Benefits Cost: Allows for production of goods at a higher quality and cheaper costs. This is made possible due to the variation of currency and wages throughout the world. Especially in countries such as India, Bangladesh, China etc.

Growth: Not only does outsourcing benefit the production of a companies product. But for the growth of the company, since with a cheaper way to produce products that means a lot more products being sold equaling greater profits and increased growth.

Company Legislation and Safety concerns: Since many countries in Asia, do not have the same regulations as Canada and the U.S this allows for longer work hours, cheaper pay, a lack of safety concerns allow for more products being produced.

Disadvantages of Outsourcing:

The main disadvantages of outsourcing is the fact that quality may not live up to expectations leading to pour product being produced and sold to customers international or domestically leading to a decline in business due to customers being unhappy with service and products.

Also many companies believe that within countries where there is a cheap labour. There may be more of a chance for data and information about the company to be stolen and sold to other rivals within the industry leading to a future company problems.

The Free Movement Labour is a benefit to people all over the world. Allowing for people to find jobs and earn a living while economies continue to grow.

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Outsourcing

Advantages:

·      Lower labour costs – Companies always seek to oursource their businesses to countries that are less developed or developing and have lower labor costs.

·      Less regulation – Since companies seek to outsource to developing countires, and developing countries generally have less regulations and restrictions. Companies thrive from this because they wouldn’t have to worry about rules such as work hours.

·      Business growth – When companies outsource, they are able to produce more good and services because they are now more than one. More goods and services and more customers from different countries would all result in profit.

Disadvantages

·      Confidentiality risk – One risk companies might be worried about is losing some secret information and data about the company. If the data falls into the wrong hands, it could have drastic consequences for the company.

·      Quality problems – Can occur if the company outsourced to doesn’t have proper production material or experince for the specific goods or services provided.

Free movement of labor:

The free movement of labor enables people from different countries to move around and find work in other countries. It is good for society because it helps people find something to do, which keeps people employed and employed people pay taxes so it keeps the economy up.

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Outsourcing Advantages

Outsourcing allow companies to produce more of their products at lower cost, thus being bale to cut down prices and generating more profit. In the service industry, outsourcing allows a business to locate and utilize a competent workforce with good education and new ideas. Listed below are some of the other advantages that come with outsourcing.

Concentrating on core process rather than the supporting ones: Outsourcing the supporting processes gives the organization more time to strengthen their core business process.

Reduced Operational and Recruitment costs: Outsourcing eludes the need to hire individuals in-house; hence recruitment and operational costs can be minimized to a great extent. This is one of the prime advantages of offshore outsourcing.

Swiftness and Expertise: Most of the times tasks are outsourced to vendors who specialize in their field. The outsourced vendors also have specific equipment and technical expertise, most of the times better than the ones at the outsourcing organization. Effectively the tasks can be completed faster and with better quality output.

Outsourcing Disadvantages

Outsourcing can also carry disadvantages. As companies allocate their business offshore, it sometimes becomes difficult to manage and maintain proper conduct and company standards. Listed below are some of the disadvantages that can come from outsourcing.

Hidden costs: Although outsourcing most of the times is cost-effective at times the hidden costs involved in signing a contract while signing a contract across international boundaries may pose a serious threat

Lack of customer focus: An outsourced vendor may be catering to the expertise-needs of multiple organizations at a time. In such situations vendors may lack complete focus on your organization’s tasks

Synchronizing the deliverables: In case you do not choose a right partner for outsourcing, some of the common problem areas include stretched delivery time frames, sub-standard quality output and inappropriate categorization of responsibilities. At times it is easier to regulate these factors inside an organization rather than with an outsourced partner.

With all these pros and cons of outsourcing to be considered before actually approaching a service provider, it is always advisable to specifically determine the importance of the tasks, which are to be outsourced. It is always beneficial for an organization to consider the advantages and disadvantages of offshoring before actually outsourcing it.

Free Movement

The free movement of labour is beneficial for society as workers from other countries usually bring in new ideas, innovations, and businesses which help improve the economy. Below are some of the benefits that free movement can provide for struggling countries.

Labour shortages: Countries may experience labour shortages, especially in certain skilled positions or undesirable jobs many domestic workers don’t want to do. Immigrants can fill these vacancies.

Reduce unemployment: If there is free movement of labour, then workers from overseas can take temporary jobs when an economy is booming and then return home, when the boom is over.

Prevent wage inflation: If an economy experiences labour shortages, it will put strong upward pressure on wages; higher wages can easily lead to inflationary pressures.

Filling undesirable jobs: In developed countries, there are often jobs which are difficult to fill because they are deemed unsavoury. This may involve cleaning, bar work or dangerous jobs.

Citations

“Pettinger, Tejvan. "Free movement of labour – advantages." Economics Help. N.p., n.d. Web. 25 Mar. 2017.”

"The Advantages and Disadvantages of Outsourcing - FWS." Flatworld Solutions. N.p., n.d. Web. 25 Mar. 2017.

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Outsourcing Definition

Outsourcing is the process of assigning a company’s business process to an external agency in lieu of enhancing service quality, driving innovation or deriving benefits of lower labour costs (Flatworld Solutions).

Advantages

In many cases, the main objective when a company to outsources is to save on costs and expenses. For example, when a manufacturing company outsources to have its goods developed in a country with lower labour costs, the company will be able to lower the price of their product; making it available to a wider market. Another reason outsourcing is used is to the improve efficiency. For example, Chapters Indigo outsources their telemarketing and telecommunication service abroad to India. This is a huge advantage for them as they are able to operate on a  24 hour basis; when North Americans are sleeping, business continues during the day in India.

Disadvantages:

Although outsourcing can provide businesses with many beneficial returns, the practice can also entail some disadvantages. One backdrop from outsourcing is the loss of control over the company’s processes. For example, Louis Vuitton produces high quality luxury bags, they hand make everything and ensure each piece is perfect down to every stitch. If Louis Vuitton were to outsource their manufacturing to an outside source they will find it difficult to maintain the same quality and craftsmanship of their products.

Outsourcing can also create problems in terms of response time and issue resolutions. As outsourcing is usually performed in foreign lands, it may become challenging to resolve business conflicts when they come up. It takes quite some time to send messages and negotiations back and forth; this problem could cause time delays and set backs for deliveries and production.

Free Movement

Free movement of labour is beneficial to societies as it encourages partnerships and peace. Free movement of people can help a struggling country become better with a more competent workforce. With the limitless movement of migrant workers, new ideas and innovation are brought along with them; these factors encourage further competition and increase the economy. Free movement of labour is highly beneficial especially for countries that are strong trading partners, what one country lacks ability in, the other can provide the means and workforce to help build and maintain that industry. The freedom to work and migrate to any country of choosing is the ability to create and take on new opportunities that contribute to the overall economic well being of a country.

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Advantages of Outsourcing:

v  The biggest pro of outsourcing would most definitely be the money it saves a company. This of course depends on the size of the company however by outsourcing, said company can save money by having a third party take on some of the workload while paying at a cheaper rate than what they would pay someone who is employed in the firm. By saving money through outsourcing, a company can also hone into their Economies of Scale capabilities as they now have the means to produce more at a lower price thus creating more income.

v  Another advantage of outsourcing would be that by passing off miniscule tasks to third parties, the company’s internal staff now can focus on more skill enhancing, important tasks as they are not swamped trying to finish up work that is below their capabilities.

Disadvantages

v  Although there many advantages to outsourcing, nothing comes without its disadvantages. In comparison to hiring someone where you can assess their skills and abilities to match what your company is looking for; if proper research and supervision is not given the product from the third party may be of poor quality and not reach the company’s standards thus wasting time and money.

v  Depending on what task your company is sending to be outsourcing there is a big chance of facing the risk of private information being leaked be it financial reports or product details.

Free Labour

Free labour can be good for society as anyone the chance to work where they desire without facing any discrimination and restrictions; in a way it lower the risk of conflict between countries. Free labour can also boost a country who is facing labour shortages due to domestic workers not wanting to work in certain industries they find undesirable. By allowing free labour and countries also has the opportunity to improve their declining demographic issues by seeing the rise of younger migrant workers among other advantages.

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Advantages of outsourcing

1. Focus on core activities

A company plans to expand the business results in expansion of back-office operation. Outsourcing the back office jobs (i.e., human resources and financial departments) will allow the company to focus on main activities without degrading quality or service in back-office.

2. Improve internal staff's skills

In case of working on a large-scale project; a company needs professional workers who specialize in certain skills, which existing employee may not have. Outsourcing can clear this issue by bringing the experts from outside. Internal staff can work with outsourced employees to acquire a new skill set as well.

However, we have some cons of outsourcing.

It could have security and confidentiality risk.
Intellectual property and confidential data must be protected when employees are new in an outsourced company. If the outsourced function involves sharing proprietary company data or knowledge, it needs to have proactive safeguards to ensure that protects this information.

Moreover, it could lose a control of that function.
Outsourcing functions of your business also means the company is giving some control away to an outsourcing entity.  A company gets the advantages of having an expert do tasks, but this comes at the cost of losing some control of its function.

why is the free movement of labor good for society?

Migrants are usually better educated, more skilled and younger than native population. It would cancel out the growing ageing population. The influx of young migrants can ease the problems ageing population brings.  In addition, free movement of labor increases opportunities to workers and makes labor markets more flexible. On the country end, it can deal with labor shortages and fill the undesired jobs at lower costs.

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Advantages to outsourcing:
- Most of the times the outsourced business have the experience and equipment which mean they can sell or reproduce the outsourced product with high quality.
-Less risk as the outsourced business tests out the product that they purchased.
-Cheap cost.
Disadvantages to outsourcing:
-Risking business information which might be disclosed to different people and businesses in a different country.
-Outsources company may forget their main target and get off track easily.

Free labor is good for society because it allows people to work anywhere in the world but working the same job and getting the same tasks done. It also helps people save money as it involves less expense.

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Outsourcing is a practice used by many companies to cut costs by transferring portions of work to outside suppliers rather than completing it internally.

·         Advantages of outsourcing:

o   Flexible in serving as a source of income from operations that have seasonal or cyclical demands when needed without the opportunity of losing money when not needed

o   Outsourcing will provide a level of continuity to the company while reducing the risk that a substandard level of operation would bring to the company.

·         Disadvantages of outsourcing

o   Losing management control of business functions meaning that you may no longer be able to control operations of activities that you outsource

o     Outsourcing can cause layoffs, causing poor performances and lack of loyalty

·         Why the free movement of labour is good for society?

o   Free movement of labour is good for the society as is gives skilled and non-skilled workers the freedom to seek work where ever it is available in any part of the world. The society can benefit from free movement of labor in many ways such as help deal with labour shortages in a country. Countries may experience labor shortages, especially in certain skilled positions or undesirable jobs many domestic workers don’t want to do. Immigrants or seasonal foreign workers can fill these vacancies. Labor migration creates additional demand, meaning many focus on the increase in labor supply, pushing down wages, but migration also leads to additional demand. For example, United Kingdom’s economic growth has been boosted by the rise in population that was partly caused by net immigration.

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Outsourcing is generally used to encourage companies to promote better revenue recognition and to give them an added competitive differentiator. However, there could either be improvement or damage in companies based on how effectively the process in managed.

Advantages:

-Outsourcing can reduce costs of employment. Saving the costs is the main purpose of outsourcing. As outsourcing use its workforcefrom developing countries, it is usually cheaper than developed countries.

-Outsourcing can enhance operational efficiency. Employees in a company can have the opportunity to deal more with their work so that they perform better in their departments because outsourcing take place of some parts of workforce.

-Outsourcing can maximize time utilization. One of the benefits of outsourcing is the high speeding time that outsourced work is done. One example of this benefit is that a company would be able to save time in hiring employees when it needs to create a new team.

Disadvantages:

-Outsourcing might not have constant management. Like I mentioned above, there could either be improvement or damage in companies based on how effectively the process in managed. For example, every company needs to have a qualified manager, which will handle the management of the outsourced projects. Managers are required to determine the outsourced workforce demands, and guarantee that all the providers are constantly updated to meet these demands.

-Outsourcing has a security concern, so a company is required to manage its customer's confidential information inside of a company, not the outsourced one.

The importance of free movement of labor in a society:

The main purpose of free movement of labor is for countries’ economy. For example, free movement of labor enable workers to travel from countries where jobs are insufficient to others where jobs are enough, and where workers are needed, so it would diminish the rise in unemployment rate and encourage circulation of money, which helps countries’ economic growth.

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1.

Outsource is of a company or organization to purchase goods or services from an outside supplier or source.

The advantages of outsource are, using appropriate outsource can reduce project operating costs. The experience and advantage from outsource can help project keeping in the right way. Saving cost of long term human resource, there is no necessary a company to keep full labors when the company does not have project to do. A company has opportunity to learn from outsource, and can train their own labor better. The most important advantage of using outsource could be, a company can focus on only what they are good at.

The disadvantage of outsource are, using outsource may course the non-confidential at core technology and core information. The communication will more hard between company and outsource, comparing with insides communication.

Lacking of effective restricting will increases lawsuit risk. The most disadvantage of outsource could be, losing control of the quality of project.

To avoiding disadvantage of outsource, a company should only use outsource at non-core business area. A company should always try to ensure smooth communication, such as using same language. Using high experienced project manager to manage the project with outsource, is also important.

2.

Free movement of labor means that labors are entitled to look for work in different areas, without any restricting.

Labor is a key economic resource as same as capital and land. Free movement of labor will increase social efficiency and competitiveness. Free movement of labor can set up the requirement of human resource to balance in society. It can increase people density to improve the efficiency of public service, and reduce the cost of communication in economic behavior.

The ability of gathering human resource of a society, depends on the human resource policy of the society. Free movement of labor policy can make a society win in the global human resource market.

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Advantages and Disadvantages of Outsourcing
Advantages:
Outsourcing provides company competitive advantages in many ways. It is time efficient when the company outsources their tasks. When the tasks are divided, the company can finish their work faster. Also while other vendors are doing the work, the company is able to focus on their core competencies and strengthen. In addition, not only the works can be finished quickly but outsourcing enables the company to save its finance with low labor cost quantities of the production with better quality.
Disadvantages:
Outsourcing weakens the control of the company’s business. Because the company is dividing and sharing their tasks, it loses the control. Also, it is possible to have a conflict between the company and the outsourced vendors and it could cause confusion among employees in each company.

Free movement of labour
Free movement of labour provides more job opportunities to people who are seeking for jobs but hard to get a job in their own countries. Also, it removes the barrier between the countries and enhances regional equality. In addition, it benefits societies by filling immigrants where they have labour shortages.

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Advantages and disadvantages of outsourcing

Nowadays, outsourcing is one of effective business strategies in the world. The outsourcing business is expanding more and more. According to the study, the outsourcing business generated over $500 billion in revenue in 2014. Especially, outsourcing in IT industry accounts for more than 50%.

There are several advantages of outsourcing. The biggest reason why companies use outsourcing is for cost reduction. If the company finds another company that has low labor cost and matched skills and ability to the company, the company can save the cost more than using or developing the function within the company. This advantage would bring the company to improve company focus financially and materially. As a result, the company could enhance its productivity and quality more. Another advantage would be obtaining staff flexibility and efficiency. Sometimes a company needs larger staff or specific function, but it could be temporarily or seasonally. If the company can use outsourcing that has matched ability, it will be more beneficial to the company.

On the other hand, there are disadvantages of outsourcing as well. First, the quality of its service would not achieve the users’ expectation. The gaps make users frustrated. The second disadvantage is the tendency of the loss of control of the outsourced function. Since another company whose standards and visions are different conducts the function, it would be hard for the original company to be under control completely.  Third, there is the possibility to be violated the security and confidentiality by outsourcing. The information that the company holds could be the core of business and relating to the competitiveness of the business. Outsourcing some function would bring the threat of being ruined those important assets.

Therefore, when using outsourcing, it is necessary to consider both sides of outsourcing carefully.

The benefits for society of the free movement of labor

If society allows people to move freely to work, the society could cover the shortage of labor in some industries before the shortage gets more severe. Also, the free movement of labor in society would stimulate the quality of labor market, and people are likely to improve their skills and knowledge. As a result, society could obtain not only a higher level of labor quality but also the possibility to develop the economy more efficiently. Moreover, the flexibility of labor movement could bring various people mutual understanding in the society. Therefore, the society would improve the quality of society and economy.

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Answer 1.
Definition of outsourcing:
Outsourcing is a practice in which an individual or company performs tasks, provides services or manufactures products for another company.
Advantages:
- Better revenue realization and enhanced returns on investment
- Lower labor cost and increased realization of economics of scale
- Tapping in to a knowledge base for better innovation
- Frees management time, enabling companies to focus on core competencies while not being concerned about outsourced routine activities
- Increases speed and the quality of delivery of outsourced activities
- Reduces cash outflow and optimizes resource utilization

Disadvantages:
- Possible loss of control over a company's business processes
- Problems related to quality and turnaround time
- Late response times coupled with slow issue resolutions
- Shortcomings in performance wise expectations

Free movement of labor is the concept under which workers are entitled to look for work in another country, without requiring any visa.
Free movement of labor is important because of several reasons:

-  Free movement of labor gives increased opportunities to workers and
makes labor markets more flexible.
- It can help deal with labor shortage
- It can diminish the rise in unemployment
- It can prevent wage inflation
- Labor migration creates additional demand
- It gives more flexible labor market and fill undesirable jobs
- It helps to deal with demographic challenges and also helps to reduce regional inequalities.

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1. Outsourcing:
Outsourcing can be both have advantages and a disadvantages. In which an individual or company perform tasks, from an outside foreign supplier, especially in place of an internal source. Also gives benefits or produces items for another company.

Advantages:
- Cost advantage offshore outsourcing can help you save on time, effort, manpower, operating cost and training cost.
- Increases speed and the quality of delivery of outsourced activities and reduces cash outflow and optimizes resource utilization.
- Outsourcing gives business flexibility in staffing, manpower management, helps you save cost and can also pick the best people to run your core functions.

Disadvantages:
- Hidden cost and legal problems may arises if the outsourcing terms and conditions are not clearly defined.
- Loosing management control of business functions that you may no longer be able to control operations.
- Outsourcing is the risk of losing sensitive data and the loss of confidentiality.

2. Free Labour Movement:
In the free movement of labour, workers are entitled to look for work in another country, without requiring any visa. Free movement of labour is a fundamental principles of the EU. EU citizens are entitled to look for a job in another EU country.

The free movement of labour is good for society:
- Can help deal with labour shortage
- Can prevent wage inflation
- More flexible labour markets
- Labour migration creates additional demands
- Opportunity for workers to work elsewhere
- Helps to reduce regional inequalities

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Discuss some advantages and disadvantages to outsourcing:

Outsourcing is when a company decides to allocate multiple parts of the business process to another part of the world. One major example of outsourcing would be manufacturing products in China or India. There are numerous advantages and disadvantages of outsourcing.

Advantages:

o   Reduced operational costs because the price of labour would be cheaper in a foreign country like Bangladesh or India opposed to manufacturing a product in Canada or in the United States

o   In addition to lower a company’s operating costs, if a company was looking to expand into the international market, setting up a factory or a location in a foreign country would also increase the demand for a specific product(s)

o   Outsourcing also allows companies to be more productive and efficient by concentrating on core business needs, while giving other parts of the business like manufacturing and administrative duties to others
Disadvantages:

o   By outsourcing parts of the business, it increases the chance of exposing sensitive company data and information to other parties

o   When a company outsources parts of their business like the process of manufacturing, it creates the possibility of losing control of this function of the company business

o   By conducting business across international borders, can increase the risks of signing contracts which contain hidden costs

o   Another major disadvantage of outsourcing business functions would be the reliability of the party the company chose to partner with. This could cause problems when it comes to delivery timings and the quality of the product

Explain why the free movement of labour is good for society?

Free movement of labour is the privilege for workers to seek employment in other countries without the requirement of possessing a visa. An example of would be European Union citizens; they are allowed to travel and work in any of the EU countries without requiring a visa. By having a free movement of labour environment, it reduces the chances of having a labour shortage, because this would eliminate the restriction on potential job applicants who require citizenship or a work visa when moving to another country to work., allowing the global rate of unemployment to reduce. In addition, it benefits corporations because the free movement of labour would result in these companies being able to have a larger variety of potential candidates to hire from.

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Answer 1
Definition of Outsourcing-
Outsourcing is the process of assigning a company's business processes to an external agency in lieu of enhancing service quality, driving innovation or deriving benefits of labor costs.

Advantages of outsourcing:
-Better revenue realization and enhanced returns on investments
-Lower labor cost
-Tapping in to knowledge base for better innovation
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Question 1
What is Outsourcing?
Outsourcing by definition is , "A practise used by different companies to reduce costs by transferring portions of work to outside suppliers rather than completing it internally."

"Outsourcing is a good cost-saving strategy when used properly. Sometimes its more affordable to purchase a good from companies than it is to produce the good internally."

Advantages
-Focus on Core Activities
-Cost and Efficiency Savings
-Reduced Overhead
-Operational Control
-Staffing Flexibility
-Continuity & Risk Management
-Develop Internal Staff

Disadvantages
-Loss of a Managerial Control
-Hidden Costs
-Threat to Security and Confidentiality
-Quality Problems
Tied to the fFnancial Well-Being of Another Company
-Bad Publicity and Ill-Will

Question 2

Free Movement of Labour- "It means that workers are entitled to look for work in another country, without requiring a visa."

Free Movement of Labour is good for society because it can help with labour shortages. Jobs such as skilled or undesired jobs in one country may be filled by immigrants. The UK, is an example that relied on immigrants to work in the NHS; jobs such as nurses and doctors. It can also decrease unemployment rates. For example, workers from overseas can temporarily fill these positions when an economy booms then go home. Wage inflation can also be prevented. An economy experiencing labour  shortages, puts higher pressure on wages, thus leading to inflation.But, if free movement of labour is used, this will attract more labour into a country and prevent wage inflation. Another benefit is creating additional demand for labour migration. The UK has seen an increase in population because of this. Lastly, it can help deal with demographic challenges.Many countries in Europe are experiencing a rapidly aging population. Thus, some of the public finances will be spent on pensions and healthcare meaning less income tax contribution, These positions will be filled by young immigrants looking for work.
http://www.investopedia.com/terms/o/outsourcing.asp
https://www.thebalance.com/top-outsourcing-advantages-2533765
https://www.thebalance.com/top-6-outsourcing-disadvantages-
2533780
http://www.economicshelp.org/blog/1386/economics/free-movement-of-labour/

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There are many advantages and disadvantages to business when they consider outsourcing. One advantage of outsourcing includes lower labor costs. The cost of labor is much cheaper in some countries than in others which allows business to save money when outsourcing their labor. Another advantage is the insight they could gain from having operations overseas. The country the business is operating in can provide valuable knowledge and expertise that the business may not already have. Although these advantages benefit the business, there are circumstances where outsourcing creates disadvantages. Business can experience a loss of control at the managerial level when outsourcing which can highly effect business operations when not managed well enough. When a business solely focuses on gaining profit, they’ll tend to regard the conditions of workers in their overseas operations and simply use them because they save money. Thus, outsourcing sometimes has links to labor exploitation, as seen in many factories within Asia, that usually has bad intentions.

Free movement of labour is good for society because it helps refugees seeking a better life and helps countries deal with labour shortages. Economic and political instability in several African and middle eastern countries over the last decade has caused a mass number of people to migrant towards countries with better stability. One reason why many young migrants take the risky journey of fleeing their countries is because they hope to build enough income to support their families. Free movement of labour provides them an opportunity of hope that they may not have had in their home countries.

Developed nations sometimes face problems of labour shortages, especially with jobs that are undesirable to domestic workers or jobs that require more skill level. A free movement of labour allows workers from other countries to come in a fill those positions that the domestic workers either do not want to do or do not have the skills to do.

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Outsourcing:

Outsourcing is a practice in which an individual or company performs tasks, provides services or manufactures products for another company functions that could have been or is usually done in-house. Outsourcing is typically used by companies to save costs.

Advantages:

·         Outsourcing frees an organization from investments in technology, infrastructure and people that make up the bulk of a back-end process' capital expenditure.

·         Outsourcing gives businesses flexibility in staffing, manpower management, helps you save costs and can also pick the best people to run your core functions.

·         Outsourcing gives businesses the ability to develop new competencies and skill-sets that can be used as a competitive advantage.

·         Outsourcing the supporting processes gives the organization more time to strengthen their core business process.

Disadvantages:

·         One of the biggest disadvantages of outsourcing is the risk of losing sensitive data and the loss of confidentiality.

·         Losing management control of business functions mean that you may no longer be able to control operations and deliverables of activities that you outsource.

·         Problems with quality can arise if the outsourcing provider doesn't have proper processes.

·         Hidden costs and legal problems may arise if the outsourcing terms and conditions are not clearly defined.

Free Movement of Labor:

·         Free-movement deals allow workers to migrate from countries where jobs are scarce to others where jobs are many, and where labor is in short supply. The free movement of labor can diminish the rate of unemployment, the workers from overseas can take temporary job when the economy is increasing and then return home. The free movement of labor can help country deal with labor shortage.

Reference: https://www.outsource2india.com/why_outsource/articles/advantages-disadvantages-outsourcing.asp

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Outsourcing

By definition Outsourcing is a practice used in all types of industry’s whereby a company sends certain work portions to an outside company rather than completing it in-house.   This may be due to not being able to fill large purchase orders, the need to meeting short deadlines or lack of expertise in a certain area.

Advantages

·      Cost Saving- purchasing some manufactured components to reduce production costs or outsourcing a sales consultant or accountant rather than pay full salary’s of internal sales team or accountant.

·      Lack of Expertise- A company who specializes in building homes, may have the tools and ability to install an additional pool into the yard of a home.  However they are not experts in building pools and would most likely outsource to pool construction to a company who specializes in building pools for efficiency and quality work.

·      Faster Turnaround- A computer manufacturer may have a deadline for their model to be retail ready at the end of the year however they have no developed a proper monitor LED screen for the model.  Rather than spend money and 10-14 months developing their own screen; potentially missing their deadline. It is much more efficient to outsource a company who specializes in LED screens who will finish development in 6 months and meet your scheduled deadline.

Disadvantages

·      Legal Costs- Drafting contracts with outsourced consultants or companies will cost time and money in order to have seamless, airtight contracts that benefit both parties.

·      Security Threat- Outsourcing may give an outside company access to classified information with products or projects that could be compromised.

·      Communication Problems Causing Delays- Communication between companies and outsourced consultants can be misunderstood creating issues between the two parties as well as potential project delays.

Free Movement of Labour

The free movement of labour creates opportunity to those who may not have it in their domestic countries.   It is good for society because it brings in diversity to the market where different people of different backgrounds and experiences will put forth new ideas and fresh ways of doing things.  Diversity creates competition and the competitive nature instigates innovation.  The innovative competition that is created increases quality of products and services, which only benefit consumers.   It also benefits other businesses trying to compete and forces them to be the best they can in order to gain market share.

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Run Yu Cui - 023840150

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Outsourcing:
Outsourcing is a practice in which an individual or company performs tasks, provides services or manufactures products for another company functions that could have been or is usually done in-house. Outsourcing is typically used by companies to save costs.
It is a productive cost-saving strategy if it can be use in proper way. It is more affordable because you can purchase a good from companies with than it produce within the company.

Advantages:

Ø  Better income acknowledgment and improved returns around    investment.

Ø  Increase economics of scale and decrease the lower cost.

Ø  Tapping in to learning base for exceptional advancement.

Ø  Frees oversaw economy time, empowering organizations to concentrate on center competencies same time not continuously worried over outsourced schedule exercises.

Ø  Increments velocity and the caliber about conveyance for outsourced exercises.

Ø  Diminishes money outpouring and optimizes asset use.

Disadvantages:

Ø  Time permits loss of control through an organization's business techniques.

Ø  Issues identified with personal satisfaction also turnaround time.

Ø  Lazy reaction times coupled with moderate issue resolutions.

Ø  Shortcomings in execution v/s desires.

Ø  Lower the benefits and outcomes.

Ø  Issues pertaining on lingual accent variety.

Reference:

https://www.flatworldsolutions.com/articles/pros-cons-outsourcing.php

Free Labor Movement:

In Free labor movement, Workers can move from one country to another country for work without requiring any visa. It is a fundamental principle of EU. In EU citizens, free movement of labor can help workers to move without visa within another EU member countries.

Free Labor of Movement is beneficial because

Ø  It helps in labor shortages,

Ø  It can prevent the unemployment,

Ø  It can diminish wage inflation,

Ø  Labor movement can create more demands,

Ø  It helps to decrease regional Inequalities.

Reference:

http://www.economicshelp.org/blog/1386/economics/free-movement-of-labour/

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1. Outsourcing: the practice in which an individual or company perform tasks, provides services or manufactures products for another company.

Advantages:
- Tasks can be completed faster and with better quality by people who specializes in that field.
- Instead of taking all the responsibilities, the company shifts certain responsibilities towards the vendor.
- Reduce operational costs: hiring and training costs are minimized by hiring specialists.

Disadvantages:
- A company may risk exposing it's confidential information to third parties.
- At times the vendor can be multitasking and attending to other organizations at the same time; therefore, they may lose partial focus on performing your organization's task.
- Tasks may be delayed or not completed to your satisfaction.

2. Free movement of labor - gives all citizens of EU countries the right to travel, live and work wherever they wish within the EU.
Free movement of labor is good for the society because it promotes a better standard of living for the people,
increases the opportunity of finding jobs, diversity within the  country, prevent war by getting people to mix more by crossing the borders ,and increases the economic growth in the country.

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>> OUTSOURCING:-
Outsourcing acquires goods or services from an outside foreign remote supplier, particularly to set up the internal source. Moreover, it is an act to which an organization or agency performs tasks, gives benefits or produces items for another company and it is normally utilized by organizations or companies to save costs.

- Advantages:--
1) Your organization can experience increased efficiency and productivity in non-core business processes.
2) Cost advantage: Offshore outsourcing can help you save on time, effort, manpower, operating costs and training costs.
3) Save on investing in the latest technology, software and infrastructure and let your outsourcing partner handle the entire infrastructure.

-Disadvantages:--
1) When you begin to outsource your business processes, you might find it difficult to manage the foreign provider when compared to managing processes within your organization.
2) Outsourcing provider will be able to see your company’s confidential information during payroll processing services and tax preparation services, which may lead to your threat to security and confidentiality in outsourcing.
3) There can be several disadvantages: renewing contracts, misunderstanding of the contract, lack of communication, poor quality, delayed services, loosing of control and many other.

Reference:

>> FREE LABOR MOVEMENT:-
Free movement of labor is the process in which workers are entitled to look for work in another country, without requiring any visa. Particularly, Free movement of labor is a fundamental principle of the EU. It means EU citizens are entitled to look for a job in another EU country.

- The free movement of labor is good for society :--
1) Help's in dealing with labor shortages.
2) Can prevent wage inflation.
3) Additional demand, as rise in labor migration.
4) Flexible labor market.
5) Opportunities for workers to work elsewhere.
6) Help's to reduce regional inequalities.

Reference:
http://www.economicshelp.org/blog/1386/economics/free-movement-of-labour/

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1. Discuss some advantages and disadvantages to outsourcing.

Outsourcing is a possible solution for companies, we should study the pro and con before embarking on a partnership.
Here some possible advantages and disadvantages of outsourcing:

Reducing costs
Outsourcing avoid the need to hire individuals in the company; hence recruitment and operational costs can be minimized. These costs are usually referring to employee fees, office space expenses as well as some other costs such as outsourced workforce as it is proved to be way cheaper than workforce coming from developed countries.

Customers Satisfaction
It has significant use when a company has a contract with a seller and so it is bound to offer a high service level as well as quality. That is why, when a company has an outsourced IT function and one of the employees calls in sick, they are obligated to find a surrogate that can accomplish the job and satisfy the customer.

Time Utilization
A known benefit that outsourcing has to offer, is the high speeding time that outsourced work is done. A great example of time utilization in a company would be the employee hiring procedure for the creation of a new team.

Disadvantage

Security
It important for a customer to know that is respected and those they can trust the company by giving them personal information. That is why the management of the customer's confidential information should be always processed by company's employees and not the outsourced one.

Quality Risk
Using outsourcing has drawbacks sometimes which can compromise the name and the reputation of a company. For example, if a customer has a purchase and later on discovers that part of the product he paid for is damaged, then the company has the obligation to substitute that part by contacting their outsource supplier but the company will always carry the burden of a damaged product.

Layoffs Fears
Outsourcing often fears the employees because their job may be in risk due other outsourced employees. This condition reflects negatively on the employees' psychology, as well as their own job.

The most commonly outsourced streams of business include:
• Legal Outsourcing
• Web Design
• Content Development
• Logistic
• Customer Support
• Recruitment

2. Explain why the free movement of labor is good for society?

First at all, free movement of labour – “It means that workers are entitled to look for work in another country, without requiring any visa. Free movement of labour is a fundamental principle of the EU. It means EU citizens are entitled to look for a job in another EU country.” Pettinger, 2013.

Advantage:
• Free movement of labor can reduce the percentage of unemployment.
• Allow people work in different countries without visa.
• Opportunity to develop new skills. (languages).

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QN 1 - The decision to outsource usually stems from a focus on lowering costs and improving the efficient allocation of resources within a company.

Advantages of Outsourcing:
1. Reduced Operational costs: Outsourcing eludes the need to hire individuals in-house; hence recruitment and operational costs can be minimized to a great extent. This is one of the prime advantages of offshore outsourcing.
2. Frees management time, enabling companies to focus on core competencies while not being concerned about outsourced routine activities.
3. Increases speed and the quality of delivery of outsourced activities and reduces cash outflow and optimizes resource utilization.

Disadvantages of Outsourcing:
1. Lack of customer focus: An outsourced vendor may be catering to the expertise-needs of multiple organizations at a time. In such situations vendors may lack complete focus on your organization’s tasks.
2. Risk of exposing confidential data: When an organization outsources HR, Payroll and Recruitment services, it involves a risk if exposing confidential company information to a third-party.
3. Possible loss of control over a company's business processes and problems related to quality and turnaround time.

QN 2 - Why the free movement of labor is good for society:
1. Can prevent wage inflation: If an economy experiences labour shortages, it will put strong upward pressure on wages. Free movement of labour means rising wages will attract more labour into a country and this will prevent excess wage inflation.
2. Labour migration creates additional demand: Many focus on the increase in labour supply, pushing down wages, but migration also leads to additional demand.
3. More flexible labour markets: If there is free movement of labour, qualified workers will be attracted to fill these vacancies making the economy more flexible and overcome shortages quicker.

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Outsourcing is a way to expand the size of the company, to help the company get in global and international market. But on the other hand, outsourcing might cause the company lose control on the quality of its prodcuts and services.

Advantage:
-Expand the size of company with less time and money: if the company outsource some tasks to specialist external service providers, they don't need to hire too many employee in the company. Hiring too many  employee means the company need to rent a bigger place with more money. And train these employees also need time. Therefore, outsourcing could help the company develop with less money and time.

- Rish-Sharing : one of the most crucial factors determining the outcome of a campaign is risk-analysis. Outsourcing certain components of your business process helps the organization to shift certain responsibilities to the outsourced vendor. Since the outsourced vendor is a specialist, they plan your risk-mitigating factors better.

Disadvantage:
- Hiden cost: Although outsourcing most of the times is cost-effective at times, the unclear and ambiguous contract could be a risk in outsourcing.
- Lose control on the quality of goods and services: It's easy to control the quality, if the goods or services  are produced by the company. What if they outsource the tasks to  providers. It's hard to require these providers to acheive the stardand as the company.

Free movement of labor
- lower the cost on labour: free movement of labour cause the competive power in job market.
- diminish the rise in unemployment: free movement of labours not just helps labour, but also helps manufactories. If manufactories develop well, they will creative more jobs for society.
- improve people's life: some skilled labours could earn more, if they move to other cities or contries. The higher wage can help them improve their life stardands, and these labour might have more monry for their children's education.
- fix labour shortages: skilled labours who come from other contries can fix the problem in the contry which have labour shortages.

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Outsourcing can be both advantages and disadvantages to a company. The decision of whether or not the use of outsourcing will be profitable for a company, resides with that company alone.

Advantages include:

Serving an international market: If there is demand in a market that you haven't expanded to yet, outsourcing may be the quickest and most cost-effective way to serve that international market.

Saving on cost: As just mentioned, but isn't exclusive to international expansion, outsourcing may save your firm money. If another company has the equipment and expertise to produce your product, then outsourcing might be your most cost-effective solution.

Disadvantages include:

The products manufactured or produced by another company may not live up to your company's standards. Because it is manufactured outside of your company, you have less control on the products produced.

Having another company manufacture your product may result in you forfeiting confidential information such as, trade secrets or manufacturing techniques.

(I disagree that entirely free movement is good for the world-wide society, but for the sake of this assignment, I will assume you are referring to free movement in a large union, such as the EU.)

The free movement of labor is good for society for a number of reasons:

If people are free to move and work where the please, they are no longer restricted geographically by their place of work. They will have the freedom to work where they want.

This may also help with labor shortages: if a company advertises that they are looking for employees, people are no longer restricted by their citizenship or where they have work visas, they are free to seek work where it is demanded.

Because people will have the freedom and luxury of moving geographically, companies will have a much larger selection of employees to choose from. This will result in better services serviced to the end consumer, which will raise the overall quality of living.

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Outsourcing brings in a lot of flexibility and financial freedom but it also has its pitfalls. Any company looking to outsource must keep in mind the pros and cons of outsourcing before deciding to take the plunge.
Advantages:
1. One of the biggest advantages of outsourcing is cost savings. The lower cost of operation and labor, and reduction in overhead costs makes it attractive to outsource.
2. When certain functions of an organization become operationally uncontrollable, outsourcing helps to overcome such difficulties.
3. Outsourcing gives businesses flexibility in staffing, manpower management, helps you save costs and can also pick the best people to run your core functions.

Disadvantages:
1. One of the biggest disadvantages of outsourcing is the risk of losing sensitive data and the loss of confidentiality. It is important, therefore, to have checks in place to avoid data loss.
2. Hidden costs and legal problems may arise if the outsourcing terms and conditions are not clearly defined.
3. Problems with quality can arise if the outsourcing provider doesn't have proper processes and/ or is inexperienced in working in an outsourcing relationship.
4. Losing management control of business functions mean that you may no longer be able to control operations and deliverables of activities that you outsource.

Definition of free movement of labor – It means that workers are entitled to look for work in another country, without requiring any visa.
The free movement of labor is good for society because it can help deal with labor shortages, more flexible labor markets and has opportunities for workers to work elsewhere, also it help deal with demographic challenges.

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Outsourcing is a practice of having certain job or business done outside a company by a different group of people outside the company, functions or some part can be outsourced to either a company or an individual.

Advantages of Outsourcing

·      Outsourcing helps the non-core activities like administration and other operations helps to put focus.

·      The biggest advantages of outsourcing are cost saving. The lower cost of operation and labor, reduced in overhead costs.

·      Some operation becomes uncontrollable, then outsourcing helps to overcome such difficulties

·      Outsourcing will increase productivity and efficiency; a business can be more successful.

Disadvantages of Outsourcing

·      Outsourcing is the risk of losing sensitive data and the loss of confidentiality.

·      Losing management control of business functions mean that you may no longer be able to control operations.

·      Hidden costs and legal problems may arise if the outsourcing terms and conditions are not clearly defined.

·      Not understanding the culture of the outsourcing provider may lead to lower productivity.

2) Free Movement of labour means labour are free to work anywhere they want, there is no restriction in working in a foreign place.

Free movement of labour helps the industry from shortage of labour, place where some specialized skilled labour are not in big amount and due to market and production process, labour are needed, labour are free to work in their country. It will also create jobs for people, for example a person living in London is unable to find a job but due to free movement he can work in Spain, so this will diminish the rise in unemployment. The other main advantage is that labour movement will create additional demand for some labour. In some countries some jobs are often difficult and to find a worker for that posting is difficult, hence free movement of labour will solve that problems as you can hire workers from another countries.

Reference : https://www.outsource2india.com/why_outsource/articles/advantages-disadvantages-outsourcing.asp

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Outsourcing is usually used when businesses allocate services or manufacturing  tasks to an external provider. Businesses have many reasons to outsource, for example savings on labour costs and overhead. The main reason why companies employ outsourcing is to improve efficiency and to focus on core products of the company. Nowadays many companies turn on outsourcing, especially innovation centers.
Advantages.
The expertise that the external provider has might be better and more efficient than the resources the company has. The outsourced company might have a specific equipment and the task can be completed faster and with a better quality.
Concentrating on the company's core products rather than losing time and resources on supporting ones is another advantage of outsourcing. This helps the organization to strengthen the core business process.
Disadvantages.
When a company outsources there is a risk of sharing important information about the company.
There might be a possibility of the outsourced partner not completing the job or not completing with good quality.
Another disadvantage is the possibility of the outsourced partner loosing focus while catering to multiple companies.
In conclusions, most of the advantages of outsourcing overshadow the disadvantages.
Free movement of labour has worked very well in the EU because it gives more opportunities to workers in another country without needing a visa. It can also reduced the percentage of unemployment. Free movement of labour has many advantages that the EU has proved so far.

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Nadine mustapha

Pros to outsourcing include; for every $1 of jobs off shored, $1.14 is returned to the economy through cost savings. Outsourcing raises salaries and employment rate in developing countries, allowing those people to purchase more from developed countries. Outsourcing enhances service quality, innovation, and economies of scale while benefiting from lower labor costs all to generate better revenue. Outsourcing also has its cons; as skill increases in developing countries so do their wages. While outsourcing you might find difficulty finding highly skilled labor that speak English and encounter lingual accent communication barriers. You will also experience a possible loss of control over company business processes, quality/safety issues in product production and sluggish response/problem solving time. The Free movement of labor is good for society because is promotes productivity and boosts economic growth. Free movement of labor can attract a large sum of the best skilled labor in the region – an overall competitive advantage. Migrant workers contribute more to the host welfare system than they take from it. Free movement of labor makes it easier to find a job or retire.

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Outsourcing is an allocation of specific business processes to a specialist external service provider. It is essential to understand the advantages and disadvantages of outsourcing. Although outsourcing presents a variety of benefits to organization, it could also pose difficulties if not outsourced to the right service provider.

Advantages:
Swiftness and Expertise: Most of the times tasks are outsourced to vendors who specialize in their field. The outsourced vendors also have specific equipment and technical expertise, most of the times better than the ones at the outsourcing organization. Effectively the tasks can be completed faster and with better quality output

Concentrating on core process rather than the supporting ones: Outsourcing the supporting processes gives the organization more time to strengthen their core business process

Risk-sharing:  Outsourcing certain components of your business process helps the organization to shift certain responsibilities to the outsourced vendor. Since the outsourced vendor is a specialist, they plan your risk-mitigating factors better

Disadvantages:
Risk of exposing confidential data: When an organization outsources HR, Payroll and Recruitment services, it involves a risk if exposing confidential company information to a third-party
Synchronizing the deliverables: In case you do not choose a right partner for outsourcing, some of the common problem areas include stretched delivery time frames, sub-standard quality output and inappropriate categorization of responsibilities.
Hidden costs: Although outsourcing most of the times is cost-effective at times the hidden costs involved in signing a contract while signing a contract across international boundaries may pose a serious threat

Free movement of labourmeans that workers are entitled to look for work in another country, without requiring any visa. Is good for the society by:

1.    Can help deal with labour shortages.
2.    Can diminish the rise in unemployment.
3.    prevent wage inflation.
4.    Opportunities for workers to work elsewhere.