Micro Level Business Outsourcing

In the age of immense technological advancement, the world has shrunk even further into a small neighborhood. I must say, that it’s smaller than a global village. In fact the history of outsourcing is quite amazing.

While touring India, President Obama had to say on business outsourcing and job creation in the US. However, unless strict changes in the municipal laws are made, the possibility of curbing business outsourcing to cheaper markets is a distant dream.

There are hundreds of freelancing portals where project owners and services providers meet. The price is fixed at a global bidding platform and the job is outsourced. Some of the best deals are made on these platforms.

This is a glaring example of business outsourcing at the microscopic level. I guess, this segment of business outsourcing was not in the mind of President Obama. He meant outsourcing of major businesses to big corporate houses.

However, one of the leading freelance portal claims that more than $67 millions where disbursed among the freelancers through their portal since 2004 when they first began operations. Considering other developed countries contributing to the total jobs created, still according to their CEO, Matt Barrie, “…90% of those jobs come from the U.S. and of the jobs being completed 90% are done by Indians.”

Outsourcing has become the order of the business world and the corporate houses outsourcing their jobs are booking higher profits. However, unless the benefits are passed on to their customers, the real benefits of outsourcing will never reach the ordinary consumers.

Availability of cheaper services also means new opportunity for smaller & medium business firms creating opportunities for themselves. For instance, more and more Internet Marketing firms are coming up in the US. Instead of employing expensive professionals, they find it easier to outsource the jobs to freelancers in India or other Asian countries.

Let’s hope that the equation of outsourcing, economic growth and politics get into an equilibrium with time.

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