Task 1 Summary Case Study In this case study it was stated that there were a problem happen in the outsourcing for the Royal Bank of Scotland. What happen was there were an error that happen during the routine software upgrade that cause million of that bank customer cant access to their account. The error happen when one junior technician in India was accidently wiped all the information during the routine software upgrade. The member of staff that was working under the program for the Royal Bank of Scotland, NatWest and Ulster Bank and it was based in Hyderabad, India. The technology website, the register also said that there were at lease some on of the team that is responsible for the error. But, Stephen Hester that was the Chief Executive of KBS said that there were no evidence that stated the problem is cause by the outsourcing. He also said that the IT center that available in Edinburg was their main Centre. There were no overseas is involved in that problem. The problem is cause by the technology and we must learn form the problem. The unions also blame fiasco because the decision to outsource much of the company IT source. The error that happen also came after the software being updated froze part of the bank computer system lost on that particular day. The day that this problem occur was in the Wednesday. The system is being recovery and the problem is solved on the Monday. During this problem happen, there were 100 million transaction is being effected. The deleted information is reenter back to the bank computer system. This problem is take time to solve it. Because of this problem, the bank is promises to all the customer that being effected by this problem that they will reimburse the fires and the late payment f... ... middle of paper ... ...urcing services, the company operation will be became a mess. This is because one organization can’t run a lot of task or project at one time. Therefore an organization need outsourcing in the way to help their organization run smoothly. References 1. About.com (2013) Top 7 Outsourcing Advantage available from http://operationstech.about.com/od/officestaffingandmanagem/a/OutSrcAdvantg.htm[4 Dec 2013] 2. About.com (2013) Top 6 Outsourcing Disadvantage available from http://operationstech.about.com/od/outsourcing/tp/OutSrcDisadv.htm[ 11 Dec 2013] 3. Outsource2india ( 2002-2013) The Benefits Of Outsourcing available from http://www.outsource2india.com/why_outsource/articles/benefit_outsourcing.asp[ 12 Dec 2013] 4. SDMC (1999-2013) 10 Step to protecting your computer available from http://www.sdms.org/resources/computer.asp [ 1 Dec 2013]
in low service for clients and affected employee morale seriously, and the managers had to
Outsourcing simply means acquiring services from an external organization instead of using internal resources (Butler, 2000). By using outsourced resources, organizations can gain a competitive advantage by utilizing contingent staff to accomplish strategic goals without incurring the fixed overhead. By focusing on the leading edge and highly specialized skill sets, outsourcing providers can often offer higher quality services, or at a lower price than the client organization. Typical reasons for outsourcing go beyond simple contingent staffing. Outsourcing providers are able to maintain economies of scale with regard to specialization (...
The proponents of contracting out assume that outsourcing in the IT sector is useful in strategic, technological, and economic reasons. (Gonzalez, Gasco & Llopis, 2009) They believe that outsourcing enables an organization to get the same or better services with lower cost. First, strategic advantages enable organizations to refocus on strategic and core functions, and provide flexibility for organizations because organizations need not to concern about routine tasks (Gonzalez, Gasco & Llopis, 2009). OPPGA (1998) also support these strategic advantages. It asserts that outsourcing can provide organizations with great flexibility in personnel and facilities in short-term projects. Outsourcing providers can provide better services for clients since they usually use new and developed technologies. Second, proponents think that outsourcing gives organizations opportunities to access to technology and reduce technological obsolescence without large investments (Gonzalez, Gasco & Llopis, 2009). Lastly, Pros assume that contracting out can save s...
Should codes not be correctly billed, a delay in payment or denial of payment for services rendered can result. This puts the organization in a situation wherein they are unable to sustain sufficient revenue to operated. Thus, professional coders hired externally mistake and/or erroneous coding should signal the organization to contract more competent professionals. This occurs in an effort to allocate more of the organization’s expenses towards higher salaries for their staff members, updated facilities, etc. What most facilities eventually take notice is that outsourcing such a paramount task will cost them more in the long run.
Such a fatal mistake led to very high levels of overhead in proportion to the revenues, and contributed to having a weak internal control environment (Ashraf, 2011). As a result, the company was not able to keep up with integration and efficiency, due to how fast it merged with the new companies, as well as management’s neglect. Due to the lack of internal controls, manual adjustments were made in the system without dictating any red flags, which thereby minimized the chance of detection (Ashraf,
Shao, Benjamin B. M., and Julie Smith David. "The Impact of Offshore Outsourcing on IT
In that case, unions have already blamed the fiasco. That is because the fiasco make the decision to outsource much of the company’s IT jobs, as Indian staff are paid little compared with their British counterparts.
Outsourcing has been around for many years. In this paper I will discuss some of the history of outsourcing, the goods things about outsourcing, and the bad things about outsourcing.
Globalization has had a major impact on the way business is conducted. Companies are increasingly turning to offshore software development outlets for design management. Anywhere from one-half to two-thirds of all Fortune 500 companies are already outsourcing to India and the amount of work done there for U.S. companies is expected to more than double this year according to Forrester Research. This paper will take a look at some of the arguments for and against outsourcing IT development to India. Most importantly this paper will take a look at ethical standpoints taken on outsourcing. But first, we'll take a look at the history of outsourcing to India.
The foremost challenge was the seamless promotion of the existing banking system and channels for the installation of new state-of-art IT infrastructure. In this regard, the changes made to the structure and functioning of the financial institution challenged the regulatory structure of the bank.
The assignment research objectives were (a) to gain insight into securing strategic partnerships in the information technology (IT) arena; (b) to understand the choices made to reduce information and security risks by exploring the different outsourcing techniques, and; (c) to understand how business process associated with outsourcing will stimulate awareness on how the process is interlinked with human behaviors. The topics covered include an evaluation of the specifications of information security consultants to become strategic partners assisting in the reduction of information or security risks, an examination of four factors that were omitted in the specifications that add value to the selection process, and an explanation of the value of the four factors.
Another failure of the management is that they failed to deal with the problem. They also become derelict in the process and refused to recognize the need for this change. Still after two years of recession and continuous loss they were stick to their conventional plan.
A disciplined approach to management eying leading employees, improving the management team and building the business strategy. Instead of treating each problem as a one off. They design systems and structures that make it easier to handle in the future. (Techrepublic, 2015) 2.2. 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 Synchronizing the deliverables: 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 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 company at a time. In such situations vendors may lack complete focus on your organization 's tasks. 2.3. 1.Know the
The study is primarily designed to find out the continuous issue of the banking system in
Deposit slip issue, online fund transfer slip issues, statement issue and entering the balancing inquiry of the customers.