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Outsourcing

Outsourcing is nothing new to the high-tech industry.  My company is working on the feasibility for the next project and due to the high development cost, the executive wants to explore outsourcing to save some money.  In previous projects, we had good and bad experience with the folks in Indian, mostly bad experience though.  If cost cutting is the only reason for outsourcing, why don’t we outsource the executives instead of the engineers?  They are the biggest expenses and probably the most useless in running the company.  The company does not have any direction for almost a year, we are working on the same old slowly dying product lines, try to milk as much as possible before the reveue disappears.  That’s a no brainer’s job, even a MBA student can do it right.  I am sure the executives in India or China are as component as our executives, probably better.  Just look at the stock price of the Chinese or Indian firms comparing to the stock price of my company, we should know which executives have vision and know how to execute the plan well.  After outsourcing the workers, research and development, the latest trend in outsourcing is the executives.  Actually that make sense if we use Marxist view to analysis how a company runs.  Traditional view is the executives hire workers to work for him, but we can also flip the equation so that the executives are just management professionals hired by the workers collectively to run the company efficient.  Either way, they are the overhead feeding on the productivity of the workers.  If they can’t produce the strategy and vision to direct the company to the right direction, they are just waste the productivity of the workers and they should be replaced.

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