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  • dh239 replied to the topic Design Transfer in the forum Introduction to Design Controls 7 years, 4 months ago

    While I agree that outsourcing can be a cost-effective and overall wise move for a company, there are also a few drawbacks to consider. Primarily, outsourcing adds another step to bringing the product to market. Transfer between the company and the location that the work is being outsourced to will cost additional time and money, which could offset the money saved in production and the convenience of having a smoother cash flow. Furthermore, even with proper communication, there is still difficulty in ensuring that the product is transferred properly and that the same level of quality is produced as it would be in-house. Finally, by outsourcing the product, the company’s involvement in the creation of the product is displaced. In a managerial point of view, it is typically more difficult to motivate workers when their workers cannot identify with the mission of the company. This becomes relevant for the workers in the company that the work is being outsourced to, and to the workers who will receive the product after the previous work has been outsourced.