Question

How is outsourcing and reshoring related? Which of these two workforce concepts is currently being deployed in the U.S. –provide one Real World example

Answer 1

Outsourcing is described as the process of assigning some of the works of the organization to an outside firm to pursue. It is usually done to cut costs and increase productivity in the long run. Also, it allows the organization to focus on its core business. Reshoring is opposite to the outsourcing process. Reshoring is defined as the process of taking back the work in the organization that was outsourced before to an outside firm. It is usually done when an organization has enough costs and resources to take care of that particular work in-home.

The Reshoring concept is being deployed in the U.S. The organizations have started to pull back the work they have assigned to outside firms especially to foreign firms. It is a move that caught the momentum on President Trump's political and economical preferential agenda.

An example of a firm that has recently followed the reshoring concept is General Electric. Reshoring is majorly seen in the manufacturing industry.