RO: Is Outsourcing Engineering Work a Viable Option?

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In summary, the conversation discusses the trend of outsourcing in the engineering industry, with many companies opting to outsource work overseas to remain competitive and save costs. The speaker also suggests outsourcing CEOs and middle managers as a potential cost-saving measure. They also mention outsourcing for specialized tasks that require specific tools or expertise.
  • #1
Frederick3
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I've been researching Outsourcing recently, focused towards Engineering specifically, and so I wanted to ask what you guys thought about it! Any ideas, opinions, or knowledge that you have about outsourcing or engineering companies that have outsourced would be most welcome. Thanks!
 
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I've noticed a sharp rise in companies that provide engineering and design services based overseas. They often have a partner in the US, either official or unofficial, that acts as a 'reception desk' for them. The US company takes the order and sends the work out. I suspect the same thing happens in European countries.

I've also noticed a lot of US companies going overseas and outsourcing all sorts of work such as engineering and IT support. If it can be done cheaper over there, the upper management of US companies often feel they have to send work out to remain competitive. There don't seem to be any laws that restrict it.

Personally, I think we should outsource our CEO's. Bet we could get a whole team of folks from India or China for the price of a single CEO in America.
 
  • #3
Q_Goest said:
Personally, I think we should outsource our CEO's. Bet we could get a whole team of folks from India or China for the price of a single CEO in America.

along with about half of the middle managers directly below the CEO

dr
 
  • #4
Frederick3 said:
I've been researching Outsourcing recently, focused towards Engineering specifically, and so I wanted to ask what you guys thought about it! Any ideas, opinions, or knowledge that you have about outsourcing or engineering companies that have outsourced would be most welcome. Thanks!

We typically outsource engineering work that we either don't have the manpower for or we don't have the tools for (i.e. specialized software for unique problems).

CS
 
  • #5


I believe that outsourcing engineering work can be a viable option in certain situations. It can provide companies with access to specialized skills and expertise that may not be available in-house. Additionally, outsourcing can help reduce costs and increase efficiency by allowing companies to focus on their core competencies.

However, it is important to carefully consider the potential risks and challenges associated with outsourcing engineering work. These may include communication barriers, cultural differences, and the potential for loss of control over intellectual property. It is crucial for companies to thoroughly research and evaluate the outsourcing partner to ensure they have the necessary qualifications and experience.

I would also recommend looking into case studies or success stories of engineering companies that have successfully outsourced their work. This can provide valuable insights into the potential benefits and challenges of outsourcing.

In conclusion, outsourcing engineering work can be a viable option, but it should be approached with caution and careful consideration of all factors involved. It is important to weigh the potential benefits against the risks and make an informed decision based on the specific needs and goals of the company.
 

FAQ: RO: Is Outsourcing Engineering Work a Viable Option?

What is engineering outsourcing?

Engineering outsourcing is the practice of hiring external companies or individuals to perform engineering tasks or projects for a company. This can include tasks such as design, analysis, testing, and manufacturing.

Why do companies choose to outsource engineering?

Companies may choose to outsource engineering for various reasons, such as reducing costs, accessing specialized expertise, increasing efficiency, or focusing on their core business activities.

What are some common challenges of engineering outsourcing?

Some common challenges of engineering outsourcing include communication barriers, time zone differences, cultural differences, intellectual property protection, and quality control.

What should companies consider when choosing an engineering outsourcing partner?

When choosing an engineering outsourcing partner, companies should consider factors such as the partner's expertise, experience, reputation, communication abilities, project management capabilities, and cost.

What are the benefits of engineering outsourcing?

The benefits of engineering outsourcing include cost savings, access to specialized expertise, increased efficiency, flexibility, scalability, and the ability to focus on core competencies.

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