Outsourcing

Outsourcing

Abstract Outsourcing is a stands for a larger company that employs a smaller company in general abroad to complete a specific activity that was traditionally performed internally by staff in the Danish company. The article focuses on outsourcing within the construction industry, where the advisers in the Danish companies share work with a foreign company. Today, outsourcing has become very common in several work areas. In Danish engineering companies, outsourcing agreements are used primarily due to financial pressure from competitors in the market in order to save costs, where collaboration and communication are largely digital. Here we will examine the advantages and disadvantages of outsourcing abroad. The advantages are generally cheaper labor, where the disadvantages may be in the quality of material. Many of the Danish engineering companies outsource to countries such as Bangladesh, the Philippines and India where the time difference between countries can be one of the size challenges as working hours are different.