• Title/Summary/Keyword: total outsourcing

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Minimizing Total Completion Times in a Two-machine Flowshop Scheduling with Outsourcing Strategy allowed (아웃소싱 전략을 활용하는 두 단계 흐름생산라인에서 완료시간의 총합을 최소화하는 일정계획문제)

  • Yoo, Jaewook;Lee, Ik Sun
    • Korean Management Science Review
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    • v.33 no.2
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    • pp.1-10
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    • 2016
  • We treats a job scheduling in a 2-machine flow-shop problem with outsourcing strategy allowed. Jobs in the first machine are processed in-house or outsourced to the other companies. In this paper, all the considered jobs are determined to be in-house processed or outsourced. When a job is outsourced, then the firm should pay an outsourcing cost additionally. We want to minimize the sum of the outsourcing costs and the total completion times of finished jobs. In this paper, some solution properties are characterized, and then some heuristic algorithms and a branch-and-bound solution algorithm are derived. This paper evaluates finally the performance of the proposed algorithms during the numerical tests.

The Contribution of R&D Outsourcing to Productivity Growth

  • Seo, Hwan Joo;Kim, Han Sung;Lee, Young Soo
    • STI Policy Review
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    • v.3 no.1
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    • pp.80-95
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    • 2012
  • Few studies have focused on the impact of R&D outsourcing on technological innovation and productivity despite the increased importance of R&D outsourcing. This study analyzes the productivity effects of investment in R&D outsourcing with a sample of Korean manufacturing industries from 2001 to 2009. The estimation results show a nonlinear U-shaped relationship between productivity and the share of R&D outsourcing capital for total R&D capital. This implies that the cost of R&D outsourcing outweighs its benefits in the early stages of R&D outsourcing. The U-shaped relationship is particularly pronounced in high-technology industries.

A Framework of Outsourcing Decision-Making for Human Resource Information Systems

  • Lee, Chung-Shing;Lee, C.Christopher;Kwon, He-Boong
    • 한국경영정보학회:학술대회논문집
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    • 2007.06a
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    • pp.551-556
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    • 2007
  • This paper attempts to develop a framework for interrelationships among human resources information systems (HRIS), outsourcing, and corporate culture. This research investigates impacts of outsourcing HRIS on corporate culture. In this paper, we hypothesize that outsourcing corporate HRIS is less appealing (1) if the quality of product and customer service matters for a firm, (2) if a firm is concerned with a loss of intellectual property, and (3) if a firm requires maintenance of a distinctive human resource service function that is capable of meeting the challenges of fast changing customer demands in a dynamic business environment. In addition, this study argues companies must be aware of the total costs associated with HRIS before outsourcing its human resource functions. Finally, the impact on employee morale and performance must also be considered By outsourcing HRIS, managers will be able to spend more time and resources dedicated to an employee's professional career development.

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A Case Study - IT Outsourcing of the Korea Development Bank (산업은행: 금융 IT 아웃소싱 - 공동협력으로 안전한 문을 연다)

  • Kang, Ju-Young;Lee, Jae-Kyu
    • Information Systems Review
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    • v.7 no.2
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    • pp.229-255
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    • 2005
  • The Korea Development Bank promoted a total outsourcing for IT operation in 1999 for the first time in the banking industry. The Korea Development Bank became the center of public attention because the most banks were unwilling to take an outsourcing with external sources for the reason of financial operation accidents, securities, and threats of strikes. After the introduction of the total IT outsourcing, the Korea Development Bank has continuously diagnosed the problems of the IT outsourcing and adopted various proper complements for the enhancement of the IT outsourcing. As the result of the enhancement, the IT outsourcing of the Korea Development Bank marched into the joint liability operation period after going through the outsourcing operation period and the co-operation period. The joint liability operation which is the most leading outsourcing system which is adopted by the Korea Development Bank for the first time in the banking industry. Through the joint liability operation, the Korea Development Bank could accept the most up-to-date IT, concentrate internal manpower on the core capability, and secure flexibility of manpower. Also, the bank changed the relationship between the bank and the external sources from the one-sided relationship between a producers and a consumer to the joint liability relationship on which both sides are responsible for the operation, and could integrate the internal capacity with the professional know-how of the external IT outsourcing company. In this paper, we testified the soundness and validity for the worries of banks about the total IT outsourcing with external sources. And, we arranged the advantages and outcomes of the total IT outsourcing with external sources compared to the IT outsourcing with internal sources. Moreover, we expect that we can improve the closed financial IT outsourcing industry structure and raise the world competitive power of domestic IT outsourcing companies by correcting wrong ideas on the IT outsourcing with external sources.

A study on the effect on IT adoption results by adoption factors of IT Outsourcing in the services industries (서비스 분야의 IT 아웃소싱의 도입요인이 도입성과에 미치는 영향)

  • Jeong, Jin-Back;Yang, Hae-Sool
    • Journal of Digital Convergence
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    • v.10 no.11
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    • pp.115-125
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    • 2012
  • In this study, The adoption factors of IT Outsourcing as a independent variables (business Factors, Outsourcing scope factors and risks factors), which were centered on services industries, were analyzed in order to identify the impacts of the results factors of IT outsourcing as a dependent variables. The main results of study have been summarized as follows. Firstly, among the business factors in the adoption of IT outsourcing, the industrial competitiveness and supports of CEO appeared to have positive impacts on the results of outsourcing adoption. However the environmental changes in technologics for services appeared not to have significant impacts. Secondly, the outsourcing scope factors such as the infra outsourcing, application outsourcing and total outsourcing appeared to have positive impacts on the results of IT outsourcing adoption. Thirdly, the control of risk factors such as risk in safety management, risk of increase, and risk of loss of autonomy appeared to have positive impacts on the results of IT outsourcing adoption.

Gender Differences in Contribution to Domestic Work and Childcare Associated with Outsourcing in Korea (가사 및 자녀돌봄 서비스 이용과 부부 간 노동 분담의 관계)

  • Ryu, Soomin;Kim, Jinhee
    • Human Ecology Research
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    • v.58 no.3
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    • pp.343-356
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    • 2020
  • This paper examines the associations of having a helper for domestic work or childcare and time spent on it by couples in South Korea. We use five waves of panel survey data from the Korean Longitudinal Survey of Women and Families (KLoWF), which allows longitudinal changes within couples over time that account for potential selection effects and unobserved heterogeneity among individuals. With fixed effects, we find outsourcing is associated with a decrease in wife's time spent on domestic work or childcare by 1 hour per week. However, the decrease is concentrated on the unemployed wife's time, but not employed wife's time. In addition, outsourcing is not a significant factor for husband's time and the husband's share of total contribution. This may be because wives are the main provider of domestic work and childcare in Korea regardless of employment status or having any helper. Due to unequal contributions between husband and wife, using outsourcing also neither alleviates the employed wife's contribution nor changes the husband's contribution. However, the results may be underestimated because there are more common and diverse types of outsourcing in a broad sense, such as going out for dinner, buying prepared food, and using dry cleaning services. We expect future studies to consider more broad types of outsourcing and examine how relations with the couple's time use at home are different by type.

Measuring Foreign Outsourcing and Labor Market Responses in US Manufacturing (해외 아웃소싱과 노동시장의 반응: 미국 제조업을 중심으로)

  • Choi, Minsik
    • Journal of Labour Economics
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    • v.30 no.2
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    • pp.119-148
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    • 2007
  • Foreign outsourcing, otherwise known as off-shoring, has become a matter of intense public debate and great concern in both developed countries and developing countries. Yet, there is a lack of good data on foreign outsourcing since the early 1990's. This paper presents updated measures of foreign outsourcing for the recent period. Its main findings are that the share of foreign-sourced goods in total manufactured inputs almost doubled-from 12.4 percent to 22.7 percent between 1987 and 2003. I then look at the relationship between the measure of foreign outsourcing activity and wages in US manufacturing industries in recent years from 1998 to 2003. The results show that for all workers, the outsourcing level is statistically significantly and negatively associated with industry wage premiums. The estimate suggests that a magnitude of 0.9 - a 9% decrease in industry wage premiums tends to accompany a 10% increase in industry outsourcing level. Outsourcing has a bigger effect on the less-skilled workers-industry outsourcing level increases by 10% and industry wage premiums decrease by about 11% in the case of less-skilled workers.

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Comparative Study on Factors that Affect Outsourcing Performances in Medical Institutions and Hotel Industries (아웃소싱 성과에 영향을 미치는 선행요인에 대한 의료기관과 호텔산업 간의 비교연구)

  • Ryou, Se-Seon;Lee, Jun-Bom;Jung, Mun-Suk
    • CRM연구
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    • v.3 no.2
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    • pp.21-41
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    • 2010
  • The current research was conducted to examine the factors that affect outsourcing performances, and further investigate whether a discrepancy in performance exists between the medical institutions and hotel service institutions. The study surveyed both medical and hotel administrators for approximately two months, who managed outsourcing tasks. Total of 325 responses out of 350 distributed were collected. However, due to inadequate responses, six responses were excluded, amounting to total of 319 (155 medical institutions, 164 hotels) valid responses included in the final analysis. First, the informal outsourcing relationships between representatives of outsourcing service seekers and providers did not appear to have significant effects in terms of the levels of trust in neither medical institutions nor hotel industries. However, the relationships affected outsourcing degrees exclusively in medical institutions, showing the disparity between the two service institutions. This was explained due to the continuing long term efforts required to establish an informal relationship in medical institutions. Second, communication was shown to have positive effects on levels of trust in both medical institutions and hotel industries. This indicates a prominent outsourcing trait that emphasizes the significance of mutual cordial communication that contributes to establishing positive relationships. Third, opportunistic behavior of the outsourcing service providers appeared to negatively affect the levels of trust as well as outsourcing degrees for both medical and hotel industries. Therefore, opportunistic behaviors were found to have more tendencies to causing tension and discomfort rather than creating a relationship based on mutual credibility or conviviality. Fourth, the effect of service infrastructures on the level of trust did not appear to be significant on medical institutions, while showing positive influence on hotel industries. Additionally, service infrastructures were found to positively influence the outsourcing performance levels for both sectors. Fifth, trust between outsourcing service seekers and providers did not appear to have noticeable impact on the outsourcing degrees for either institution. On the contrary, trust appeared to have positive impacts on performance for both institutions. This further indicates that, when engaging in outsourcing, strengthening relationships through mutual partnership with outsourcing entities rather than establishing contractual relationships leads to improving the reciprocal trust, which in turn improves work results. Lastly the outsourcing degree of service seekers appeared to have positive impact on the outsourcing performance for both medical institutions and hotel industries, indicating the causal relationship between the affectability of outsourcing degrees and the following performance results.

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Outsourcing in Hospital Services: Experience of Korean Hospitals (우리나라 대형 종합병원의 아웃소싱 실태)

  • Noh, Tae-Hoon;Lee, Hae-Jong;Park, Eun-Cheol;Kang, Hye-Young
    • Korea Journal of Hospital Management
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    • v.8 no.4
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    • pp.59-75
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    • 2003
  • This study was conducted to investigate the degree of utilization of outsourcing in large hospitals in Korea. We also investigated the outcome and the level of satisfaction for adopting outsourcing in these hospitals. Types of work areas that were currently operated by outsourcing and were planned to adopt outsourcing in the future were identified. A total of 83 hospitals were eligible for this study, which had more than 500 beds, and were identified from the 2003 National Hospital List published by the Korean Hospital Association. A self-administered Questionnaire survey was conducted between April 25th and May 20th in 2003 with a personnel being charged of arrangement of outsourcing in each hospital. Among the 58 hospitals responding the survey(response rate=69.9%), 49 hospitals(84.5%) utilized outsourcing in at least one work field in their organizations. The largest proportion of the hospitals(85.7%) using outsourcing responded that the biggest outcome after introducing outsourcing were cost reduction(49.0%), followed by improved efficiency in operating the organization or human resources(34.7%) and the improved quality of the work(6.1%). The degree of satisfaction for outsourcing among the hospital managers(3.43) was significantly higher than that among the employees(3.l4) on a S-point Likert-type scale(p<0.05). Among the 7 work areas, the hospitals used outsourcing most frequently in facility management(housekeeping, building maintenance, hospital security and parking management), followed by non-medical profit business(funeral, convenient store, and cafeteria), logistics(provision of patient meal, in-house delivery, and purchasing), and information and computing system(hospital information system, maintenance of personal computers and printers). The work areas that the hospitals planned to adopt or expand the outsourcing in the future most frequently were facility management, non-medical profit business, logistics, and information and computing systems. In conclusion, outsourcing was highly diffused in large Korean hospitals, particularly in the work field of facility management and non-medical profit business. The satisfaction for outsourcing was not high yet in Korean hospitals.

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An Empirical Study on the Obligations of Contractual Parties for Successful IT Outsourcing (성공적인 IT 아웃소싱을 위한 계약당사자간 책임 요소에 대한 실증 연구)

  • Kim, Young-Gon
    • Journal of the Korean Society for information Management
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    • v.24 no.3
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    • pp.21-41
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    • 2007
  • IT outsourcing has become a critical component of organizations, but improper expectations, ambiguous contracts and unclear goals frequently cause the failure of IT outsourcing. Especially we have to be concerned about the uncareful management of customer-supplier relationships based on a psychological contract perspective. This study focuses on the obligations of contractual parties for IT outsourcing which influence the outsourcing relationship(OR) and the successful performance of IT outsourcing(OP). The supplier obligations consist of the achievable infrastructure(S1) and capability(S2), and the customer obligations is composed of the acceptable environment(C1) and acceptability(C2) for IT outsourcing. This paper shows that the S1, S2, and C2 have an effect on the OR, the OR on the OP, and the S2 also on the OP directly. The four components of customer-supplier obligations are mutually related to each other. What is more, we must notice that the S2 has strong connections with the C2.