Question

Nearly ______________________ outsourcing deals end in failure, with ______ % of the problems due to errors in _____________.

A. 30%, Communication
B. 50%, Project Management
C. 70%, Contract Negotiation
D. 90%, Relationship Management

Answer 1

Approximately 50% of outsourcing deals fail due to project management errors, impacting both blue-collar and white-collar sectors including manufacturing and technical support. The trend affects domestic employment and organizational structures.

Step-by-step explanation:

Nearly 50% of outsourcing deals end in failure, with the majority of the problems due to errors in project management. When corporations outsource jobs, they often face challenges that can include communication breakdowns, contract mishandling, and difficulties in relationship management. However, project management errors are a significant cause of these failures. These issues are not limited to blue-collar manufacturing jobs, as they also affect white-collar sectors. For instance, technical support call centers and computer programming positions are increasingly outsourced to countries with lower labor costs, impacting domestic job markets and the structure of organizations.