Management and Better Outsourcing Strategy

Assignment Questions

•What are you (in the role of Kathy Dalton) going to present at the outsourcing strategy meeting in two weeks and why? Persuading company’s board of directors to keep outsourcing strategy in eBay, and explain how make better outsourcing strategy.

•When companies like Dell are reducing outsourcing in some areas, should eBay be considering expanding outsourcing?

According to this case study, eBay should expand outsourcing in several ways by proper strategy like BOT.

•What are the limits to outsourcing Trust and Safety?

This work has to be handled very carefully because it is very sensitive in terms of customers’ personal information or that necessitated detailed investigative work. For that reason, workers who work in Trust & Safety department have to have very good English language skill and knowledge.

•What are the advantages/disadvantages of the BOT strategy and how does it stack up against the other two options Dalton outlines in her Excel spreadsheet? What are opportunism, capability, and flexibility implications of the strategy?

advantage : Don’t have to bear initial risk for the start up disadvantage : have to wait for two or three years getting full ownerships can cover up Trust & Safety and reduce e-mail cost. opportunism : reducing e – mail cost, managing third vendor capability : continuing worker’s train flexibility : reduce initial risk for start up

•What will eBay’s senior management do with Kathy Dalton’s new three-tiered outsourcing strategy?

They will consider her options for choosing main outsourcing strategy. I think they probably expand outsource in Trust & Safety part.