Outsourcing

Overview: The topic is outsourcing.  This has been an important issue across all segments of American life.  We have all experienced product support call centers experiences talking to people as far away as India or the Philippines. Health care has not been immune to this as radiologists and diagnostic functions have been outsourced.  Some doctor offices and even some hospitals have outsourced blood analysis and the pharmacy.  Many universities have outsourced other functions such as the bookstore, parking (MSU has), and even housekeeping services.  In some cases companies have even reversed an outsourcing decision and have brought some functions back…As you can see this is a complicated issue.  The essay: We briefly discussed some of the advantages and disadvantages of making the choice to either self-operate a foodservice or outsource to a management company.  You need to be able to effectively argue either side of the issue, thus be in a position to make the best possible decision, based on the specific operation you’re deciding for, should you face this one day in your professional life. To complete the assignment you must answer the following three questions (200 or so words per question). 1.) If you were to choose a management company how would you address: Foodservice employee loyalty/disloyalty Sensitivity to local markets, products, producers Customer (patient, resident, or traditional customer) preference/demand 2.) If you were to choose to self-operate how would you address (keep in mind I am assuming you would hire a foodservice director and other necessary staff and supervisors and not take this on directly but that the foodservice management personnel would report to you) Loss of economies of scale (purchasing power advantage) How will you stay on top of trends, new products, etc. How will you measure your success 3.) Lastly, do you think that different operations or industry segments might be better suited to one or the other (e.g. university foodservice, company cafeterias, hospitals, prisons, camps, executive dining rooms, etc.)  Assignment details: The requirement is to answer each of the questions and then submit

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