OUTSOURCING R & D
by Name
Code + Course Name
Professor’s Name
University Name
City, State
Date
Table of Contents
I. Advantages and Disadvantages of Outsourcing R & D 3
Advantages 3
Disadvantages 3
Case Study of the Boeing 787 4
Eastman Kodak Case Studies 5
II. To What Extent Are There Differences Between SMEs and Large-Scale Enterprise in Terms of These Advantages and Disadvantages? 5
Costs 6
Country’s Policy and Regulations on Research 6
Fostering Research Alliances Strategic to Business Goals 7
Mutual Trust and Confidentiality 7
Complexity and Bureaucracy and R & D Processes 7
Timeliness and Quality of Research 8
III. Conclusion 8
IV. References 9
I. Advantages and Disadvantages of Outsourcing R & D
Advantages
Offshore outsourcing …show more content…
Albeit MNEs might face challenges due to lengthy periods required in internal decision making, their ability to recruit adequate number of talented employees proves helpful. These numerous employees that large-scale companies employ are able to provide full time support necessary in drafting a policy framework that guides the relationship between the outsourcing and the outsourced company (Berndtsson & Kinsey, 2016). This gives MNEs both the immunity and mitigation strategies against intellectual property risks as well as the risk of failing to comply to legal …show more content…
In the study, they sought opinions from employees who worked in large-scale companies and others worked for much smaller companies but this was based on the number of employees. The findings showed that most SMEs opted not to contract offshore companies in outsourcing R & D due to issues of trust that ensued in the process. Whereas the great financial ability in large-scale companies gave them the ability to contract reputable companies and do the follow-ups to ensure that trust was safeguarded, SMEs were in fact unable. Owners of the small-scale businesses are concerned about disclosure of confidential information to third parties either by will or theft, and therefore are unable to take the risk (Attias, 2014). Another study suggested that the ability of MNEs to take this risk was based on the fact that their high operating revenues and returns was able to provide immunity against the loss of competitive advantage that was associated to leakage or loss of confidential information (Di Gregorio, et al.,
by Name
Code + Course Name
Professor’s Name
University Name
City, State
Date
Table of Contents
I. Advantages and Disadvantages of Outsourcing R & D 3
Advantages 3
Disadvantages 3
Case Study of the Boeing 787 4
Eastman Kodak Case Studies 5
II. To What Extent Are There Differences Between SMEs and Large-Scale Enterprise in Terms of These Advantages and Disadvantages? 5
Costs 6
Country’s Policy and Regulations on Research 6
Fostering Research Alliances Strategic to Business Goals 7
Mutual Trust and Confidentiality 7
Complexity and Bureaucracy and R & D Processes 7
Timeliness and Quality of Research 8
III. Conclusion 8
IV. References 9
I. Advantages and Disadvantages of Outsourcing R & D
Advantages
Offshore outsourcing …show more content…
Albeit MNEs might face challenges due to lengthy periods required in internal decision making, their ability to recruit adequate number of talented employees proves helpful. These numerous employees that large-scale companies employ are able to provide full time support necessary in drafting a policy framework that guides the relationship between the outsourcing and the outsourced company (Berndtsson & Kinsey, 2016). This gives MNEs both the immunity and mitigation strategies against intellectual property risks as well as the risk of failing to comply to legal …show more content…
In the study, they sought opinions from employees who worked in large-scale companies and others worked for much smaller companies but this was based on the number of employees. The findings showed that most SMEs opted not to contract offshore companies in outsourcing R & D due to issues of trust that ensued in the process. Whereas the great financial ability in large-scale companies gave them the ability to contract reputable companies and do the follow-ups to ensure that trust was safeguarded, SMEs were in fact unable. Owners of the small-scale businesses are concerned about disclosure of confidential information to third parties either by will or theft, and therefore are unable to take the risk (Attias, 2014). Another study suggested that the ability of MNEs to take this risk was based on the fact that their high operating revenues and returns was able to provide immunity against the loss of competitive advantage that was associated to leakage or loss of confidential information (Di Gregorio, et al.,