Summary: The Ethics Of Outsourcing

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Outsourcing is defined as purchasing or subcontracting from an outside company. Many companies practice outsourcing, specifically in a manufacturing company because of cost and flexibility (Outsourcing, 2014). When companies in the United States utilize sources in other countries they avoid high taxes, and government regulations and gain more advance technology with flexible working hours. Although outsourcing is beneficial for the company it has been a debate on whether or not outsourcing is ethical. Many employees that work for these companies and locals have major issues with sending jobs to other countries. These employees’ express that the company can hire people within the United States for these positions. With the unemployment …show more content…
Many argue whether or not outsourcing-manufacturing jobs is ethical or unethical. According to azcentral article how would legal and ethical decisions affect a manufacturing company in another country? Outsourced workers are paid extremely low; Many Americans are left without jobs and ethical views in other countries may conflict with the companies’ ethical guidelines. In Denis Collins, Essential of Business Ethics he addresses 5 decision – making framework that represent five major ethical theories. The theories are ordered in a moral ladder from most basic to most important. Egoism is the most basic, which addresses how the action relates to that person. The second theory is social group relativism, which asks the question, how does the action relate to a persons social group? The theory cultural relativism addresses how does action relate to the national culture while utilitarianism relates to everyone that is affected. The last theory, which is most important, is deontology focuses on a person becoming an ideal human being in the way they would want to be treated. These theories are similar with Jerry White’s five biblical principles because they are guidelines to follow for being ethical (White, 1978). These guidelines consist of Just weight, total honesty, being a servant, personal responsibility and reasonable …show more content…
Depending on the situation companies can use framework theories or the Jerry White’s biblical principles. When the subject consists of outsourcing manufacturing jobs companies should follow the framework theories. These theories allow people to ask questions and answer with yes or no. The answer will reveal if you are being ethical or unethical. If a company decides to follow Jerry Whites biblical principles it is necessary that they are careful with distinguishing what is right and wrong. In addition the company must decide what is best for the company overall.

Outsourcing manufacturing jobs can ultimately be beneficial for a company. Companies must make a wise decision on whether or not outsourcing is ethical. By following the Jerry Whites biblical principles and the Framework theories it will suggest guidance on this decision. Overall outsourcing jobs and positions have been issue for many years and is still a decision many companies are faced with. Depending on a person’s background and opinion this subject can be defined as ethical or

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