All outsourcing projects has a direct impact on the workforce and the community it belongs to. There is a need to be mindful of these effects and businesses need to develop a plan to address the impact, evaluate the environment and create action plans. Works on both business process outsourcing (BPO) and knowledge process outsourcing (KPO), resolutions should be addressed, its impact on the stakeholders and communication and considerations need to be implemented with societal impact of outsourcing and, at times, some of the talks has confused the issue between outsourcing and offshoring. As cited by the International Association of Outsourcing Professionals (IAOP), there will always be debate about the impact of outsourcing on workforce and community; certain myths need to be addressed by outsourcing professionals:
Outsourcing is always about the loss of jobs.
It may be for certain communities or individuals, but not necessarily so when viewed in the global context.
Outsourcing is a “step back” for the employees involved.
Outsourcing allows the employees to join an organization whose core business is to provide services based on skills they possess hence, can become an opportunity for learning and advancement.
Businesses outsource to get rid of their problem as they are better off, addressing these problems themselves.
Through outsourcing, a business is inviting an “expert” to address the problem and help fix it before it gets so bad that it will have a negative impact on the entire business – thereby creating a greater issue with its workforce.