. Is crowsourcing as used by AOL a form of outsourcing? Why or why not?
Although crowdsourcing operates on principles of outsourcing, the two are different in terms of the way they engage the service provider .This is because unlike in outsourcing where an in-house operation like making of the payroll and management of social security schemes is contracted out to a specific client with specialize expertise. The case of AOL Company contradicts principles of outsourcing since it seeks to contract services of individuals whom they are not aware of and with no specific guideline or contractual engagements that have to be fulfilled before any substantial payment is made. Also, it is not easy for the company to have a say on the quality of work as the risks resulting from redundancy are high in terms of controlling the quality of work as compared to outsourcing where specific guidelines are given on what is expected of the contractor (Grier 15-19)
What steps do you think Maloney might have taken to ensure that the crowd sourcing would be a success for the inventory project?
There is a great need for the Maloney to carry out a comprehensive analysis of the underlying factors that have to be examined in order to make the outsourcing venture a success. To begin with, it is imperative for the crowdsourcing company to consider the abilities and skill the human capital posses in order to perform the task. The abilities include proficiency in language, the level of education, the national characteristics on appreciation of online activities and managerial skill of the participants.Crowdsourcing primarily relies on the use of mobile phones to peruse its objectives. For the whole process to be successful, the company has to carry out a study on the competence of participants on how to use mobile phones.
Mia notes that crowdsourcing requires active engagement and participation of the entire members of the community (22).The company has to motivate the participants both intrinsically and extrinsically and build workable structures that will make them to remain focused and attached to the company’s objectives. The company has to constantly showing the participants’ how vital they are and their impact on the organization. Furthermore, the company has to consider external factors like the government regulations on crowdsourcing. The organization has to operate within the regulations of law to avoid unnecessary legal battles (Ronan 4-9).
What factors should be considered when deciding whether or not to crowdsourcing a particular part of a business?
Availability of an effective communication infrastructure is a fact worth considering before making a decision on outsourcing. Sloane says that it is crucial for the
organization to carry an analysis of whether the venture will help boost competitive advantage of the business while at the same time cutting down on the expenses (115-124). Also, it is important to integrate the crowd in the organization’s strategic plan to ensure that they are part of the business.
Describe the advantages and disadvantages of crowdsourcing.
If used for the benefit of mankind, crowdsourcing can help create awareness on issues affecting human beings in the society and generation of possible solutions to the problems. A social problem like drug and substance abuse can yield multiple responses on how to overcome the bad habit. It is also possible to generate a wide body of knowledge through research being carried by many people leading to generation of content which is valid (Grier 15-19).
Crowdsourcing promotes exploitation of professionals are its main strategy is having the work done at a minimal cost. Also, it has been blamed for encourage joblessness as most organizations have shifted to the use of technology in accomplishing their objectives. The quality of products being generated is also poor are the company don’t have control over the crowd thus generating products with low market value.
Grier, D., Crowdsoursing for Dummies. New York: Wiley, 2013.Print.
Mia, R., Crowdsoursing our Cultural Heritage. London: Ash gate publishing, 2014.Print.
Ronan, M., Global Services Outsourcing. London: Cambridge university press, 2010.Print.
Sloane, P., .A guide to Open Innovation and Crowdsoursing: Advice from leading experts
in the field. Chicago: Kogan page publishers, 2011.Print.