In today’s global corporate landscape, outsourcing has become an increasingly popular cost saving measure. It has become a fundamental method of assessing a more varied and diverse talent pool, all while spending less than it would take to hire someone locally. This method does have its drawbacks, however. Leaders must be knowledgeable about the potential downsides of outsourcing before they choose to enact this cost-saving measure. These include the possibility of employees being located in widely different time zones, having poorer communication skills due to a language barrier. Or having a different culture which could affect necessary days off or even performance. By analyzing the positive and negative effects of these various dimensions of cultural diversity due to outsourcing, this post will offer some feedback and suggestions on how to work smoothly with global employees.
Outsourcing can be incredibly cost effective, particularly if employees are hired from countries paid much less than in the leader’s own country. This allows the same work to be completed at a fraction of the cost, assuming the skill level of employees in both locations are comparable. This does, however, introduce a number of possible negatives to overall team cohesion. This is especially evident if the international employees are located in a different timezone. This could necessitate team members working different hours, making scheduling meetings and check-ins difficult. It could further slow critical communication, delaying time-sensitive tasks if not managed properly. Finally, it can often be easier to communicate with different time zones using primarily written communication methods such as email or messaging platforms. This can in turn lead to miscommunication due to recipients not being incredibly proficient in the language and misunderstanding the task. Written communication further lacks facial ques and such nonverbal communications which would have otherwise helped the employee understand the situation.
Diversity in the workplace goes beyond simply filling a quota or adhering to the latest social rules. The core value is truly about appreciating what everyone, as individuals, has to offer (Northouse, 2022). It is the leader’s responsibility to support this kind of diversity and set the right example. This could include understanding and respecting the different holidays and customs that are important to people of varying communities. When showing care and consideration for individuals and their cultural identity, leaders are showing their employees that they are respected. On a more negative note, having a diverse workplace can prove to be more difficult, especially when being considerate about negative stereotypes or unfair ways of thinking. As an example, if the leader is a woman leader, she may be subjected to less respect just because of her gender (Northouse, 2022). It is important to emphasize that this way of thinking would not be acceptable from any party. To discover if this may be an issue, it may be prudent to have employees take a Gender-Leader Bias Questionnaire which allows people to become aware of their own implicit biases so they may overcome them (Northouse, 2022). Leadership must take a strong stand on treating everyone fairly and ensuring the workplace enforces rules that respect each individual. They must strive to make a space where everyone feels heard and important, no matter their gender, race, religion, or where they come from.
Managing a team that works around the globe necessarily means dealing with different time zones. To do this well, managers should use online calendars that can be set to show everyone’s schedule in their own time zone. This allows for the ability to plan meetings so that they occur when everyone is available, no matter their time zone. Leaders should also communicate with their team often, maybe even every day for a quick meeting. In these short chats, often called “stand-ups,” everyone can share what they plan to work on and if there’s anything that might impede their productivity. In this way, managers can ensure that all team members understand their responsibilities. On a similar note, it may be beneficial for leaders to consider training their teams to communicate better. When everyone feels like they can share their ideas clearly, the entire team can improve due to the increase in ideas. This could certainly prove to be impractical, however. Saving money by hiring people from different locations should not leave the team in a place where they are unable to communicate or understand each other easily. If a certain individual does not speak the language the company uses well, they might need to take some language classes before they join the team. This could cost a bit of money, but if it would lead to everyone understanding each other, it would be worth it. On a final note, not hiring someone just because they do not speak the language can seem unfair, but if it means the team is unable to work together, it is a tough choice that has to be made.
To summarize, outsourcing can greatly assist in cutting down costs, but only if leaders are ready to handle the possibly difficult communication aspects that come with it. For businesses today, using outsourcing and valuing diversity are key. Good communication helps teams work across time zones, and tools that help everyone stay on the same page are really available. Training to improve how we speak and write to each other can mitigate confusion. Workshops on how to communicate with people from different cultures can help too, and video calls can make talking online feel more like talking in person. Leaders should not only accept diversity, but also embrace it. They should teach their teams to understand and respect each other’s backgrounds, which includes respecting different traditions and holidays. Leaders should show respect and deal quickly with any unfair treatment. When leaders act this way, they make a workplace that is both smart about outsourcing and inclusive of everyone. This is how to make the most of a global workspace.
Citations
Northouse, P. G. (2022). Leadership: Theory and practice (9th ed.). SAGE Publishing.