Outsource or insource R&D

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The early outsourcing focused mainly on low skilled support functions like food service , guard services , and data entry services but in the recent past outsourcing in areas like in farm action technology which includes information systems development is growing very fast to an extend even some organizations have begun to outsource functions that are dependent on information technology like customer service , research and development , logistics management and even finance and accounting

And the terms associated with government privatization initiatives , we can therefore say that under outsourcing a government entity remains fully responsible for the provision of affected services while another entity operates the function or performs the service , it even includes services like contracting out , granting of franchises to private firms , and even the use of volunteers in delivering

Paper Topic: Outsource or insource R&D Running Head : Outsource and In-source R D Name University Course Tutor Date Abstract The two main elements of business strategy are intellectual property and integration to outsourcing strategy with outsourcing its main concern is in making decisions on whether to own , buy or leave the complementary assets that are necessary to bring a product to market And the correct decision will depend among other factors , the intellectual property (IP ) of the firm and the nature of the requirements the innovation places on complementary assets

In addition this kind of empirical cases like the ones from Philips Medical systems and other semiconductor companies provides a good insight into the management thinking for any middle managers , the strategies behind outsourcing and decision making process Decisions about research and development affect all of us , because of their link with the performance of firms and of economies , as a whole Their importance is of great concern to a large number of practitioners policy-makers and researchers , and their scope is not limited because their study can be approached from different perspectives

Its definitions can be viewed as ranging from prolonged use of consultants in performing simple tasks to transferring the responsibility of performing an entire internal function to a given third party

This case study has risen due to Unit ‘s diversity , complexity accompanied by my personal interests on outsourcing and competitive strategies , at the end it will provide me with an excellent opportunity for me to achieve a better view of the

The insight of this innovation is that a strong IP or its technology design is hard for competitors to imitate or emulate , and therefore there are little chances that the competitors will end up being winners in addition the strong appropriability will give the power to bargain for access to complementary assets from a privileged position (Carr , 1990 Introduction This is a case study following an eight months research at Cardio Vascular Business Unit of Philips Medical Systems the will focus on Business Information Systems

Very few organizations if , any have currently outsourced parts of their operations , this has led to more widespread use of outsourcing which has increased tremendously


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