11/30/2015

Outsourced to overseas operators to hire Singaporeans

Outsourcing of services to cheaper 3rd world countries for less important services have been going on for several decades and the business of outsourcing is still doing well as the business competitiveness keeps going lower and lower down the value chain, from a cheap country to another cheaper country. To the business that outsourced its services, it is all about keeping cost down. Nothing else matter especially in the banking and IT industries where sensitive data and critical operations can be compromised, sabotaged or important data stolen. No, these are not important as long as there is cost savings.

Not all oursourcing services goes to cheaper countries. Some outsourcing went to developed countries like Australia, New Zealand and now UK is also in the picture. I was told by someone who was fuming mad that he lost a bid for a very big job to an Australian agency. But this was not his sore point. The pain came when the Australian company contacted him to be the subcontractor as the Australian companies did not have the expertise or his expertise was cheaper. What it meant was that the Australian agency ended up as the main contractor and getting the first and biggest cut of the pie. He ended up doing the donkey work as the subcontractor with a few pieces of crumbs.  Singapore job given to foreign companies to make the money and Singaporeans still ended up doing the job for less!

This kind of outsourcing is not exploiting the cheap labour of foreigners but on Singaporeans. And the foreigners get the most profit.

There is now a hybrid model of outsourcing. This is outsourcing to a 3rd world country, presumingly cheaper, only for the 3rd world agent to hire cheaper locals to do the job here. This model just surfaced in the LTA officer beating up a Uber taxi driver case. LTA outsourced its parking and traffic control services to a foreign company called Ramky Cleantech Services. I found this out from a post in TRE. And this foreign company then hired Singaporeans and locals to do the jobs here. I am not sure if the fighter LTA officer now arrested is a local or a Singaporean.

Anyway, this is the new model of outsourcing services. What is the advantage of such a costing saving arrangement? If the foreign company is hiring locals or Singaporeans and pay them cheaply, how cheap could they pay them and how much would be the savings? From this beating incident, the LTA officer must not be paid much as he was not interested in his job. I think the most savings must come from top management staff. If this company is operating in a 3rd world country, and their management staff are located in the 3rd world country, they can’t be expected to be paid in the millions like in Sin City. There must be a lot of savings from not paying their management staff in S$ and in the millions. I think this makes sense.

I am not sure how many different models of outsourcing could there be. I know one model would not happen. This model would be setting up a Singaporean company overseas, hired Singaporeans in top management and pay them millions to hire workers in 3rd world countries. The savings cannot be much even if the rental is cheaper. The Singaporeans would demand for more for hardship pay, living in a 3rd world country and suffering the inconvenience of living.

What do you think?

72 comments:

  1. // This model just surfaced in the LTA officer beating up a Uber taxi driver case. //

    Aiya, pls lah ....

    Who else were in charge at LTA and MOT?

    If their calibre so high, need to put a national flagship carrier ( NOL ) painstakingly built up by the living PG and those late old guards and PG on the "chopping board" for (fire)sale?

    ReplyDelete
  2. YEW kpkb till die oso no use!

    ReplyDelete
  3. Why not? Uncle.You too can also set up a Sinkie Company in 3rd world countries, hired Sinkies like me and pay me top million to hire workers in 3rd world countries.
    Core business in providing sex workers of 3rd world countries...
    Bottom line is...whether Sinkies are prepared to provide good service and stand in as sex workers to meet service standard should there be a shortage of workers.

    ReplyDelete
    Replies
    1. YEW c?

      The kong cum sure cum tell sinkie kong cum rationale!

      Like clockwork!

      Delete
    2. A pimp is looking or hoping

      for Rb to be his employer.

      Is Rb up to his hope and
      request, maybe it can be
      called a challenge?


      Delete
  4. Der resident donkey in MSN will cum tell YEW 70% agree to this type of treatment.

    ReplyDelete
    Replies
    1. But this donkey never highlight about all the "unfair and uneven play field" created for the opposition.

      Delete
    2. And the timing .....

      Delete
    3. If erection held in 2016, will all the JLBs and nodding parrots ( and donkeys ) get 70%?

      Delete
  5. // To the business that outsourced its services, it is all about keeping cost down. //


    In economics, the labour market equilibrium price is determined by the WS relation and PS relation given as:

    W = Pe F(u, z)

    P = (1 + m)W

    ReplyDelete
    Replies
    1. u= U/L=(L-N)/L=1 -N/L=1-Y/L

      Putting all together :

      P = Pe (1+m)F(1-Y/L,z)

      Delete
    2. From the equation, it can be clearly seen the PAPIGS are fartKing with the "Y", the "L" and the "z" ......

      With such ( policy ) models, P ( wages ) will very likely stay depressed.

      The 30% can see it so clearly but the daft 70% ( and many graduates and post-graduates among them ) can never see the real truth from such facts ......

      Delete
  6. @ RB

    >> What it meant was that the Australian agency ended up as the main contractor and getting the first and biggest cut of the pie. He ended up doing the donkey work as the subcontractor with a few pieces of crumbs. <<

    Crumbs? Hey man, he's got a job. He should put on his Big Boy Pants and adopt a more "adult attitude", reminding himself of the Golden Rule:

    "He who has The Gold, makes The Rules."

    Singapore is adopting an entrepreneur-driven model as a basis for its "modernised" economy. That means there's going to be much more (much needed) structural changes and "creative destruction".

    Outsourcing has both benefits and downsides. Let's face it we ALL outsource. No one grows their own cotton and makes the fabric, then makes their clothes, nor do we city-dwellers raise crops and farm animals, then process them so we can eat. EverythiNg we have IS OUTSOURCED---from waste disposal when we flush the toilet, to the smartphone we use to talk to people or browse the web whilst we're taking a shit.

    How come you can have a multi-billion dollar smartphone for $50 a month, when your job as a cum-cleaner in Geylang only pays $1000 per month? Outsourcing.

    How come you can live like a king masturbating, eating and video-gaming all day, and have all the housework done and meals prepared? Outsource the domestic chores to Pinoy or Indian maids.

    If all of us outsource hundreds of times every fucking day, why is it not ok if businesses do it? For startups with severely limited resources, outsourcing will make a difference to business stagnation and eventual death, or the enterprise's ability to continue with profitable operations.

    ReplyDelete
  7. What is the mother (cause) of all our outsourcing problems in Singapore ?
    ===========================================================================
    When 70% of Singaporeans decided to outsource the welfare and well being of Singaporeans to PAP.
    - Is this when our problems really started?

    ReplyDelete
  8. Half A Million Square Kilometers Of Heavy Smog Force Beijing To Issue "Orange Alert", Close Factories
    ========================
    http://www.zerohedge.com/news/2015-11-29/half-million-square-kilometers-heavy-smog-forces-beijing-issue-orange-alert-close-fa


    Just like their daft Chinese Singaporean brothers.
    PRC Chinese continue to outsource their health and well being to the CCP and Premiere Xi Jinping

    Support your Chinese emperors.
    Because of their excellent 5,000 year track record of protecting the well being of Chinese citizens.

    ReplyDelete

  9. If all of us outsource hundreds of times every fucking day, why is it not ok if businesses do it? For startups with severely limited resources, outsourcing will make a difference to business stagnation and eventual death, or the enterprise's ability to continue with profitable operations.


    November 30, 2015 10:15 a.m

    You want to outsource your mother also? Or outsource someone to bang you?

    ReplyDelete
    Replies
    1. Ya lor

      Ask him outsource his smelly backside to his PAPIGS masters first ......

      But ask them do it in pig sty or sewerage dump cos the shits would likely be oozing out ........

      Delete
    2. And outsource the aftermath in the pig sty or sewerage dump back to mati to clean up using his mouth ......

      Delete
  10. European HIV Infections Hit Record High, CDC Blames "Migrants And Refugees"
    =======================================
    http://www.zerohedge.com/news/2015-11-29/european-hiv-infections-hit-record-high-cdc-blames-migrants-and-refugees


    This is what happened when the Europeans outsourced their population and immigration policies to their political leaders.
    - can this happen in Singapore?
    - Does PM Lee's Population White Paper contain any provisions for health checks for all his new Aliens?
    - Is Singapore's rising rates of tuberculosis related to our rising Alien population?

    ReplyDelete
  11. Let's take the suggestion of this crank and simulate the outcome using DBS as an example.

    First they outsource answering calls.
    Next outsource IT.
    Then outsource HR.
    Then outsource Finance.
    Then outsource relationship managers.
    Then outsource loans, credits, credit cards, treasury
    then outsource trading and gambling.

    What would be left, only the CEO.

    Oh, they already outsourced the CEO.

    A simpler way would be to sell DBS.
    A bigger way would be to sell the country.

    What do you think?

    ReplyDelete
    Replies
    1. They already started selling lah, with old time national flagship carrier NOL ......

      A national icon since GKS and TCC time ......

      Sad

      Delete

  12. Yes! Yes! Yes!

    Move on! Move on!

    You don't know meh?

    It is the New Normal!

    This is life in this tiny city state!

    No choice! How to change? You tell me lah!

    Cheers.

    ReplyDelete
  13. " A simpler way would be to sell DBS.
    A bigger way would be to sell the country.
    What do you think? "
    November 30, 2015 10:56 a.m.

    Fuck lah!
    The easiest way to stop outsourcing starts with voting Opposition.
    True or not?
    Vote for pro Singaporean political parties to better the lives of Singaporeans.

    Myannmar people are brave enough to vote for change.
    Are Singaporeans waiting to fall into Myannmar's levels of desperation and poverty before finding the courage to vote for change?

    ReplyDelete
    Replies
    1. Unfortunately will be that way.

      And worst!

      Sinkies all conditioned like dogs by old man liao!

      Delete
  14. // This kind of outsourcing is not exploiting the cheap labour of foreigners but on Singaporeans. //


    Erection over liao

    ReplyDelete
  15. Is this a good reason why Singaporeans should not vote for the elites that PAP likes to promote?
    -------------------
    Why Affluent Parents Put So Much Pressure on Their Kids

    http://www.theatlantic.com/business/archive/2015/11/pressure-affluent-parents/417045/

    ReplyDelete
    Replies
    1. The tiger mother look like big time fart face.

      Delete
  16. Growth will be grinded out in 2016.

    ReplyDelete
  17. // What is the advantage of such a costing saving arrangement? //

    Another avenue. .....

    ReplyDelete
    Replies
    1. For more C, more I, more T ( direct and indirect ), more LS ( land sales ) ....... from PAPIGS ( selfish ) angle!

      Delete
    2. The flip side:

      Worsening income distribution among sinkie.

      The Lorenz curve in sinkieland income distribution becomes flatter ( and wider), and move further away from the 45 degree income equality line => Gini coefficient worsen.

      Delete
  18. Rb // I am not sure how many different models of outsourcing could there be.//

    It doesn't matter how much the playing fields are tilted against sinkies on the street

    The impt thing is as long as the PAPIGS COFFER and their BANK ACCOUNTS get fatter ( at the expense of ordinary sinkies ).


    The 70% sinkies will never come to appreciate this real truth from the facts.

    ReplyDelete
    Replies
    1. Name one macro or industrial or supply-side policy that benefits ordinary sinkies?

      Delete
  19. In microeconomics, economic agents such as consumers, firms and the gahmen are assumed to make rational decisions.

    For gahmen, their microeconomics objective is supposed to maximise social welfare => MSB = MSC.

    Alas, who define MSB and MSC in papigs ( self-serving ) gahmen policy formulation and what are the MSB and MSC in their circles' ( selfish ) definitions?

    ReplyDelete
    Replies
    1. Look at NOL, do PAPIGS care about long term interests of sinkies and sinkieland?

      Delete
    2. Why appoint some "duds" to such important ( commercial ) positions ( where the competition is extremely intense and pitting the best in the world, not withstanding our comparative and competitive advantages in the global shipping industries ) given the inevitable ( and unforgiving ) business cycles in global economics and thus shipping demand and supply?

      Delete
    3. Because of merit or relation?

      Delete
    4. The current chairman surname is Kwa.

      Delete
    5. The current CEO is a former cdf and 3-star Lieutenant General Ng Yat Chung.

      Delete
    6. Or both?

      Based on merit and relation?

      The parties appointed coincidentally are related yet the most qualified, competent, best, most suitable, most ideal candidates to take up the positions and in the national interests of sinkies and sinkieland?

      Delete
    7. It would be an injustice and mis-informed decision not to appoint them bcos they possessed the best qualities and past experiences to steer NOL in the direction and not grounded somewhere or into a storm and putting at risk the entire flagship?

      Delete
    8. Typo

      "in the direction"

      Should be "in the right direction".

      Delete
  20. I think RB is again missing the point. Cost is the most important thing in any business. Profit is the deciding factor and the bottom line for the shareholders is paramount. I am certain uncle RB owns some shares in the stock market. Are you saying dividends are not important to you. You cannot hope to get bigger dividends in your share holdings and at the same time write such nonsense. Don't be 2-face OK?

    ReplyDelete
  21. I don't know why Singaporeans kpkb about the sale of NOL.

    70% Singaporeans already sold out our patriotic Opposition parties in GE 2015.
    So what's wrong with selling out NOL to complete the Great Sell Out of 2015?
    I wonder how many Singaporean NOL employees will lose their jobs.
    But 70% NOL employees voted PAP ... so it serves them right.

    Presidential Elections 2016.
    Who are we going to sell out next year?

    ReplyDelete
  22. I must agree cost and profits are the most important things in business.
    When are you going to sell your papa and mama to cut cost and more profits?

    ReplyDelete
  23. The next time the Japanese Army invades Singapore.
    I'm going to work for them as a translator.
    It costs too much to die fighting for Singapore.
    It is more profitable to work as a translator.
    I must learn from my great Leeder's example.

    ReplyDelete
  24. // 70% Singaporeans already sold out our patriotic Opposition parties in GE 2015.//

    In life, often timing matters a lot.

    ReplyDelete
    Replies
    1. So for the better ones, they must be confident enough to know the reasons why they lost.

      Delete
    2. For the many half-hearted ( already very generous and less harsh by the choice of description ), even in the best timing they will probably lose.

      Delete
  25. Rb // Presidential Elections 2016.//

    This one likely they may not timed it at the best time .....

    ReplyDelete
    Replies
    1. Apologies.

      Should be anon 2.31pm, Not rb!

      PS, uncle rb!

      Delete
  26. @ Anonymous November 30, 2015 2:31 p.m.
    // I don't know why Singaporeans kpkb about the sale of NOL.//

    YEW must be kidding?

    ReplyDelete
    Replies
    1. What if in another few years SIA oso lose money then kena sell away after pawning everything worth pawning including SIA building etc, hypothetically?

      Delete
    2. If it can happen to our national flagship shipping line where sinkieland has huge comparative and competitive advantages in being the world's largest MNCs base ( with massive imports and exports totally more than $1 trillion yearly ), located strategically in the middle/ crossroads of important trading routes, superb infrastructure etc etc, then hypothetically it can happen to our national airline carrier SIA as well, make sense?

      Delete
    3. Technically, SIA is oso open to intense global competition in the airline industry, just like NOL in the shipping industry.

      Delete
    4. If YEW extrapolate a bit further, then sinkieland land-line which is SMRT, Transit etc sold to foreign owners ( and they are definitely profit-oriented )

      Delete
    5. Then how r they going to price public transport given their monopoly position? ( which is happening now ? )

      If only one foreign company runs a particular bus service or route, then it is as good as a monopoly.

      And there is no need to go into what a monopoly can do right?

      Delete
    6. Now private transport cost more than an arm and leg so it is priced out for most sinkies by Lao goa's and Marlboro's Tan era COEs and ERPs price rationing/ allocation system?

      Delete
    7. By tendering out several clusters to foreign players on a one-provider per bus service/ route basis, in the longer term, monopoly at least 99% is likely to form in terms of pricing and bus frequencies ( => much higher price but much lesser frequency ).

      Delete
    8. The recent tendering out ( aka outsourcing ) of many, many bus routes to foreign players is likely a typical example leading to monopoly or duopoly or Oligopoly structures and for the latter, a collusive pact would mean such ( foreign ) players extracting the max last drop of blood ( $$$ ) from commuters.

      Delete
    9. It's a mystery who is overseeing the blueprints/ road maps of such policies?

      $8 cow or?

      The one who resigned?

      Delete
    10. If YEWR memory not so short, a little after $$$ ( Lui ) paste ( tuck ) eyes ( YEW ) resigned, hum-mai publicly commented that "$$$ paste eyes" policies and legacies WILL ONLY BE FELT many years after he LEFT?

      Delete
    11. Can YEW read between his lines?

      Delete
    12. Anyway, there are many more things to write and say but time doesn't permit .....?

      Leave it to the 70% bah ......?

      Since they trusted the PAPIGS and so live or die by their ( extremely self-serving, selfish and "traitorous"?) antics in dishing "sell-out" policies?

      Delete
  27. @118

    >> Worsening income distribution among sinkie. <<

    Yup, that means if you're winning, you're winning bigger than before (the way it is supposed to be lah, kotek)

    >> move further away from the 45 degree income equality line => Gini coefficient worsen. <<

    May the Lorenz curve be bent out of shape as far away from the 45% slope :-)

    Meritocracy lah. No equality, can you handle it?

    ReplyDelete
    Replies
    1. It's a waste YEW r not calling the shots in the gahmen policy formulation.

      Otherwise the Lorenz curve might even fall below and out of the X-axis ( hypothetically under your enlightened logic ) and then ......

      Ha ha ha

      Delete
    2. What is WRONG collecting more $$$ ( from the poor, oldies and young families starting out )?

      Ha ha ha .......

      Delete
  28. Whores and prostitutes only understand cost and profit.
    Your cost and their profit.
    Socializing the cost.
    Privatizing their profit.

    Are they selling everything that used to belong to Singaporeans?

    ReplyDelete

  29. Rb had made a very good suggestion before, sell everything and distribute some to every Singaporeans.
    Anyway, who knows how long can Singapore lasts?


    ReplyDelete
  30. /// Rb had made a very good suggestion before, sell everything and distribute some to every Singaporeans. ///

    Or maybe you will all tan ku ku for the distribution?
    Do you think they will sell everything and PAP government will keep all the money safe for you?
    So that you will not spend the money on Batam women?
    6.9 million people.
    A lot of new citizens to share so little money.

    ReplyDelete