| A giant multinational company in computers has been | | | | employees and feel loyal to them, thus, they carry |
| "discussing" the possibility of "crowd sourcing" more | | | | them on their backs, really working for them instead of |
| than two-thirds of their workforce---over 200,000 | | | | the other way around. |
| jobs---in the next few years. While they refuse to | | | | Perhaps you should be looking at what the most |
| acknowledge this, higher-ups in management have | | | | successful businesses in the world are doing and take |
| leaked this "discussion" so it appears to be very real. | | | | a lesson from it. Outsourcing is a factor. Buy the |
| The intent is to fire most of their engineers, | | | | expertise when you need it. Subcontract your sporadic |
| developers---anyone they can---and then hire them | | | | requirements, or even your major daily requirements. |
| back on a project-by-project basis. They will even | | | | Have others manufacture, make sales calls, provide |
| encourage entire departments to spin-off into their | | | | leads for you, service your clients, etc. Become a |
| own small business and contract for the same work | | | | virtual company, hiring others to do the work on a |
| they were paid to do as employees. This, of course, | | | | contractual basis. Know exactly what your costs are |
| allows them to acquire other gainful work from other | | | | and save the huge expense of doing everything |
| businesses---even competitors---but it appears this is | | | | yourself in-house. Consider doing what this multinational |
| OK with this multinational company. This is called | | | | company plans to do. |
| "crowd sourcing". | | | | It works; it is part of reinventing yourself in today's |
| The cost savings would be very significant as they will | | | | complex and changing economy. It is the opposite of |
| have eliminated the cost of their benefit package, | | | | what small business like to do, but maybe it is time to |
| including insurance, vacations, sick days, office space, | | | | change horses and regain control of your finances. |
| overhead, etc. and they will not be paying for | | | | Maybe this multinational company is correct and is |
| in-between days like, downtime between projects, and | | | | leading the way with a clear demonstration of how to |
| will have fixed costs for certain applications, knowing | | | | do business now. Some will say this is beating up the |
| exactly what the contract will cost. The savings will be | | | | employee force, taking advantage of them and getting |
| huge. This multinational company wins while employees | | | | more while paying less. This multinational company |
| probably lose. Time will tell. Actually, the theory is that | | | | would say this is a practical way of doing business and |
| both sides win as the contractors can charge higher | | | | that it makes financial sense. |
| fees, although they must pick up their administrative | | | | Think about it and try it. Become more virtual, |
| and overhead costs, and of course, this multinational | | | | subcontract, outsource... maybe even "crowd source" |
| company will save in a huge way. | | | | as this multinational company is doing. This is a new |
| Here is the point: Small business owners can learn | | | | age; it requires new thinking. This multinational company |
| from the big guys what to do in this changing | | | | may be amongst the best run businesses in the world |
| economy. | | | | and it is not a bad idea to follow their lead. They are |
| Outsourcing is a factor that all small business owners | | | | willing to outsource 200,000 jobs, most to the same |
| should be considering. Reducing payroll and controlling | | | | employees they have now. Maybe you can do the |
| your overhead are great ideas. Unfortunately, small | | | | same. |
| business owners tend to fall in love with their | | | | |