Concept explainers
To determine:
What are offshoring and the benefits and drawbacks of offshoring in the operations system.
Case Summary:
As the clothing industry gets competitive and time sensitive, it adds pressure on suppliers to complete orders in a short time span. This has led to poor working conditions and ill-treatment of workers. Companies like ZARA, H&M are under pressure to do something about this.
Characters:
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Concept introduction:
Offshoring is the process of relocating a business method from one country to the other, typically a supporting process, or an operational process. Offshoring is primarily a geographic activity. There are many advantages businesses obtain by offshoring certain business process. Offshoring is practiced usually by multi-nationals and other large organizations.
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