Outsourcing on the increase

Financial firms worldwide are set ­­_____ _____ _____ a five-fold increase in the number of jobs moved overseas, according to a new report from the accounting company Deloitte Touche Tohmatsu. This increased _____ on outsourcing, or offshoring, to low-cost centers worldwide will help slash staffing costs for the major international players. Some companies will see up to seven percent of their global _____ shifted to offshore bases. This means two million financial services jobs in IT, HR and call centers will be based offshore by 2010. The good news for investors is the _____ of personnel cost savings to $16 billion. The accounting giant estimates that many financial firms are currently_____ less than a third of the potential cost savings offered by outsourcing.

Deloitte says outsourcing has generally and _____ been regarded as a short-term strategy, with many companies experiencing a sharp _____ in cost savings after several years. The report _____ that: “Offshoring is not a straightforward cost savings tactic. Many organizations are beginning to experience ‘offshore fatigue’, as the initial _____ wears off and the original operational managers return from their ‘tour of duty’”. The advice from Deloitte director Chris Gentle was to stay for the long course. He said: “Financial institutions that make a _____ attempt at offshoring are exposed to all of the risk, while enjoying only some of the benefits. The message is clear: Don’t _____ - stay home if you’re not committed”.

C. AFTER LISTENING

Answer the following questions.

1) What is outsourcing?

2) Did you guess what the text was going to be about when you read the headline of the text?

3) What do you think of outsourcing?

4) Is there any difference between offshoring and outsourcing?

5) Who are the winners and losers when a company opts for outsourcing?

6) Do you think quality is slashed along with staffing costs?

7) How would you feel if you lost your job because of offshoring?

8) Do you think now would be a good time to buy shares in international financial firms?

9) What do you think are the causes and symptoms of “offshore fatigue”?

10) “Tour of duty” is an army term to describe soldiers fighting abroad. Is it a good phrase to use in this article?

Match the following synonyms from the text.

1) to embark 2) reliance 3) to slash 4) to estimate 5) to capture 6) to reiterate 7) novelty 8) tour of duty 9) half-hearted 10)to dabble

a) lukewarm b) dependence c) to secure d) to post e) to repeat f) dilly-dally g) to cut h) to reckon i) newness j) to commence