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IT outsourcing in the manufacturing industry

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Frame of Image  high value-added activity and knowledge intensive service, is expected to increase the productivity of manufacturing companies. As ITO works to share information and evaluate service quality in r e a l time, it is possible to improve service quality and improve the competitiveness of services and products. ITO can also improve productivity and efficiency in manufacturing industries so, small and medium-sized companies are recognizing this as a strategy, more than are large enterprises. While developed countries such as the US and those in Europe are concentrating on their core competencies through ITO, with ITO being used by many developed companies. On the contrary, ITO in Korea is not very active. It is important that ITO in the manufacturing industry increases busniess efficiency, improves the productivity of manufacturing companies, creates new markets and strengthen competitiveness of services. However, it is difficult to analyze those problems created in revitalizing ITO as there are no previous studies of ITO in the manufacturing industry in Korea.
Therefore, this paper will attempt to show hampering factors of ITO in Korea through analysis of market conditions and discuss plans to solve these issues.
2. Definition and Classification of ITO
With the increase in global competition, enterprises have to increase efficiency, reduce risks and focus on core competencies. Therefore, many companies are now concerned with outsourcing their non-core areas to focus on their core


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Title IT outsourcing in the manufacturing industry
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Material Type Reports
Author(English)

Ryu, Hyun Sun

Publisher

[Seoul]:Korea Institute for Industrial Economics & Trade

Date 2009
Journal Title; Vol./Issue KIET Industrial Economic Review(Current issues):vol. 14(no. 1)
Pages 14
Subject Country South Korea(Asia and Pacific)
Language English
File Type Documents
Original Format pdf
Subject Industry and Technology < Manufacturing
Industry and Technology < IT
Holding KIET; KDI School

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