“If it ain't broke, don't fix it!"

Wednesday, March 12, 2008

My Take on Auto-Design Outsourcing

I think outsourcing vehicle design jobs to states other than Michigan and to off-shore countries is a good idea. First, it allows diversification. Different people mean different ideas. And since the automotive market is clamoring for more modern cars, it is high-time for automakers to start tapping into the ideas of other people instead of limiting it to the Motor City. And besides, since it has been somewhat limited to Michigan for a very long time, the ideas have probably been exhausted by now. I’m not saying all of the employees in automotive factories are all natives and residents of Michigan, but I bet most of them are.

Second, it lessens the cost of operations. Given the high monetary value of the dollar, when you bring the job to off-shore countries you can drastically cut down on costs. What you’re paying one skilled worker here can be used to pay two, three and maybe even ten persons overseas. And the icing on the cake is, they’ll give you ten times the result. That’s ten times more new ideas and innovations.

Third, it makes room for improvement and innovation. Even with the continuous influx of automotive technology, car owners are still dissatisfied to a certain degree of the vehicles available in the market. That’s just man’s nature. They can be extremely satisfied with their car one second, and dissatisfied with it the next. Car owners are obsessed with what’s new. That’s no surprise. And car makers should take advantage of that by continuously improving their car and by adding innovative technology. And besides, it does not only benefit the auto-makers themselves, but also car owners. With all these advantages, I bet auto-design outsourcing will snowball continuously for years.