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Outsourcing - class-XI

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The need for outsourcing arises because __________.

  1. ensuring smooth operations

  2. decreasing past losses

  3. to take tax advantage

  4. all of above


Correct Option: A
Explanation:

The need for outsourcing arises for ensuring the smooth operations of business organisations by focusing on its core activities, getting its business processes work done from the skilled professionals that increases efficiency eventually generating more profits.

BPO that is contracted outside a company's country is called ___________.

  1. offshore outstanding

  2. offshore outsourcing

  3. offer outsourcing

  4. shore outsourcing


Correct Option: B
Explanation:

Offshore outsourcing is a type of business process outsourcing that involves hiring an external organisation to perform some business functions in a country other than the one where products or services are actually developed or manufactured.

Outsourcing is used by an organization for the interest of ____________.

  1. redirecting or conserving energy directed at the competencies of a particular business

  2. making more efficient use of worldwide labor, capital, technology and resources

  3. lowering firm costs or to make more efficient use of worldwide labor, capital, technology and resources

  4. any of the above


Correct Option: D
Explanation:

Companies outsource primarily to cut costs i.e. for achieving he economies of scale and also about reaping the benefits of strategic outsourcing such as skilled expertise, specialized performance so that better results can be obtained, eventually generating more profits.

The advantage that is not available with BPO is ________.

  1. flexible

  2. focus

  3. speed

  4. communication


Correct Option: D
Explanation:

Business process outsourcing involves the transfer of business processes to an external service provider so that an organisation can mainly focus on core activities of its business without wasting its time in other business activities.

Invariably the benefits of BPO are ________.

  1. taking care of core business

  2. it is cost effective

  3. a double edged sword

  4. a and b


Correct Option: D
Explanation:

Business process outsourcing refers to the transfer of business processes to an external service provider so that organisation can focus on its core business without wasting its lot of time on non-core business activities and also BPO is cost effective.

Which of the following is a challenge of outsourcing?

  1. Contract length

  2. Competitive edge

  3. Confidentiality

  4. All of the above


Correct Option: D
Explanation:

Contract length, competitive edge and confidentiality are the challenges of outsourcing as getting work done from the third party may affect the confidentiality of an enterprise and may also lead to the decrease in competitive abilities.

Select the benefits an organization can receive from outsourcing ________________.

  1. Increase technical abilities

  2. Financial savings

  3. Market agility

  4. All of the above


Correct Option: A
Explanation:

Outsourcing helps the business to focus on its core activities by getting its other non-core activities done through the third party. It also increases technical abilities of an organisation as its work is outsourced from people with more technical knowledge.

What categories should an organization evaluate when making an outsourcing decision?

  1. Salary cost

  2. Geopolitical risk

  3. English proficiency

  4. All of the above


Correct Option: D
Explanation:

While making the decision of outsourcing, it is necessary for an organisation to evaluate salary costs and geopolitical risks involved in getting work done from the third parties and also it focuses on english proficiency skills of the workers involved.

The most uncommon reason why companies outsource is ___________________.

  1. better manage the costs of internal processes

  2. more market exposure

  3. tap outside sources of expertise

  4. reduce headcount and related expenses


Correct Option: D
Explanation:

The most uncommon reason why companies outsource is to reduce headcount and related expenses as outsourcing is cost effective and helps the organisation in focusing mainly on core activities.

What is the outsourcing option that includes the closet location and direct customer control?

  1. Offshore outsoucing

  2. Nearshore outsourcing

  3. Onshore outsourcing

  4. None of the above


Correct Option: C
Explanation:

Onshore outsourcing offers the closest location and direct customer control while offshore outsourcing is the one in which company uses organisation from developing countries to write ode and develop systems.

The contracting of a specific business task, such as payroll to a third party service provider is ________.

  1. BPO

  2. insourcing

  3. outsourcing

  4. offshore outsourcing


Correct Option: A
Explanation:

Business process outsourcing is the activity in which organisation get its specific work done from the third party such as work related to payroll and accounting as they don't require lots of attention of organization.

Which among the following is one of the largest 'Job providers' in India?

  1. Network marketing

  2. Business process outsourcing

  3. Medical tourism

  4. Film industry


Correct Option: B
Explanation:

Business process outsourcing is one of the largest job providers in India  as India has many people with good technical knowledge and many developed countries get their work done from India as India provides its assistance at low cost compared to other countries.

Near shore outsourcing is _______.

  1. contracts done by company with other companies within a company's own country

  2. contracts done by a company with neighbouring countries companies

  3. contracts with companies excluding neighbouring countries

  4. none of the above


Correct Option: B
Explanation:

Near shore outsourcing is the process of getting contracts done from the neighboring countries rather than getting it done from their own country for example; many countries of USA outsource its work to Canada.

BPO not only gives specialised performance, but also provides _______.

  1. same cost

  2. saving in cost

  3. different cost

  4. none of the above


Correct Option: B
Explanation:

Business process outsourcing refers to getting the work done from the third parties that does not require much attention of the organisation. BPO provides specialised performance and is very time and cost efficient i.e.economical.

What does customer care department in call center handle?

  1. Does telemarketing only

  2. Inbound and outbound activities

  3. Inbound activities only

  4. Outbound activities only


Correct Option: B
Explanation:

A customer service representative interacts with a company's customers to provide them with information to address inquiries regarding products and services. In addition, they deal with and help resolve any customer complaints. Inbound customer service, the customer calls your company with a service request or an inquiry. Outbound customer service represents or more proactive approach. An agent from your call center contacts customer to follow up on a service issue or to notify customers of new products or policy changes.

LPO stands for __________.

  1. Legal Process Outsourcing

  2. Legal Process Output

  3. Legal Permanent Offer

  4. Legal Public Organization


Correct Option: A
Explanation:

LPO stands for Legal process outsourcing. LPO refers to the practice in which a corporation obtains legal support service from an outsider law firm or legal support services company. In India, legal process outsourcing is a high end industry that has been growing rapidly in recent years.

BPO that is contracted to a company's neighbouring (or nearby) country is called ________.

  1. offshore outsourcing

  2. near shore outsourcing

  3. on shore outsourcing

  4. none of the above


Correct Option: B
Explanation:

Business process outsourcing in which the work is contracyed to be done from the meighbouring countries rather than getting it done from its own country, it is known as near shore outsourcing.

The need for outsourcing arises because _________.

  1. achieving economy

  2. getting better results

  3. specialized performance

  4. all of the above


Correct Option: D
Explanation:

Companies outsource primarily to cut costs i.e. for achieving he economies of scale and also about reaping the benefits of strategic outsourcing such as skilled expertise, specialized performance so that better results can be obtained, eventually generating more profits.

BPO that is contracted to a company's neighbouring or nearby country is called near __________.

  1. offshore outstanding

  2. offshore outsourcing

  3. offer outsourcing

  4. near shore outsourcing


Correct Option: D
Explanation:

Near shore outsourcing is a kind of Business process outsourcing in which an organisation get its business processes like human resource and accounting done from neighboring countries of its country where its products and services are actually produced and manufactured.

BPO stands for ____________.

  1. Business Patent Offer

  2. Business Process Outstanding

  3. Business Process Outsourcing

  4. Business Public Organisation


Correct Option: C
Explanation:

BPO stands for Business Process Outsourcing, refers to the contracting of specific business tasks such as payroll, human resource or accounting to any third service provider company so that company can focus mainly on its core activities. Usually BPO is implemented as a cost saving measure.

KPO stands for____________.

  1. Know Potential Output

  2. Key Public Offer

  3. Knowledge Public Organisation

  4. Knowledge Process Outsourcing


Correct Option: D
Explanation:

KPO stands for knowledge process outsourcing. It describes the outsourcing of core related business activities that requires expertise which are competitively important and form an integral part of company's value chain.

BPO that is contracted outside a companys country is called __________.

  1. offshore outsourcing

  2. near shore outsourcing

  3. both

  4. neither of the above


Correct Option: A
Explanation:

Offshore outsourcing is a type of business process outsourcing that involves hiring an external organisation to perform some business functions in a country other than the one where products or services are actually developed or manufactured.

The structure of these businesses will be ________ and the problem they face will be ________ as a result, of the difference.

  1. different, same

  2. same, different

  3. different, vary

  4. same, same


Correct Option: C
Explanation:

The structure of outsourcing business are different and the results vary upon the different structure of the outsourcing business. 

Need for outsourcing arises due to _______.

  1. getting no result in home country

  2. lack of labour in home country

  3. specialized performance

  4. all of the above


Correct Option: C
Explanation:

Companies outsource primarily to cut costs i.e. for achieving he economies of scale and also about reaping the benefits of strategic outsourcing such as skilled expertise, specialized performance so that better results can be obtained, eventually generating more profits.

KPO stands for ________.

  1. knowledge process outsourcing

  2. knowledge public organization

  3. key public offer

  4. know potential output


Correct Option: A
Explanation:

KPO stands for knowledge process outsourcing. It describes the outsourcing of core related business activities that requires expertise which are competitively important and form an integral part of company's value chain.

Near shore outsourcing is  ___________________.

  1. contracts done by company with other companies within a company's own country.

  2. contracts done by company with neighbouring countries companies

  3. contract with companies excluding neighboring countries.

  4. none of the above


Correct Option: B
Explanation:

Nearshore outsourcing is the one in which a company get its work outsourced from the companies of nation's neighboring countries. For example: any Indian company say, Tata getting one of its work outsourced from Nepal.

One Advantage of outsourcing the services is ________________.

  1. it is economical

  2. it helps in diversifying the business

  3. the time zone problem is solved

  4. all of the above


Correct Option: A
Explanation:

Companies outsource primarily to cut costs i.e. for achieving he economies of scale and also about reaping the benefits of strategic outsourcing such as skilled expertise, specialized performance so that better results can be obtained, eventually generating more profits.

The contracting of a specific business task, such as payroll to a third party service provider is ______________.

  1. BPO

  2. Insourcing

  3. Outsourcing

  4. Offshore outsourcing .


Correct Option: A
Explanation:

Business Process Outsourcing, refers to the contracting of specific business tasks such as payroll, human resource or accounting to any third service provider company so that company can focus mainly on its core activities. Usually BPO is implemented as a cost saving measure.

Advantages of BPO is/are
I. Effective use of supply chain partners
II.Quick supplies from the vendors
III.Increased flexibility in its resource management
IV.Increased speed of business processes
Select the correct answer from the options given below.

  1. III, I and II

  2. IV, II & I

  3. II, III & IV

  4. I, III & IV


Correct Option: D
Explanation:

Business process outsourcing is a form of business where a company sets contract with an outside company for the completion of a task through electronic process in exchange of a certain amount of payment for the company. The advantages of these business are that they promotes effective use of supply chain partners, Increases flexibility in resource management and increases the speed of business process. 

BPO stands for ________________.

  1. Bharat Petro Organisation

  2. Business Process Outsourcing

  3. Big Portfolio Outsourcing

  4. Business Partners Organisation


Correct Option: B
Explanation:

BPO stands for Business process outsourcing which refers to a form of business where a company sets contract with an outside company for the completion of a task through electronic process in exchange of a certain amount of payment for the company.

This form of business face many challenges in day to day life like the contractual length of the task, the competition and lack of confidentiality of the information shared between the business.

 The advantages of these business are that they promotes effective use of supply chain partners, Increases flexibility in resource management and increases the speed of business process. 

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