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You are looking for theories about outsourcing and then his identification is theoretically what the advantages and disadvantages outsorcing.

Outsourcing comes from the English language meaning "power over". Outsourcing has another name which is "contracting out" is a moving operation from one company to another. This is usually done to minimize the cost of production or to focus on other things. In developed countries like America and Europe, the use of outsourcing has become so globalized that it becomes a means for companies to concentrate more on its core business so that more focus on product excellence service. In general, outsourcing is defined as the transfer or delegation of some business process services to an agency supervisor. Where the supervisory agency services to the administration and management based on the definition and criteria agreed upon. Outsourcing to attend because of the desire of the company (enterprise user / subscriber - user / principal) to give up some activities of the company to another party (outsourcing company) so he can concentrate fully on the company's business processes (core business) Let me be more competitive destination. Therefore, the work is outsourced jobs not directly related to the company's core business, but the supporting work (staff level down), although sometimes there are also managerial positions that are outsourced, but still, just to work in such as project deadlines. The use of outsourcing is often used as a competitive strategy for the company's focus on its core business. However, in practice outsourcing company driven by a desire to push up to the lowest possible cost and profit doubled despite often violate business ethics. Companies that use outsourced workers are known 4 reasons to use outsourcing, namely manpower effectiveness, no need to develop human resources for the job that is not the main, to empower companies and dealing with unpredicted business condition. The term outsourcing comes from the word "outsource" a form of activity which rely on a process of work activities of others outside the company. Definition of outsource is based on an excerpt from wikipedia.org, namely: "outsourcing is subcontracting a process, Such as product
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design or manufacturing, to a third-party company. The decision to outsource is Often Made in the interest of lowering firm costs, redirecting or conserving energy directed at the competencies of a particular business, or to the make more efficient use of labor, capital, technology and resources. ". From the definition above can be interpreted that outsourcing is the transfer of activities supporting the work usually done internally in the company to the manager of employment services that have expertise and experience in dealing with work activities, which made the company as a form of cost effectiveness of the management approach in labor meeting the needs. Understanding outsourcing. Outsourcing is derived from the out source, which means to procure (as some goods or services needed by a business or organization) under contract with an outside supplier [3] (to obtain goods or services required to base a business or organization that contracts with external suppliers). Consider Reading in phonetic Outsourcing is delegating management and daily operations of a business process to an outside party (the provider of outsourcing services). Through delegation, the management is no longer performed by the company, but delegated to the company's outsourcing services. The objective of outsourcing. The objective of outsourcing is efficiency in order to produce a quality product and quality to minimize the risk. Efforts to achieve real efficiency is to be understood. There are several theories that promote the achievement of the management of it. Business Process Reengineering (BPR = business process reengineering) by Michael Hammer that emphasizes the elimination of all factors that do not provide added value is more important than using technology to automate. Total Quality Management (TQM), Just-in-time (JIT) Model PlanDo-Check-Act by Dr.W.Edward Deming the expanded by Kaoru Ishikawa who created the fishbone diagram as a basis to find the root Causes been applied to Kaizen. Kaizen is the element of teamwork; personal discipline; improved morale; quality circles and suggestions for improvement In general, outsourcing is a System work to produce goods or services performed by the employer by way of transferring some work to other employers. There are no restrictions as to who and to whom outsourcing can be done. Similarly, there is no limit on "what kind of work" that can be transferred to another party. Provided that after an analysis of management will be beneficial both increased quality and quantity. In this case must be meaningful outsourcing "outsourcing jobs" instead of "outsourced workers" Efficiency is the goal / objectives of the outsourcing. It was said, because the ultimate goal of outsourcing is an increase in productivity.
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Outsourcing is a form of working relationship. Employment relationship is a legal relationship. Law relationship is a relationship that is made by law subject to the laws of the objects that give rise to legal consequences. Requirement of law subject to a legal relationship must be "people". Meaning people can be naturlijke persoon or legal entity. Legal person in employment is the employer and the worker. The relationship between employers and workers in the form of a "command" of the employer who is inversely proportional to the return of the command has been implemented in the form of "wage and other rights under the law". Terms of the legal object of a legal relationship is a "thing". In the labor relations legal object is a "job". The meaning of work is something that has been done by removing the inherent power of workers to produce the "goods" or "service". Thus workers can not be the object of an employment relationship.

Doing Outsourcing Advantages Some of the major advantages on which to base a decision to outsource are: 1. Focus on core competencies With outsourcing, companies can focus on their core-business. This can be done by updating the strategy and restructure the resources (human and financial) available. Company will benefit by focusing resources to meet customer needs, by way of transfer of work outside of core-business support to companies outsourcing vendor and focus resources solely on the strategic employment directly related to customer satisfaction or increase revenues. If your company is a manufacturing or service, is not it better you focus on your core-business making high-quality products or services that can satisfy the market demand, rather than spending limited resources to handle the company's employment issues? 2. Savings and operational cost control One of the main reasons for outsourcing is the opportunity to reduce and control operating costs. Company that manages its own human resources will have a financing structure that is greater than the company that submitted it to the management of human resources outsourcing
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vendor. This happens because the outsourcing vendor to play with the "economics of scale" (scale economies) in managing human resources. Similarly, manufacturing companies, a growing number of products produced, the smaller the per-product costs are incurred. For the outsourcing vendor, the more human resources are managed, the smaller the per-person cost is also incurred. In addition, because of labor problems is core-business, efficiency in managing human resources outsourcing vendor is a major concern. By shifting employment issues to the vendor outsourcing, companies can make cost savings by removing the budget for investment in various areas of employment including reducing the human resources required to perform activities of labor administration. This will reduce corporate overhead costs and the funds saved can be used for other projects directly related to improving the quality of products / services. For most companies, HR is generally a fixed cost (fixed cost). When the company experienced positive growth, this would not be problematic. However, when growth is negative, this would be very burdensome corporate finance. By shifting the provision and management of human resources who work outside the core-business outsourcing company to the vendor, the company can control costs by converting fixed cost of human resources into a variable cost, where the number of SDMcore tailored to the needs of business enterprises. The importance of controlling the cost of human resources we can see today. Crisis caused by the fragility and uncertainty of the global political economy and corporate earnings continued to decline causes. This is compounded by the emergence of new competitors who make the market competition becomes unhealthy. This situation has led to companies both large and small struggling to survive by doing massive layoffs to reduce the fixed cost which is generally the range of 60-70% of the total cost of routine. Have you ever done? Large-scale layoffs could actually be avoided if the company can optimize its human resources to work on core-business course and divert human resources to work outside the core-business companies outsourcing to vendors.

3. Utilizing outsourcing vendor competence Because of its core-business in services provision and management of human resources outsourcing vendor has the resources and capabilities in this area better than the company. This ability is gained through their experience in providing and managing human resources for various companies. When a partnership with a professional outsourcing vendor, the company will benefit by utilizing the expertise of the outsourcing vendor to provide and manage the human resources needed by the company. For small companies, start-up companies or companies with poor human resources department of the number and capability, outsourcing vendors can make a major contribution to the company. Because if not handled properly, can cause problems of human resource management and substantial losses for the company, even in some cases threatening the existence of the company. 4. Companies become leaner and more agile in responding to market Every company, large or small, must have limited resources. With outsourcing, companies can divert scarce resources from the works of non-core and have no effect on income and profits indirectly to the company's core strategic tasks-business that can ultimately improve customer satisfaction, revenue and corporate profits . If done properly, outsourcing can make the company become leaner and more agile in responding to market needs. Speed of response to this market a competitive advantage (competitive advantage) compared to competitor companies. After doing the outsourcing, some companies may even reduce significantly the number of their employees because many of their routine work becomes irrelevant. 5. Reduce the risk With outsourcing, companies can hire fewer employees, and selected a core course. This has become one of the company's efforts to reduce the risks to business uncertainty in the future. If the situation is good business and it needs more employees, then it still needs can be met through outsourcing. Meanwhile, if the business situation is deteriorating and should reduce the number of
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employees, the company reduced the number of employees outsourcingnya live alone, so that the monthly expenses and employee severance costs can be reduced. The risk of disputes with employees in the event of layoffs can be avoided because it is legally the responsibility of the outsourcing vendor. Armed with long experience in serving various types of companies, outsourcing vendors can minimize problems that may arise related to the provision and management of human resources. 6. Improve the efficiency and improvement in the jobs of its non-core Currently, many companies are deciding to divert at least one non-core work with a variety of reasons. They generally recognize that recruiting and contract employees, calculate and pay salaries, overtime and benefits, training, public administration and ensure that all processes run in accordance with the laws and regulations is a complicated job, much time, thought and substantial funds. This work shift to a more competent outsourcing vendor to provide a fee as compensation for services proved to be more efficient and cheaper than doing it alone.

Doing weakness Outsourcing Besides the advantages already mentioned above, out-sourcing the application of this method also has drawbacks, including: 1. There is considerable concern about the security of information systems because of the opportunities for abuse by vendors of information systems, such as piracy or leak of company information. 2. There are opportunities to develop information systems do not fit the needs of the company because vendors do not understand the needs of the system within the company. 3. Transfer of knowledge is limited due to the development of information system is fully performed by the vendor.

4. Relatively difficult to make improvements and development of information systems for software development done by the vendor, while the company generally only engaged to design the system requirements. 5. Can occur dependence on consultants. 6. The company's management requires a long learning process and the company must pay a license program purchased so there are consequences to be paid an additional fee. 7. The risk of the investment return has been issued in case of incompatibility of information systems are developed. 8. Reduce the company's competitive advantage. It may be the outsourcer does not focus in providing services because at the same time to develop other client information system. 9. The company will lose control of the applications that are outsourced. If the application is critical applications that must be addressed if an interruption occurs, the company will bear the risk of delay in treatment if this application is outsourced because there is control of the outsourcer must be contacted first. 10. If the bargaining power in the outsourcer, the company will lose a lot of control in deciding something especially if there is conflict between them.

2. Company that doing Outsourcing Outsourcing to attend because of the desire of the company (enterprise user / subscriber user / principal) to give up some activities of the company to another party (outsourcing company) so he can concentrate fully on the company's business processes (core business). Let more competitive destination. Therefore, the work is outsourced jobs not directly related to the company's core business, but the supporting work (staff level down), although sometimes there are also managerial positions that are outsourced, but still, just to work in specific deadlines (project). With a 'split task' to other companies, firms outsourcing users feel they have the advantage of 'cooperation', because he does not need to worry about and care support jobs so they can focus on business operations. And that's what makes many companies turn to outsourcing. The proof, the growth of global outsourcing business recorded a 30% per year. From there we can see how users of outsourcing companies that already rely in part on the company's business process outsourcing in HR recruitment. 1. Outsourcing in the Department of Agriculture (product) Ministry of Agriculture (formerly the Ministry of Agriculture, abbreviated MOA) is a ministry of the Government of Indonesia which shall be responsible for agriculture, plantations and farms. department of agriculture by the ministry of agriculture based on outsource goods to meet the needs and the completeness of their infrastructure. 1. Equipment Procurement employment Animal Health and Animal Health Laboratory Package ii 2. procurement of Information Technology 3. Procurement of Data Processing Equipment & Studio Equipment and Communications 4. Procurement of Agricultural Equipment (Laboratory of Bio-informatics System 5. Procurement of Office Equipment and Computers 6. Procurement of Building Facilities and Equipment (Facilities Office)
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7. Procurement of Building Facilities Equipment 8. PC, Printer, CD Writer, Scanner, Notebook and Projector supply Their outsourcing of IT SUPPLIES ELMARA the company a division of PT Elmara Main Rezki engaged in the sale and procurement of information technology products. This division is the forerunner of the founding of the company, which has now evolved to form the other divisions (Elmara Solution, Elmara Elmara Financial Services and Media). Elmara IT Supplies has been trusted and experienced to handle a variety of project procurement of computer products, peripherals, networks and software applications by various institutions, government agencies and private. they partnered with several leading vendors to serve the demand for IT products, both for individual customers, institutions, government agencies and private. The types of products handled:

Computer: PC, Server, Notebook, Touch Screen Peripheral Equipment: Printer, Scanner, Plotter, LCD projectors, etc Networking Equipment: Switching, routers, cabling, firewalls, accessories etc

This type of software is marketed Operating System: Microsoft Windows Application: Microsoft Office etc Database: SQL Server etc Utilities: Mc Affee, Symantec Graphic Design: Adobe Photoshop Web design: Macromedia Dreamweaver Multimedia: Flash MX And other software according to customer demand

Agencies and PARTNER

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 Microsoft IBM Acer Toshiba Hewlett Packard

Sun Microsystems Telebit Cisco 3Com SCO UNIX

2. Outsourcing in the BANK INDONESIA (service)

Use of outsourcing is no longer avoidable by the company in Indonesia. Various benefits can be learned from outsourcing, such as cost savings (cost saving), the company can focus on its main activities (core business), and access to resources (resources) that are not owned by the company. One key to the success of outsourcing is an agreement to create a long term relationship (long term relationship), not only to the near-term projects. The reason is very simple, the outsourcer must understand the business processes of companies. The company will also be a bit dependent on outsourcers. Bank Indonesia Regulation (PBI) No.13/25/PBI/2011 dated December 9 on the precautionary principle to the commercial banks to transfer some of the implementation of the work to other parties. This regulation is issued as part of the risk of banking operations, to apply the precautionary principle in outsourcing activities that minimize the risks that could arise. So this should be obvious, responsibilities and job outsourcing bank. Some of the provisions of this rule, among others, the bank is responsible for the outsourced work, and which may be outsourced is to support activities such as banks, call centers, billing services, and sales representative, courier, security, data entry, and cleaning service. Especially for the collection of problem loans, for credit only doubtful or loss as well as the billing tasks but only transferred assets or bank accounts should not be diverted. While that should not be outsourced activities such as account officer, customer service, and the teller, as it is the principal banking activities that have a lot of risk. This rule also does not add to the cost of bank funds because they cost only 0.1 - 0.3% of the cost. So it will not add to the cost of much less interest.

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Accordingly, bank Indonesia has done outsourcing bank services such as:
1. call centers 2. billing services 3. sales representative 4. courier, security 5. data entry 6. cleaning service

In addition, national banks continue to apply risk management in selecting service providers such outsourcing. National Bank shall carry out the spirit of risk management by identifying, measuring, monitoring, and risk control.

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3. Why Outsourcing can be more cheaper? Organizations that do not have expertise in recruiting employees will outsource recruitmnt to the company that has specialized in the field. In this way the organization will get the appropriate employees in a faster tempo, because the company that became the source of outsourcing partners have a strong database of the field. Become cheaper because organizations do not need to maintain specialized staff in the field of recruitment. In addition, large economies of scale from outsourcing partners lead partner provider organizations may offer a much cheaper price. Again, the estuary is efficiency. According to Prakarsa (in Taufik, 1995), the concept of outsourcing can be more easily understood if we refer to the transaction cost economist introduced by Ronald Coase, Nobel laureate 1991, from University of Chicago in 1937. Referring to Coase, the transaction costs are all costs necessary to carry out economic activity. Transaction costs include out of pocket cost and opportunity cost. According to Coase the validity of a generic form of economic organization depends on a comparison between the cost of internal transactions and external transaction costs. Make into money Coase theory of transaction costs between two alternatives that interact in such way as to determine the phases of production that be internalized or integrated (in sourcing) in the administrative hierarchy (labeled coasean firm) as well as externalized or disintegration. Coasean optimal scale firm will vary depending on the relative difference between the cost of using the price merchanism (external transaction costs) and cost of using administrative hierarchy (internal transaction costs). Optimal position is achieved when the marginal cost of using the mechanism of marginal cost pricing the use of hierarchy. Therefore, managers will do the
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internalization of the stages of production, both downstream and upstream so that th optimal position is reached. During the marginal cost of using administrative hierarchy is still cheaper than the marginal cost of using market mechanisms, the tendency to do the hard conglomerate dammed, what happens is insourcing. All work done by organization itself. Conversely, if the cost of using administrative hierarchy is more expensive than the cost of using be process outsourcing (Taufik, 1995). Beside that If the suppliers prices are lower than internal costs, the financial aspect is to be considered. Here are also included the costs related to the quality control of the materials and semifinished products. Also are to be integrated the transport costs of materials from the supplier to the sub-contractor as well as the control of the delivered product. The outsourcing of products and processes can result either in the selling of machinery or in the decision of not purchasing new machinery. The capital structure of the company can thus be reduced. the price mechanism will

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4. How so that Indonesia can take advantage of the outsourcing phenomenon (for the company to shift its activities to Indonesia) In a climate of increasingly stringent business competition, companies are trying to do the efficiency of production costs (cost of production). One solution is to outsource the system, which in this system the company can save money in the fund of human resources (HR) who worked in the company concerned. Outsourcing Company itself is essentially an intermediary between employees and companies. Outsourcing company holds a number of people who need jobs and distribute it to companies that need employees. To run a business it is of course their operational costs. This fee usually they get through employee payroll deductions, or they will be billed directly to companies for using their services. Outsourcing comes from the word out, which means go out and source, which means the source. Here are some of the terms of outsourcing: 1. According to Article 1601 Civil Code, outsourcing jobs equated with chartering agreement. So the notion of outsourcing is an arrangement where the contractor binds himself to make a certain work for others who sell wholesale to receive certain payments and other parties bind themselves to sell wholesale sell wholesale to the contractor work with a certain fee. 2. Outsourcing (Outsourcing) in the labor laws in Indonesia is defined as the contracted work and the provision of labor services, legal outsourcing arrangements (Natural Resources) in Indonesia is set in the Employment Act No. 13 of 2003 (Article 64, 65 and 66) and Decree Manpower and Transmigration of the Republic of Indonesia Year 2004 No.Kep.101/Men/VI/2004 Permit Procedures Corporate Services Provider Employee / Labor (Decree 101/2004). Of the outsourcing arrangement (Natural Resources) is the government itself is still considered incomplete. 3. Presidential Instruction No. In. 3 of 2006 on Investment Climate policy package mentioned that outsourcing (Natural Resources) as a factor to be considered seriously in climate attract investment to Indonesia. Form of the government's seriousness in assigning labor ministers to develop a draft revision of Law Number 13 Year 2003 on Manpower.
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4. Sourcing (English: outsourcing or contracting out) is the transfer of the work (operations) from one company to another. This is usually done to minimize the cost of production or to focus on the primary (main business) of the company (http://id.wikipedia.org/wiki/Outsourcing) 5. According to Maher and Selto (2003: 555) stated "Outsourcing is the acquisition of goods or services from an outside provider". 6. Chaang-Yung Kung and Tzung-Ming Yan "Outsourcing is defined as the purchased of valuecreating activities in which enterprises can the make long-term agreements with external suppliers". There are two types of outsourcing, which is paying agent (labor supply) and the full agent (full outsource) (Article managmentfiles.com, Rinella Princess, Q2 2010, Optimistic Prospect of Labor). Paying agent is a company that provides outsourced manpower alone, are full agent in addition to providing labor also has its own production facilities. What does full agent more clearly because of all the employees, equipment, places the responsibility of the supervisor of all companies outsource. As an example of call center companies, such as the company gets paid Rp. 1000 per call. Then all the responsibility of the company began to outsource the provision of premises, equipment, employees and others - others. Of both types of companies are more widely practiced in Indonesia is the first. This means that companies outsource only provide the labor and care of human resources and administration that was the place, supervisors and all means of production are in the user company. Outsourcing to attend because of the desire of the company (enterprise user / subscriber user / principal) to give up some activities of the company to another party (outsourcing company) so that companies can fully concentrate on its core business processes (core business). Therefore, the work is outsourced jobs not directly related to the company's core business, but the supporting work (staff level down), although sometimes there are also managerial positions that are outsourced, but still, just to work in specific deadlines (project).

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Outsourcing Advantages and disadvantages Some of the reasons companies outsource (Wikipedia, the free Encyclopedia) is a cost saving (reduce overall service costs on business), Focus on core business (focusing resources on core businesses / business purposes), Cost restructuring (outsourcing to change the cost of fixed costs into variable costs as variable costs more easily in prediction), improve quality (improving the quality of services through a contract with a new service agreement), knowledge (intellectual assets to gain experience and greater knowledge), Contract (services provided through a contract with the law guarantees legal security and finance), Operational expertise (having a difficult experience if developed), Access to talent (outsource providing expertise and resources with a wider talent), capacity management (improved method of capacity of services and technology where risk management is borne by the over-capacity supplier / provider of outsourcing services). Negative implications for the management of outsourcing, companies and consumers, among others, Quality risk (the risk that the quality could result in decreased production quality), quality of service (quality of service is measured through a service level agreement / SLA in the contract, but no specific measures are clear about SLA), productivity (real productivity is reduced because of the cost saving), staff turnover (turnover less frequent cause of knowledge and quality are at a low level), language skills (language and accent differences result in mis-communication), failure to deliver business transformation (which was promised by the business transformation outsourcing company often failed), security (security is most at risk, for example, in banking as an outsourced worker to gain access to customer account then it could easily transfer to own account), Qualifications of outsourced (outsourcing can replace workers with lower quality in the same plane), Standpoint (point of view of manpower outsourcing can be a threat, because they feel just a freelancer who can be dismissed at any time). Based on research results PPM Research Management Division, August 2008 to 44 companies from various industries there are more than 50% of companies in Indonesia using outsourced labor, ie by 73%. While as many as 27% did not use force in the operations of the company to outsource. 73% of companies using outsourced labor is known 5 reasons to use outsourcing, namely that the company can focus on core business (33.75%), to save on operational costs (28.75%), employee turnover is low (15%), modernization of the world and other businesses, each of 11:25%, as shown in figure 4. As for the other reasons are:
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a. Effectiveness of manpower b. No need to develop human resources for the job that is not the primary. c. Empowering subsidiaries. d. Dealing with unpredicted business condition.

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5. Indonesian Company that doing Outsourcing Lion Air Success outsourcing story in Indonesia has been demonstrated by the airline company Lion Air in Indonesia. Since its inception, Lion Air has been much highlighted by the observe of the business world. Lion Air to realize that not all areas that support the business included in its core product. Therefore, he gave these things to other companies, such as catering, procurement of aircraft components, to aircraft maintenance to the party who is competent in that field. With the transfer of the Lion Air was able to make considerable cost savings. So that Lion Air to sell tickets at lower prices than its competitors. Even Virgin Airlines that want to enter the Indonesian

market was thought twice. Not because of the old players, but precisely because of Lion Air itself. Outsourcing cant be interpreted narrowly as an attempt to cut costs by ignoring the elements of quality, as it has become the benchmark for most people this is "low price low quality". Lion Air to fix the price of tickets at cheap prices because the company's operations are handed things - things other than "core product" it to another party, such as catering, procurement of aircraft components and aircraft maintenance problems. Delegation of work performed by Lion Air is expressed by Rusdi Kirana is equivalent to 1,300 employees Lion Air, or about 30%. So that the delegate it to another party then the Lion Air to get the cost savings that make it able to sell tickets at cheap prices(Economic News, 2003) Now not a day longer a company still handles all the work that is not the core of its business. Instead the company today must think, if there are others who can do the job with a lower cost and similar quality, or it could be better jug. So why not if the work is outside the core business are transferred to other parties who offer outsourcing services.
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There are five long-term benefits if the company doing the outsourcing, that it will be explained as follows:

1. Enhance the company's business focus With the outsourcing company can focus only on core business premises on a wider scale. Companies no longer need to be bothered by the problems of administration and labor incurred. With the delegate outside the core business issues such as provision of food, maintenance, and supply of aircraft parts. Lion Air to create more focused on his core business is as a provider of air freight services

2. Log in world-class capabilities Indirectly outsourcing services companies, will bring a continuation of world-class resources to give to his client, allowing the access to new technology and equipment and techniques have not been used before. By cooperating with companies outsourcing service providers in the field of Italian aircraft engine maintenance and procurement of aircraft parts from the Danish companies can obtain the Air Lioan access new technologies and the latest aircraft maintenance engineering with international standards. And this has made the Lion Air is able to get in on a world-class capabilities.

3. Profit from new technologies accelerate Outsourcing service providers usually services complete with modern equipment as demand for its capacity. With the surrender of the Italian aircraft engine maintenance and procurement of aircraft parts to the provision of outsourcing makes the Lion Air plane - owned

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aircraft performance and better able to serve 88-100 flights. And this is certainly a great benefit for Lion Air.

4. Share the risk of business Investment risks are greater in a company, especially in political and socioeconomic conditions. By outsourcing the Lion Air does not bear the risk of a major effort for Lion Air will only bear the risk of any business on the core business while the business risks beyond the core business concerns are borne solely by outsorcing service providers concerned.

5. Use of existing resources to more strategic activities With the outsourcing of all activities which are not the company's core business will not be a burden anymore. All existing sources can be focused on its core businesses, such activities provide more services to customers and others. With more attention focused on service delivery Lion Air in the field of aviation services, due to outsourcing. Then slowly but surely began to improve its services Lion Air, as evidenced by the availability of wide-bodied aircraft like Boeing 777 and Boeing 747 to serve the route from outside the field abroad.

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Another company that doing outsourcing to another country such as china according to SWA Magazine are show in the table bellow: Company Name PT. Changgong Elektrindo Utama PT. Istana Argo Kencana PT. Kirin Griya Indotama PT. Tri Telaga Teguh PT. Maspion PT. Pervetti Van Melle Indonesia PT. Cadburry Indonesia PT. URC Indonesia PT. Surya Gemilang Multivisionindo PT. Prima Utama Abadi PT. Modern Food Industri PT. Ikad Jakarta PT. Kao Indonesia PT. Kimberley Lever Indonesia PT. Softex Indonesia PT. Tao Galva Industries PT. Santos Jaya Abadi PT. Semesta Citra Motorindo PT. Honda Prospek Motor Inkopad PT. Nestle Indonesia Garuda Food Group

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6. discuss how to keep Indonesian companies are not interested in doing outsourcing to other countries. Answer a minimum of two pages and an answer must be based on the existing reality. Use of outsourcing is no longer avoidable by the company in Indonesia. Various benefits can be learned from outsourcing, such as cost savings (cost saving), the company can focus on its main activities (core business), and access to resources (resources) that are not owned by the company. One key to the success of outsourcing is an agreement to create a long term relationship (long term relationship), not only to the near-term projects. The reason is very simple, the outsourcer must understand the business processes of companies. The company will also be a bit dependent on outsourcers. It's like choosing a wife. But apparently this is not easy to do in Indonesia. Above all else in Indonesia there are many problems in determining this outsourcing partner. In the government-owned institutions, such as Enterprise, service provider selection should be done through a tender. As a result it is difficult to predict the winning bidder. Similarly, the extension service may be tendered again. Good relationships between service users and providers of outsourcing services outsourcing is unlikely. Outsourcing or agencies or who are hired on a daily, seasonal or temporary uncertainty will always face the problem of wages, working hours, shift, and the duties of the job. They always feel save when asked would they remain employed and to what long. Worker contracted on an annual basis or monthly or in time may be able to keep working for ten years but they not have the certainty of the next contract. Employment relationship is still often portrayed through discrimination, namely that permanent workers doing the same with the workers will still be but smaller wages and receive fewer benefits beyond salary allowance, or not received at all. This is especially true in the case discrimination based on race and gender. In many countries workers not remain in the food and beverage industry is a labor of women and / or migrants or immigrants.

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General characteristics of the job is not permanent can be summarized as follows:

The working relationship can be terminated with little or no warning first When the work is irregular and discontinuous The working hours are not predictable and can change at will employer Lower wages than permanent workers Work task or function can change at will employer Short Films or the contract is not stable The contract implicitly or explicitly does not guarantee continued employment continuous Little or no access for non-wage benefits that the standard such as sick leave, parental leave, paid time off misfortune; or Even if no benefits are received under the standard No or limited opportunities to obtain or improve skills through education or training Greater health and safety risks and the risk of variety of hazardous working conditions

These general characteristics also showed that from the standpoint of workers' employer remains not only a "cheap labor" but also "power flexible ". In most cases these workers are employed and dismissed in a short time. They can be re-appointed or transferred to one job to another and their working hours usually not fixed, so that in a day so they could work only several hours, and sometimes work late into the overtime pay low or no pay at all. This flexibility is one reason why the relationship has become is not fixed the flexible for the employer, the greater the uncertainty, insecurity and risk faced by workers. When the flexibility of working relationship did not keep it to control the of the employer for his workers, he also covered the original nature of the relationship worker-employer and used by employers to escape liability properly. the real reason behind this still does not work involves aggressive management strategies that directly not only to cut costs and gain greater

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control of power labor is cheaper and flexible, but also an attempt remedy weaken or suppress unions. COST PRUNING: Workers are not paid less fixed and receive benefits under the standard or do not receive the same all. It also means that employers can avoid paying the funds pensions, taxes, insurance and other financial obligations that associated with a regular pattern of working relationships. Then with employ workers who do not receive pay and ben

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