C10.5 - Procter & Gamble Outsources to Hewlett-Packard

Q1- Compare the qualitative and quantitative sides of outsourcing contracts.

Ans -

Qualitative Sides Of Outsourcing Contracts.

1. Web based surveys

Online surveys are a cheaper alternative to a field survey, but have equal effectiveness in gathering data. We design survey questionnaires that are based on the nature of the business project and attuned to your market conditions. The data is captured through channels such as emails and survey websites.

2. Online focus groups

Online focus groups are an innovative concept that involves a discussion of participants in a web-based virtual chat room at the comfort of their homes. Participants need to only have a PC and an internet connection along with special software to enable communication among various participants of the focus group Online focus groups can also have audio / video using webcams and Instant Messaging tools.

3. One-on-one in-depth interviews

One-on-one interviews are designed to go in-depth into the buying behavior of a customer. Participants can be chosen based on the various customer or market segments. They can be interviewed online or through interactive surveys. When used in conjunction with focus groups they can give you the personal habits of customers that you can later incorporate into your marketing strategy.

4. Market research observation methods

This method involves observing a respondent in their natural environment. This can be used by software product companies who wish to understand usage patterns of a customer; this can help in knowing the fallacies / advantages of a product. It can also include ethnography and photo-ethnography where customers or prospects record actual behaviors through notes and also participate in follow-up interviews.

Quantitative Sides Of Outsourcing Contracts.

1. Defining the problem

Here the objective of why the research is being conducted is derived and the problem statement is defined. All subsequent activities follow the goal(s) and are accordingly executed.

2. Designing the research plan

A detailed research plan is drawn, which comprises the target audience for the research, and the tools needed. The research plan varies with each research project.

.

3. Data collection

This is the most important step in the quantitative process. These are the main methods for collecting data:

· Online research
By using various online sources such as websites and publicly available research reports, we collect data based on the various parameters set in the initial stages of the outsourcing research.

· Telephonic interviews
Interviews over the telephone are a cheaper option when compared to in-person interviews or field studies. They can be applied to all sample sizes in a research assignment.

· Email surveys
Email surveys are cheap yet cost effective while collecting data from a large sample size. The survey campaign can be designed in such a way as to maximize response and can be spread over a period of time.

4. Information analysis

The collected information is then subjected to statistical analyses such as Regression analysis, ANOVA, Cross tabulation etc. This provides findings into various relationships in the collected data.

5. Reporting

The final stage in this process involves presenting the information in graphs, charts and self-explanatory tables. These are intended to help the end-user of the research report to assimilate the findings of the research project easily.

Q2 - Discuss the "go slow" strategy that P&G and HP used in their outsourcing contract?

Ans -

No major restructuring of services or staff out of the gate. No high-cost implementations of new services or software. And, in particular, no interruption or degradation of the technology for supporting call centers and for managing its networks.