Consider the following statement. Crowdsourcing provides labor efficiencies by c
ID: 3849164 • Letter: C
Question
Consider the following statement.
Crowdsourcing provides labor efficiencies by capitalzing on the technology of mobile devices and the Internet. The old model of full-time workers extracting a heavy fixed cost from the business enterprise is quickly being replaced by this flexible model which decouples the worker from the business. This approach creates market efficiencies by allowing the worker to sell their work to an employer in a constant, transparent and volatile free market.
With this approach workers are independent contractors and thus the inflexibility of full-time labor costs, and the impediments and inflexiblity of organized labor are removed and labor costs can fluctuate freely with business revenues.
This approach provides benefits for the business, the employee who is free to work when they want to and for whom they want, and improves prospects for the economy as a whole.
What do you think?
Explanation / Answer
Crowdsourcing defintely provides a flexible option to employers as well as to employees. In this new age of Internet and hand held computing power everything is under your fingertips. The employees can make more use of their skills/knowledge by working flexibly for multiple employers. This gives the employees an independence of working from wherever they want, for whomever they want and they can also work for desired number of hours. For employers it is an easy way to capitalize the best of the talents in the market and not engaging with them on a permanent long term basis. Employer also benefits by paying for the work done only and not carrying the baggage of non-performing employees.
In addtition to all the above mentioned merits there are also some downsides to it. This creates a sense of instability for both employers and employees. The employer may find him/herself in a situation where they don't have any independent contractor to accomplish the task in hand. Same goes for the employee.
Looking at the greater picture this is definitely going to improve efficiencies and economies worldwide. It is a major trend now in developed countries and developing countries like India are also catching up.