The Offshoring of Engineering Facts, Unknowns, and Potential Implications (2008) / Chapter Skim
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2 Offshoring and Engineering: The Knowledge Base and Issues
2 Offshoring and Engineering: The Knowledge Base and Issues
Pages 10-19
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From page 10... ...
One difficulty is that engineering is a "porous 20 percent, the total number of bachelor's degrees increased profession," that is, a significant percentage of the individu- by more than 40 percent. Thus overall technical degrees have als who receive engineering degrees ultimately pursue ca- been less popular than other, nontechnical majors.
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From page 11... ...
workforce Note: This presentation is meant to provide a broad overview and therefore does not delve into the subtleties involved in measuring the engineering workforce. Abt Associates (2004)
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From page 12... ...
described Chemical 29,000 engineering employment as becoming "more volatile with Civil 237,000 each decade," as careers characterized by upward mobility Computer hardware 74,000 and advancement are replaced by work patterns that require Electrical and electronics 280,000 Environmental 51,000 numerous lateral job shifts. They ascribe the changes to the Industrial, including health/safety 223,000 "commoditization" of engineering work, that is, the breaking Marine engineers/naval architects 8,000 down of jobs into highly specific tasks that can be performed Materials 21,000 by employees, outsourced to contractors, or sent offshore.
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From page 13... ...
) that The NAE Committee on the Offshoring of Engineering 3 - 1 Committee Figure preceded the recent wave of offshoring but have taken new defined "globalization" as the broad, long-standing process directions since it began, the movement of engineering work whereby national economies and business activities are be as a result of the relocation of manufacturing activities, and coming increasingly integrated and interdependent, mainly "onshoring" (engineering work being moved to the United through expanded trade, capital flows, and foreign direct States from abroad)
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From page 14... ...
. The international Indian software industry began with Business factors, which have led to the development of Tata Consultancy Services, a pioneering firm that provided new business models in global service industries, also conIndian programmers to work at customer sites in the United tributed to the offshoring of engineering and other services States.
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From page 15... ...
Thus the globalization of R&D is a complex, rapidly changGlobalization of R&D and Engineering ing phenomenon, and the trend of global companies locating Foreign direct investment in R&D by multinational com- R&D facilities in emerging economies is relatively recent. panies is a long-standing practice (Mansfield et al., 1979)
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From page 16... ...
. According number, 192,000, is small compared with typical quarterly to one estimate, gains from services offshoring accounted for job losses and gains of seven or eight million in the U.S.
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From page 17... ...
Even before widespread offshoring, some job categories and regions. Possible ways of addressing the services workers, particularly IT professionals, had raised distributional issues, such as extending Trade Adjustment concerns about job dislocations and slow wage growth Assistance to people who lose their jobs as a result of inter brought on by the availability of skilled immigrants holding national trade, and providing wage insurance, are discussed H-1B and L-1 visas.
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From page 18... ...
1999. Foreign direct investment in industrial research in a Volatile Economy Good for America?
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From page 19... ...
OFFSHORING AND ENGINEERING: THE KNOWLEDGE BASE AND ISSUES 19 UNCTAD (United Nations Conference on Trade and Development)
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