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#32
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*bicker* wrote:
(Miguel Cruz) escribió: *bicker* wrote: (Miguel Cruz) escribió: My suggestion was to identify a good vendor and outsource it. Yes, I know. However, what you implied is just because there was a way it could work, then they should do it. That's where you went wrong in your logic. I'm still enamored of my logic on this one. If it "works" then they're making a profit. And that's free money. Except for the opportunity cost. Where does that come in? The time it takes the lawyers to ink the deal with the vendor? Having the flight attendants sell food onboard when they could be in the galley making shoes? miguel -- Hit The Road! Photos from 32 countries on 5 continents: http://travel.u.nu |
#33
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#34
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*bicker* wrote:
(Miguel Cruz) escribió: Except for the opportunity cost. Where does that come in? The time it takes the lawyers to ink the deal with the vendor? Among other things. One of the scarcest resources in a company is the time and energy of its leaders. The whole point of outsourcing in the first place was to protect that resource, so that leaders could focus their attentions on their own business, that which they knew best, and leave ancillary services to subcontractors who could effect the ancillary service better because it was what they knew best. However, outsourcing only reduces the resource-drain on a company by 90%... it still takes some resources to manage the integration of the ancillary service with the core service. Often, that's a great trade off: 10% drain for 100% service. However, 10% plus 10% plus 10% .... it adds up, representing a significant consideration. The managing of a partner portfolio is a relatively new management science, but critical to keeping a tight operation tight. Ok, I'll buy that. miguel -- Hit The Road! Photos from 32 countries on 5 continents: http://travel.u.nu |
#35
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*bicker* wrote:
(Miguel Cruz) escribió: Except for the opportunity cost. Where does that come in? The time it takes the lawyers to ink the deal with the vendor? Among other things. One of the scarcest resources in a company is the time and energy of its leaders. The whole point of outsourcing in the first place was to protect that resource, so that leaders could focus their attentions on their own business, that which they knew best, and leave ancillary services to subcontractors who could effect the ancillary service better because it was what they knew best. However, outsourcing only reduces the resource-drain on a company by 90%... it still takes some resources to manage the integration of the ancillary service with the core service. Often, that's a great trade off: 10% drain for 100% service. However, 10% plus 10% plus 10% .... it adds up, representing a significant consideration. The managing of a partner portfolio is a relatively new management science, but critical to keeping a tight operation tight. Ok, I'll buy that. miguel -- Hit The Road! Photos from 32 countries on 5 continents: http://travel.u.nu |
#36
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Service Tech wrote:
I won't be as blunt as Rod on this. Not many people will boycott an airline because of the food issue. Eat before the flight, or take it with you. I just have to get from point A to point B. I can eat anytime before, during or after. They won't boycott it, but with the mainline carriers descending to the level of the low-fare carriers, there is very little reason to pay more for a flight on American versus Southwest. American is eliminating the extra legroom, eliminating meals, cutting long-haul non-stops, and has worsened their FF program. This is all fine, but they'd better be prepared to compete directly against Southwest, AirTran, JetBlue, etc., in price. I don't think anyone would choose American over JetBlue. |
#37
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Service Tech wrote:
I won't be as blunt as Rod on this. Not many people will boycott an airline because of the food issue. Eat before the flight, or take it with you. I just have to get from point A to point B. I can eat anytime before, during or after. They won't boycott it, but with the mainline carriers descending to the level of the low-fare carriers, there is very little reason to pay more for a flight on American versus Southwest. American is eliminating the extra legroom, eliminating meals, cutting long-haul non-stops, and has worsened their FF program. This is all fine, but they'd better be prepared to compete directly against Southwest, AirTran, JetBlue, etc., in price. I don't think anyone would choose American over JetBlue. |
#38
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Service Tech wrote:
I won't be as blunt as Rod on this. Not many people will boycott an airline because of the food issue. Eat before the flight, or take it with you. I just have to get from point A to point B. I can eat anytime before, during or after. They won't boycott it, but with the mainline carriers descending to the level of the low-fare carriers, there is very little reason to pay more for a flight on American versus Southwest. American is eliminating the extra legroom, eliminating meals, cutting long-haul non-stops, and has worsened their FF program. This is all fine, but they'd better be prepared to compete directly against Southwest, AirTran, JetBlue, etc., in price. I don't think anyone would choose American over JetBlue. |
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