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Offshoring Professional Services: Institutions and Professional Control

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  • Kyoung‐Hee Yu
  • Frank Levy

Abstract

We examine the reasons why one might expect it to be more difficult to offshore professional work than manufacturing work in a globalized world. We then provide data on the variations in a specific case — the offshoring of diagnostic radiology from the USA, UK and Singapore. We show that existing theories on the ‘offshorability’ of jobs have not captured how national institutions and occupational regulations continue to define professional work. We then review the question of supply from India's perspective and report that both macro‐institutional and organizational contexts make it complicated for Indian doctors to supply much of this service.

Suggested Citation

  • Kyoung‐Hee Yu & Frank Levy, 2010. "Offshoring Professional Services: Institutions and Professional Control," British Journal of Industrial Relations, London School of Economics, vol. 48(4), pages 758-783, December.
    • Handle: RePEc:bla:brjirl:v:48:y:2010:i:4:p:758-783
    DOI: 10.1111/j.1467-8543.2010.00812.x
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    References listed on IDEAS

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    1. Morris M. Kleiner, 2000. "Occupational Licensing," Journal of Economic Perspectives, American Economic Association, vol. 14(4), pages 189-202, Fall.
    2. David H. Autor & Frank Levy & Richard J. Murnane, 2003. "The skill content of recent technological change: an empirical exploration," Proceedings, Federal Reserve Bank of San Francisco, issue Nov.
    3. Mari Sako, 2006. "Outsourcing and Offshoring: Implications for Productivity of Business Services," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 22(4), pages 499-512, Winter.
    4. David, Paul A., 1994. "Why are institutions the 'carriers of history'?: Path dependence and the evolution of conventions, organizations and institutions," Structural Change and Economic Dynamics, Elsevier, vol. 5(2), pages 205-220, December.
    5. Frieden, Jeffry A., 1991. "Invested interests: the politics of national economic policies in a world of global finance," International Organization, Cambridge University Press, vol. 45(4), pages 425-451, October.
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    Cited by:

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    2. Rafael Gomez & Morley Gunderson & René Morissette, 2013. "Labour Adjustment Implications of Service Offshoring: Evidence from Canada," British Journal of Industrial Relations, London School of Economics, vol. 51(1), pages 148-173, March.
    3. Brenton Peterson & Sonal Pandya & David Leblang, 2014. "Doctors with borders: occupational licensing as an implicit barrier to high skill migration," Public Choice, Springer, vol. 160(1), pages 45-63, July.
    4. Christopher L. Erickson & Peter Norlander, 2022. "How the past of outsourcing and offshoring is the future of post‐pandemic remote work: A typology, a model and a review," Industrial Relations Journal, Wiley Blackwell, vol. 53(1), pages 71-89, January.
    5. Norlander, Peter & Erickson, Christopher, 2022. "The Role of Institutions in Job Teleworkability Before and After the Covid-19 Pandemic," GLO Discussion Paper Series 1172, Global Labor Organization (GLO).
    6. Kuruvilla, Sarosh & Noronha, Ernesto, 2016. "From pyramids to diamonds: legal process offshoring, employment systems, and labor markets for lawyers in the United States and India," LSE Research Online Documents on Economics 65136, London School of Economics and Political Science, LSE Library.
    7. Rodgers, Peter & Khan, Zaheer & Tarba, Shlomo & Nurgabdeshov, Assylbek & Ahammad, Mohammad F., 2019. "Exploring the determinants of location choice decisions of offshored R&D projects," Journal of Business Research, Elsevier, vol. 103(C), pages 472-483.

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