THE NEED OF OUTSOURCING IN THE ACTIVITIES OF AUDITING COMPANIES IN MODERN ECONOMIC CONDITIONS

The article dwells upon the peculiarities of the use of outsource services in the activities of audit companies. In current economic environment, it is increasingly difficult for audit companies to stay in the audit services market. Competitive environment leads to implantation of new types of services such as outsourcing services. The article is concerned with the essence of the concept of "outsourcing" and variety of its interpretations provided by foreign and domestic scientists and experts. It was revealed practically that outsourcing is the performance of certain functions of business operations by outside service, such as an audit company or an outsourcing freelancer. The aim of outsourcing using and its main types have been specified. The authors of the article have considered the options of outsourcing services for audit companies and their advantages and disadvantages. The specific benefits and negative consequences of using outsourcing services are determined in each case: for each pair of companies and each type of outsourcing. The global outsourcing market has been reviewed and main audit companies, that are the largest providers of outsourcing services, have been identified. In Ukraine, outsourcing is used mainly in the financial, HR, IT and legal sectors. However, one of the most popular sector is accounting outsourcing services. Accounting outsourcing includes services for restoration and maintenance of financial and tax records, tax optimization, compilation report. The business losses due to the COVID-19 pandemic have been assessed from the perspective of outsourcing services using. It is revealed that in terms of the coronavirus pandemic the lifeline for entrepreneurs was outsourcing of non-core functions and business processes, and that allows staying afloat, keeping profits and fully focusing the company's core business. In terms of the coronavirus pandemic, only those companies that operate in the most efficient way, reducing operating costs while maintaining the high quality of their products and services, survive and succeed. The author is convinced that outsourcing is a novel technology of managing companies’ resources in various fields, including audit activities. The advantages that encourage entrepreneurs to use outsourcing services provided by audit companies are liability for violating the rights and obligations of the parties regarding the information confidentiality, and the fact that audit companies employ highly qualified specialists.

Eco-Innovations in Global Markets: The Effect of Ecological (In)Congruence on Consumers’ Adoption Intentions

Eco-innovations are increasingly manufactured and consumed across national borders. Although global outsourcing can be financially profitable, it is questionable whether consumers respond to eco-innovations manufactured in different countries in the same way. This article introduces the ecological country-of-manufacture (COM) concept, which reflects consumers’ perception of a country’s commitment to sustainable development policy and practices. Drawing on schema theory, the current research examines how consumer reactions to “ecological (in)congruence”—when the sustainability reputation of a COM is a (mis)match with product eco-friendliness levels—vary across product categories (Study 1a), consumption contexts (Study 1b), and national settings (Study 2). Consumers report more preferential evaluations when there is ecological incongruence for privately consumed products and ecological congruence for publicly consumed products. The results also demonstrate the differential moderating effects of socioeconomic development factors and cultural dimensions. In emerging markets with highly embedded, hierarchical, and high-harmony cultures, consumers require ecological congruence to justify their adoption decisions, whereas in developed markets with highly autonomous, egalitarian, and high-mastery cultures, consumers are more likely to adopt eco-innovations that are ecologically incongruent.

THE ROLE OF INSTITUTIONAL SUPPORT MECHANISMS FOR GLOBAL IT OUTSOURCING DEVELOPMENT

The purpose of this article is to develop a deeper understanding of government policy regarding global IT outsourcing. The effects of global outsourcing are subjective to the economy of each country and the intention for which the same was undertaken. The development and the formation of a competitive environment of the global outsourcing market in IT business is taking into account the relevant prerequisites, has certain trends and results. The study of these characteristics allowed to establish the form of functioning of this phenomenon at the global level, to outline the significant advantages and problems of this type of business, which in its turn influenced the regulatory policy of states to transform or stabilise its economy. The article identifies the components and structure of institutional support for IT outsourcing development at different levels of management and regulation starting from local to international. The purpose of the article is to systematize and analyze the state of institutional support for the regulation of global outsourcing of IT business in the international market. Problems and tendencies of influence of institutes, their mechanisms and tools are revealed. Methodical approaches to the assessment of economic efficiency are offered. The possible consequences of their imperfection are described. The directions of improvement for the future are substantiated.

OUTSOURCING AS A TOOL FOR INTERNATIONAL TECHNOLOGY EXCHANGE

Technological convergence with technological exchange as its main part have nowadays become a part and parcel of global economy and the world order. Outsourcing and international outsourcing have become an equally integral part of it. But how strongly are these two parts interconnected? Can they be separated or have to be concerned as relative systems? How have outsourcing influenced on modern technological exchange system development and the technological convergence concept? These questions are taken into consideration by the author, basing on historical experience and modern global outsourcing market study.

УДОСКОНАЛЕННЯ ПРОЦЕСІВ КОМЕРЦІАЛІЗАЦІЇ ОБ’ЄКТІВ ПРАВА ІНТЕЛЕКТУАЛЬНОЇ ВЛАСНОСТІ У СФЕРІ КОМП’ЮТЕРНИХ ТЕХНОЛОГІЙ

У статті розглянуто економіко-правову систему захисту комп’ютерних технологій України та Сполучених Штатів Америки. Виявлено, що США є першою державою, що розпочала охороняти комп’ютерні програми як об’єкт авторського права. Встановлено, що внесок ІТ-сфери у валовий внутрішній продукт (ВВП) країни за 7 років збільшився в 4 рази: з 1% у 2012 році до 4% у 2018 році. У ході аналізу світового ринку програмного забезпечення визначено частку українського ринку надання послуг в ІТ-сфері. Розглянуто видову характеристику комерціалізації програмного забезпечення України. Досліджено, що основними партнерами України за експортом ІТ-сфери є США (31%), Велика Британія (23%) та інші (46%), зокрема Німеччина, Канада, Ізраїль, Швеція, Швейцарія. Проаналізовано обсяги інвестицій на розвиток ІТ-сфери України, що склали в загальному обсязі у 2016 році 120 млн. дол., у 2017 році – 265 млн. дол., у 2018 році – 295 млн. дол. Проаналізовано попит на українські аутсорсингові компанії, які забезпечують патентно-ліцензійну діяльність на підприємствах як у своїй країні, так і поза її межами. У 2018 році 12 українських компаній та 6 компаній з українськими представниками увійшли в топ-100 лідерів за рейтингом “The 2018 Global Outsourcing 100”. Хоча український ринок має позитивну динаміку щодо експорту продуктів програмного забезпечення, все ще українські фірми не мають значної кількості замовлень на міжнародному ринку. У ході дослідження Асоціації виробників програмного забезпечення було встановлено, що в Україні лише 20% ліцензійного програмного забезпечення, інші 80% не мають потрібних ліцензій, тобто є нелегальними. Запропоновано вдосконалити чинне законодавство України щодо охорони об’єктів інтелектуальної власності у сфері комп’ютерних технологій, що дасть змогу не лише запобігти численним правопорушенням незаконного використання комп’ютерних програм, але й забезпечити значний розвиток країни у сфері комп’ютерних технологій загалом та збільшити можливості держави посісти почесне місце в Європейському Союзі серед експортерів комп’ютерних технологій.

Understanding the usage patterns, practices and decision process of third party logistics outsourcing in Bangladesh

Purpose Bangladesh is becoming one of the emerging destinations for global outsourcing. However, little is known about the usage patterns of third party logistics (3PL) outsourced services. The purpose of this paper is to examine the extent of 3PL usage, the organisational factors affecting 3PL usage, impacts of 3PL and the future trend of 3PL usage in Bangladesh. Design/methodology/approach A survey questionnaire is used to collect data against a number of items pertaining to the extent of 3PL use and its impact on performance. A total of 1,000 organizations were randomly selected from the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) database. The survey resulted in 243 responses, out of which 150 organisations have adopted 3PL services. A chi-square test is conducted to assess statistical significance of the hypothesized relationships among the variables relating to 3PL decision-making process and a regression analysis is conducted to assess the strength of those variables to predict the impact of 3PL usage. Findings Overall, the results reveal that 3PL services are extensively adopted by businesses (63 per cent) in Bangladesh. Freight forwarding, order fulfilment and shipment consolidation are the top three most frequently outsourced 3PL services. However, the extent of 3PL use varies between manufacturing and service organisations. Results also suggest that logistics system performance is the key predictor of the overall satisfaction of 3PL users. Research limitations/implications The key limitation of this study is that both manufacturing and services firms are collectively analysed. Future research will separately investigate the outsourcing 3PL services requirements for two categories of firms. Characterisation of 3PL usage patterns and their drivers has practical significance and strategic implications for logistics practitioners and decision-makers who opt for global outsourcing. Originality/value The implementation in the context of Bangladesh to provide an evidence base to formulate business strategies for increasing the adoption of 3PL usage is novel.