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Ranga Ramasesh is the operations manager for a firm that is trying to decide whi

ID: 396005 • Letter: R

Question

Ranga Ramasesh is the operations manager for a firm that is trying to decide which one of four countries it should research for possibie outsourcing providers. The first step is to select a country based on oultural risk factors, which are oritical to eventual business success with the provider. Ranga has reviewed outsourcing provider directories and found that the four countries in the table below have an ample number of providers from which they can choose. To aid in the country selection step, he has enlisted the aid of a oultural expert, John Wang, who has provided ratings of the various criteria in the table below The resulting ratings are on a 1 to 10 scale, where 1 is a low risk and 10 is a high risk. Further, John Wang has determined six criteria weightings. Trust, with a weight of 0.40 Quality, with 0.20, Religious, with0.10; Individualism, with 0.10; Time, with 0.10; and Uncertainty, with 0.10. Using the weighted factoe-rating method, which country should Ranga select? Ih the following table, compute the total weighted score for each candidate (enter each response as a decimal rounded to one place) Selection Criterion Trust Society value of quality work Religious attitudes Individualism attitudes Time orientation attitudes Uncertainity avoidance attitude Weight Mexico Panama Costa Rica P 0.40 0.20 4 0.10 0.10 0.103 Total Weighted Score:

Explanation / Answer

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