As a manager for the public outreach department, you realize that the current system for managing outreach issues is outdated. You would like to have a new outreach system developed using the Cloudera platform to help manage big data. However, no one in the organization has the expertise. You will have to outsource the project to save on costs and avoid management problems. Two companies have sent in a bidone from Vancouver, Canada, and one from Mumbai, India. The bid from India was slightly lower than the bid from Canada.

• Summarize the management advantages, cost reduction, and risk reduction of outsourcing.