4 ms·

Not paying the person in between? I worked at PepsiCo for a little and most of their job responsibilities weren’t unique to the product offering or business mo

Not paying the person in between? I worked at PepsiCo for a little and most of their job responsibilities weren’t unique to the product offering or business model.

kube-system 6y ago
A job that supports the core business is definitely not the same thing as a job unique to the product offering or business model. e.g. food safety is something that is important to PepsiCo's business, yet they are far from the only business that needs food safety expertise. In contrast, they may also need potholes filled in the parking lot, but they may choose to hire outside help for this, because they do not do it enough to be good or efficient at it. Paying a middleman is often cheaper than hiring labor directly. Labor is the largest single cost for most businesses.
- Guest42 6y ago
  I think the distinctions between supports and essential to value get pretty subjective. Since 2008 the number of contracting roles has increased quite a bit and there are disputes as to whether Uber drivers (or engineers) are employees. I’d claim there is an unnecessary and unhelpful bias towards outsourcing (not saying that it’s always wrong, just more prevalent than ideal...).
  - kube-system 6y ago
    Well, Uber drivers definitely directly support Uber's primary business. So I'd say that's a different situation altogether. (and they're not really outsourced, Uber directly "contracts" each one of them) Many businesses fail when trying to outsource staff that directly support their primary product or service. A more direct comparison to the issue of Frito-Lay's janitorial staff is something like: should Yellow Cab should hire their own car wash staff or make a deal with a local car wash?
    - Guest42 6y ago
      Yes, the decisions could go either way depending on circumstances. I think for me this was a good example of needing to stay on topic. Original comment was that not paying a middleman is one potential benefit of keeping common services in house and that many if not most roles could be filled externally.
phkahler 6y ago
You can't get kickbacks from the middleman if there is no middleman.
- kube-system 6y ago
  Those gasoline rewards points at my grocery store is the only reason I don't buy my own cow.

Not paying the person in between? I worked at PepsiCo for a little and most of their job responsibilities weren’t unique to the product offering or business model.

kube-system 6y ago

A job that supports the core business is definitely not the same thing as a job unique to the product offering or business model. e.g. food safety is something that is important to PepsiCo's business, yet they are far from the only business that needs food safety expertise. In contrast, they may also need potholes filled in the parking lot, but they may choose to hire outside help for this, because they do not do it enough to be good or efficient at it. Paying a middleman is often cheaper than hiring labor directly. Labor is the largest single cost for most businesses.

Guest42 6y ago
I think the distinctions between supports and essential to value get pretty subjective. Since 2008 the number of contracting roles has increased quite a bit and there are disputes as to whether Uber drivers (or engineers) are employees. I’d claim there is an unnecessary and unhelpful bias towards outsourcing (not saying that it’s always wrong, just more prevalent than ideal...).
- kube-system 6y ago
  Well, Uber drivers definitely directly support Uber's primary business. So I'd say that's a different situation altogether. (and they're not really outsourced, Uber directly "contracts" each one of them) Many businesses fail when trying to outsource staff that directly support their primary product or service. A more direct comparison to the issue of Frito-Lay's janitorial staff is something like: should Yellow Cab should hire their own car wash staff or make a deal with a local car wash?
  - Guest42 6y ago
    Yes, the decisions could go either way depending on circumstances. I think for me this was a good example of needing to stay on topic. Original comment was that not paying a middleman is one potential benefit of keeping common services in house and that many if not most roles could be filled externally.

phkahler 6y ago

You can't get kickbacks from the middleman if there is no middleman.

kube-system 6y ago
Those gasoline rewards points at my grocery store is the only reason I don't buy my own cow.