Assignment Template

Name:

Assignment Number:

Read the Case Study 10-2,(page, 243) Crowdsourcing at AOL. Answer the following

questions:

Question

1) Is crowdsourcing as used by AOL a form of outsourcing? Why or why not?

2) What steps do you think Maloney might have taken to ensure that the crowdsourcing

would be a success for the inventory project?

3) What factors should be considered when deciding whether or not to crowdsource a

particular part of a business?

4) Describe the advantages and disadvantages of crowdsourcing.

Your answer

1) Certainly! Yes, it qualifies as outsourcing since the task was not executed by the

company's internal staff; instead, it was delegated to an external company for assistance.

Additional insights from the text elaborate on this, such as "… it would have been to hire

two temp workers for the same period," and "Daniel Maloney, an AOL executive,

recently opted for crowdsourcing to aid in cataloging AOL's extensive video collection."

2) For enhanced effectiveness in the work, Maloney should be adept at:

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i) Clearly articulating the job, incorporating quantifiable content aligned with

individuals' interests to attract contributors in their respective areas of expertise.

ii) Offering competitive compensation tied to the work's quality.

iii) Conducting random assessments of completed tasks prior to disbursement of

payment.

iv) Implementing checks on the work performed; although not flawless, it instills a sense

of accountability in workers and motivates them to produce high-quality results.

v) Presenting evidence of cost reductions correlated with improved work quality.

vi) Consider breaking down substantial tasks into micro-tasks and establishing a

monitoring policy to track individuals' progress as they engage with the assigned

tasks.

3) Factors

i) Is crowdsourcing a cost-effective option that aligns with the company's policies

and culture?

ii) Does the needed expertise have a limited impact on the company's growth?

iii) Are the requisite skills available locally, ensuring the capability to deliver high-

quality results?

iv) Does outsourcing pose a lower risk compared to hiring a full-time employee?

Evaluate the risks associated with the task.

4) Crowdsourcing offers several advantages for companies. Firstly, it significantly reduces

costs associated with task completion. The expeditious nature of hiring staff in

crowdsourcing, coupled with a sizable labor force, contributes to faster project

implementation. Additionally, crowdsourcing creates ample job opportunities for

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individuals with varying skill levels, including those with limited skills, busy academic

schedules, or responsibilities such as nursing mothers.

However, despite these benefits, crowdsourcing comes with its share of disadvantages.

Critics argue that it can lead to "digital sweatshops," indicating concerns about

exploitative working conditions. The potential for long working hours may result in

compromised work quality. Furthermore, the lack of transparency in the workforce

makes it challenging for companies to conduct audits, as they often remain unaware of

the individuals performing the tasks. Finally, there is a risk of high skill mismatches

within the crowdsourcing pool, posing challenges for companies seeking specific

expertise.

Student response:

1. Do you feel comfortable with the concepts of the question? If not, how can I help

you understand it better?

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Yes, I feel comfortable with the concepts addressed in the question. However, if there are

any specific areas or aspects that require clarification, please let me know, and I'll be

happy to provide further assistance.

2. Does the content of the question relate well to the area of the text you are studying

this week?

The content of the question aligns well with the current focus of the text under study this

week. It appears relevant and connected to the themes or topics being explored.

3. Write a short essay question which could appear on an exam that covers this

concept. Think of another way to ask this question.

Explain your understanding of the key concepts introduced in the question regarding

comfort with the studied material. Elaborate on the significance of aligning the question's

content with the current area of study. Additionally, propose another way to inquire about

the student's comprehension of the subject matter, considering alternative phrasing or a

different approach to assess understanding.

References:

Pearlson, K. E., Saunders, C. S., & Galletta, D. F. (2019). Managing and Using Information

Systems: A Strategic Approach (7th ed.). Wiley Global Education US.

https://ccis.vitalsource.com/books/9781119561156