Value-Risk Analysis of Crowdsourcing in Pakistan‘s Perspective

Abstract

: The benefits of crowdsourcing are enabled by open environments where multiple external stakeholders contribute to a firm's outcomes. In recent years, crowdsourcing has emerged as a distributed model of problem-solving and market development. Here, model assignments are assigned to networked individuals to complete so that the manufacturing expense of a business can be minimized considerably. The main objective of this research is to develop a methodology which will capture the value generation process in the presence of uncertainties (Risk factors) in crowdsourcing context. This study is designed to make an important contribution to the field of practice and knowledge. Value-Risk Analysis of crowd souring is one of the under studies Worldwide, especially in Pakistan. Provided the need, we have discussed the crowdsourcing as business process and presented an understanding of the risks associated with crowdsourcing use and possible strategies that can be used to maximize the value and minimize the identified risks. For the better understanding of crowdsourcing practices in Pakistan, three case studies were conducted based on three well reputed organizations of Pakistan and results gathered to help understand its practices, some of the risks associated with it and how they manage those risks. could gleaned that though there are risks involved in crowdsourcing, they can be easily taken care of by proper management of the process. Several risk management approaches by the participants are practical in nature, though some recommendations are very creative, such as anonymizing the data and gamifying the process, reflecting participants‘ relatively extensive experience with crowdsourcing. Value generation of the crowdsourcing concepts by Amit & Zatt are mapped to generate value from case studies. Risk management and value generation are integrated to do value-risk analysis. Value-risk analysis shows the values generated by the case studies in presence of certain risk factor and risk level. Results shows how much value is generated by a case study in presence of what risk factor. The scientific contribution of this research work is a better understanding of the crowdsourcing process and the risks associated with it. Managing those risks and generating value.