| Outsourcing and downsizing practices within American businesses have been topics of investigation over the past four decades. With the intention of saving diminishing resources, many North American aerospace and governmental organizations have embraced both practices. During the 1990s the National Aeronautics and Space Administration (NASA) increased contractor outsourcing and reduced the civil servant population in response to mandated federal budget cuts. Major human capital adjustments were made within NASA as management elected to place the shuttle's operations under a single contract. The problem addressed is increased outsourcing and downsizing has been associated with reduced safety outcomes. The purpose of this quantitative archival study was to examine the relationships of outsourcing and downsizing to mishaps rates at NASA between fiscal year (FY) 1985 and FY 2011. Twenty-seven samples of outsourcing and downsizing data were examined to determine the relationships with high-severity mishaps (HSMs), moderate-severity mishaps (MSMs), and low-severity mishaps (LSMs). A quantitative design utilizing weighted least squares (WLS) regression analysis measured the relationships between predictor and outcome variables. Neither outsourcing nor downsizing predicted HSM rates, adjusted R2 = .32, F (3, 23) = 5.01, p = .53 (outsourcing); adjusted R2 = .49, F (3, 23) = 9.34, p = .41 (downsizing). Both outsourcing and downsizing predicted MSM rates, adjusted R2 = .21, F (3, 23) = 3.24, p = .006 (outsourcing); adjusted R2 = .49, F (3, 23) = 9.55, p = <.001 (downsizing); and LSM rates, adjusted R2 = .77, F (3, 23) = 30.61, p = .003 (outsourcing); adjusted R2 = .89, F (3, 23) = 68.99, p = <.001 (downsizing). Future research could focus more on the causes of mishaps; mishaps unrelated to human factors issues could be eliminated from the analysis. Further research could involve a larger sample size (as the years pass), alternate sources of data for outsourcing and downsizing variables, and additional covariates. The added variables would offer a more convincing model for analyzing the impact of outsourcing and downsizing on mishaps. All-in-all, the efficacy of outsourcing and downsizing as a combined practice and its relationship to safety needs. |
