We Only Have So Much Trust

By Deane Barker on May 5, 2004

Offshoring: Companies guarding ‘secret sauce’: Interesting situation: U.S. companies are willing to send grunt IT work overseas, but not the intellectual property they worked so hard to develop. It seems that they don’t trust overseas companies to keep their intellectual property safe.

Therein lies the dilemma for many technology executives confronting the issue of offshore outsourcing: U.S. companies are increasingly turning to other countries to reduce labor costs, but they must decide how far they can go without risking security breaches, communication lapses or operational breakdowns, when moving work thousands of miles away overseas.

I still agree with how this guy handled the “offshore problem.” He figued out how much he would save by sending work offshore, then added back how much it was worth to him to have someone on-site. He then advertised a position at this (much less than market) rate. He was deluged with applications.