Are there any downsides to offshoring today?
You have to be sensitive to public awareness. So many Americans are losing their jobs because of the economy. We know people will be upset when they hear jobs are going offshore. We handle the job loss issue delicately. Q: What do offshoring buyers today have to do to ensure their engagements are successful in this economy? A: They must do their financial due diligence. Don’t award a contract if the supplier’s finances are shaky or it doesn’t have the capital to support your growth. Also, check out the country’s geopolitical risk. Study the legal and regulatory issues. Can it do SEC compliance? What about intellectual property rights? Q: What do buyers want in today’s offshoring market? A: They want their suppliers to become their partners. They expect us to add value to the original relationship. Also, I think you’ll see buyers consolidating the number of suppliers they work with. Today some buyers are working with as many as 15 different suppliers. I think they will pare that down to
