Page 2 Bringing IT outsourcing closer to home - ComputerworldUK.com - 1 views
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T Graham on 13 Dec 10This article presents a unique view of outsourcing from the perspective of the big businesses turning to places like India to save money in labor. This article argues about the negative aspects of offshoring. The author Naoum argues that the negatives of sending IT labor to India outweigh the positives. Naoum writes that even though offshoring may save money in terms of lower costs to pay Indian workers many business owners are not aware of the hidden costs associated with this type of move. He goes on to give statistics of businesses who have sunk due to offshoring without researching all the costs. Naoum points out that business owners may be solely focused on the fact that they are saving some money but ignore that consequences that include the lowering of labor quality and "business innovation." The article mostly focuses on the American or European business owner who is considering offsourcing. The area of impact is business and employment because it involves first world businesses and the labor (employment) of skilled third world citizens. The issue raised in this article is that of reliability he is questioning the quality of IT business done in these nations and whether or not it is worth the extra costs. At the end of the article he suggests outsourcing somewhere a little closer where people are more skilled and the hidden costs are not a threat. For example he suggests outsourcing to Spain where 20% of the older workers are educated in the use of IT. Naoum also raises the issue of security in offshoring to a place like India. He uses the example of a business that outsourced to India and experienced a leak of sensitive information about its clients. Naoum brings an alternate view about outsourcing/offshoring, he points out the negative aspects that people don't usually recognize.
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Madeline Brownstone on 17 Dec 10Seems like you missed the point of data security.