Search the best information on DirectHit. Everything Arguments Against Right Now on Direct Hit. Outsourcing is a complicated issue that tends to provoke strong reactions.
Your feelings about the issue might change based on where you live, where you work and whose opinions you read or listen to, but it’s good to have the basic arguments for and against outsourcing in the back of your mind when you hear about it in political debates. To get the outsourcing going, there is usually an upfront one-time fee. In the longer-term, the savings are forecast, but they are extremely slim.
We all know what happens with cost creep. Before we know it, we have added something that looks almost exactly like what we used to have. Water will always find the lowest point.
The business case for outsourcing abroad is simple: a lower cost of goods allows your company make higher profit margins while remaining competitive against other firms. It can also reduce taxes. But I’ve rarely if ever heard so clearly articulated the case against – or spun more positively, the deep rationalization needed for – outsourcing.
