At I.B.M., a Smarter Way to Outsource
5th July 2007
Item. People are learning that “outsourcing” is only worthwhile when there’s a significant imbalance in resource prices between one point and another. In that sense, it’s like currency arbitrage. With modern communications, however, those imbalances are equalizing more and more rapidly, and the “outsourcing” advantages shrink with corresponding speed.
Of course, that doesn’t prevent static-minded bureaucrats and other “activists” from behaving as if the situation tomorrow will be same situation as today unless they “do something”.