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Putting a price on offshoring

Arpit Kaushik | Jan. 28, 2009
When quantifying the business value of offshore outsourcing, customers must consider three important aspects that are often ignored.

Assumptions on revenue impact are open to theoretical debate and as a result are seldom evidenced in financial statements. It's not that there is no revenue impact for offshore outsourcing, but customers should make the distinction between what benefits will actually hit the books versus benefits that are more theoretical in nature.

Statistics can prove just about anything. You need to exercise diligence and your own prudent judgment in the quantification process, otherwise you will end up building unrealistic, unseen and un-feasible expectations of business value from offshore outsourcing.



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