Offshore outsourcing can often help companies realize substantial cost savings by sending certain functions overseas, where labor costs are a fraction of those here in the United States. However, there is more to consider than just the lower labor costs of employees in India verses their domestic counterparts. In this day and age of heightened security sensitivity, it's important to make sure that in addition to going after cheap labor, you're not buying yourself a slew of security exposures as well.
The decision on whether or not to outsource should not rest solely with the CFO. The chief security and compliance officers should also be involved because of the many security- and regulatory-related issues involved with offshore outsourcing.
