Suppose a recent report revealed that offshoring may have positive effects on production costs and operational efficiency, but that there is minimal evidence of positive effects on customer service, satisfaction, human resources costs, marketplace image, and home country morale. Suppose this same report also revealed a large majority of the managers surveyed are local hires and almost one half of them approached their initial relocation with a third party. In addition, almost 80 percent of the respondents cited labor cost savings as the formal measure of their offshoring effectiveness.
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