Darrell Norton's Blog [MVP]

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Wal-Mart finds offshoring more expensive

“Dillman [Wal-Mart’s CIO] is also getting kudos from employees for ignoring the outsourcing fad. The reason is financial: Wal-Mart's preliminary studies have shown that offshoring is more expensive than writing software in-house, Dillman says. It turns out that offshore programmers tend to take more hours to complete tasks than Wal-Mart's U.S. employees do.”

Via BusinessWeek

Published May 14 2004, 06:11 AM by darrell

Comments

Steve said:

Interesting ;-)

# May 14, 2004 2:55 AM

Darrell said:

Yep! At least it should cause companies not to outsource blindly.

# May 14, 2004 3:01 AM

Dave said:

I agree. With an industry leader such as Wal-mart taking this stance, hopefully it opens the eyes of other companies, large or small.

# May 14, 2004 6:27 AM

Dave said:

The other tidbit is about how the CIO doesn't take her laptop power cable home with her so she she has to stop working when the battery dies. Gotta try that :-)

# May 14, 2004 6:30 AM

Darrell said:

Dave- decisions by respected industry leaders should be prominent, not just the hype about offshoring = lower costs. This and Dell "on-shoring" one of their customer service call centers should hopefully give managers pause.

# May 14, 2004 7:59 AM

Darrell said:

Dave- my company gave me a docking station for my laptop and let me take it home (they actually gave me one for work, too), so I can't use that excuse! Must think of another excuse...

# May 14, 2004 8:01 AM