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Outsourcing: Report
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The House Science Committee defeated a Resolution of Inquiry, H Res 717, introduced by Democrats demanding that the Department of Commerce release a report on outsourcing, by a vote of 19-14. But a motion to report the resolution adversely failed on a tie vote of 17-17, so the Committee will need to hold another markup next week.
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[T]he report looks at how much is being spent on outsourcing and whether expenditure will grow. Finally, the report outlines some of the factors used by IT executives to select outsourcing providers and highlights the challenges faced by those executives when making IT outsourcing decisions. Finally, the report looks at some regional trends in IT outsourcing by retail financial institutional.
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Mehdi Hassan, blogging for South Asia Biz, recently highlighted a Forrester report on the growing dissatisfaction with IT outsourcing in India. As Hassan points out, firms are struggling with the falling dollar, unrealistic expectations, scalability, possible tax code changes and believe it or not, scarcity of top IT talent.
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