Mckinsey Global Institute

McKinsey Global Institute

Offshoring:

Is It a Win-Win Game?

Offshoring:

Is It a Win-Win Game?

McKinsey Global Institute

San Francisco August 2003

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McKinsey Global Institute The McKinsey Global Institute (MGI) was established in 1990 as an independent research group within McKinsey & Company, Inc., to conduct original research on important global issues. Its primary purpose is to develop insights into global economic issues and reach a better understanding of the workings of the global economy for the benefit of McKinsey clients and consultants. From time to time the institute issues public reports. These reports are issued at the discretion of MGI's director and its McKinsey Advisory Board when they conclude that the institute's international perspective and its ability to access McKinsey's knowledge of industry economics enable it to provide a valuable fact base to policy debates. The McKinsey Advisory Board is made up of McKinsey partners from Europe, the Pacific Basin, and the Americas. The institute's staff members are drawn primarily from McKinsey's consultants. They serve 6- to 12-month assignments and then return to client work. MGI also commissions leading academics to participate in its research. The institute's director is Diana Farrell, a McKinsey partner. MGI has locations in Washington, D.C., and San Francisco, California.

Preface

“Offshoring: Is It a Win-Win Game?” is a McKinsey Global Institute (MGI) perspective developed during the course of our extensive work in the IT and business process offshoring sectors in India, conducted as part of a broader effort to understand cross-border activities and how they are shaping the global economy. This paper is a first for MGI in that it provides perspectives from ongoing research in advance...