This article is a great read for those considering outsourcing.
Having worked in outsourcing for a few years I came to realize its mostly snake oil. Execs try to lower/control/differ their costs but soon find what appears to work on the balance sheet doesn’t work in practice. Typically outsourcing companies use cheaper less experienced labor that is off shore, highly leveraged and constrained by the scope of the contract.
But atleast they get their bonuses before they leave!