What are the aspects that affect offshore outsourcing of engineering services?

  The Progressive Policy Institute found that there are two factors that limit the offshore outsourcing of generalservice jobs:

           1) the degree to which functions can be cost effectively transformed into electronic flows facilitated by telecommunications .

           2) the degree to which these new activities still require spatial proximityto suppliers, customers, competitors, or other unites in the firm.

Other aspects

  • Trade limitations
  • Quality issues - Foreign engineers’ training and Stability in country, Security & safety
  • Insurance
  • Legislation
  • Administration (govt in control at that time)