Ignoring Currency Implications in Offshoring Deals Seen Short-circuiting Savings

Vienna, VA — July 13, 2009 — Many enterprises are neglecting to factor currency implications into of their negotiations around information technology outsourcing (ITO) and business process outsourcing (BPO) deals, potentially adding significant financial risk and minimizing the very savings that have been a key impetus to use offshore services in the first place, according to a recent report from outsourcing advisory services firm Pace Harmon.

In its report, "Offshoring — Why Foreign Exchange Matters and What to Do about It," Pace Harmon says that companies must recognize the implications of minimizing or ignoring foreign exchange rates when negotiating and managing existing outsourcing deals in today's volatile economy.