The trend towards offshoring - where companies move some of their business operations to other countries - continues to gather pace. Where the shift was once confined to manufacturing activities, today product design and even elements of customer relationship management are taken abroad.

Unfortunately, most companies miss out on the benefits of offshoring because they view it as an opportunity to lower costs in the short term rather than as a long-term strategic decision. Such a narrow view can lead to operational problems and even threaten the viability of the enterprise itself. A broader view can help the company build a powerful strategic advantage.