Worldwide outsourcing is now a growing industry which helps many businesses abroad. Using technological advances in communication especially the Internet, global outsourcing is now growing more and more popular. Not only that this business process is available for large companies, medium sized and small businesses can now get hold of this opportunity to grow.

But some people are saying that this process holds a major threat for countries that are outsourcing their functions offshore. Citizens from the United States and even Britain are losing their jobs because of outsourcing. It is hard to think that this is happening due to the fact that outsourcing for countries such as the Philippines and other Asian countries are actually benefitting from the process.

There are only two sides in business, the good and the bad ones. Clearly every business strategy has its disadvantages such as the one mentioned above. Outsourcing your staff remote is not an exception to that fact. But there are so much more to it than meets the eye. Listed below are some of the negative effects of outsourcing:

• There is a potential that you can lose control of your business. Remember that outsourcing companies are other businesses as well. They have their own goals and visions that would not be coinciding with yours.


• Hidden costs are inevitable in any business transactions. Basically, anything that does not appear in the contract is within your financial responsibility.


• If your business deals with sensitive information you should be aware that there are chances that you could lose some of that or worse exposed to the public. Make sure that your contract states any insurance about data protection and the consequences of breaking confidentiality.


• You could be having problems with the output that you expected. Every business has the drive to gain profit and vendors are no exceptions to that. They would do as what the contract dictates and you will have to pay for it despite quality.


• There is a possibility that your operations can get crippled if ever your outsourcing company succumbs to poor economy. You will be totally dependent on their financial well being and there is nothing you can do about it.


• Since outsourcing is growing quite infamous in the United States as mentioned above, your business could suffer bad publicity. But it all depends on the place you are in, if you are within a neighborhood that are "pro" outsourcing, then you are okay.

But despite these pitfalls, many people are still hoping to use worldwide outsourcing and willing to deal with all these predicaments just to cope up with the dynamics of the global economy. One thing is definitely sure in business, flexibility is crucial when outsourcing remote staff.