The word `outsourcing' is becoming ubiquitous, particularly in speeches of Presidential candidates in the US. This is one issue that has become a hot topic for debate. On one side are several US politicians and a handful of economists, who perceive outsourcing as a great threat to some segment of American workers. On the other hand, many economists and a few politicians support the trend as being beneficial to the US `in the long run'. Irrespective of the side that is going to win the argument, the truth is that, outsourcing is a trend that is here to stay. It is as irrevocable as globalization itself. Tom Peters captures the crux of outsourcing in one sentence. For decades, if not centuries, companies have recognized the value of outsourcing. At the beginning of the 20th century, the legendary Henry Ford realized that there was no need for Ford Motors to own rubber plantations in order to manufacture tyres.

Someone else could sell tyres directly and accordingly, he outsourced the job. Today, automobile companies across the world are effectively utilizing outsourcing. Right from components to design to safety systems, automobile companies depend on outsourcing. Another interesting example of effective use of outsourcing is in the case of sports shoes. Companies like Nike, Reebok and Addidas, outsource most of their research, design and manufacturing to a Chinese shoemaker, Yue Yuen. In fact, it is this little known shoemaker, who is the world's biggest maker of sports shoes. The list of such examples could go on, but the point here is that, outsourcing is a tried and tested concept and the results have been encouraging to say the least.