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The Globalization of White-Collar Work
While cost reduction remains a prime justification for many offshoring implementations, this paper suggests that labor arbitrage is no longer the only impetus. The 2006 survey conducted by Duke University's Arie Lewin and BAH vice president Vinay Couto with Mahadeva Mani reveals that, increasingly, companies are offshoring to gain critical access to highly skilled scientific and engineering talent in China, India, Eastern Europe, and other emerging locations. In other words, offshoring is evolving from a cost-saving tactic into a workforce management strategy with significant long-term ramifications.