The InformationWeek -- Blogs
Outsourcing

Topics:   Outsourcing

  • Email this page E-mail this page
  • Print this page Print this page
  • Bookmark and Share
  • icon

Stop Identity Theft; Send Your Data Offshore


Posted by Paul McDougall, Jun 27, 2005 04:19 PM

Opponents of offshore outsourcing are quick to seize on events that show the practice in a risky light. Their most recent exhibit A: a British tabloid reporter arranged to illegally purchase sensitive customer data from an Indian business-process-outsourcing worker for about $5.00 per name. Yet here in the United States, we don't need to go to such lengths to obtain the raw material for identity theft--we can just wait for it to fall off the back of a truck.

The Sun's report sent offshoring's many detractors into instant "I told you so," mode. "I told you outsourcing is risky." "I told you it invites data theft." "I told you your greed would come back to bite you."

What the anti-outsourcing crowd doesn't want to acknowledge, however, is that reports of fraud in India grab headlines precisely because they are rare. Western companies send more than $2 billion worth of BPO work--along with all the associated customer files--to India each year, yet instances of serious security breaches are few and far between.


In fact, one could argue that companies that are truly concerned about data security should load their customer information onto the next FedEx flight out of the country, rather than have it lie around here--where the likes of Choicepoint Inc., CardSystems Solutions, or Iron Mountain can get their butterfingers on it.

Empirical numbers are tough to come by, but there's every reason to believe that, overall, the art of securing data in India is more advanced than it is in the West for a very simple reason: A series of security breaches in India like those that occurred here would bring down not just a few companies, but the country's entire tech-and-services economy.

That's why, for instance, many Indian BPO firms prohibit workers from bringing any writing tools or devices of any kind into a call center, and employ only dumb terminals that lack hard drives and printing functions. For some Western companies, just locking the doors at night seems to be a problem.

« Customer Data: Stop The Bleeding | Main | The Future Of File Sharing »



Sign Up Now
For InformationWeek News Alerts




This is a public forum. United Business Media and its affiliates are not responsible for and do not control what is posted herein. United Business Media makes no warranties or guarantees concerning any advice dispensed by its staff members or readers.

Community standards in this comment area do not permit hate language, excessive profanity, or other patently offensive language. Please be aware that all information posted to this comment area becomes the property of United Business Media LLC and may be edited and republished in print or electronic format as outlined in United Business Media's Terms of Service.

Important Note: This comment area is NOT intended for commercial messages or solicitations of business.




 

  1. Actors, Messages and Low Lock Contention for Java
  2. Of Course The Transformers are Multicore with SMT technology
  3. Find John Fast!!


Join The InformationWeek Group On LinkedIn


                           


  1. Why I'm Dropping Bing For Google
  2. Nokia's N97 Gets Massive Firmware Update Promising Bug Fixes
  3. Video: Talking About Firefox 3.5, Apple's Snow Leopard, The Return Of Steve Jobs, & More
  4. Bing Is Worth A Fling
  5. So Long, And Thanks, Google Earth, For All The Fish


  1. Review: Apple's Speedy iPhone 3GS
  2. Tech Innovation USA: From Resilient Networks To Self-Scheduling Devices
  3. How Government's Driving Cloud Computing Ahead
  4. Government As Early Adopter
  5. InformationWeek Analytics: Data Loss Prevention
  6. Strategic Security: Web Single Sign-On

 

  Ars Technica
Boing Boing
Channel 9 Forums
CRN Blogs
Dr.Dobb's Portal: Blogs
Engadget
Gizmodo
GrokLaw
  Lifehacker
Schneier on Security
Slashdot
TechCrunch
Techdirt
Techmeme
Valleywag

  DECEMBER 2008
NOVEMBER 2008
OCTOBER 2008
SEPTEMBER 2008
AUGUST 2008
JULY 2008
JUNE 2008
MAY 2008
  APRIL 2008
MARCH 2008
FEBRUARY 2008
JANUARY 2008
DECEMBER 2007
NOVEMBER 2007
OCTOBER 2007
SEPTEMBER 2007