Topics:
Keep your trade secrets at home
There's a new warning for companies that outsource work overseas.
Some companies place trade secrets and critical information in the hands of their overseas operatives to get work done, reports CIOZone.com. But companies should be more catious. Patrick J. Whalen, a partner at law firm Spencer Fane Britt & Brown LLP, tells the website that many Asian legal systems don't provide the same kinds of protection that firms have in U.S. or U.K. courts.
"If someone steals your trade secrets, you could have an instant competitor," warns Thomas J. Quilty, CEO of BD Consulting and Investigations, Inc. The thieving company can get away with anything they want if they don't see the product in the United States, he told CIOZone.com. Quilty added that it is important to make sure the outsourcing operation has an audit trail so U.S. companies can see who is looking at the information and who copied it.
There are many other potential pitfalls when work is done by outside firms. This is just another red flag, but an important one to remember for all of your outsourced work.
For more on the perils of outsourcing:
- check out this CIOZone.com article
Related Articles:
2009 trends to watch: Business process outsourcing
IBM will snag half of India's outsourcing work by 2010
Would Obama's tax code curb offshoring?




Comments