Disclaimer: I'm an Indian and I've worked on offshore developments years ago. I work in product development now and there's no way in hell I'm going back to out

Disclaimer: I'm an Indian and I've worked on offshore developments years ago. I work in product development now and there's no way in hell I'm going back to outsourced projects but I'll admit to some bias. Outsourcing works. Most reputable outsourcing companies are looking for long-term relationships and they are usually very serious about feedback and customer satisfaction. However, like anything else, it takes work and research. You wouldn't hire a single developer without rigorous interviews and even so it would take a while before he/she was up to speed. How then can you expect there to be no overhead with the 5-10 outsourced developers? I've personally worked on projects for Yahoo (US and UK) and Merck and my experience was that the biggest problems were always at the beginning - and they usually were communication problems. What I'm saying is successful outsourced projects tend to work things out as the teams adjust to each other. In no case will it work if you just throw some documents at each other - there needs to be face-to-face and key people need to know each other in any team. The payoff is, of course, the work then continues at a much lower cost. Outsourcing may not be for everyone, but it does work well in a lot of cases. Just my two cents.