Myths and paradoxes in Japanese IT offshoring

Some of significant aspects associated with IT offshoring practices of several leading Japanese companies are discussed. Several companies, such as Toshiba, IBM-Japan, Hitachi, and Mitsubishi adopt IT offshore practices with their offshore vendors from countries, including China, Vietnam, India, Hungary, Romania, and Russia. Investigations reveal that Japanese companies adopt different approaches to outsourcing. These approaches are different from those adopted by American and European countries. Several American and European analysts fail to understand the nature of Japanese outsourcing services, due to the adoption of specific approaches to such practices. It has been revealed that Japanese companies are involved in offshoring practices much before the American and European companies. Most of the Japanese companies have outsourced their software development activities.