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June 17, 11:30 AM - 12:30 PM U.S./ET (GMT-4)
Larry Bonfante, CIO of the U.S. Tennis Association, will discuss the skills and approaches that your rising IT leaders must learn to be effective in an executive capacity.
How to Handle Your New CEO: Managing Turnover at the Top
June 18, 11:00 AM - 12:00 PM U.S./Eastern (GMT-4)
Turbulent times have increased turnover at the top. Find out what Council CIOs have done to "break in" new CEOs—build relationships, set expectations, educate on the role of IT.
Mid-Market CIO Panel: Tips and Techniques for Improving Vendor Relationships
July 15, 4:00 PM - 5:00 PM U.S./Eastern (GMT-4)
We'll highlight relationship priorities and best practices identified in a Council study, and we'll interact with a CIO panel on the approaches they've used to improve strategic vendor partnerships.
Executive Competencies Assessment Tool
Assess Your Business Leadership Skills with the Council's new benchmarking tool. Rate yourself in change leadership, strategy, customer focus and more.
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June 15, 2004 — CIO —
The simmering debate over offshore outsourcing boiled over on Feb. 9, when the chairman of the president’s Council of Economic Advisers, N. Gregory Mankiw, blandly asserted that offshoring was good for the economy. And while Mankiw’s statement may be defensible, or at the very least arguable, its timing and tone revealed a political ear of the purest tin. Not surprisingly, his quote landed on the front page of newspapers nationwide, along with charges that the Bush administration was advocating sending American jobs overseas.
Senate minority leader Tom Daschle, for example, citing Mankiw’s remarks, suggested that the White House would have to explain its support of outsourcing to millions of unemployed Americans. And Republican Rep. Don Manzullo of Illinois?where a lot of manufacturing jobs were lost due to offshoring?even called for Mankiw to resign. (He didn’t.)
In any event, offshoring in general, and the Mankiw quote specifically, will more than likely be central to most every campaign this fall?including the presidential, especially given that the media has been raising a hue and cry over the exportation of U.S. jobs offshore. (For more on how the media and companies are wrangling over outsourcing, see Trendlines, Page 22.)
And the legislating and politicking have already begun. By the end of February, state legislatures had introduced 27 bills designed to restrict offshoring. Two bills giving preference to state contractors have recently become law. And while such measures may have a minimal impact on the general profile of offshoring as practiced today, they may be considered the opening salvos in a battle that will only heat up.
"My personal view is that [the debate] won’t end until the day after the election," says Bruce Josten, executive vice president for government affairs at the U.S. Chamber of Commerce, by many accounts the most powerful pro-business lobby in the country. "It is hard to imagine this being kicked off the front page."
Cutting costs by hiring cheaper foreign labor may help the economy in the long run, but that’s a hard position for elected officials to take. If voting for laws that restrict offshoring helps politicians win elections, overwhelmingly they will do so. However, as is often the case in politics, many of those votes are more about posturing than policy making. Richard Shell, a Wharton School professor of legal studies and management, suggests that offshoring is the type of issue where lawmakers vote in favor of a bill and then use parliamentary techniques to kill it after the fact. "To be able to say that they proposed or voted for [an antioffshoring bill] is a very responsive thing to do," he says. "Actually limiting outsourcing is very hard."