Why 4 for 1 Isn’t Always a Bargain

4/18/20252 min read

The Offshore Illusion: Why 4 for 1 Isn’t Always a Bargain

Here’s a pattern I’ve seen too many times: a company decides to reduce costs by replacing one experienced U.S.-based resource with four offshore FTEs. On paper, the math looks great. In practice, it often ends up costing more—just in ways the spreadsheet didn’t account for.

The logic is: “We can get four people for the price of one.” But if those four people can’t handle the same workload due to cultural or communication barriers, what are we really gaining?

When More Isn't More

Let’s say a highly skilled U.S. analyst is replaced with an offshore team. The expectation is that those four resources can divide and conquer. Instead, what often happens is missed context, rework, and repeated clarification cycles. Business nuances, industry jargon, and unspoken expectations don’t always translate easily—and neither does productivity.

I've seen scenarios where a task that would take one person a day ends up stretched over a week with multiple touchpoints and corrections. And it's not about capability—it's about context.

The Hidden Cost: Domestic Burnout

The other side of this coin is the impact on your U.S.-based staff. Suddenly, they’re no longer doing their jobs—they're managing, coaching, reviewing, translating, and sometimes even redoing.

One product owner recently told me, “I spend more time writing instructions for the offshore team than it would take to do it myself.” That’s not scale—that’s overload.

Some Real-World Symptoms:

- Endless Slack threads and clarification meetings

- Rework due to misunderstood requirements

- U.S. teams stretched thin to “support” instead of “lead”

The result? Burnout. Frustration. Turnover. And ironically, higher costs than you started with.

So What’s the Answer?

Offshore can absolutely work—it just can’t be treated like a cost-cutting shortcut. It requires alignment, integration, and the right kind of work for the right people. Quality over quantity.

Before making the 4-for-1 swap, ask:

👉 Are we setting up these resources for success?

👉 Are we measuring cost or value?

👉 Are we unintentionally creating bottlenecks at home?

Let’s reframe the conversation—not “how many people can we hire,” but “how much value can this team deliver?”

Would love to hear your thoughts. Have you experienced the hidden costs of “offshore math”?