the Offshore Developers have a scam going. It works like this:

#1 The Contract is paid per hour. The more hours worked the more the workers/organization gets paid.

#2 Offshore developers are not managed or supervised by US managers, but Offshore managers.

#3 If the program meets requirements and works correctly the first time, that is less time the organization can bill time for their clients.

#4 The Offshore developers and Offshore managers conspire to produce a program that does not meet requirements or work properly and cite poor communication as the excuse.

#5 The result is the project is overbudget, and the Offshore organization gets to bill the US company more money to fix the problems the Offshore company created.

It can be fixed by paying the organization based on success instead of hours billed. If this is done, watch that poor communication problem go away. ;)