Everyday the economies of the world are become more and more interdependent. Businesses all over the globe have gone through a lot of changes over the last few years. The rise of the information superhighway has paved a path for the outsourcing industry to grow. Through this, more and more business processes are being outsourced to destinations beyond the national domain of the main companies. The effectiveness of outsourcing as part of a business model has proven to be feasible and is directly related to growth and productivity.
Productivity and growth can somewhat be called the teaser benefits of outsourcing and the country at the number one spot that provides these two is India. All over the United States and the United Kingdom, India is the preferred destination for outsourcing assignments. In recent researches, forty four percent of the world’s offshore outsourcing back office and software services are in India. It has also been noted that as many as 400 of the Fortune 500 companies have their own branches in India or are outsourcing to India utilizing Indian technology companies.
Why India? What makes India such a hot spot for outsourcing jobs?
There are several answers to these questions? One, India has a myriad of skilled people that are very available in the country. Because of this vast number, India can afford to trim down the cost of services without having to cut down on quality. Just by looking at the list of companies that have back office operations in India one will truly understand and believe this.
Airlines such as Lufthansa and British Airways outsource their ticket reservation in India. HSBC and GE outsource accounting in India. Dell and Microsoft outsource research work in India. Standard Chartered has its full back office operations for its global business in India.
Backed up with this kind of credentials, outsourcing organizations in India have developed systems to scale operations or to be able to handle in a professional manner the needs of the clients. The highly skilled work force in India provides not only high quality service but also other added services that are very valuable. An added advantage, which puts India on top of the list, is the ability of the people to speak in English.
It boasts of being the 2nd largest nation to have the most number of English speaking citizens thus companies based in the United States or the United Kingdom opt for outsourcing in India.
Another reason why India is an outsourcing hot spot is because of its government policies. Because of the support it gives to the outsourcing industry in the country, the government and its policies have ensured the growth of outsourcing in India. As of today, its value as an outsourcing destination has reached high status.
The stable democracy that India has been experiencing for the last six decades gives India an advantage in the outsourcing industry. The country’s GDP rate of 9.2 percent, ever improving infrastructure and its status as a country that provides high quality of service, and rapidly developing technology makes it a hot spot destination for outsourcing.
Businesses all over the world have seen the benefits of outsourcing. They have now realized that outsourcing is not just an option for survival but a tool that when used properly, will greatly benefit their businesses. And with India showing much talent and skills, have become the favorite place of these businesses as an outsourcing destination.