Why should I consider outsourcing? This is the first question comes to our mind when We think of outsorcing. I'll be, without making a foundation, quickly list out the benefits:
o Survive and be stable in tough compitition
o Cut those hefty Expanses:
o Increasing payouts
o Employee Benefits
o High Infrastructure cost
o Recruitment costs
o Other overheads
o Talented and experienced staff
o Better production, lesser disappointments
o Meet deadlines, and
o Focus more on growth than production problems
Now if we go specific about outsourcing to India:
o Cheaper, experienced and English speaking talent
o Currency difference
o Time Gap Advantage (India works while west sleeps)
o Stong hold in IT service sector outsourcing. 85% of US and UK market.!
o Growing outsourcing reputation. Let's have a look what NASSCOM has to say:
"Despite the challenges such as slow growth of IT spending globally, a jobless recovery in major markets and appreciation of the Indian rupee [against the U.S. dollar], the Indian software and services industry has been able to maintain its growth momentum and consolidate its partnership with overseas customers, adding to their competitiveness," _ Jerry Rao, chairman of NASSCOM.
Furthermore Nasscom says: Recent studies on the benefits of IT outsourcing by business intelligence organizations such as McKinsey & Co. and other leading research companies have indicated the following:
o The ITES/BPO market is likely to touch US$142 billion in 2009, against the current cost of US$532 billion for these services. The difference of US$ 390 billion represents the net saving the US economy can expect from offshoring
o Such savings have a huge economic impact on dollar savings, leading to value creation for shareholders and the common man
o US banks, financial services and insurance companies have saved US$6-8 billion in the past four years owing to IT outsourcing to India
o Helped by these savings, companies have prevented layoffs and instead added 125,000 more jobs
o Offshoring to India has resulted in quality and productivity gains of the order of 15-20 percent
o US BFSI sector has managed to register customer satisfaction of almost 85% due to Offshoring to India vis-a-vis their European competitors
What can we outsource to India?
* Medical/Insurance Process
* Business Process
* CADD and Solid Modelling
* Help Desk / Customer Support
* Call Center
* Architecture
* Game and Graphic development
* Chartered Accountants and other Accounts oursourcing
* Software development
* Graphic and web design
* Medical Transcription,
* and much more
I guess we have got a long list of benefits one can get from outsourcing. We are also aware of India's contribution to the outsourcing world.