The India continue to hold the position as the best outsourcing destinations across the globe, even though the emergence of the new rivals. The top three slots in AT Kearney’s 2011 Global Services Location Index are occupied by the three Asian countries such as India, China and Malaysia. With the first mover advantage and the deep skill base, the India remains the unquestioned leader in the index. The half point ahead of China and a full point in front of Malaysia. The India is the all around standout, it was able to provide the manpower for any type of the offshoring activity and it is still maintains the lion’s share of the Information Technology services and markets.
Their traditional vendor roles, it is also states that India’s Information Technology stalwarts are moving up the value chain. The companies such as the Infosys and Wipro are developing their research and the development capabilities and expanding well beyond their traditional vendors roles. The Egypt had emerged as the fourth best outsourcing destinations, it was before the political turmoil broke out and the ranking may change. The political uncertainty and the country risk associated with the Egypt have dramatically increased and the situation needs to be closely monitored to gauge whether the long term risk profile will change. It can be a strong competitor to India in the Business Process Outsourcing. The US remains the top customers for the outsourcing services, accounting 63 percent of the global Information Technology outsourcing spending.
The ranks the top 50 countries worldwide for locating outsourcing activities including the Information Technology and the support, contract and back-office support. Each country’s score is made of a wighted combination of the relative scores on the 39 measurements which are grouped into three categories, financial attractiveness, people and skills availability and the business environment. The Asia is ranked highly among the rest of the top 10 which features Indonesia, Thailand, Vietnam and the Philippines.
The nature of the outsourcing itself is in the transition, the old model involving the multi year contracts, custom code and on site system integration workers is beginning to give way to a new model in which outsourcers provide the standardized software solutions on the per-use basis. The past two years have seen a number of the outsourcers building and acquiring the capabilities required to survive the shift in the opening salvo of the coming revolution in the outsourcing. Outsourcing is the best way to all the techniques.
REFERENCE:
http://businesstoday.intoday.in/story/india-retains-global-top-slot-in-bpo-race/1/13038.html
