It is a known fact that India tops the list of world’s favourite outsourcing destinations. Ample number of skilled resources, use of latest technology, time zone advantages and cost-effective services are just a few of the reasons for India’s popularity. But are other outsourcing locations far behind or are they catching up with India? Let’s look at the top five emerging outsourcing destinations and weigh their pros and cons:
Argentina is seen by many companies as an ideal location for outsourcing. This nation has a large labor pool of English-speaking programmers and professionals who are highly educated and tech-savvy. Argentina also has a robust telecom network, diversified industrial base and ample office-space. The country’s cultural similarities with the West make it an attractive outsourcing location. The government of Argentina has not done much for the outsourcing sector in the last decade. The country has also suffered economic problems related to external debt, capital flight, inflation and budget deficits.
Bulgaria is now becoming a competitive outsourcing provider, by rising above other outsourcing locations like the Czech Republic, Slovakia, Poland Russia, Hungary and the Ukraine. The country’s relatively low cost, strong education system, good production quality and cultural affinity with the West have made it a favorable location. Bulagarian developers are much sought after, as they are well-versed with C++, Java and open source. However, the cost of outsourcing to Bulgaria can be more costly when compared to outsourcing to Africa or the Middle East.
China is a hot outsourcing location and is continuing to grow in popularity, owing to its supply of low-cost outsourcing services. Today, China offers low-cost outsourcing services, especially low-cost software development. Western companies that have to deal with companies or customers in Asian headquarters prefer to outsource to China, as most Chinese resources are multi-lingual. However, the Chinese do lag behind when it comes to their capabilities in the English language. Another drawback is that China lacks good protection when it comes to intellectual property. This means software or products can be easily duplicated. Communication also becomes hand as China is several time zones away for most Western countries.
Egypt boasts of a large multilingual workforce, competitive cost structure and state-of-the-art IT infrastructure. The nation’s skilled programmers are much sought after by companies in Asia, Europe and the United States. Among all the Middle East nations, Egypt claims to have largest number of talented resources. Even Indian outsourcing companies have set up outsourcing centers in Egypt to tap into their workforce. The Egyptian government has been promoting outsourcing by offering tax incentives to outsourcing prospects. The only drawback with outsourcing to Egypt is that the region continues to be politically volatile.
5. The Philippines
The Philippines has a budding IT outsourcing sector, with low wages and low telecom costs being its primary advantages. Back-offices in The Philippines offer every kind of service, be it payroll, logistics, publishing, accounting or HR management.. This country also specializes in legacy application maintenance and application development. Today, The Philippines is a great choice for companies who want to move their low-level maintenance work to an offshore location.
At Flatworld Solutions, we offer our customers with the strategic advantage of multi-locational outsourcing, by operating not just out of India, but also out of South America and South East Asia. We have our delivery centers spread across Peru, Bolivia, The Philippines, India, Kenya, Paraguay, Bogota and Mexico. Read more about our services.
Interested to know more?