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Advantages of offshoring to india


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Advantages of offshoring to india

  1. 1. Advantages of Offshoring to India
  2. 2. Offshore outsourcing, a type of business process outsourcing (BPO, )is theexporting of IT-related work from the United States and other developed countriesto areas of the world.offshoring to IndiaIndia has become a leader in the international offshore market. TheIndian companies offer tasks at highly competitive rates and alsoproduce quality work. India is the worlds second largest exporter ofsoftware (after the U.S). India have large English-speaking scientific and higher education institutions, specialist computer institutes, and low costs of software talent, India has more software companies with ISO 9000 certification than any other country in the world.
  3. 3. Why offshore outsourcing to IndiaOffshore outsourcing has been popular for several years.Countries like India are popular offshore outsourcing locationswhich offer cost effective solutions. Economical benefits are oneof the major reasons to outsource part of your marketing andsales to India. You will get the best quality services using the latest technologies and you will make significant cost savings.Outsourcing your sales and marketing will help you to grow yourpotential without any capital investment in a very fast manner. Reliableand secure, it maximizes uptime and enhances your performance.
  4. 4. Advantages of Offshoring to IndiaIndia is the pioneer in the field of “Knowledge-based” offshoring. Indiahas built tremendous advantages over other countries when it comes tooffshoring. a. Availability of large talent pool b. Significant cost advantage c. Quality Advantage d. Fast turnaround time e. Knowledge professionals f. Infrastructure
  5. 5. a. Availability of Large Talent PoolIndia has a large pool of young talented and motivated professionals. The IndianInstitute of Technology (IIT) and Indian Institute of Management (IIM) are theinstitutions of international standing. In over 9,000 degree colleges across thecountry, English has been the most preferred medium of education for many decades. The manpower availability, skill base and English knowledge base that an Indian company offers are key factors for success of any IT assignment outsourced to India. India’s has largest number of technology certified employees (Microsoft, Java, Oracle, Networking and others) which offer an ideal USP for technology centric outsourcing assignments.
  6. 6. b. Significant cost advantageOutsourcing to India has become most successful ways to increase cost effectiveness.This is largely due to lowering of operations cost, which includes the costs oflabor, real estate, telecom, and utilities. Many Fortune 500 companies have startedoutsourcing to India and saved substantial amount of money which is added to theirbottom lines. It is estimated that that outsourcing to India, saves nearly 70% than in any of the European or North American countries. c. Quality Advantage India has highest number of CMM/ISO certified companies in all over the world. May Fortune 500 companies like Microsoft, IBM, CISCO, etc. have started their R&D centers in India by tapping the local talent.
  7. 7. d. Fast turnaround timeIndia and the US have a zonal time difference of about 12 hours, thus effectivelygiving companies a 24 hours’ work environment. Most of the processing functionsare performed during the day time in India, when it is night time in the developedcountries. As a result of this zonal time difference, there is no or little backlog inthe front end and processing tasks.e. Knowledge professionalsThe next paradigm shift in offshored services is going to be from mere businessprocess outsourcing (BPO) to knowledge process outsourcing (KPO). With its worldrenowned specialty schools like the Indian Institute of Technology (IITs), IndianInstitute of Management (IIMs) and several world class medical and law schools,Indian service firms can move up their clients’ business value chain by supplyingvalue-added, research-based analytical services, instead of run-of-the mill backoffice services, while maintaining their cost advantage at the same time.
  8. 8. f. Infrastructure Presence of a robust infrastructure (telecom, power and roads) in the country Government has taken steps to ensure that telecom remains a priority area Regular, reliable, uninterrupted power, a major necessity for running services  businesses, has also received substantial attention from the Government  Roads and highways scenario in India has also witnessed major improvements
  9. 9. The most commonly outsourced streams of business include: I T outsourcing Legal outsourcing Content Development Web Design and Maintenance Recruitment Logistic Manufacturing Technical/Customer Support
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