This infographic that takes a close look at IT Offshoring trends, benefits, statistics, and the future. Besides offering a quick insight to Suyati’s Dedicated Global Team(DGT) engagement model that is built on the principles of outsourcing, but has a new age appeal, cut out for modern businesses.

1. TOP JOBS
OUTSOURCED
IT OUT$OURCING
EXPENDITURE
TRENDS, BENEFITS, STATS, FUTURE,
AND A BRIEF LOOK AT DGT
MORE THAN
2.4 MILLION JOBS
OUTSOURCED FROM THE US
IN LAST 10 YEARS.
Information Technology
28%
32%
11%
14%
15%
Human Resources
Sales and marketing
Financial Services
Administrative
Outsourcing, etc.
Source: IMF World Economic Outlook data, Hackett Group proprietary data and publically available company data
ESTIMATED
2002
TOTALJOBS
2012 2014 2016
8.3
million
6.8
million
6.8
million
6.8
million
4.6million
0.3million
3.4million 3.3million 3.4million
1.4million
2.0million
3.5million
1.0million
2.3million
1.8million
1.7million
Jobs already
offshored from North
America and Europe
Jobs still based in
North America and
Europe but which
can be offshored
Jobs based in North
America and Europe
which cannot be
offshored
Terminated one or more
outsourcing agreements.
Increased outsourcing
57%
34%
9%
POPULARITY
OF
OUTSOURCING
Since the recession of
2008-2009
Restructured
one or more
outsourcing agreements
in a significant way
Source: http://brandongaille.com/26-us-outsourcing-statistics-and-trends/
Source: Deloitte’s 2014 Global Outsourcing and Insourcing Survey
PLANS FOR
IT OUTSOURCING53%
26%CURRENTLY
OUTSOURCING
IT FUNCTIONS
Source: The IT Outsourcing Statistics 2014/2015 study
LARGE
7.4%
ORGANIZATIONS
OF THEIR
IT BUDGETS
MID-SIZEORGANIZATIONS
4.6%
OF THEIR
IT BUDGETS
SMALLORGANIZATIONS
6.1%
OF THEIR
IT BUDGETS
TOP OFFSHORING
DESTINATIONS
TRENDS TO
LOOK OUT FOR
Source: http://brandongaille.com/26-us-outsourcing-statistics-and-trends/
Source: A.T. Kearney’s 2014 Global Services Location Index (GSLI)
Source: Deloitte's 2014 global outsourcing and insourcing survey
http://www2.deloitte.com/us/en/pages/strategy/articles/2014-global-outsourcing-and-insourcing-survey.html
Source:http://www.daxx.com/article/IT-Outsourcing-Statistics-Trends-2013-2014
REASON
S FOR OUT
SOURCING
Reduce or control
costs and /or preserve
capital
Gain access to
IT resources
not available
internally
Free up internal
resources to
focus on core
operations
Improve business or
customer focus
Accelerate company
reorganization/
transformation
Accelerate
project
Gain access to expertise
not available internally
Reduce time
to market
44%
34% 31%
22%
28%
15%
15%
9%
1.43BILLION
INDIA
1.03BILLION
INDONESIA
780 MILLION
CHINA
39 MILLION
PHILLIPINES
26 MILLION
EGYPT
2 MILLION
LITHUANIA
3 MILLION
BULGAIRA
INDIA (7.1) 1.43 BILLION
INDONESIA (6.9) 1.03 BILLION
CHINA (6.4) 780 MILLION
BULGARIA (6.4) 3 MILLION
PHILLIPINES (6.3) 39 MILLION
JORDAN (6.2) 2 MILLION
SINGAPORE (6.5) 3 MILLION
THAILAND (6.0) 39 MILLION
LITHUANIA (5.9) 2 MILLION
EGYPT (5.8) 26 MILLION
2 MILLION
JORDAN
3 MILLION
SINGAPORE
39 MILLION
THAILAND
Companies may
seek multi-vendor or
multi-functional
strategies requiring
transition and service
integration
capabilities
SOLUTION
BENEFITS
∙ HIRING DEDICATED DEVELOPMENT TEAMS
∙ DIRECT COMMUNICATION WITH
THE DEDICATED DEVELOPERS
∙ FULL CONTROL OVER THE PROJECT
∙ FULL INVOLVEMENT
OF TEAM MEMBERS
∙ COST CUTTING ON HIRING,
TRAINING, INFRASTRUCTURE
EXPANSION ETC.
CLIENT
’SISSUES
∙ FEEL VENDORS ARE BEING
REACTIVE VS. PROACTIVE49%
∙ FEEL THERE IS LACK
OF INNOVATION37%
Source: Deloitte’s 2014 Global Outsourcing and Insourcing Survey
SUYATI TECHNOLOGIES
PIONEERS OF DEDICATED GLOBAL TEAM (DGT)
DGT
Clients will
continue to demand
more from their
vendors
Vendors would
continue to evolve
their services to fulfill
customer needs, and
deliver value on both
qualitative and
quantitative terms.
CREATIVE
TECHNICAL
FINANCIAL
SAY
DGT
GIVES CLIENTS
COMPLETE CONTROL
KEY ISSUE HOW DGT CAN SOLVE IT
DELAYS IN SCHEDULE AND
INABILITY TO MEET MILESTONES
HIDDEN COSTS
LACK OF APPROPRIATE RESOURCES
SECURITY ISSUES
CULTURAL BARRIERS
COMMUNICATION
INABILITY OF OUTSOURCING
PROVIDER TO UNDERSTAND
CLIENT'S BUSINESS NEEDS
INFLEXIBLE CONTRACTS
LACK OF EXIT STRATEGY
PROVIDES RIGHT INFORMATION AT THE RIGHT
TIME, MAKING IT EASY TO FIX CORRECT AND
REALISTIC DEADLINES.
OFFERS TRANSPARENT COST STRUCTURE,
ON A COST + MARGIN MODE
INVOLVES CLIENT IN THE TALENT SELECTION
PROCESS
PROVIDES OVERALL CONTROL; CLIENT CAN
SELECT APPROPRIATE PHYSICAL, NETWORK
AND VIDEO SECURITY
CULTURAL TRAINING AND TIMELY
FEEDBACK TO COUNTER DISPARITY
MULTIPLE METHODS TO COMMUNICATE, SUCH
AS EMAILS, GO TO MEETING, PIVOTAL TRACKER,
TFS, AND SKYPE, ETC.
DEDICATED TEAM SET UP SPECIFICALLY FOR
THE CLIENT'S PURPOSE; FOCUS REMAINS ON
THE CLIENTS BUSINESS
STRAIGHTFORWARD CONTRACTS, WHICH ARE
TRANSPARENT AND SCALABLE
OFFERS OTHER OPTIONS SUCH AS BOT OR JV
RELATIONSHIPS IF DGT DOES NOT WORK OUT
AS EXPECTED
48%
Source: http://brandongaille.com/26-us-outsourcing-statistics-and-trends/
ADDITIONAL JOBS IN
FINANCE, IT, AND OTHER
KEY BUSINESS SERVICES
AREAS WILL BE
OFFSHORED BY 2016
(HACKETT GROUP)
VALUE OF OUTSOURCING
IS EXPECTED TO
INCREASE TO TOUCH
IN 2015
COMPANIES PLAN
TO HIRE MORE
OUTSOURCERS
THAN FULL OR
PART TIME
STAFF IN THE
NEXT 12-18
MONTHS
7,50,000
$25BILLION
FUTURE
OF OUTSOURCING
OFFSHORE
OUTSOURCING TO
GROW BY
MORE THAN
ANNUALLY
(META GROUP)
20%
Reference
• http://www2.deloitte.com/content/dam/Deloitte/us/Documents/strategy/us-%209127988%20global-%20outsourcing%20-survey%20-infographic.pdf
• http://www.slideshare.net/kmukund7?utm_campaign=profiletracking&utm_medium=sssite&utm_source=ssslideview
• http://suyati.com/why-dedicated-offshore-team/
• http://www.thehackettgroup.com/about/research-alerts-press-releases/2012/03272012-hackett-research-forecasts-offshoring.jsp
• https://www.maxaur.com/outsource_stat.aspx
• http://www.computereconomics.com/temp/outsourcingstatisticssamplepages.pdf
• http://www.meti.go.jp/english/report/downloadfiles/1-2e.pdf
• http://brandongaille.com/26-us-outsourcing-statistics-and-trends/
• http://www2.deloitte.com/us/en/pages/strategy/articles/2014-global-outsourcing-and-insourcing-survey.html
• http://www.daxx.com/article/IT-Outsourcing-Statistics-Trends-2013-2014
• https://www.kpmg-institutes.com/content/dam/kpmg/sharedservicesoutsourcinginstitute/pdf/2014/state-of-outsourcing-2014-exec-findings-hfs.pdf
• https://www.kpmg-institutes.com/content/dam/kpmg/sharedservicesoutsourcinginstitute/pdf/2014/state-of-outsourcing-2014-exec-findings-hfs.pdf
• http://suyati.com/engagementmodels/dedicated-global-teams/
• http://www.slideshare.net/kmukund7/dedicated-global-teams-sm