Dig Into the Best Outsourcing Services Providers
Outsourcing services for IT, human resources, accounting, customer care, and other functions has indeed become a global trend. In this article, the factors to consider in choosing an outsourcing destination are to be discussed in more details. In early stages of developing an outsourcing plan, selecting which country is the perfect cut for a businessís specialized operations happens. There are two factors in the selection process for the best outsourcing destination.
There are lots of decisions that need to be made and numerous stages to be undertaken before this tactic can materialize. Some of the basic activities that needs to be done include planning an outsourcing strategy, sourcing multiple service providers, and choosing the outsourcing location.
In this article, the latter is to be discussed in more details. In early stages of developing an outsourcing plan, selecting which country is the perfect cut for a businessís specialized operations happens. There are two factors in the selection process for the best outsourcing destination. These include the attractiveness of the workforce and its economics and competitive attractiveness and risks of the country.
The Workforce to Reckon With
One of the main reasons that attract outsourcers to shift to outsourcing services is the access to highly qualified workforce at a reduced cost. Imagine the difference between a six-digit salary demand of an American software engineer and the $500 for technical competence of a Filipino developer. That is a lot of savings right here, a sound rationale for the dynamic leaning to the outsourcing movement.
But aside from lower overhead cost, there still are a number of considerations outsourcing clients need to take into account before signing any contract. And the countryís human resources should be first to be given much attention. Instinctively, the workforce is an important player in the outsourcing game. The success or collapse of the outsourcing relationship is greatly anchored on the relationship between the client and the service providersí workers.
Decision makers should ensure that their candidates for their search for suitable outsourcing destinationsí workforce possess the following attributes: proficiency in English and other languages, expertise in IT tools, applications and programming, superior education quality, best business practices and cultural adaptability, and excellent management processes.
The Pretty Country
After being certain of the competence, maturity, and competitiveness of the labor force, the countryís infrastructure; political, medical and economic stability, legal and regulatory environment, accessibility, and time zones compatibility come next in factoring out a city or a country for outsourcing services.
The stability of infrastructure such as roads, telecoms, electricity, and networks is an important factor to be looked upon. This is especially significant if a company is highly reliant on computers and telecommunications as in contact centers. Outsourcing companies from developed countries might not be able to anticipate the likelihood of power interruptions in developing countries where they chose to outsource their services. But in reality, this is one challenge that you donít want to be confronted with. This is why careful investigation on the countryís infrastructure is critical.
Companies planning to outsource should also regard that delegating their some parts of their line of business also entails risks. So it is for their best interest to attentively assess the medical, political, and economic stability of a particular destination. They also should not fail to focus on the countryís government, infrastructure, and its tax system.
In 2010, Gartner Inc, a global IT research company listed the top 30 outsourcing countries who are leaders in providing various outsourcing services. In this study, study, India ranked number one despite contentions on cost effectiveness. India remains to be the first choice of multinational corporations as it have shown strength in key areas such as advancement in IT experience. But other countries such as China (which comes in as a close competitor) Vietnam, Indonesia and the Philippines are catching up on the pace of gearing up to take the coveted spot.
With the continued surge of the BPO industry in different outsourcing countries like China, India, and the Philippines, it is a must for companies considering to take the outsourcing path to reflect on the aforementioned factors in deciding on the country to put up their outsourced business centers in.
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Catherine Alibanban currently writes for Agents of Value, an established webmaster staff leasing company that offers value-for-money services in SEO / link building, virtual assistance, content writing, web design, webmaster, web development and programming support.