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Outsourcing In India Organizations are realizing that there can't be all things to
all people. As a result, organizations are focusing more on
their core competencies and relying on service providers to
manage critical but non-core processes for them.
India has effectively provided efficient software solutions to
Fortune 500 companies. Citibank, Morgan Stanley, Wal-Mart,
AT&T, General Electric, Reebok, General Motors, Sony, Boeing,
Coca-Cola, Pepsi, Swissair, United Airlines, Philips, General
Electric, IBM, Reebok, Lucas, British Aerospace, General
Motors, and Sears are some companies relying on software
companies in India.
It is not surprising that corporate giants in the United
States, Canada, Europe, Australia, and Japan are increasingly
looking to India for cost-effective and high-quality software
solutions. In fact, a World Bank-funded study in the United
States confirmed that vendors rated India as their number one
choice for outsourcing.
India has invested heavily in technical education and can
provide a ready supply of bright people at relatively low
cost. Infrastructure improvements in India, particularly in
the area of IT and telecommunications, and the independent
nature of working in IT make it possible to bring this talent
to bear on virtually any programming task. Traditionally, the
most active location for staging these types of IT initiatives
has been India. A strong supply of high-programming talent,
favorable government and tax incentives, and the ability to
complement U.S. time zones with a virtual around-the-clock
approach are some of the advantages India has to offer.
Some of the key benefits of outsourcing to India are:
India has a taskforce of one million IT professionals. No
surprise people call India "Software Powerhouse".
Access to leading practices: external service providers give
companies access to an extensive, highly specialized knowledge
base--which providers must improve continuously to stay in
business.
Clearer strategic focus: allows managers to focus on core
competencies and strategic issues rather than on routine,
time-consuming activities
Better resource allocation: can help shift the traditional
focus from transactional activities and reporting to the
delivery of forward-looking information and value-added
business analysis.
Improving service quality and productivity -- reduce response
time, deploy solutions faster and improve system availability.
Improve performance--maximize the performance of an
organization's enterprise client/server computing environment
through the use of the latest technology and an outsourcer's
performance management tools and expertise.
Achieving cost effectiveness as well as cost Reductions.
Significant cost savings, up to 80% in certain cases.
While it can be quite difficult to recruit the expected
competence in Western countries, it is a completely different
scenario in India, where there are lots of available
programmers with a good academic background. |