Offshore Software Outsourcing : Outsourcing in India

By: Anne Catherine

The internet has bridged distances and has made the world a much smaller place. With distances shrunk the countries have come closer. Offshore outsourcing is a common trend witnessed today and is a booming industry. Offshore outsourcing is practiced by several companies today. The American companies are seen to be outsourcing most of the IT jobs and back office works to the upcoming nations like India, China to name a few. The USP of these nations is high quality service at minimum cost. Due to the top quality services that they offer at very attractive rates, outsourcing has become a major field for boom in the economy of thee developing countries too. India is the chosen destination for many American and other companies. The reason for the choice is varied.Offshore outsourcing is carried out after weighing several pros and cons and cost alone is not the sole criteria. The quality of the service provided by Indian companies is the major criteria that make Indian companies very attractive. When offshore outsourcing is done to an Indian company what the company gets in return is top quality service at a very low cost.

The companies that outsource work to Indian it consulting companies make a huge saving of about 40-50%. Outsourcing, but should be done only after proper consideration of the various aspects involved as it involves a good rapport between the two sides. Cost is a major factor to be considered but in case of a communication gap between the parties involved it could end up increasing the ultimate cost manifold. Making a saving is important but the main reasons why India is gaining ground and is chosen for offshore outsourcing is the quality of work delivered, the creativity involved and how it is applied, the timely submissions and the understanding of the exact nature of the job. The below mentioned quote explains the situation aptly:"Certainly cost reduction, but it's not as simple as that! Cost reduction was only part of the reason that companies were considering offshore outsourcing, there were benefits to be had in time-to-market and quality, leading to an adage that companies initially chose India to save costs but stayed for the speed and quality!" (National Outsourcing Association (NOA), 1st Annual Offshore Outsourcing Conference - 23rd July 2003)An Indian outsourcing exactly understands the requirements of the client and the team of people with their experience and expertise perfectly understand that in the long run cost considerations alone cannot lead to a long lasting relationship. India has an upper hand and is preferred due to:*The expertise of the skilled taskforce*The latest technology that is used for completion of the task at hand. *India is showing rapid development in all fields*The resources at hand, a stable political environment all work in favor of the Indian companies. The increase in outsourcing software services and the witnessed boom is a result of the attractive rates offered coupled with high quality work and meeting of deadlines without fail. Production and in a cost efficient environment is an important consideration for the producer whereas establishment of a good network is what is of prime importance to the client. The broadband connection serves as the major means of communication and people who can deliver on time high quality work is what the entire system is based on.

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