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India - World's #1 among Countries for Outsourcing

By Edited Nov 13, 2013 0 4

Whether you’re calling your local store to report a problem with your child's new toy or you’re having an issue retrieving your photos from Picasa, you should not be surprised that you have just travelled more then 8,000 virtual miles to the giants of all countries for outsourcing, India.

If you are using the telephone to contact a company's customer service department, then you will most likely be visiting New Delhi or Bombay where outsourcing jobs have provided India with a blossoming middle class. Among all the countries for outsourcing, India's benefits of outsourcing continue to pay dividends for both India and the increasing number of outsourcing companies.

India - New Globalizing Economy through Outsourcing

India is the epitome of both marketing outsourcing and the procurement of outsourcing from companies 

India Outsourcing
in Europe and the United States.  Call center outsourcing has not only enabled India, a country with one of the lowest per capita income in the world to provide a plethora of new opportunities for the Indian people but also has enabled companies worldwide to profit from the benefits of outsourcing - a lower cost of services that can help boost a company's profits.

The development of outsourcing in India continues to grow exponentially and is being fed by a highly educated population graduating from its universities at a rate of more then a million students per year.  Companies outsourcing to India can be sure that services they will require in the future in the areas of IT, software development, web design, BPO services, and other technical jobs will be filled by proud Indians who are excited by the opportunities that outsourcing jobs in India have provided them.

Countries for outsourcing like India provide a technical work force that is willing to work for a fraction of what labor costs in both Europe and the United States demand.  While the per capita income of India is still about $500-$600, the outsourcing benefits provided by an ever expanding industry is now offering outsourcing jobs ranging from $5,000 to $10,000 per year.

The Indian economy today is among the top emerging economies of the world. According to the World Bank, India's $3.4 billion economy is now the best of all countries for outsourcing. India certainly has a problem with poverty, but outsourcing jobs have supported an emerging middle class. In 2011, the country’s per capita income is at $3,694 as per IMF. It had increased from less than $300 in 1980 according to World Bank when the benefits of outsourcing first impacted India.

With that being said, many of the outsourcing jobs, including IT, sales, web design, and others have elevated the incomes of workers to more then $10,000 per year. India now has nearly half of all the world’s offshore outsourcing jobs. The United States and Europe contribute to 60 percent of India's procurement of outsourcing in both IT and BPO outsourcing services which account for nearly $50 billion per year of outsourcing to India. Statistics from 2009 indicated that more then 2.2 million outsourcing jobs were created in India, making it the largest creator of outsourcing jobs among all the countries for outsourcing.

Why Businesses Outsource to India 

Call Center outsourcing jobs in cities like Bangalore, New Delhi and Bombay are very much in demand as more and more companies, mostly American, are outsourcing to India. Those lucky enough to land a "call center job" will be working for far less then their counterparts in the United States and other countries, but they certainly benefit from a modern work environment. It is not uncommon for hundreds of applicants to apply for an outsourcing job being advertised. 

Outsourcing benefits for the fortunate Indian worker who gets one of these cherished jobs will most likely move from the edge of poverty to a new middle class lifestyle overnight. In addition, continued employment with their Indian company should remain secure. Call center outsourcing is then embraced by many English speaking countries seeking outsourcing work in India because of India's massive English speaking population as well as its ability to produce graduates from its population of students with its universities. These attributes will continue to be a magnet for companies outsourcing to India.

Whether companies are outsourcing jobs from the United States, Europe or other western countries, they all are looking for a highly educated, English speaking population willing to work for far less then their counterparts. The need for quality workers at a low cost is what keeps attracting offshore businesses to India's outsourcing companies. Since Indian universities continue to provide an unlimited resource for well trained workers, the future of outsourcing jobs such as IT, web design, software outsourcing, data entry outsourcing and other skilled outsourcing jobs will continue as a major supporter of India's economy and keep it at the top of all the world's emerging economies. India is and will most likely always be the leader among all the countries for outsourcing.

India: Leading the Way for Outsourcing

India climbed to the top of the list among countries for outsourcing and has remained there. India began their climb because "India and outsourcing" became synonymous with each other. This happened because of the advantages of outsourcing were mirrored in the words "low cost" or "cheap labor".  Outsourcing companies took aim at India because labor there was 1/6th of the equivalent labor in the United States and Europe. This disparity remained so until about 2008.

Today, India is still treasured for its cheap labor but it has grown in stature. Companies outsourcing to India will now find a number of educated and trained professionals also mean quality in the product and services that the outsourcing jobs deliver. Indian workers now are reaping the advantages of outsourcing because of the new found respect given them from outsourcing companies. However, with this new found standard given for the Indian worker, labor has necessarily risen and is no longer 1/6th but rather now 1/3rd of their counterparts in the United States and Europe. Still, IT, web design, and other high tech companies realize that cost cutting is not the only benefit of outsourcing but also the quality of the job being delivered is just as important.

Outsourcing Companies to India

The popularity of outsourcing jobs to India remains strong as the world economy still struggles. Seeking out cost cutting measures is paramount to many companies survival. Sales outsourcing is growing as many companies are desperately looking to save money on internal costs in an effort to increase profits. The benefits of outsourcing to India can be significant. With a new found standard for quality and the continued cost savings of outsourcing jobs offshore, the advantages of outsourcing continue to drive jobs overseas. As the leader among countries for outsourcing, India remains in the forefront with a bright future not only for its people and but also the companies that will continue to reap the benefits of outsourcing.

Related articles:

 Top Ten Countries for Outsourcing: Little Giants in a Global Economy

Other featured top countries for outsourcing:

China

Philippines

Hungary


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Comments

Jun 13, 2012 4:30am
askformore
Thank you for a very detailed information about outsourcing.
It is true that India has a great share of the 'world wide outsource market'; however, many US companies have realized that it might be even better to outsource to the Philippines.
Outsourcing might be cheaper in the Philippines, but the main reason is that the Pinoys have a better cultural understanding of the American way of life. This understanding is very useful in services such as call centers.
Jun 13, 2012 4:38am
WebAddict
Hold on, I actually have an article focused on the Philippines. It's coming up in a moment. I wrote 10 of them and will feature 10 top countries for outsourcing.
Jun 13, 2012 4:43am
askformore
LOL Your mistake! You should have published the Philippine version first.
Mabuhay ang Pinoy! You are doing great!
Jun 13, 2012 4:58am
WebAddict
No, I'm following the order of countries: India, China, Philippines, etc.
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