Global business analysts predict that by 2015, white-collar jobs in the U.S. will be farmed out to other countries with a staggering number of more than three million. If this shift is fated, the hunt for countries for outsourcing takes on a big challenge.
What is outsourcing and why do companies outsource?
Outsourcing generally refers to the process of farming out jobs by companies from their country home toCredit: http://www.freedigitalphotos.netwards other countries mainly in an effort to cut costs. In relation to this, numerous companies are transferring customer service, technology development, administrative and financial posts to international countries for outsourcing.
Other than cutting costs by maximizing revenue and minimizing expenses, principal countries benefit from specialized skills and services from qualified individuals from different countries for outsourcing. Companies get the same level of quality work for lower costs for services like call centers, medical billing, telecommunications, etc. and can save up to sixty percent of total employment costs when outsourced.
Top ten countries for outsourcing
Among the top countries for outsourcing, India leads the pack as recipient of information technology jobs like software maintenance and development as well as business processing functions including call centers, human resources, accounting, and data analysis. Other top countries for outsourcing like the Philippines will fall into a tiered structure when compensation packages are concerned.
The top ten countries for outsourcing from which large corporations have sought high level quality workers include the leader India, which rank first in surveys, but not a leader across all dimensions, covering ninety percent of the offshore market. Other Asian countries for outsourcing includes China, hyped as the next giant country for IT outsourcing and Malaysia, for its well-developed world-class infrastructure and government supported outsourcing pool of manpower.
The Philippines also contends for the top ten countries for outsourcing as it boasts of highly qualified customer service English speaking manpower with experience in global business and Western influenced culture. Hungary is gaining momentum as Europe’s IT service providers while the Czech Republic combines good political stability and cultural compatibility as added assets to low cost labor ideal for the German market.
Russia is emerging as the best country for outsourcing of complex R&D problems for companies like Bechtel, Microsoft, IBM, Intel, Sun Microsystems, Boeing, and Motorola. South Africa is also fast becoming the best country for outsourcing for the UK market while Mexico is for Spain with having multinational conglomerates like Accenture, IBM and EDS in its presence. The last but not the least of the best countries for outsourcing is Poland, another country preferred by German companies.
How global companies benefit from outsourcing
Global corporations who benefit from the best countries for outsourcing see the significant developments and high yield in terms of profits, quality work output, increased productivity, business value, improved accountability, reduced operational costs and superb performance. Top outsourcing countries continue to develop their manpower skills, concentrating in areas where the demand for business process outsourcing is steadily growing particularly in complex operations in the fields of customer relationship management, call centers, telemarketing, tele-services, product support, payroll maintenance, finance, accounting or billing, human resources, logistics management, supply chain management, medical transcription, back office operations, insurance claims processing, and legal database maintenance.
Top outsourcing countries vie for global positioning as the international services market rapidly evolves. The little giants must prove to the world that their competitiveness, resources and skills, business acumen and economic environment are sustainable to remain among the best countries for outsourcing.
Some of the top countries for outsourcing featured here: