Thoughts for the Outsourcing Future

Filed in archive Opinions & Insights on September 28, 2007

Outsourcing has certainly evolved in just providing cheap labor and services to companies. The growth in outsourcing has rapidly expanded which is a great advantage to the pioneers of outsourcing which of course, pertains to India.

Alongside growth is the change in outsourcing. As India faces the challenges of higher labor cost and attrition rate, the country is now developing different business strategies which would keep them on top of their game. Here is an interesting excerpt from the news piece, Moving on up in the outsourcing world:

As they move up, outsourcing firms are also moving out - out of India, that is. While the bulk of their employees are still in India, where the sector employs 1.6 million people and indirectly supports six million others, leading outsourcers are diversifying geographically. Tata Consultancy Service, a branch of the giant Tata Group, has operations in Uruguay, Chile, Mexico, Brazil and even Canada. Wipro has opened in Canada, Portugal, Romania and Saudi Arabia.

This is a brilliant strategy because India is now stepping up in the game thus making sure that they would still have a share in the outsourcing market despite being outsourced to other countries.