Feeds

India’s outsourcers battle for customers in a cloudy universe

Still on top but heeeere comes China ...

Build a business case: developing custom apps

Can China catch up?

Although it could be a good fit for global firms looking to service their APAC operations from its shores, Gartner’s Roy argued that China is at least 6-7 years behind India, with no guarantee it will be able to close that gap as long as India can mature incrementally.

“It’s pretty clear India is top in terms of the attractiveness of offshoring there because it is a very mature location for IT services delivery. It’s not just about available IT skills but the whole ecosystem of support services,” he argued.

“For example, workers often need to work in shifts to cater to various time zones, which means workers need ferrying from home to the office at odd hours. This may sound like a low-level activity but in the overall scheme every small thing matters.”

The Philippines is another rival location getting a lot of attention, especially in areas like back office processing and contact centre work. The annual ranking of the top 100 global outsourcing destinations by outsourcing advisory firm Tholons, released in January, placed Manila and Cebu in the top ten, both improving on their position last year, with the capital in third spot.

Forrester principal analyst Frederic Giron told The Reg that the country had caught up strongly with India in terms of its call centre capabilities thanks to strong language skills (Philippinos' English accents are often easier on American ears) and cultural fit with Western clients, but it isn’t as strong in higher value services, which is where India can flourish.

“India has more equity research analysts than London and New York combined, which is an interesting proof point that skill levels in the country have improved quite a bit,” he said. “I see providers in India focusing on higher value add – consulting and architecture, that type of task. This gives those firms an edge over other destinations like China.”

It should also be noted, as pointed out by IDC research manager Mayur Sahni, that Indian providers are somewhat insulated from the growth in the Philippines because they themselves have “ sizable setups” there for business process outsourcing operations serving global and local clients.

The Essential Guide to IT Transformation

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
Airbus promises Wi-Fi – yay – and 3D movies (meh) in new A330
If the person in front reclines their seat, this could get interesting
UK Parliament rubber-stamps EMERGENCY data grab 'n' keep bill
Just 49 MPs oppose Drip's rushed timetable
ITC: Seagate and LSI can infringe Realtek patents because Realtek isn't in the US
Land of the (get off scot) free, when it's a foreign owner
Samsung threatens to cut ties with supplier over child labour allegations
Vows to uphold 'zero tolerance' policy on underage workers
Dude, you're getting a Dell – with BITCOIN: IT giant slurps cryptocash
1. Buy PC with Bitcoin. 2. Mine more coins. 3. Goto step 1
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
prev story

Whitepapers

Seven Steps to Software Security
Seven practical steps you can begin to take today to secure your applications and prevent the damages a successful cyber-attack can cause.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Designing a Defense for Mobile Applications
Learn about the various considerations for defending mobile applications - from the application architecture itself to the myriad testing technologies.
Build a business case: developing custom apps
Learn how to maximize the value of custom applications by accelerating and simplifying their development.
Consolidation: the foundation for IT and business transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.