Monday, January 28, 2008

Outsourcing to India – The Inside Story

Looks a lot like a controversial title, although it is not meant to be. Like other countries, India too, is going through a phase, however, unlike the phases in most countries, the Indian BPO industry is on a boom. Outsourcing companies in India help the Chief Information Officers (CIOs) to cut unnecessary costs and deal with the software demands of the company in the most effective way possible. If the outsourcing strategies that are developed by large organizations are up to the mark, the company can focus more on other productive areas.

The very fact that almost two thirds of all the Fortune 500 companies are outsourcing to India simply points out to the future demands of US companies. For instance, Forrester Research predicts that the amount of work in US is to become twice of what there is presently. In addition, if the companies fail to outsource when it comes to outsourcing to countries like India, especially to cities like Chennai and Mumbai, the CFOs and the CIOs will be wondering why cutting costs is one aspect that they are not able to overcome.

The fluency of the English language in India and the improvement in the telecommunication sector only add to the factors why companies in the US as well as the UK are expanding their activities through call centres in India.