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India’s IT & Outsourcing Industry Faces Difficult Challenges

By 28th October 2021November 10th, 2023No Comments

This automobile giant had initially outsourced its back-office work to India. Ford also established a software development facility in India to manage its e-commerce solutions. Ford outsourced their call to India because of its incredibly cheap call center pricing. This is to provide their clients access to reliable 24/7 customer support. The primary services are phone, email, and live chat support benefits.

  • In all main cities, India offers state-of-the-art technology and cellular networks.
  • Dell set up its first center in Bangalore in 2001 and opened a second site in Hyderabad in 2002.
  • So far, many companies have said they will retain their employees, and will honor outstanding job offers.
  • For instance, your outsourced team may not have the same working days or holidays as your country.

Foreign companies should always be aware that offshore outsourcing to India involves cultural and time zone differences. Making the mistake of partnering with the wrong outsourcing services provider can add up to more expenses. When outsourcing, you might lack the assurance of how your service provider handles your data, which risks your data security. India provides state-of-the-art technology and cellular networks in all major cities and towns. Because of this, clients are sure their outsourced employees will be using the latest and best in software technology. Quality services provided by the country’s skilled professionals primarily attract companies to choose India for their outsourcing needs.

Risk of Data Leak

The ‘thing’ prompted the likes of Bhavish Aggarwal, Founder and CEO, Ola, to wonder aloud on Twitter if it just may be cheaper to hire from Silicon Valley instead. Whether you need resources with experience in complex financial, accounting, or technology compliance and regulations in India, our business process outsourcing professionals can help. You will gain efficiency, flexibility, and the capacity to become more strategic and grow the business. CPA firms from the US and Europe often use Indian outsourced accounting services to take advantage of the country’s time zone difference. When you outsource an accounting service to another country, you’re essentially hiring remote teams for expanding your business processes.

  • The Philippine government’s support is also overwhelming for the outsourcing industry.
  • The Information Technology Act and other IT policies in India empower the growth of the IT industry and make it easy for western companies to collaborate with Indian IT companies.
  • Because of this, clients are sure their outsourced employees will be using the latest and best in software technology.
  • For example, if you’re a small business with limited resources, you can start by outsourcing your payroll services to an agency.

India also holds the distinction of being the largest English speaking nation in the world, larger even than the US and UK combined. Apart from the vast numbers, is the quality of talent that attracts companies wishing to outsource. A typical Indian outsourcing partner offers back office solutions that cater to your type of back office service needs. Examples of these services include data management, data entry, data mining, data processing, and other types of back-office support. The Deloitte report shows that the U.S. itself is also a popular destination for shared services activity.

Once you’re more familiar with the service provider, you can collaborate more effectively to achieve the desired outcomes. For instance, your outsourced team may not have the same working days or holidays as your country. They may also have different frames of reference or jargon while working. As a result, companies outsourcing to India can benefit from cost-effective labor and reduce their operational costs. Moreover, most software and communication tools used in India have an English user interface, including popular cloud accounting software like Xero. They can relate to almost all Western cultures, an excellent customer service feature.


For example, you are engaging in outsourcing when you get your complete or part of your mobile app development project performed by a third-party vendor. Outsourcing to India has been a popular and effective business model for companies to what type of corporation is a nonprofit cut costs, achieve scalability for growth and tap into desired expertise for the past few decades. The Time and Materials (T&M) model is a flexible billing method in which you only pay for the actual time and resources used on a project.

Large talent pool

With team of 100+ certified experts, it has written 400+ success stories across 15 geographies. SoluLab helps enterprises to dominate the decentralized world with their top-notch Blockchain, AI and IoT development solutions. Focaloid’s culture is rooted in delivering products of value which has enabled them to consistently create intuitive and value-adding products of great quality.

In comparison, the hourly cost of a developer in India can be negotiated down to as low as $15 per hour. This pricing flexibility allows companies the freedom and creativity in managing their budget and helps them reap large profits. Mindster is one of the topmost mobile app development firms that works towards making your technology experience more exciting and engaging. They do have team of 100+ experts which includes certified project managers, experienced developers, creative designers, expert business analysts, digital marketers, and quality analysts. Ltd amends the dynamics of the IT industry by providing trusted, supportive and quality development services to their clients with innovative use of technology. MMF Infotech specialises in delivering a wide range of technology solutions and back office support services for the businesses around the world.

Data entry outsourcing companies

W3care provides web & mobile app development services on all major technologies and platforms. They work on all technologies like content management systems, PHP frameworks, Android and iOs. BinaryFolks is a trusted global software development outsourcing company with over 8 years of experience in providing solutions to a wide spectrum of clients. Data entry experts Connect Center provides are not only specialized in data entry services. But they can also process various types of data and are skilled in data conversion too. The data entry experts have 10+ years of experience in handling data from different industries.

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Microsoft is still in tight partnership with the Indian BPO industry. Despite the ongoing struggle of India with cybersecurity challenges, it received support from the company. Microsoft believes building a secure computing environment is crucial to India’s digital transformation. Compared to other industrialised countries such as the United States, India has a cheap cost of living.

BPO/ Virtual Call Centers

Latin American countries Colombia, Brazil and Mexico are also emerging IT outsourcing centres, although the developers mostly speak Portuguese and Spanish. Latin America mostly offers a bunch of generic skills which features on the mid- to low-end of the expertise spectrum, Vohra says. Your company’s financial data in the wrong hands could lead to serious security issues.

Is one of those companies that invested in setting up a research and development center in India. The company invested roughly $130 million to equip its center with the latest tools and technology. Center caters to suppliers, customers, branches, and other technology centers worldwide. The company, by far, has 3,000 to 4,000 IT roles outsourced to India. The BPO Network can help you find and connect with those 2-3 high-quality providers who can meet your specific outsourcing needs.

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