Despite Recession Why Is It Still a Good Idea to Outsource to India
Recession has slowed down the growth strategy of businesses in the west. Every other company in the west is running for cover to safeguard its interest in an an atmosphere of financial uncertainty. Business leaders are working hard to chart out a survival path for their respective companies. Even political leaders are not far behind in combating the challenges of recession. They are coming up with bail out plans to make the economy work. While the revival of western economies would take its own course, pragmatic business leaders have turned towards outsourcing in an effort to revive their dwindling fortunes. This strategy is not only working in their favor, it is also bringing a ray of hope for others who have yet to take a plunge into outsourcing. And most of the roads lead to India - the world's favorite outsourcing destination.
In fact, outsourcing has come to the rescue of scores of companies who were on the brink of closure due to the economic slowdown. Many American banks have sustained their operations by outsourcing their services to India. Non-banking financial organizations in the west have outsourced their transaction processing extensively and have managed to break even. Large and small travel companies across Europe and America are outsourcing their operations to India in an effort to maintain profitability. Major airlines of the west like Delta, Lufthansa and British Airways are able to withstand the challenges of the economic meltdown only because they have been wisely outsourcing to India for a long time. It is by virtue of outsourcing that reputed publishing houses like McGraw Hill, Pearson, Oxford University Press and McMillan are still conducting profitable business. Research has shown that organizations which have filed Chapter 11 in the U.S. are counting heavily on their outsourcing strategy to repay their debts. Knowledge and research-based business processes are also being outsourced to India on a large scale. This trend of is evidence enough to show that outsourcing has come up as a boon for the recession stricken industries of the west.
In spite of the economic slowdown in the west (as the rest of the world), outsourcing to India still makes a lot of sense. India, in particular, promises to be a reliable destination for companies to outsource their businesses. Being the largest democracy of the world, India is second to none in terms of political stability. It has the second largest English speaking population in the world. In terms of higher education, India boasts of institutions of world fame like IITs and IIMs. Besides this, there is a pervasive network of private and public sector universities which produce world class professionals. Therefore, there is a massive talent pool of professionals available in India. The infrastructure available is world class - be it satellite communication or the internet. Public and private sector service providers can fulfill any kind of infrastructural demands - be it transportation, electricity or telecommunication. In spite of the economic slowdown, India has managed a steady growth rate of more than 7%.
All these factors make India a reliable destination for outsourcing. This is not all, every company, be it large or small can find tailor-made outsourcing solutions according to their needs. This is because the Indian outsourcing industry has come of age and is in a position to provide solutions according to individual needs.
In fact, outsourcing has come to the rescue of scores of companies who were on the brink of closure due to the economic slowdown. Many American banks have sustained their operations by outsourcing their services to India. Non-banking financial organizations in the west have outsourced their transaction processing extensively and have managed to break even. Large and small travel companies across Europe and America are outsourcing their operations to India in an effort to maintain profitability. Major airlines of the west like Delta, Lufthansa and British Airways are able to withstand the challenges of the economic meltdown only because they have been wisely outsourcing to India for a long time. It is by virtue of outsourcing that reputed publishing houses like McGraw Hill, Pearson, Oxford University Press and McMillan are still conducting profitable business. Research has shown that organizations which have filed Chapter 11 in the U.S. are counting heavily on their outsourcing strategy to repay their debts. Knowledge and research-based business processes are also being outsourced to India on a large scale. This trend of is evidence enough to show that outsourcing has come up as a boon for the recession stricken industries of the west.
In spite of the economic slowdown in the west (as the rest of the world), outsourcing to India still makes a lot of sense. India, in particular, promises to be a reliable destination for companies to outsource their businesses. Being the largest democracy of the world, India is second to none in terms of political stability. It has the second largest English speaking population in the world. In terms of higher education, India boasts of institutions of world fame like IITs and IIMs. Besides this, there is a pervasive network of private and public sector universities which produce world class professionals. Therefore, there is a massive talent pool of professionals available in India. The infrastructure available is world class - be it satellite communication or the internet. Public and private sector service providers can fulfill any kind of infrastructural demands - be it transportation, electricity or telecommunication. In spite of the economic slowdown, India has managed a steady growth rate of more than 7%.
All these factors make India a reliable destination for outsourcing. This is not all, every company, be it large or small can find tailor-made outsourcing solutions according to their needs. This is because the Indian outsourcing industry has come of age and is in a position to provide solutions according to individual needs.
