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Outsourcing to India

Why Outsource Data processing and Software development to India? Just as the Gulf has its natural resources in crude oil and South Africa in diamonds, India's natural resource lie in its abundant technically skilled manpower. More than 320 universities, 32 engineering colleges and 700 private training institutes teach computer science courses. The output of trained manpower at degree/diploma level has increased from less than 1,000 in 1983 to about 60,505 in 1996.

Benefits of Outsourcing in India
  • Large pool of computer literate and English speaking professionals
  • Well recognized Information technology skills
  • Wide gap between personnel costs in India and developed countries.
  • Combination skill sets easily available (For example computer and legal or medical skills)
  • Government supportive of such activities
  • Excellent training infrastructure
  • Excellent Telecom infrastructure in major cities

According to the National Association of Software & Service Companies, the Indian software industry lobby, almost half the Fortune 500 companies now use Indian Software services. With over 4 million highly trained English speaking technical personnel (second only to the USA), heavy government support and leading world class software companies, India is set to become the software giant of the new Millennium. Furthermore, a World Bank funded study in the United States confirmed that vendors rated India as their number one choice for outsourcing.

Other industry sectors have benefited greatly from their decision to outsource to India. The U.S. and India have an average 12-hour time zone difference, but this kind of use of datacom can provide a virtual 24-hour office to a client in the U.S. Lately, this concept has worked wonders for large projects and also for projects involving remote software maintenance using video conferencing. Offshore projects mean immense time and cost savings.

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