India’s economy is largely depended on outsourcing. According to Statista, 8% of India’s total GDP in 2017 was represented by IT and associated businesses. In 2019, India’s outsourcing industry generated almost 180 billion USD as annual revenue. In the last two decades, India has seen a huge growth in outsourcing. As a result, most companies that want to outsource choose India over any other country.
Now, the question is why are companies choosing India over other countries for outsourcing? There is not one single reason that can define the reason behind the success of outsourcing in India. India has been gradually ascending in terms of a hub for perfect outsourcing. If you take a look at the last two decades, you will notice that the number of start-ups has increased in leaps and bounds.
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Besides, more and more oversees companies have collaborated with Indian retailers or have established partnership business. Many companies have outsourced their web development and web design to India. Some companies even outsourced their graphic design work to India.
Let’s check out why companies are outsourcing to India.
A pool of experts to choose from:
India is the second most populous country in the globe. The youth demographic in India is more promising in comparison to other countries. Hence, it is a pool of young population that foreign companies are interested in. Most of the young people have technical knowledge that is helpful for companies that want to outsource to India.
Because of the huge population, India is known for easy availability of trained professionals. If you own a company that requires offshore website developers, you can get hundreds of options in India. As there are quite a number of developers and designers available, it is even easier to manage large solution that is intricate as well.
The professionals in India are known to adapt the technological changes and advancements. As the foreign websites are available in India, people train themselves with the help of many such websites. In many Asian countries, using internet is banned. And even if internet is not banned, accessing many websites is forbidden. It can be difficult for companies to implement technological changes without a trained workforce and India offers exactly that.
High in quality and reliability:
If you have been worrying about getting high-quality work, India is the right country for you to outsource your work. India is a country where companies maintain all the international standards to provide you with the best service possible. Are you wondering what international practices the country follows? Here are a few that you may find helpful.
- The companies that offer outsourcing follow the guideline set by International Standard Organization or ISO 9000. Hence, the companies offer you superior quality service when it comes to developing, designing, producing and even implementing new process.
- The companies are under Six Sigma Certification that is a mark of having skilled workforce. It helps you to understand that you are working with professionals who know how to categorize risks and get rid of those as early as possible. It is extremely important for a business to detect errors and solve those to make sure that the process is running smoothly.
- The companies follow Capability Maturing Model or CMM. The model helps each company to assess its own proficiency to undertake any project and deliver it.
- The companies also follow Total Quality Management or TQM standard so that they can focus on providing you with quality support.
- The companies also work to provide service within the deadline under Customer Operations Performance Center standard.
- More than 75% of Capability Maturing Model Integration or CMMI level 5 certified companies such as Tata Consultancy Services, Infosys Limited, Larsen and Toubro, HCL Technologies Limited etc. are situated in India.
As you can see from the above list, the IT companies in India follow the standards. The certifications are the proof of quality that the companies maintain.
Cost-effective option:
Believe it or not, you can reduce almost 30 – 35% of your cost if you outsource to India in comparison to any other countries. Most of the Indian companies that offer outsourcing services follow a certain process. You can either go for a monthly fixed rate or choose an hourly rated service depending on your requirements. If you want to make profit, you should hire Indian website developers and designers. This will allow you to get the highest quality of service within fraction of the cost. Hence, your profit margin will be much more than what you expect.
If you haven’t calculated your profit yet, I suggest you to calculate the amount you make by outsourcing your development and designing work to India. Apart from the increment in your profit margin, you also get professionally optimized service.
Easy to communicate:
Any company can perform better if the communication among the employees and the management is smooth. English is the language that is used by companies in the USA or the UK or even Australia. No matter which country you choose to outsource, the employees should be able to communicate in English.
India is a country where almost 10% of its population (approximately 125 million people) speaks English. It is the second largest country to speak English right after the USA. It is assumed that the number will quadruple in the next decade.
This is one of the perfect reasons to outsource to India. When it comes to communication, you won’t have any issues if you outsource in India.
Positive effect of time difference:
Trust me when I say that time difference can be a boon for you if you are outsourcing to India. The time difference between India and the west coast of USA is around 12 hours. India is ahead of USA.
If you are in the UK, India is still around 5.5 hours ahead of you. This time difference can have a positive effect on your business. By outsourcing to India, your work may get completed much before the time you expect. Besides, many outsourcing companies have multiple shifts. It allows the companies to complete the task before time.
If you have been worried about being available 24×7, the time difference with India will help you out. It is the best reason for you to start outsourcing. The Indian government has also been open towards this new growing industry. The government has created IT parks, special economic zones, better infrastructure, improved policies, better telecom system and a lot for the growth of the outsourcing industry. Besides, the IT industry in India also gets some tax benefits that can be ideal for a company that is outsourcing to India.
24×7 hour service:
As I mentioned already, the time difference is of great help when it comes to outsourcing. When you are outsourcing, it means you need support to provide services to your customers. We live in a competitive world. Every company is trying to outrun the other in terms of products or services that these provide.
However, there is a simple way that you can use to provide the best service. You can inform your customers that your company offers round the clock service. You can actually provide service 24×7 with the help of the remote team working from India.
The Indian professionals are trained to match the international standard. Hence, they are competent enough to handle the demanding circumstances. Thanks to the updated communication processes, you cannot only communicate through emails but you can also use chat support. In case of emergency, you can also make use of audio-video conference. All these methods make it easy to maintain an integrated support system for your clients.
What types of businesses need outsourcing?
While we are talking about outsourcing, let’s focus on what types of businesses require outsourcing. The most famous companies that outsource to India belong to industrial technology or IT. Now, there are different types of IT services that may or may not require outsourcing.
- If your company offers cloud services, your business is in high demand. Many companies are now opting to keep their data safe and secure with the help of cloud services. Cloud allows you to store a large amount of data in a much reduced cost. Outsourcing your business to India will allow you to target the Indian market as well as the international market.
- More and more companies are now looking for web-based applications. Web-based apps not only help to provide better service but these apps also help in connecting with the end users. From banking sector to e-commerce to healthcare to tours and travels to cafes – the list is endless when it comes to the application of web-apps. Outsourcing can be especially helpful for you as you will be able to provide round the clock service to the end users.
- Automation is a budding industry. More than 80% of people believe that artificial intelligence will be used by many industries. It is also assumed that robotic process automation will also see a surge in the near future.
- Internet of Things or IoT apps have long way to go. Companies from different industrial background are looking for ways to implement IoT in their processes. It is expected that the IoT industry will see a boom in the coming years. So, you need to be prepared and outsourcing is the best way to do it.
Conclusion:
Outsourcing in India is not a new trend. Companies like Cognizant, IBM, Dell, Wipro etc. have been offering world class service by outsourcing their services in India. More and more companies in different parts of world are also realizing that India is the best country to outsource their businesses. From communication to technology to support, India is the hub for outsourcers.
Since many companies are already outsourcing in India, you can choose the company you want to outsource to, based on your requirements. The only thing that you should remember is to hire a group of professionals instead of hiring an individual. Nico Digital is a company that offers website development, website design, maintenance of your website and even SEO services. Professionals who are experts in different fields work under the same roof to provide you with the best service.
