Deciding on where to outsource your business is just as crucial as knowing when the right time to outsource is. The complex process you had to go through when hiring a helping hand for your company starts off with the right outsourcing destination. Sure, maybe all countries are offering this type of service to those seeking assistance. However, you should consider several factors before signing an agreement and eventually regretting your decision.
When choosing the best location to hire an outsourcing company, you should keep in mind various considerations. These includes the country’s digital competence, literacy (especially in the English language), workforce population, and rate/payment. Let this article be your guide if you are a little lost on where to hire the best outsourcing providers. This list is in no particular order.
Philippines
The Philippines is home to skillful and educated workforce. Which makes it a preferred choice over other countries. According to an analysis conducted by EF English Proficiency Index last 2019, the Philippines ranked number 2 for the highest English proficiency in Asia. Whereas, it reached the 20th spot globally. Being able to speak and write in the universal language is very vital when looking for remote workers. The country has a long history of American colonization. So, it is no wonder that the way Filipinos speak English has lesser accent and off intonation.
Moreover, if you are in a budget but still wants to hire the best outsourcing company, Philippines is your go to. The cost of living is way cheaper than those of Western countries. So, salaries are also often priced at an affordable rate. Also, when it comes to equipment and other supplies needed for remote working, those are relatively cheaper. Because of the country’s cost – competitive feature, businesses can earn more profit and save at the same time.
“The Philippines continues to be the largest location for delivery of contact services in the rest of the world. So as an outsourcing destination, it continues to dominate the No. 1 spot as a country,” said chairman Benedict Hernandez of Contact Center Association of the Philippines (CCAP) in an interview with Philippine Star.
India
The world’s largest outsourcing destination is India. It is no wonder that this country is leading the index primarily because of the large working population that it boasts of. India is ranked number 2 as the biggest country in the world. Because of this, availing the service of its citizens is cheaper compared to those of its neighboring countries.
What also makes India a mainstay in the list of top outsourcing destinations, is its largest qualified talent of technical graduates. This is the reason why the country has been popular for their Information Technology services, technical support, and software and computer programming industry.
According to A.T Kearney, in March 2018, India was hosting an estimate of 1,140 in – house captive centers. This allows almost half of the top 500 countries to work with India. Furthermore, another indicator of the country’s great impact in the outsourcing industry is the establishment of IT companies and ITES companies. Based on the same report, these Indian companies have branched out to over 1,000 delivery centers in over 80 countries. Also, the country houses 75% of global digital talents.
The Indian government also supports its outsourcing industry particularly the technology industry. In a study conducted by India Brand Equity Foundation, the government has identified the IT industry as part of the top 12 champion services sector. Because of this, the industry is being funded an estimate of $742.82 million to further maximize its services.
Mexico
If you want a nearer option for your outsourcing needs, Mexico is the best choice. The country is the closest to the United States which makes it an ideal nearshore model for your business. Aside from the advantage when it comes to location, Mexico is also raising their game when it comes to the IT and HR industry. English is not the main language of its people. But, a good number of its workers can still communicate effectively and properly to native Americans.
A report by A.T Kearney also said that Mexico together with China are starting to catch up with India when it comes to the IT outsourcing industry. Moreover, the capacity to speak two languages (Spanish and English) is also a plus point for the country. Because of its constant development, Mexico have a pool of 500,000 IT workforce. It also increases yearly with additional 12,000 technology graduates. This made more US based companies attracted to the country’s outsourcing industry.
Furthermore, various American software testing service provider have also opened a delivery center in the country. An example of this is QA Source, which branched out in Aguascalientes. The Mexican offices also allow the US based in – house engineering department to work in the same time zone as their offshore counterpart.
Poland
Poland has established its own name in the Central and Eastern Europe as a top outsourcing software developer over the years. Ukraine still remains number 1 in the leader board for outsourcing destinations. But Poland is also not being left behind. The country has been listed number 3 for best software developers in HackerRank and Skill Value reports. Also, in the 2018 Developer Skills Report, Poland placed 4th with 77% of programmers knowing how to code at age 5 – 10. It’s also one of the pioneer in the implementation of fintech innovations in Europe.
Since Poland is also an English speaking country, communication is not a problem. Moreover, it has almost eighty thousand IT graduates every year. Because of these reasons, US companies have expanded their options in this part of the world for their outsourcing needs. You can also be assured that all projects are safe when done in this area. The reason for this is that EU countries are known for having topnotch security and data privacy.
Compared to the Asian countries, Poland’s rate is quite high. However, it still cheaper compared if you outsource workers in United Kingdom or USA. But aside from saving some costs, you will also get your money’s value because of the efficient and high quality output that Polish people do.
Hiring an outsourcing company has been a common strategy of many companies. With more and more countries offering this kind of service, it is crucial to identify which one can benefit you the most. So, consider all factors especially the current status of that country’s outsourcing industry.
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