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India has been a pioneer in providing outsourcing solutions and has been providing a range of outsourcing services to countries across the globe. Today, India can be called as the world’s outsourcing hub. Outsourcing to India can help your organization benefit from cost-effective services, high-quality services, reduced operating costs, greater flexibility and faster-time-to-market amongst others. These are just a few reasons why companies outsource to India. Another reason why outsourcing to India makes good business sense is because India has high-end technology and best-of-breed infrastructure. India has now become the world’s most preferred outsourcing location. India is also the global hub for software enabled services and software development.
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Achieve more with less
Everyone in business is under constant pressure to produce ever-increasing volumes of work to generate more revenue with existing staff. Outsourcing helps to utilize the existing staff for other major projects while the routine work can be handled at less cost.
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Real-time access to skilled people
Business is not a steady, constant stream. You can never fully predict what situation the next day, week or month will force upon you. Ensuring you have the appropriate number of staff with the appropriate skills for the current workload is next to impossible.
Outsourcing provides a certain level of scalability to help solve the enviable situation of significant growth. If you have a solid team that can manage the outsourced projects, then you are well positioned to handle the growth by outsourcing projects.
If Software Engineering Institute's 'Capability Maturity Model Level 5' is the highest quality certification in the software industry, then India's the place to be. With 65% of the world's CMM Level 5 companies and one of the world's largest pool of scientific and technical talent, India is a logical choice for outsourcing.
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Focus on your core competencies
When your business grows, it does so because you successfully deliver a product the market demands at right time. But what if you experience exponential growth and need to ramp up your current support infrastructure? How will you support your expanding customer base? How will you research new products and test them? And how will you meet either of these demands while continuing your current rate of growth? Outsource it, that's how. Need a customer support call center? Find a partner in India. Need help researching new products and/or testing them? Outsource it to India. Outsourcing allows you to delegate noncore activities and lets you maintain your focus on the activities that make you successful.
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Price Flexibility
The plain truth is that American labor is expensive—due to high cost of living compared to the majority of the world. In addition to each staff member's salary, there is the cost of taxes, health insurance, liability insurance, computers, infrastructure and much more, depending on the perks you offer. The typical range for a good developer can be anywhere from $50 to $80 an hour for a full-time staffer (depending on skills and experience). Compare this to the hourly cost of a developer in India, which can be negotiated down to as low as $25 per hour for experienced staff. Pricing flexibility allows you to be much more creative in managing your budget when you can't afford higher-priced staff.
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Higher value per person
Maintaining the proper staff levels to meet business needs is a difficult art to master. Too little staff, and you run the risk of failing to deliver in times of increased activity; too many people on staff and you risk lower productivity per person and overall dissatisfaction among employees. Hire a core team capable of meeting the fluctuating demands of your business. As activity spikes due to seasonal or similar demands, you can add strength through outsourcing. This strategy will keep your full-time staff at a steady utilization rate throughout the year. The result will be a higher value received per person as you dramatically reduce the "nonproductive" time caused by staff sitting idle.
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High Skilled Professionals
When you outsource to India, you will be outsourcing to people who are highly educated, often holding degrees from the United States' finest universities. The language and cultural barriers are blurring with companies having front office in US and support office located in India. The best of both worlds can thus be utilized.
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Getting started is easy
If outsourcing sounds even remotely interesting take action immediately. Getting started with outsourcing is as easy as finding a right vendor and signing a contract. Make informed decisions and move forward with wisdom and outsource only what you can handle. Here are few tips that can be helpful:
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Your needs are priority
If outsourcing sounds even remotely interesting take action immediately. Getting started with outsourcing is as easy as finding a right vendor and signing a contract. Make informed decisions and move forward with wisdom and outsource only what you can handle. Here are few tips that can be helpful.
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Follow due diligence
Like any product or service you purchase, it's important to investigate the market and the potential vendors. Not all outsourcing providers are equal, and finding the right fit is important for successful outsourcing relationship.
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Get the appropriate tools
Outsourcing partners work remotely. So you should invest in solid tools for communicating with remote teams. Tools like Webex can allow you to share screens with remote individuals and work together in real time.
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Start small
Outsourcing can fall into a ditch quickly, so control the number of variables as you experiment. Choose a simple project to test your chosen outsourcing provider. This will help you develop a relationship with your team in India, learn its culture and develop effective channels of communication.
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Be responsible
Ultimately you remain responsible for the work delivered by your outsourcing vendor. Avoid the temptation to assign the work and forget about it until the delivery date. Manage your outsourcing partner as you would your staff. Document your expectations and define your deliverables and time lines. In addition, schedule a recurring meeting to review status and set priorities. In essence, your outsourced team is an extension of your staff and requires your oversight and guidance.
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