Offshore outsourcing is a truly global business strategy. Buyer companies benefit the most from outsourcing engagements if they get access to resources, infrastructure and technologies that they might not be able to access at home. In fact, the outsourcing sector is on the march, no matter if you seek an offshore service provider in the Philippines, Russia, Brazil or India. Global offshore services range from business process outsourcing over information technology outsourcing to call center outsourcing. Contradictory, this great range of service providers and services in any imaginable geographic location bears a challenge for outsourcing buyers: What is the best outsourcing country? This article offers help for the undecided and provides them with the newest rankings of the best offshore outsourcing countries worldwide.

A recent research publication by Gartner on the best offshore countries 2010-11 highlights that India could successfully defend its position as number one. Predominantly US and European clients are attracted by India’s market maturity and cost advantages. Generally, Asia is a preferred continent to outsource service operations to. India’s main competitor is the economic giant China, a nation that highly invests in its outsourcing sector.

The Gartner experts further underline that Latin America is an emerging outsourcing regions, making  overall improvements concerning infrastructure, educational systems, economic growth, human resources and political stability. Chile, Colombia, Mexico, Costa Rica, Brazil, Peru, Argentina and Panama are listed in the top thirty. Latin American service providers offer high cost advantages as main factor of client attraction. Mexico is ranked as the most cost-advantageous nation in Latin America.

Due to the aspiring growth of the near shoring sector in the European Union, the rankings show a high presence of Eastern European nations. One major advantage to outsource to Russia, Poland, Hungary, the Ukraine or Bulgaria that is often cited on side of buyers from Germany, the UK and France is proximity. Nevertheless, the Gartner analysts highlight that Eastern European prices are not anymore low-cost service providers compared to its Asian and Latin American competitors.

Reviewing the results of the Gartner research it becomes apparent that one main driver of outsourcing is to cut service production costs. Nevertheless, Gartner regarded a range of other factors next to costs such as data security, cultural compatibility, human resources, infrastructure, educational standards, legal protection etc. Asia is praised as the most valuable region that could score the best results for most of these criteria. Therefore Gartner expects Asian countries to lead the  global outsourcing industry in 2011.

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written by DurhamBrandie , October 25, 2011

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