Study: 70% of U.S. IT-Work Outsourced to India
According to a research study, it was found that a business generally saves as much as 25-40% of costs linked to labor by off-shoring to overseas destinations with lower wages.
As much ss 70% of the IT-related work that is outsourced from the U.S. is allotted to India, the study reports. Trailing India in offshore outsourcing contracts from the U.S. are Ireland, Germany, Philippines, China, and Canada. Those who support off-shoring cite that this type of flexibility in a company's business model has a positive impact on the U.S. economy at large.
The main reason for choosing India as a preferred destination as a Web designing outsourcing and offshore web development partner may be attributed to the wide array of educated human resource combined with top-notch quality offerings. In addition, the government policies and incentives for the IT industry in India is particularly encouraging - perhaps more so since Prime Minister Manmohan Singh and his Congress-led party were re-elected during recent Parliamentary elections.
Yet other benefits in off-shoring to India include cost efficiency. Incidentally, cost savings in India may potentially reach as high as an astonishing 90% in comparison with in-house development in Western Europe or North America. - this figure represents savings for ordinary low-level work outsourced to India. In the present-day business environment roiled by competition, a sizable decrease in development time and, in turn, speed-to-market becomes a crucial factor. As India offers accessibility to trained IT staff that have instant acess to a prominent pool of the heavy industry talent enables firms to bypassss hiring gaps for IT professionals in countries like the U.S.
By resorting to the outsourcing model, flexible manpower utilization is achieved by companies slashing training and recruiting costs. On the part of the client, minimal development risk due to established development protocol along with a high degree of management system quality contributes to little or no up-front investments and to development risk minimization.
Web development includes a wide array of functions and tasks linked to the development of Website for the World Wide Web, i.e. Intranet. Essentially, this would involve web design, e-commerce business development and web content development.
India has developed at an alarmingly rapid rate and in this kind of a changing business environment, the country has elevated itself to a major hub of IT-related activities. In fact, India is perceived by some to be the next major center of web solutions world-wide.