Outsourcing Facts

Offshore Outsourcing & Offshore Development Centers have clearly become an integral part of the overall outsourcing strategy of companies around the globe, to leverage the benefits of Offshore Outsourcing. Here are some facts on Offshore Outsourcing and the Offshore Development Centers:

1. In an attempt to reduce costs, the world's 100 largest financial-services companies say they expect to transfer about $356 billion of their operations and 2 million jobs offshore over the next five years



2. Offshore Outsourcing Services are expected to save the companies approximately $1.4 billion each by 2008, according to a report from Deloitte Research, an arm of Deloitte Consulting, a global management-consulting firm. Financial services companies from North America, Europe and Asia say they plan to send work to low-cost centers such as India.



3. It is predicted that more than 1 million jobs will move to the Indian Ocean rim over the next five years. Based on the Indian Quality Standards , nearly half of the global corporate world is targeting India, which has a huge market of Business Process Outsourcing services as compared to other offshore outsourcing destinations.



4. The survey of 27 of the world's largest financial institutions shows that the shift in operations towards offshore outsourcing is already well underway.



5. Major big companies say that they currently have existing offshore development centers. That percentage is expected to jump to 75 percent within two years, according to Deloitte analysts. The survey also notes that the companies can achieve a 39 percent cost savings by moving work to areas where salaries and other costs are much lower.



6. The survey also shows that banks and insurance companies are transferring offshore, functions like application development, coding and programming, accounting and finance, contact support and call-center operations.