software outsourcing

A blog related to software development company and offshore software outsourcing

Tuesday, January 30, 2007

Offshore Software Outsourcing to India continues to grow

Offshore Software Outsourcing to India continues to grow with the booming global trend of IT Outsourcing in a short period of time. Day by day more and more companies are approaching India for lower cost and high software outsourcing quality of overseas IT development services. Over the past decade the success of India in the field of overseas IT services is eye-catching. In the current global service market, software & service industry is highly booming in India. Year by year the figure of inflow of Foreign Revenue to India is increasing as the demand of Offshore Software Outsourcing to India is also on the pick.

Rapid growth of the country in the field of Information Technology has not only changed the status of the country globally in IT industry but it has also changed the financial scenario of the country. Global demand of Indian talents and software outsourcing people is increasing as one can find both: higher quality of development work as well as lower development cost. As we all know that competition is raising a lot in the software industry globally as all the companies are looking for cost cutting and higher quality solution to stay in the highly competitive market. For that purpose assistance of overseas development seems to be the unique solution.

Growth of Offshore Software Outsourcing to India

The trend of techno savvy globe is rapidly prevailing in the market as IT is taking place in almost all the industries. Now the competition is more taking place for lower cost with the best solution and because of that IT Outsourcing is highly booming. This is also one of the most important reasons for the hike in the growth of Offshore Software Outsourcing to India as India is considered to be the most cost effective place for overseas development for Information Technology problems with the best quality outcomes. It is also true that Offshore Software Outsourcing to India is also on the top most position for any types of software solution globally.

The increasing demand of Offshore Software Outsourcing to India is thanks to the ample amount of  software  outsourcing companies in the countries. There are also some of the states in India i.e. Bangalore, Pune, Chennai and Ahmedabad that are highly demanded globally for any types of IT Outsourcing solution. India also possesses the highest market share in the overseas IT development industry. One effective and important reason for the better success of Offshore Software Outsourcing to India is the fluency of Indian talents over the English Language. It helps India to gain the edge over the others and to stay on the top position.

Above are some of the facts about the increasing growth of Offshore Software Outsourcing to India in the highly competitive field of IT Outsourcing globally. The current market prediction indicates that India will also be able to maintain its position on the top most level for next 5 years as well as Offshore Software Outsourcing to India will also continue to grow in the same way.
Friday, January 19, 2007

IT Outsourcing Exports of India

IT outsourcing exports of India became more than $18 billion in the previous fiscal year, actually that is grew up by thirty five percent from the last year’s annual growth. If India would not focus on multi-dimensional and innovation services, it might potentially accelerate only IT Outsourcing exports by an enormous twenty billion dollars by fiscal year 2010.

In India's total IT outsourcing exports, U.S. accounted it about sixty eight percent and Europe is accounting twenty four percent. About thirty five percent of Information Technology export services by India and sixty five percent of the exports form Business Process Outsourcing, call center, and related services to these sectors such as Knowledge process outsourcing that came from entirely owned operations in India by MNC.

Number of multinational organizations, technology firms and user companies have set up Application Development Outsourcing, BPO, and call center franchisees in India while at the same time Indian IT Outsourcing companies are offering services to Europe and American based organizations.
Currently, India's Business Process Outsourcing industry is employs more than one million people and it is the figure according to survey study, and those jobs were not created only in the big cities (metro and mega) but in smaller towns too. Due to high demand of Indian software, BPO services, Call center the industry faced a shortage of employees that is particularly sensitive in an industry of BPO & call center. The industry will have to improve its process and services to add greater value and after sell services to the clients and improve the productivity in IT Outsourcing industry.

Staff’s salary have been increased in Software Development Industry due to shortage of staff, and organization were able to contain at times even lower their costs by better utilization of resources, low infrastructure costs, decreased telecom tariffs and broadband connection cost.
Now for the long term, India's Information Technology outsourcing industry would have to forge ties with educational institutions for ensuring a larger supply of quality IT - professional for the industry, itself.

Another study report says that the nation's IT Outsourcing Exports and services are expected to grow by in-between thirty to thirty percentages in the next year. In this year, exports of Information Technology software grew by 30.5 % to achieve $12 billion, while exports of BPO, Call center and related services grew by 44.5 percent to reach $5.2 billion. Despite fierce opposition in the previous year for Offshore Outsourcing from politicians and employee’s union in USA the growth in IT outsourcing exports came swiftly.
Wednesday, January 17, 2007

The Biggest Trend of Custom Software Development services

In the world of Information Technology, there is the biggest trend of Custom Software Development Services. Now a day world is going at rocket speed in the business of Offshore Software Outsourcing. Many years ago IT services were available only in Western countries but now its accessible in India, Africa, Bangladesh, Sri Lanka, and also in other overseas countries. Western Countries like U.K., U.S., and Australia are expensive for services of Information Technology Development, while India is providing low cost services. So Custom Software Development to India trend has become more popular globally.

The success of Custom Software Development is based on the main word “Customer Satisfaction”. Vendors and Customers relationship builds on base of faith, understanding and mutual respect. After getting this relationship everybody can become a successful businessman of Offshore Software Outsourcing. Western countries are crazy for the business of Software Technology. Recent trend of Custom Software Development predicts that demand of overseas web development services will continue also in future time. Western vendors prefer high quality, on-time delivery, accuracy and low cost of services. So trend is going on high and high at world level.

Many companies are expanding the IT outsourcing at world level like IBM, TCS, Accenture, Intel, Apple etc. This business is increasing rapidly in some of the countries like Russia, China, Philippines and India. In the past time, cost of IT development was very high but due to increase in overseas development services it’s available at very low cost with better quality now a day. India is providing low cost development services with latest technology, on-time delivery, accuracy and quality work. Overseas IT business is becoming so much helpful for the business world. Through the IT business we can learn more technology, knowledge of different things, knowledge of different countries, languages, project management etc.

Seven years ago, Custom Software Development considered as a risky business in the IT industry. But now the situation is different, it is considered as a low cost and the most successful solution in the business of IT world. In the year of March 2006, Offshore Software Outsourcing’s revenue increased almost 50 to 55 percent compared to the fiscal year 2005. This is the main reason on increasing growth of overseas software business.

We can say “The Custom Software Development business is becoming the business of art not of engineering”. Generally Offshore Software Outsourcing defined as a “key player” of the IT business world. Expanding the techno trend, “Custom Software Development is going on the most convenient way of the IT business”. Now whole universal trend is going at the way of hiring offshore development center.
Wednesday, January 10, 2007

Offshore Outsourcing as an Export Business

The nation's export business for Offshore Outsourcing services are expected to grow in between 30 to 32 percent in the forthcoming year. While counting in monetary term software outsourcing business grew by 12 billion dollars, and exports of BPO, call center, and related services grew by 5.2 billion dollar that accounted in Offshore Outsourcing Indian export.

Interestingly lots of Indian organizations are adopting the model followed by their competitor in USA and Europe for Offshore Outsourcing and their non-core functions across areas of banking, manufacturing, finance and insurance sectors. The domestic market is set for growth as commensurate with the growth projections that opposed to 4.8 billion dollars previous year and its projected to touch 7 billion dollars during this year, will reach 20 billion dollar by year 2010. In time of future its expected that a mere cost arbitrage will not help & innovation would cut across business models. Look at the scenario where cost is the only competitive advantage in Offshore Outsourcing Industry.

The area such as data management and analysis which involves cross-functional disciplines and opens up new segments, by expecting such deals to grow, in the case of high-end offshore outsourcing; there is need for operational excellence. For instance, taking benefits of Indian Offshore Outsourcing firms by outsourcer and saving about fifty percent but it might expected to come down by at least ten percent in next few years. The areas that have been overlooked relate to the implications that innovation could bring for cost savings.

The two sectors, Software Development and Offshore Outsourcing for Indian economy will earn more than 60 billion dollars in exports by end of 2010. The projected growth will provide directly employment to 2.3 million people, approximately. And it will provide indirect employment to another 6.5 million employees by year 2010. Increase from 3 % of gross domestic product to about 7 % will occur due to Offshore Outsourcing process.

The Indian Offshore Outsourcing business is going to increase by 10 times. The growth will come with Indian organizations continuing to maintain their fourty-six % share in international BPO market and 65 % share of the IT Outsourcing market through the year 2010.