The outsourcing industry has just recently been growing when large companies moved their call cneters to offshore providers but the whole outsourcing trend has been around for a while now. Delayed outsourcing deals will now be reopened because of the steady recovery that economies around the world are going through right now. The International Association of Outsourcing Professionals (IAOP) has listed a few trends that can be expected from outsourcing this year.
Many years ago outsourcing was perhaps the best business idea ever made. The Asia-pacific region saw an exponential growth of call centers all over. The past few months though saw the slowing down of the development of outsourcing because of questions like â€œwhy do we need to outsource?â€. This year, outsourcing is back and bigger than ever! Now companies have realized that aside from saving a lot of time and being able to cut down overhead costs outsourcing also allows them to concentrate on the core responsibilities and operations of their businesses. India and the Philippines were at the forefront of the Asia-Pacific region as the center of the outsourcing business before. There will be a big rise of competition in other locations against the Asia-Pacific region.
Brazil is a major candidate being considered for offshore businesses and so are other South American countries. Develoepd countries find more acceptance and openness nowadays from locations such as Central America and South America for their outsourcing needs. The rising competition from other locations will definitely be felt by India and its effect can be felt in their share of offshore opportunities. The increase on competition between emerging locations like Central and South America and more established locations like India will lead to drive differentiation. Professional training and education will be used by countries to get ahead and be recognized as an outsource ready country.
Companies that will be at the forefront of the outsourcing industry according to IAOP will be the small and medium scale businesses. Large companies are still thinking about outsourcing some of their products and services even though they have already done so for many of their services years ago. These larger companies will have to wait it out a bit because the larger enterprises are still hoping to resolve more of the technical and business challenges before jumping in and outsourcing a new. Other outsourcing processes that will make a return will be the information and technology process but it is unlikely that it will be too resurgent. The IT outsourcing numbers are not expected to be anywhere near the numbers of the pre-economic crisis years of 2008. Outsourcing is going to meet a lot of challenges in the year 2010 most especially for the suppliers and providers of outsourcing businesses.