When it comes to outsourcing to India, it is interesting to note that its US that outsources bulk of its business processes to India as compared to other global players such as UK, Canada, Australia, Germany, Netherlands, Japan, UAE, to name a few. The main reason for this could be that since world?s largest IT companies are located in USA and India has the best technological expertise in handling IT-related business projects and tasks, therefore, its only obvious that the US would favour India with regards to business process outsourcing in India.
Differences Between Americans and Europeans ? Outsourcing to BPO companies in India
Even though UK is the next big outsourcer to India after the United States, yet the top 2 countries bear major differences in viewpoints and agendas when they avail BPO services in India:
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BPO outsourcing in India - cheaper, faster and value-based: US mainly outsources to India since it enjoys the cost-effective services and quick turnaround time (TAT) offered by BPO service providers in India. Quality is assured and quality checks are strictly adhered to. On the other hand, Europe mainly resorts to outsourcing when the required skills are scarce or not available locally, cheap services being considered as a bonus.
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Simplistic approach towards complex business processes: The US has been practicing the concept of providing hourly wages to its employees for a long time now by breaking complex processes into smaller and simpler ones. Therefore, outsourcing comes naturally to the US-based companies whereby they can design easy-to-follow procedures for the outsourced vendors. However, European companies, though methodical and equipped with standard procedures, are yet to gain equal amount of flexibility when it comes to outsourcing major processes.
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Service level Guarantee: The American companies are quite comfortable with service level guarantees, viz. 95%, 98%, 99%, etc., offered by BPO service providers in India. European firms are yet to come to terms with such a guarantee.
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Comfort level pertaining difference in culture and remote location: Europe, being more conservative, tend to enjoy face-to-face interaction more than remote contacts. Also, European companies take time adjusting to cultural differences. American companies, on the other hand, do not consider these as any major setback when it comes to systematic outsourcing.
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Language barrier: With regards to certain services, such as call center services, Europe may have inhibitions in outsourcing to India due to language barrier. This isn?t a problem for American firms.
In spite of all the above points enumerating the differences between USA and Europe when it comes to outsourcing, yet Europe is slowly embracing the idea of outsourcing more processes to India while trying to come out of its rigid and conservative viewpoints and becoming more flexible and open, whereas the American government presently is making a big hue and cry about outsourcing to India. However, since there are so many aspects in favour of outsourcing, therefore, it is evident that outsourcing to India will continue if the US has to take care of profits and stability in business.
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Source: http://invensis.net/blog/business/outsourcing-india-america-leads-global-list
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