There is often the debate about India pricing itself out of outsourcing industry. Whether it is science, IT, management, arts, or any other walks of life India stands tall, way ahead of others. It is a myth that low operational costs alone were the reason for the industry outsourcing to India. However, it is clearly proven today, when costs are steadily rising, and have become competitive; still India can't be outpaced. The means to beat competition is not decreasing bottom lines, but enhancing quality and increasing value as India has done.
Indian talent would necessarily continue to be relied upon to deliver the goods. Offshore industries, mainly US companies
outsource to India because India delivers a broader range of services than any other outsource destination in the world. It's also still difficult to do business in many parts of the globe or to set up a captive operation.
However, with the exception of UK, European countries have shut themselves off from global services. Global sourcing of services is like a revolutionary new technology. It is a whole new way of doing business. To keep this most significant business trend out of Europe is the same as condemning its businesses to corporate sloth and decay.
In today's global market the American companies in every industry have started radically reducing their IT, back office and R&D costs by going to India or China. They are slowly but surely out-competing their European rivals. Their business processes will be more efficient, their product development cycles will be shorter, while their European counterparts cling to the traditional methods.
The time has to come sooner than later when European countries throw their doors wide open and embrace outsourcing. Countries like India with their technological and workforce strengths and comparative lower costs will be ready to in the resulting flow of work.
Europe in the market for outsourcing
