Outsourcing abroad grows in popularity

A total of 81% of large UK companies plan to increase their offshore outsourcing over the next two to three years, according to new research.

The survey by the TPI offshoring consultancy, based on a survey of 100 senior UK executives responsible for outsourcing within large companies, shows only 4% expect to decrease it.

As the outsourcing market has matured, UK outsourcing buyers have come to see a wider range of countries as viable offshore destinations. 

While India continues to enjoy its first mover advantage, being used by 75% of survey respondents, there is close competition for second place, between Central and Eastern Europe (28%) and China (25%). 

Despite being less widely used than India, Central and Eastern Europe is seen as equally appealing an outsourcing location, with both destinations rated attractive by 59% of respondents.

Duncan Aitchison, managing director, international at TPI, said cconsolidation among Indian providers was making them an increasingly credible force internationally. 

“As confidence in them grows and if consolidation continues, the biggest Indian providers could potentially challenge the current global “Big Six” of outsourcing – Accenture, ACS, CSC, EDS, HP and IBM,” he said.


Comments are closed.