DESTINATIONS TO CONSIDER WHEN OFFSHORING MANAGED SERVICES
In the dawn of the Industry 4.0 and business process as a service (BPaaS), many countries have successfully stepped up to be ideal destinations for offshoring practices in general and offshoring managed services in specific. Choosing a suitable destination is the first and fundamental step to ensure your business can tap into qualified talent pools and use the global labour arbitrage, technological advances to facilitate growth. Important factors to consider are the Privacy Laws within each country, the local rate of economic growth and a stable political landscape.
In this article, ASW Global zooms into 5 notable destinations where offshoring managed services are provided with the highest standards and best practices.
With competitive cost base, improved infrastructure and support from government, Latin American countries have become emerging destinations in the offshoring industry for both neighbouring US tech giants and other corporations around the world. In fact, Brazil is now the 4th most attractive countries for outsourcing and offshoring managed services while Chile, Costa Rica and Colombia are also among the top 20. This monumental performance is based on highly skilled talent pools in IT, computing and system management who are fluent in both English and Spanish.
Inheriting an engineering-oriented education of the former Soviet Union, Eastern European countries have gradually established solid foundation for IT-related services and have significant impact on the global offshoring landscape. From Ukraine’s qualified STEM specialist to Poland’s renowned IT universities, it is easy to understand why business owners and CIOs are targeting these promising talent pools. Eastern European staff also have positive attitude at work and are ready to go an extra mile for optimal solutions.
Malaysia is not new in the offshoring industry, yet recent government support and revised labour regulations have pushed the country forward as an attractive destination for offshoring managed services. It is predicted that BPO in Malaysia will reach $1,4 billion in 2021 with great contribution from outsourcing and offshoring IT-related solutions. Recently, the government also announces an ambitious plan to build an IT and BPO park which is expected to house 21,000 jobs by 2020. Malaysian IT workforce are highly sought-after as they graduated from prestigious institution abroad and could use technical English eloquently. In addition, they are eligible to follow Australian working hours and holidays – a big plus for offshoring fields like managed services and helpdesk.
Escaping the shadow of “the call centre of the world”, the Philippines has sprinted up and diversifying its offerings to include complex, technical sectors like IT, managed services, financial planning etc. As a result, Manila becomes the second biggest outsourcing and offshoring city globally, generating an estimated value of $23 billion. Filipino offshore teams outperform counterparts in other destinations by their exceptional English skills (English is an official language in schools), young demographics and professional work ethics. What’s more, the Philippines takes pride in their security systems against both onsite threats and cyber-crimes. The safety procedure and standards here are the same as those of global tech giants, allowing Australian companies to offshore their IT systems with ease and reassurance.
Located right in the heart of the energetic and booming Southeast Asian region, Vietnam is an expanding destination for offshoring managed services. Nearly 60% of its population are under 30 with family-oriented cultural traits. The call from home witnesses Vietnam welcoming back many students from overseas, which accounts for an increasing portion in high-level workforce. These are golden advantages, judging that most offshore IT projects are long-term decisions and require dedicated, stable workforce. Large capital investment in infrastructure also allows technical hubs like Ho Chi Minh city to accommodate large-scale IT systems and data centres required by top Australian corporations.
With more than 8 years of operation, 900+staff and 50+ clients across our Southeast Asian countries, ASW Global has success in helping companies build their talented and highly capable offshore teams.
If you are interested in offshoring or outsourcing managed services in 2019, please reach out and let us walk you through the best possible options.