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India tops the list of leading BPO hubs

Economic Times, India
India tops the list of leading BPO hubs
PTI[ WEDNESDAY, FEBRUARY 09, 2005 12:36:20 AM]
LONDON: India, already on top of a list of leading outsourcing destination , has the potential to win even bigger offshoring projects, according to CEO Briefing, a report written by the Economist Intelligence Unit.
" India and China are already the leading destinations for off-shoring , and have the potential to win an even bigger share of off-shoring projects if they address remaining weaknesses in their business environments," said Daniel Franklin, editorial director of the Economist Intelligence Unit.
The report, which includes a new ranking of 60 global off-shoring environments and a survey of 500 senior executives, concludes that companies will redistribute more service functions to Asia and Eastern Europe over the next three years.

India tops the new ranking followed by China and Czech Republic. Singapore is in the fourth place followed by Poland, Canada, Hong Kong, Hungary, Philippines and Thailand. USA is in the 20th place and UK 29th.

According to its key findings, Asia increases its off-shoring dominance. The ranking shows India to be by far the most attractive off-shoring destination, owing to a large number of English-speaking graduates, very low labour costs and its developed legal system.

China comes second owing to its cheap and plentiful labour supply and fast-improving infrastructure, but lags behind India because of its relative lack of English skills, cultural barriers and a weak legal system. Overall, Asian companies dominate the rankings, occupying six of the top ten locations.



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