Complete Guide on Outsourcing Software Development to India!

Outsourcing, the practice of hiring a third-party vendor for executing service operations entirely or partially, is the most preferred practice of businesses operating in countries like the US, UK, AND Australia. And it has been observed that India is the most preferred outsourcing destination. Check out these interesting stats researched by the online portal, capitalcounselor.com:

  • Approximately three lakhs of jobs are outsourced by the US every year
  • India is the leading location for outsourcing IT jobs
  • Outsourcing in India is expected to grow at a CAGR of 7.25 and the market value is predicted to reach $ 121,335,149.20.

The advantages of outsourcing to offshore locations include the flexibility to choose from a global talent pool of experts, faster time-to-market lower investment costs, reduced workload on in-house employees, better growth opportunities, and improved customer services. Nevertheless, outsourcing does come with its share of challenges as well. Client companies often have to spare loads of time and effort in picking the most suitable vendor, there are chances of communication barriers due to time zone differences, and the client may face security threats or threats to their IP if an NDA is not signed.

This post throws light on how the Indian outsourcing vendors successfully sail through all the aforesaid challenges and deliver profitable services to their happy clients. Let’s explore the kind of services that are outsourced to India and the top reasons why most Fortune 500 companies, as well as small-sized-businesses outsource services to India.

What kind of Services are usually Outsourced to India and why?

IT (Information Technology)

These days, businesses are becoming more dependent on internal IT services like the development of software, website, mobile app, or web app and technical support irrespective of their industry vertical. Nevertheless, engaging in-house teams for IT support is always not feasible, particularly for non-IT firms. Such services need specialized equipment, a specific skillset, and a conducive infrastructure. And, for establishing an IT infrastructure and training the in-house employees with specialized skills; involve time, efforts, and humongous costs.

In such bottleneck situations, the ever-expanding IT industry in India is a viable solution — you get a complete package of specialized skills, enormous experience, proficient software developers, and an already existing IT infrastructure. So, outsourcing app development services to India proves advantageous.

KPO (Knowledge Processing Outsourcing)

Some tasks like analyzing Big Data and research work related to domains like finance, accounting, investment, healthcare, insurance, engineering design, creation of animation or content, market stats, etc. require information processing. Such high-level tasks are no cakewalk as humongous information needs to be processed. Moreover, for carrying out these tasks, one needs to thoroughly understand the business structure and possess the relevant technology to make sure that the processed data is error-free and secure. So, several firms prefer to hire KPO services rather than wasting time, effort, and resources in creating the necessary environment for executing such complex tasks. And, India is the preferred outsourcing location for hiring such services as clients get quality services from talented professionals like engineers and MBAs. Also, Indian outsourcing companies have the technologies and infrastructure needed for all types of knowledge processing tasks.

Customer Support

Entrepreneurs need to provide support to their customers by addressing their concerns and taking care of their requirements. However, answering emails and calls of customers turn out to be a time-consuming task, and hence, several businesses outsource customer support services from India. India offers a plethora of call centers that are well equipped to handle customer queries/needs efficiently. These call centers have dedicated employees for attending calls and provide 24X7 support and are immensely helpful in tasks like responding to the huge amounts of tickets lodged by eCommerce website customers.

Top Reasons to Outsource Software Development to India!

Talented Professionals, High-end Services, and English-Speaking Workforce

India offers a huge pool of talented IT developers who possess the expertise and experience to deal with complex developmental challenges and are trained to handle demanding software projects like developing smart IoT-powered solutions, intelligent solutions with AI/ML, Blockchain, etc.

Indian outsourcing services promise high-end services that conform to international standards. Furthermore, the Indian professionals are continually updating their skillsets as per the changing market trends and emerging technologies. Outsourcing vendors in India adhere to international service models including COPC (Customer Operations Performance Centre), CNM (Capability Nurturing Model), TQM (Total Quality Management), ISO 9000 (International Standard Organization), and Six Sigma Quality Certification.

India houses the second-largest English-speaking population in the world (as declared by bbc.com) and therefore, hiring outsourcing staff from India eliminates any chances of communication woes owing to language barriers. For this reason, clients can effortlessly communicate with the outsourcing team members effectively, improving the level of understanding as well as the work culture. English speaking skills coupled up with technical expertise spike the demand for Indian professionals.

Trustworthy Outsourcing Services

India’s outsourcing vendors are trustworthy as they offer service transparency at every developmental stage, ensure continual communication with the help of advanced collaborative tools, and sign NDA and other service agreements at the very beginning of the software development project. Besides, Indian developers can be trusted for their skills, competence, experience, and reliability of services.

Adaptive Industry backed by the IT-friendly Policies by the Indian Government

In India, the outsourcing industry is prioritized — it is counted amongst the top five priority industries. The Indian Government invests in technology to maintain global standards. All the Government policies related to GDP growth, economy, taxation, telecommunication, power resources, creation of industrial parks and special zones support the outsourcing industry and promote the improvement of IT infrastructure as well as communication systems. Take a look at these examples! All major Indian cities have access to innovative technologies and advanced cellular networks like 5G. The Information Technology Act, is a law legislated by the Indian Government, supports the e-filing of documents and deals with eCommerce, cybercrime, etc.

Moreover, the Indian outsourcing companies adapt well to the ever-changing requirements of the global IT industry, including the creation/revamping of the necessary infrastructure for supporting software development and adjustments to their work schedule as per the time-zone differences of clients.

Leveraging Time-zone Differences to the Clients’ Advantage

Owing to time-zone differences, Indian firms offer round-the-clock services and are able to complete projects much ahead of scheduled deadlines, resulting in speedy time-to-market. So, if you need to market your end-product at the earliest, outsourcing to India is the most workable option.

Time-zone differences also prove beneficial for clients in the US, UK, or Australia who provide round-the-clock Helpdesk services or customer support services.

Lower Costs and Flexible Pricing Options

The rate of highly skilled hiring developers in India is 30–35% lower as compared to the developer rates in the US and European nations. So, outsourcing in India fetches you cost-effective services without compromising on the quality. For example, a competent developer in the US will charge somewhere around 50$- 80$ per hour, whereas the hourly rate of an adept Indian developer can be brought down to 20–25$ after negotiations. Besides, Indian outsourcing firms provide the flexibility to choose from several pricing models — hourly, weekly, monthly, and project-based payment options.

Final Words:

The growing dependence of modern business enterprises on internal software functions has paved the way for outsourcing software development services. And, it is evident how outsourcing in India, is a super-beneficial strategy; you get more with lesser effort, time, and costs. Needless to say, why software tycoons like Wipro, Infosys, Tech Mahindra, and TCS have decided to build their offices in India.

If you are looking for experienced outsourcing IT firm in India, the services provided by the distinguished software firm, Biz4Solutions, are worth a try! We offer competent offshore software development services and have been partnering with global clients for the last 10+ years.

To know more about our core technologies, refer to links below:

Swift App development
.Net App Development
Java App Development

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Martha Jones

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