Companies know that outsourcing can offer their businesses many benefits. Some of the benefits include saving time, having wider market access, reducing overall costs and much more. These are all great reasons why any company should consider outsourcing. But at the end of the day, your decision to outsource has to do with your overall business strategy and what it is you want out of an overseas team. We've compiled a list of 9 reasons why you should consider setting up an offshore development centre in India, to help you make your decision easier. Below are the reasons:
Salaries of Indian developers are much lower than their counterparts in other countries like the US, UK and Australia. Since India has an abundant supply of IT professionals, there is also a high degree of competition among them. This also leads to lower wages for the developers.
Hiring an offshore developer with a salary equivalent to that in the US will be a lot less expensive in India. This is because for the same cost you get a team of people as opposed to just an individual. You can also expect to see savings in other areas such as communication costs and office space.
If you were to hire an Indian developer for your project in India, there would be no need for you to worry about paying taxes or providing insurance for them (or their family). Additionally, if their visa does not allow them to work in your country or they do not want to relocate, then it would save you from paying travel costs too!
India has a huge talent pool. This can be attributed to its young population and the government’s focus on skill development. India’s population is projected at 1.9 billion by 2050, making it the world’s most populous country, and India is also one of the youngest countries in the world with about 60% of its population under the age of 35. This makes it an attractive destination for offshore software development as companies can find skilled developers easily, especially in Tier-1 cities like Bengaluru, New Delhi, Mumbai, Hyderabad, Pune, Chennai and Kolkata.
The United States may be one of the best places to do business, but India is certainly the best place for offshore development. More than 80% of Fortune 500 companies already have an offshore presence in India. This is primarily because of the talent pool that exists in India.
One of the main reasons why companies are choosing to set up centres in India is because they can hire many more engineers here than they would in their own country. The number of jobs available within this industry is astronomical, and the talent pool is so large that there is hardly any competition between companies for these engineers. This means that high-quality engineers can be hired at a much lower cost than what would be possible in the West.
Language is a big barrier when it comes to communication. Companies which plan to outsource their projects may find it difficult to find people who can speak the same language as them. The reason behind the language problem is that the country might be a non-English speaking country. However, India has a large number of English speakers and you can easily find people who would understand your language. This will make it easier for you to communicate with your team members.
English is widely spoken and understood in India. It is the official language of business. India has an educated workforce with a sound understanding of grammar and syntax which is essential for written communication. Most Indians are well-versed with Western culture, which makes it easier to collaborate on projects without worrying about cultural barriers.
With a large population of native English speakers, India is a great place for companies who need to communicate with their outsourced team in English. While the accent may be strong (I'm from India and I'll freely admit we have an accent), the language barriers can be minimal.
With an in-house team, it’s highly unlikely that you’ll find more than one or two employees that have all of the necessary skills to get the job done. If you were to set up an in-house team in the US or UK, you would be limited by talent and location. An offshore development centre allows you to broaden your search for top talent, looking for developers with complementary skill sets. This means you can look for a team that has the right mix of hard and soft skills, such as technical proficiency, interpersonal capabilities and leadership qualities.
If you have an offshore development centre, you have access to a wide range of skills and tools. There are a lot of talented IT professionals in India who are proficient in different programming languages. For example, if you need specific .NET developers, we have more than 1 million .NET developers in India.
Also, there is no dearth of experienced IT managers and project managers in India who will work with your team to make sure that your project is completed on time and within budget.
The Indian Government is committed to creating the right environment for doing business in India. The government is heavily invested in improving the country's infrastructure, particularly in IT and its surrounding areas. One of these initiatives is 'Digital India', which aims to connect rural areas to high-speed Internet networks (via optic fibre cables).
Even though the GST was implemented recently, it is expected that GST will lead to less corruption, more transparency, and ease of doing business in the long run.
The use of cutting edge technology is an important factor in the success of your Offshore Development Centre (ODC) in India. The cost-effective solutions which are developed with the help of advanced technology enhance the productivity of your business. It helps you to get high-quality services within a short time and at low costs. As India is highly developed in terms of technology, you can easily set up an ODC in this country.
The use of cutting edge technology is increasing in India. According to a report by Nasscom, India has the largest pool of IT talent with over 4,000,000 people employed in the industry. The offshore development centres are looking to hire talents in big numbers and they require more than just coding skills. They are looking for trained professionals who can work on new platforms and technologies like cloud computing, machine learning, artificial intelligence, blockchain etc. These technologies are changing the face of business and industries are looking for talented people who can build solutions for this new world.
Technologies like Artificial Intelligence (AI), Machine Learning (ML), Big Data, Internet of Things (IoT), etc. are used globally. Although these technologies are still in the initial stages, they are gaining popularity rapidly and will be used on a large scale in the future. Cutting edge technologies offer new opportunities to businesses around the world to enhance their productivity and profit levels by optimizing their resources and operations.
One of the biggest concerns of many companies that are looking to set up an offshore development centre is whether the project will be in safe hands. Of course, this is a valid worry and one that we take very seriously.
When you choose to transfer your project offshore, you'll likely have expert teams working on the project both at home and in your chosen location. It's important to remember that both teams should be working together as a single unit, with each team member dedicated to meeting a specific goal within your project's deadline.
The keyword here is 'team'. Your project is in safe hands with an offshore development centre because a team is working on it rather than just a few individuals. The Indian government has been very successful in encouraging the IT industry to grow over the last decade, and this means that you can be confident that you'll have access to the skills you need to get your project off the ground.
Indian workers are famous for their work ethic, and when you set up an offshore development centre in India, you can take advantage of the fact that Indian workers are five and a half hours ahead of EST. This means that if you're on the East Coast of the US and want to stay in touch with your employees at all times, you can start your day by checking in with Indian employees who are already three hours into their day. By the time you get home from work in the evening, these employees will still be working for several more hours. The time difference allows you to have your work done faster and more efficiently than if all of your workers were located in one place.
When you outsource to India, it becomes easier to conduct business around the clock. Because of the geographical location of India, your staff in India can be awake and available for work when your other staff are sleeping. This allows for a more efficient workflow because your staff can get more done, even when they're not in the office.
The time difference between your company and India is immense. In fact, it can be so great that you will be able to operate your business 24 hours a day, 7 days a week. When your office in the US closes for the day, your offshore development centre in India will just have started working. If any issues come up on their end of things, they can fix them before you get into the office the next day.
This seamless transition between your US office and your offshore development centre means you are guaranteed to have someone working on whatever needs to be done at any given moment. By outsourcing to India, you won't have to wait until morning or afternoon depending on where you are located. You can literally work as if there were two shifts in your office instead of one.
Think about how this could help you maximize your resources and increase efficiency: You could assign tasks to different departments based on their time zones. For example, if you work for a company that creates software for mobile devices, you could have your team in India handle bug testing for the app during their workday, then have them send their results over to America before they go home. Then when American programmers show up for work the next morning, they'll have all those results waiting for them and can get started fixing the bugs immediately. There's no need to wait around for results from other people or departments before starting a project—everything moves forward as efficiently as possible at all times.
Information security and Intellectual Property Rights are given paramount importance because of which there is no intellectual property leakage in the country since everything is protected by law.
If you are satisfied with the reason above regarding setting up your ODC in India, we at Accoty help companies like yours in setting up their ODCs in India. If you are thinking about hiring or partnering with an IT consulting company to build your ODC, you should read this before you go ahead with this decision.
Contact Us and things will start moving in the direction of building your ODC in India within 24 hrs.