Introduction: Software Outsourcing to India

Success in new economy era heavily depends on the Business ability to adapt to market pressures with speed and timeliness. These often demand changes to business processes and their support systems. One of the proven strategies is for the business to spend their scarce internal resources in developing sustainable competitive advantage, leaving non-core areas to be outsourced. This has led to the usage of alternative sourcing options especially in system development initiatives, including independent contractors, application service providers (ASPs), external integrators and remote programming resources.

Why Outsource to India?

Increasingly, outsourcing to offshore contracting, especially to India has become a very attractive option. In the early days of outsourcing, a number of IT organizations have used offshore providers for legacy and maintenance work because of the relatively low risk associated with these projects. The more mission critical projects were not sent offshore because of the perceived delivery risks. However, in recent years this model has dramatically changed.

Employing offshore contractors with a strong US presence, or indirectly through domestic integrators, can extend offshore contractors range of tasks beyond the more mundane projects to e-business application development projects utilizing the latest technologies, while at the same time minimizing risk, reducing overhead and speeding up time to market.

India has become the leader in offshore software development because of: