Why IT Outsourcing to India is so Popular

Skilled workforce in India

India is brimming with knowledge and has in abundance English speaking, hard working and technologically strong, computer literate workforce that not many countries can boast of. This plays a major role in making India the most sought after outsourcing destination.

High Cost efficiency of IT outsourcing

India offers a competitive low cost work force along with extremely low set up costs and services to avail, owing to the wide difference between the personal costs in India and that of developed countries. IT outsourcing to India offers considerable economical benefits for those who are prepared to exploit the advantages of outsourcing. Also, India's technologies offer excellent software solutions. The applications include E-commerce, Business Process re-engineering, System Migration, Maintaining Legacy system, System integration etc. India prides in outsourcing facilities that are required to compete with others; which is yet another reason as to why the world prefers It outsourcing to India.

Technologically advanced outsourcing firms in India

India's technology firms offer excellent software solutions. The applications include E-commerce, Business Process re-engineering, System Migration, Maintaining Legacy system, System integration etc. These firms are governed by quality organizations like ISO 9000, SEI-CMM Model, People Capability Maturity Model (People-CMM) and the CMM Model.

Standard quality that firms doing IT outsourcing in India guarantee

The Indian companies involved in IT outsourcing in India provide high quality work, meeting international standards and complying with the ISO & SEI-CMM standards. Three out of every four SEI-CMM 5 companies worldwide is located in India. Thus India promises quality - IT outsourcing in India as it has the potential to furnish these services perfectly.

Fast growing economy

Indian economy is fast growing and is advancing at a major pace especially in the technology department. Indian companies export software to more than 95 different countries and stands second in terms of software exports that comes as a proof of India's technological advancement.

Better Infrastructure

India can offer companies with a better infrastructure in the form of better and cheaper resources, better connectivity, faster communications, cheaper costs, power and developed technology. Another main reason why IT outsourcing to India is increasing. India has a stable pro - IT government whose policies, economy, GDP growth, taxation, power, telecom, industrial parks & special zones have been helpful in improving the infrastructure as well as communication. The government proves to be a great support for software firms by further providing all the basic facilities required for an outsourcing company to flourish thus playing a major role in contributing to the success and well-being of IT outsourcing to India.

Indian government policies

1. IT is regarded as one of the top 5 priority industries in India. IT is a part of the national agenda, and policies are framed so as to obtain maximum benefit out of IT outsourcing to India.
2. The liberalization and deregulation initiatives taken by the government are aimed at supporting growth & integration with the global economy. These reforms have enabled the entry of foreign companies to the Indian market. FDI investment from NRI's including Overseas Corporate Bodies (OCB's); owned by the NRI's are warmly welcomed in India.

3. The new National Telecom Policy has invited private participants to the Indian telecom sector.

4. The IT bill passed in 2000, gives a legal framework for the recognition of electronic contracts, prevention of computer crime and electronic filing of documents. NASSCOM along with the government is playing a notable role in protecting the interests of the IT sector. Thus with all these help, IT outsourcing to India has reached a point of no turning back.