The ideology of business process outsourcing emerged as an innate need in early nineties. Major US enterprises needed to accomplish their work before 2000 but faced shortage of skilled resources. To meet their target, major enterprises outsourced their work to Indian organization. Initially, this concept was hard to digest and faced problems in mass adoption. In late nineties, many popular names adopted this opportunity and started outsourcing their work in Asian countries where they were able to find highly skilled labor on lower wages. India, Bangladesh and Pakistan topped the list of reliable countries to outsource. Since then, the IT outsourcing industry got a proper sanction in adoption and started growing by leaps and bounds.
Since 2000, we have seen many IT outsourcing trends getting popular and then fading out. Trends change rapidly. As 2017 is here, you need to know the trends to watch out for 2017.
Political Changes in US:
After trump’s election as president of United States, we have seen an increased level of rules and regulations for outsourcing companies. Trump has revised all policies regarding Tax, Immigration, trade and foreign affairs. According to him, each policy is meant to benefit the American families and workers. He has applied high taxes on companies which are outsourcing their work offshore. He is penalizing the companies outsourcing their work offshore. This campaign has imposed some clear restrictions and made outsourcing heavily taxable which has increased the cost of outsourcing. This increased cost and strict rules are surely going to made outsourcing unattractive.
With time, businesses are becoming more aware about the ins and outs of outsourcing. Companies are filtering out business process outsourcing solution providers according to their quality of work. The contract type or contract nature is also evolving. Initially, companies used to have fixed price contracts. But, now companies are getting quality centered and looking for outcome based contracts. If the BPO service provider contributes positively, income divides.
Due to increased automation and robotic intelligence, the need of outsourcing will be reviewed in 2017. Companies have to go through their outsourcing agreements to revise the have’s and have not’s of their outsourcing needs. This will cut down the cost and increase profit margin.
Traditionally, outsourcing service providers either use private or public cloud to deliver services to their client organizations. In 2017, we are facing an increased trend of hybrid clouding which is a combo of both. They strive to keep a healthy balance between both. This facilitates system portability, data security, IT governance and system integration.
IT outsourcing is the most popular type of business process outsourcing. As the field of information technology is growing at a faster pace, we see advanced trends dominating this industry in 2017. To outperform as BPO service provider in the market, you need to cope up with the latest trends being adopted by the majority.
If you are looking for the best IT outsourcing service provider in Pakistan, we are at your disposal.