Analysis into Global Offshoring and Outsourcing Activities - A Measurement of National Competitiveness

Within the modern framework of globalization and competition, one of the main problems faced by companies is that of outsourcing activities. Offshoring services, because of skill shortages and rising salary costs have become a vital sourcing delivery model. Strong market growth together with increasing demand in the IT sector in the 90s created scarcity in the skilled manpower in order to support IT projects and infrastructures. This scarcity and difficulties in managing employees with desired skills resulted in a rise in IT salary levels. In addition to this, new technologies with highly demanding customers force companies to outsource part of their activities. Moreover, willingness for better quality service offer and search for flexibility in management are forcing firms to concentrate on their core competences and pushing them to outsource those areas of business. All these factors push companies in order to move to offshore destinations to be able to benefit from different advantages Today, companies may prefer many different outsourcing destinations. Among the more important offshore locations are India, China, Mexico, Eastern Europe, The Philippines, South Africa, Russia and Canada. Companies, before intending outsourcing activities one should determine the exact objective and accordingly try to find out the most appropriate destinations so as to reach their aim.

1. Introduction
Area of Project
Background
Concept of Outsourcing
Outsourcing Destinations
Problem Definition
Aim of Project
Project Objectives
Structure of the Report

2. Methodology
Primary Research
Unstructured Interviews
Advantages & Disadvantages of Interviews
Secondary Research

3. Literature Review
The significance and Growth of Offshore Outsourcing
Offshoring: Is It a Win-Win Game?
Offshore Outsourcing to India
How to Tap the Opportunities for Outsourcing
Offshore Destination Assessment
Making Offshore Decisions
Challenges with Offshore Business Process Outsourcing
Impact of Global Sourcing on the UK Economy
Mapping Offshore Markets
Specific Methodologies for Destination Comparison
PEST Analysis
SWOT Analysis

4. Theoretical Concepts
Offshore Outsourcing
Economic Benefits of Offshore Outsourcing
Offshoring Countries & Destinations
What Services Can Be Offshored
The Debate of Offshoring
Selecting the Offshore location
Cost Related Factors
Cost Advantage
Process Maturity
People Related Factors
Labour Pool
Language Proficiency
Cultural Compatibility
Education
Supportive People Factors
Location Related Factors
Government Support
Geopolitical Environment
Infrastructure
Security
Physical and Time Zone Factors
Decision and Risk Analysis

5. Country Competitiveness
India
China
Russia
Philippines
Canada
Central and Eastern Europe
Mexico
South Africa

6. Comparative Analyses of Offshore Outsourcing Destinations

7. Conclusions

Bibliography

Appendices

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