Most of the outsourcing deals in the past have gone to familiar locations such as India and the Philippines for software development and customer service, and China and Eastern Europe for manufacturing.
Now the rest of the world is jumping in, making it difficult to know where to turn and how to judge what's a good bet and what isn't. Forbes.com caught up with Amit Shankardass, chief global marketing officer at global outsourcer Sitel, to talk about what's changing in this market.
Forbes.com: What do you need to look for if you're outsourcing to new areas?
Amit Shankardass: From our perspective, the key elements are labor availability and skills knowledge. It's also important to consider protection of IP [intellectual property]. There is data going back and forth, so any leakage is not a good thing. And then you have to consider the normal things you would look for in any outsourced location.
What's driving this?
In the past, India, the Philippines and Eastern Europe have been the most typical outsourcing locations. Two things have changed. First, there has been saturation in those markets--particularly the big cities in those markets. Second, there is a desire among other countries to play in this arena because of the success of places like India and the Philippines. They see an opportunity to develop their economies by servicing non-domestic clients and pulling in foreign investment.
Which countries are you referring to?
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