Around the world, there are many regions and cities that are involved with the international sourcing industry. Each city and region have their own unique advantages and values.

When a company or enterprise look into outsourcing the business’ services or innovating for solutions to rise above the black, assessing which outsourcing destination would be in the task-list of first things to do.

Selecting an outsourcing location requires due diligence; significant research and evaluation of the various locations competing for your business.

There are a number of considerations.

  1. Timezone and Access to markets
  2. Political and Economic stability
  3. Technology & Infrastructure
  4. Language and Culture
  5. Availability of Qualified Talent

The search for the right outsourcing destination doesn’t end with the selection of the country—you also need to apply many of the same criteria to find the optimal city within that country.

Timezone and Access to markets

Big time zone difference can be a major disadvantage as it can cause delays in communication – most of your key staff are available at a different time to when the outsourcing partners staff are available. It can also limit the service a provider can offer to particular markets.

On the other hand outsourcing to a provider on the other side of the globe means you can offer extended service hours or 24 hour support and delivery of services.

Like the Philippines is 2/3 of a day earlier than most cities in the United States’ West Coast. It’s like forwarding one’s work and requirements into the future.


Political and Economic stability

A politically stable country is a potential outsourcing destination. You will want to establish your offshore operations in a strong business environment and has a government that supports the outsourcing industry.

A country or a city with a healthy growing economy is likely to be more politically stable.


Technology & Infrastructure 

Access to reliable and robust telecommunications and infrastructure services is required for call center or back office employees to make phone calls or exchange workflows over the Internet. To establish facilities will also require other utilities such as power, and water.


Language and Culture

The cultural compatibility of a potential outsourcing destination needs to be evaluated.  Do both executive managers and workers speak your native language in this location? You must be also sensitive to the cultural niceties that employees and customers have about in doing business to make it less of an disadvantage and more of an advantage.


Availability of Qualified Talent

Factor in the skill sets that you require for a particular business operation. Outsourcing destinations can be evaluated on the number of graduates that it produces each year and the areas they are graduating in.

If your outsourcing project is IT or software related, a location that produces a high number of quality graduates in computer science and engineering would be ideal. In relation to this, an ideal outsourcing location should have enough, sufficiently skilled administrative, IT, finance and other professionals required to establish, manage and operate your offshore outsourcing facility.


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