Outsourcing is creating a lot of buzz these days due to its unparalleled competitive advantages which is why more and more cost and quality conscious businesses all over the world are turning to Asian countries to outsource their non-core business operations. But what makes Asian countries stand out? Well, here’s what-
- Several of the World’s biggest brands have trusted technology partners in many Asian countries.
- Asia is currently the world’s most dynamic economic region with a GDP growth rate of 5.1 as of last year.
- Asia holds the largest educated pool of highly proficient English speakers with no language barriers along with engineers, marketers and designers.
- Collaboration, support and flexibility are deeply rooted in Asian Culture which is essential for providing quality service.
In fact, below is a list of five major Asian countries that are considered as a popular outsourcing hub throughout the world.
Though China’s outsourcing market is still in its developmental phase, it’s contribution to Global outsourcing market still accounts for a staggering $1 trillion with the growth rate of 23% as of 2010. One of the primary reasons why China is considered the World’s leader in outsourcing (esp. in terms of manufacturing) is because of its advanced technical skills, Government support to outsourcing, foreign language skills and most importantly its competitive wages.
China has currently emerged as a favourable market for companies providing outsourcing services due to the recent Government’s heavy investment in technology, education and infrastructure, China also benefits from its strong entrepreneurial culture.
Outsource to India is a mantra you can hear chanting everywhere. India is the world’s leader in outsourcing be it providing professional or IT or manufacturing or BPO services. In fact, Indian outsourcing companies continue to be the largest growing part of the Indian economy with a revenue of $154 billion as of 2017.
India currently holds a population of over 1.2 billion with 3.1 million graduates added to the workforce each year. Furthermore, the presence of highly urbanized zones throughout the country serve as a popular hotspot for world-renowned brands to make their presence known.
Apart from a major tourist hub, Malaysia has recently positioned itself as a prime destination for providing high-value outsourcing services which can be attributed to the country’s excellent track record in terms of financial stability and a gradual growth in foreign investments.
Malaysia offers some of the key factors which makes it a viable outsourcing destination such as a stable business and political environment, a strategic geographic location, diverse language capabilities along with a strong Government support to name a few.
With a revenue of $25.5 billion and 1.4 million employed, this sector currently contributes 9% of Philippines total GDP growth and is considered as a strong competitor among the outsource community which can be attributed to the country’s low labour costs, language diversity and highly skilled workforce.
As an ideal outsourcing destination, Philippines offers many advantages such as its western culture acceptance, native English proficiency and widespread educational opportunities as compared to other outsourcing destinations. Filipinos make great support teams that work well with western countries esp. The United States.
Earlier depended entirely on exports, Indonesia today is reorganising its strategy to meet the challenges of outsourcing related services esp. the Indonesian call center market. Its financial stability, political/economic environment and people skills are quite efficient in enticing foreign investors.
Indonesians, despite its moderate amount of literacy, have strong ethical backgrounds and give high regards to corporate values and morals. The government is also promoting its country’s language expertise and ensures English is included in academia, media and broadcasting activities.
Outsourcing no longer refers to the removal of businesses or jobs from a country, today it is more about forming global partnerships and exploring effective ways to complete essential projects. Certain Asian countries such as mentioned-above have recently garnered immense appreciation and acceptance worldwide for being the top outsourcing destinations.