Tuesday 22 May 2012

Benefits of Outsourcing to Software Consulting Firm in India


Software consulting has many faces, making it hard to provide a universal suggestion whether a particular project should be outsourced, but a consulting firm in India can offer to benefits that rivals based in the United States and Western Europe can hardly afford to provide to their customers. Service price is a fundamental factor in evaluation of all and every service, and India’s IT consultants are well known for their very competitive pricing and first class service based on first hand experience with both large scale and niche projects in the field of software development, customization, and implementation.

Traditionally, India’s software developers and vendors have been a major force in the region of Asia/Pacific, which in turn resulted in a flourishing software consultancy industry that provides advisory services domestically and abroad. According to various reports, local market for software consulting services is set to grow markedly within the next decade, while a steadily increasing number of foreign companies outsource projects and services requiring software consulting coverage to India-based consultants. In fact, India is the leading world power in the field of software outsourcing service, mainly offshore software development and research and development services, but also software consulting covering all and every aspect of the multifaceted software development and implementation process.

The country competes with behemoths like China and Canada to attract foreign-based companies, but virtually all reports by market analysts position India as a leading world power in the sphere of offshore software consulting, along with the Philippines. The two countries jointly hold over 50 percent of the world market for outsourced software development and consultancy services, with India leading the pack by a marked margin.

This development is result of wisely planned government policy of investing into knowledge-based services and industries like software and hardware research and development, with cities like Mumbai, New Delhi, and Pune cited as world-leading destinations for software outsourcing and software consultancy services thanks to global connectivity, developed infrastructure, and availability of well-trained software professionals. Thus a software consulting firm in India, especially one positioned in the above mentioned R&D centers, can rely on underlying infrastructure similar to those in the West while enjoying significantly lower payroll expenditures, for example.

Software consultancies based in Europe and the United States have to deal with highly regulated domestic labor markets, strict legislation in the field of human resource protection, and traditionally higher remuneration packages within the IT industry, and all those factors combined result in loss of competitive advantage compared with India-based software consultants. In contrast, India’s software consultancies enjoy a liberal market, where a combination of relatively low wages in the IT sector and availability of highly educated professionals in the field creates unparalleled market growth potential. Even the brain drain of domestically educated IT professionals to companies and universities abroad does not harm noticeably India’s ability to provide unrivalled software consulting services in terms of quality to price ratio, which signals further steady development of those services in India.

Software development and consulting outsourcing is mutually advantageous process, in which the service provider gains access to technology and particular know-how it would not be allowed to access otherwise. Thus, India-based software consultants gradually gained experience in fields that were previously restricted to U.S.- and Europe-based companies only, which in turn gave a marked boost to their competitiveness in terms of possession and access to cutting edge technologies.

Finally, a software consulting firm in India can benefit from the country’s unique location in the very heart of Asia/Pacific region, making India a preferred place for hiring a software consultancy firm to deal with regional software and hardware developers and vendors.

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