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Originally Posted by SMHarman
IMHO in time the tide will turn, there are a lot of talented english speaking people in India, but as more firms set up these centres the laws of supply and demand will push the cost of this labour up changing the economics of the ofshoring process.
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I agree with that and found the case very true. First time I got into outsourcing work India..the Indian company approached me [my company]. They offered to take on some work for free to build up their portfoolio, a common and obvious tactic for new startups, this would have been about 5 years ago or so. For each new project we sought new Indian companies expertise, for financial and for comparative reasons. Eventually when we asked a company to do a piece of work, after having a few months worth of cheap costs...they ramped them up to near UK prices!!!
In the end, it was decided to keep the development in-house and get freelancers in the UK to top up the projects! In the end, it just wasn't worth the hassle of dealing with the language, culture and time barriers that Asia/Pacific companies come with.
Infact, their quality of work degraded due to less staff being available...them spreading themselves thin... but the costs went up and duration too! ...I bet the 'shop floor workers' didn't get a pay increase tho!
