Outsourcing around the world – global ranking comparison


When it comes to outsourcing conduciveness, the Philippines outranks other countries. One reason is the balanced English accent which India and China lack. However when it comes to overall ranking AT Kearney, in its GLSI or the Global Services Location Index research puts Bangalore on top and the Philippines at No. 7 among 55 other countries. Other ranking authorities worldwide such as Tholons have likewise put Bangalore on top, Manila replacing Mumbai at no. 2. Within the top 10, only two countries are non-Indian. The other country is Bulgaria which has maintained a very good location index, according to Kearney and is the favorite outsourcing destination in Europe and is the only European country in the top 10. Outsourcing capacities are measured by Kearney and Tholons based on financial attractiveness, people skills and availability, and business environment or specifically: scale and quality, cost, business catalyst, infrastructure, risk profile and quality of life. Their framework lists the following basic considerations: operational, business and non-business environment, business risk, people skills, scalability and savings. Compared to previous years, little has changed in the rankings despite “new disruptions and threats to the outsourcing market”. One such disruption is the abrupt change in the levels of automation (robots) of business processes particularly offshoring. This can out change the ranking abruptly and create in shift in job skills specifically analytical skills will be the new trend. New cities are starting to emerge. Bacolod and Cebu in the Philippines have joined Manila. Romania is now competing with Bulgaria. And in many parts of the world, changes in the outsourcing market are taking place.