China Outsourcing Solutions

A New Year, a time when the global economy recovers though slow, may bring some new features to outsourcing--the industry receives much attention and concerns in recent years. As a KPO company with rich experience in outsourcing, we’d like to predict what will happen to this industry.

1.     More deals will be made! With the impact of economic downturn reducing gradually, things are turning back to normal and business will continue to escalate either in scale or to some extent. Outsourcing, especially offshoring as a selection of cost-reducing and quality-improving will be still considered by majority of decision-makers.

2.     Outsourcing is globalized! There will emerge a large number of outsourcing destinations; and India is no longer the only outsourcing service base. Some Latin-American countries and Asian countries, particularly China always ranks second in BPO list and is a potential outsourcing market due to its highly-skilled but cheap labor force. Many experts and specialists predict that China will replace India for the top spot.

3.     Emphasis must be on innovation. In 2011, the great outlook of outsourcing, a batch of outsourcing vendors will debut, competing with old ones. With competition becomes harsh in a particular industry, only innovators help enterprises get the foothold and win victory.

4.     Data security is an important aspect in 2011. Over the years, many witnesses the benefits data solutions outsourcing brings to outsourcers. These data solutions include data collection, data entry, data research, data mining, data cleansing, data capture, etc. The trends of outsourcing data solutions will not disappear, and inevitably data security will be an important aspect, protected by laws and regulations launched by different governments this year!

5.     Cloud outsourcing will prove itself this year. Cloud outsourcing is a hot topic in 2010. IAOP strategic advisory board member John Hindle predicts “Cloud computing will simplify and standardize the procurement of specific services but also increase the number of providers and complicate the service architecture”. 2011 may be the year when cloud outsourcing either takes off or steps down from the stage.

This only represents opinions of Devott Service, and your comments and discussions are welcomed via info@devottservice.com.

Posted in Outsourcing

Blogging is now so prevalent that even a primary student knows how to utilize it to express his thoughts and feelings. For visionary entrepreneurs, blogging is seen to be a mean of marketing. With the popularity of blogs, it had proven its advantages and its superiority as advertisement, e.g. interactivity. Through blogging, one can interact with customers and showcase of value being provided, which makes up for the deficiency of advertisement.

Can you believe that blogging can also be outsourced? With the enlargement of scope and growing of focus degree of blogging as a marketing tool, the concept of “blogging outsourcing” appears. Someone may wonder why. It’s such a simple thing! Yes, it seems not complicated but pretty significant. It is a form of marketing, being relevant with an enterprise’s value proposition. What’s important is that blogging is not just writing but exposure of the enterprise’s culture.

Blogging calls for the following basic qualifications: literal ability, professional knowledge (such as cosmetics), management practice, awareness and ease application of internet. That’s to say, the blogs posted must arouse people’s desire to read, only by which the blog has the value that it possessed. It’s not that easy to find someone in a company to handle this job; though there is someone, he must be rounded by hands of complex routine affairs. Then “blogging outsourcing” emerges properly.

According to the reality, this kind of outsourcing is a wise choice for small/medium-sized enterprise in that it not only costs little but brings obvious value. At the same time, it saves internal staff a good chunk of time to work on more important things. Blogging outsourcing has become an irresistible trend. Considering these, Why not join the army of outsourcing blog marketing?

Posted in Outsourcing

According to recent news, a bill authored by the Congressman Jerry McNerney of United States gives rise to some discussion. It wrote, "Tax loopholes that encourage corporations to ship jobs abroad would be closed ". Corporations outsourcing jobs oversea, e.g. some "tax haven countries" such as India, Pakistan will be punished in the proposal. However, this saying seems to arouse sentiments with people. Regardless of its reason, the fact is opposite to what said by the congressman, e.g. the gains brought by outsourcing outweigh the losses.

A research conducted by an American panel shows that American consumers, workers and business are benefiting from outsourcing.

Increased in products sales; Outsourcing reduces the enterprises' costs, makes things more cheaply so they will be more attractive and available to consumers. The investigation notes that globalization of computer hardware manufacturing led to a 10 to 30 percent decline in prices, making such equipment more affordable and leading to a far greater increase in jobs in the long run.

More focused on professional skills; Companies mainly outsource some non-core or low-tech jobs to others, which leaves the jobs calls for high-level skill to local people. They can have more time and energy to focus on the professional jobs, improving productivity. It can encourage more American people to learn these skills to ensure their individual competitiveness. In some sense, this is a means to enhance workforce quality.

Increased ability to pay government's tax fee. Giving jobs to workers in less developed countries improves the United States economically and increases trade for US products. Therefore, It also increases a company’s ability to pay tax fee to the US government, which contributes greatly to a country's revenue.

Come to the conclusion, outsourcing is not what the popular belief is--it gives a lot of jobs to foreigners and it deprives local people of job opportunities (though it is the fact somewhat) and so outsourcing is adverse. Thus, from a broaden vision, the benefits or advantages outsourcing brings to US are much more than the disadvantages.

Posted in Outsourcing

As China's service outsourcing industry rises vigorously, the industrial selection activity of“Chinasourcing – TOP50 Service Outsourcing Providers in China” is also getting mature gradually. As the most authoritative and professional industrial selection for service outsourcing industry in China, the brand influence of "TOP50" is growing rapidly as well, and has become one of the most important reference for numerous domestic and overseas companies to outsource business, for outsourcing industrial parks and cities to evaluate and invite investment, as well as for companies to select partners. After six months of fierce contention and competition ever since it was officially launched in September 2009, the final result and list of “Chinasourcing – TOP50 Service Outsourcing Providers in China 2009”(TOP50) was released on March 8, 2010. The TOP 10 are as following. For complete list, you can check http://www.chnsourcing.com/top50/2009 Rank Company Name 1 Neusoft Corporation 2 INSIGMA TECHNOLOGY Co., Ltd. 3 VanceInfo Technologies Inc. 4 WuXi AppTec Co., Ltd. 5 hiSoft Technology International 6 Longtop Inc. 7 Dalian Hi-Think Computer Technology, Corp. 8 iSoftStone Information Technology ( Group ) Co., Ltd. 9 China Data Group (Suzhou) Co., Ltd. 10 Inspur Group Ltd. Together with the list, China Service Outsourcing Industry Development Analysis Report 2009 (Chinasourcing-TOP50 Service Outsourcing Providers in China 2009 White Paper) was also published. In which, Devott not only conducted a detailed analysis on the TOP50 selection process, evaluation system and listed enterprises ,but also gave an in-depth research and analysis towards the development of China's service outsourcing industry in 2009, while presenting its reasonable forecasts and suggestions to the industrial development in 2010. With strong practical significance, the Report is now taken as an important reference for the development of China’s service outsourcing industry, parks and enterprise. Downloading this white paper (Brief Edition), you can visit http://www.chnsourcing.com/top50/2009/2009top50.pdf

Posted in Outsourcing

We define 2006 as the “first year for China Service Outsourcing”, in which year the "Thousand, Hundred and Ten Project" was released and symbolized that the service outsourcing industry sets root, spreads and develops in China. After 3 years of rapid development, with hardness and roughness, in 2009, China outsourcing industry embraces another milestone.
As a professional advisory institution on outsourcing industry, at the beginning of 2010, Devott took stock of all the hot events on China’s outsourcing industry in 2009 from nation to region，from industry to enterprise and from organization to person, we finally summarized the following ten events hotlist.

[Ten Events Hotlist]
1. General Office of the State Council released “Response to Issues on Promoting the Development of Service Outsourcing Industry”.
2. Ministry of Finance and other Eight Ministries and Commissions jointly issued the “Guidance on Encouraging Government and Enterprise Outsourcing to Promote the Development of China\'s Service Outsourcing Industry”.
3. The Merger of Neusoft and DHC ended in failure.
4. Wuxi established the first professional Venture Capital Funds for Investment on Service Outsourcing Industry -- China Investment Fund on Software Service.
5. Liu Jiren, CEO of Neusoft, was listed in the IAOP Outsourcing Hall of Fame.
6. Hangzhou released the first Special Provisions on the Protection of Service Outsourcing Intellectual Property in China.
7. Eight Top Chinese outsourcing companies composed the Global Service Alliance in Silicon Valley.
8. Li Si-chen was the first service outsourcing company to be listed on the GEM.
9. Ningbo introduced the first domestic government contracting management system.
10. The MSN“Copy-gate”event of Microsoft.

The ten listed events represent the trends and characteristics of China\'s service outsourcing industry of 2009 from different levels. In the report, Devott deeply analyzed and discussed the ten events regarding its industrial background and impact. For more information, please visit here http://www.devott.com/en/10/ or send e-mail to evelyn.wang@devott.com.

Posted in Outsourcing