Countries That Outsource the Most

People are realizing that outsourcing is genuinely a business innovation. It is a smarter way to produce added value by leveraging the workforce available worldwide. Although the trend of outsourcing has been increasingly popular among developed countries such as United States, Australia, the UK and Germany, other countries are also moving towards outsourcing gradually. Outsourcing to another country, which has become a common business strategy, is mainly being used by companies in developed countries to increase profitability by investing in developing countries where wages are relatively low, such as India, Pakistan, Brazil to name a few. These are some of the countries that top the outsourcing trend worldwide. Many big names in these countries are outsourcing if not all, at least a few of their services to cut the cost and many other benefits.

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United States

American companies have been pioneers in outsourcing various industries such as IT, manufacturing and healthcare. Regarding the phenomenon of outsourcing, American companies were characterized as being the first to use this technique, first on-shore, that is, outsourcing to companies located in the same territory, then off-shore, to developing countries such as India; that is widely famous for providing quality IT services in low rates. India is one of the emerging markets in the tech sector, and there is no doubt why many companies across the United States don’t only hire Indian tech specialists. However, one must adhere to the outsourcing laws and regulation in the United States.

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In recent years, more and more companies in Australia like the rest of the world are outsourcing their services to meet their needs. Outsourcing has now become a vital part of Australian businesses. The major industries that are outsourcing in Australia include; technology industry that keeps on flourishing due to the rise of Artificial Intelligence (AI). Some of the most outsourced services in this sector are; software development, UI UX and mobile/website development that can be done at very reasonable rates from other countries. Other industries that are focusing on outsourcing are HR, marketing and education sector. 

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If you look closely at the skilled shortage list of Canada, it consists majority of the jobs in the IT sector. Therefore, there is no doubt why Canada is outsourcing this sector just like the United States to countries, mainly India, Singapore, Pakistan and the Philippines. In Canada, Outsourcing companies or even services are regulated by the country’s ten provinces, and it has not created any significant issue as it has been in the United States. We expect that in the coming years, the demand for outsourcing in Canada is going to increase with more and more online businesses coming up.

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United Kingdom

Like the USA, Canada and Australia, outsourcing is giving a significant boost to the economy of the UK for the last few years. It has been an increasingly important factor in generating profits for many businesses. According to a study, outsourcing is not just about call centres based in India. It is more about companies considering outsourcing to run their businesses more efficiently while focusing on their core goals. Telecom, IT and data services are few of the industries that are outsourced the most in the United Kingdom majorly to the developing countries where rates are surprisingly lower. For instance, if a company hire a web designer from India, it may cost them around $50 per page. However, the price doubles or triples when the task is done on-shore.

Reduced costs are where it all begins! It is the primary reason why famous companies across the world are emphasizing on outsourcing their services, and the trend will continue to rise in the coming years. While the countries get the advantage in one way or another by outsourcing, the third-parties who take up these projects are also in no loss, especially in developing countries where USD conversation is higher.

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