IT services suppliers have turned the focus of their
offshore sourcing strategies away from the established centers
of India, according to new research from Pierre Audoin Consultants
(PAC).
China, Morocco and Hungary are the new locations of choice for
IT services suppliers that are looking to open offshore sourcing
centers.
The
20 largest IT services suppliers operating in the UK have
opened a total of 21 new global delivery centers since the
beginning of January 2007, but only two of these were located in
India. In contrast, four were set up in China, with three apiece in
Eastern Europe and Morocco.
The two new facilities launched in India were both outside the
traditional hotspots of Bangalore and Mumbai. IBM's new centre is
in Noida and Tata Consultancy Services' expansion site is in
Hyderabad.
China's emergence as a global sourcing hub has been slow, with
most services suppliers initially looking to target business with
the country's fast-growing corporations, rather than use local
resources for offshore delivery. However, BT Global Services, EDS,
IBM and TCS have all opened sourcing facilities in the country in
the past 18 months.
Nick Mayes, senior consultant at PAC, said, "India's position as
the premier low-cost IT sourcing centre is not under serious threat
in the near term. But what we are seeing is suppliers looking to
reduce their reliance on India's heated labour market, while adding
non-English language skills to support clients in regions such as
Central Europe."