Top five reasons to offshore IT and cheap labour still number one

Following my post yesterday about the latest findings of Capgemini’s Executive Outsourcing Survey about where people offshore IT here is the top five considerations when choosing where to offshore IT.


I am afraid cheap labour still leads the pack with a massive 79% of senior executives at corporates saying the cost of labour is a top consideration when choosing a destination. I presume they prefer lower cost labour.


According to the Capgemini survey the top five factors listed by executives in choosing an outsourcing destination are:


Labour costs (79%)

Technology & infrastructure capabilities (62%)

Skilled labour (61%)

Language proficiency (49%)

Economic stability (44%)


So despite constantly hearing that offshoring is not about cost it seems nothing has changed.