Dallas, TX - October 31, 2007
- Alsbridge,
the award winning outsourcing, offshoring and shared services advisory firm,
announced today its Next Top Ten list for outsourcing locations in Latin America. After the major centers of Sao
Paolo, Santiago and Buenos Aires, Alsbridge research has
identified ten up-and-coming locations among the areas being evaluated.
The cities emerging as hot spots in Latin America are San
Jose (Costa Rica),
Managua (Nicaragua)
Monterrey (Mexico),
Panama City (Panama)
Bogotá (Colombia), Montevideo (Uruguay),
Guatemala City (Guatemala),
Brasília (Brazil), Juarez (Mexico) and Curitiba
(Brazil).
The criteria for selecting the cities was based on
several factors including population, accessibility, education of the workforce
and success of existing companies that have businesses in these cities. A more
detailed report on each city, along with commentary including accessibility,
educational institutions and existing outsourcing companies may be viewed here:
http://www.outsourcingleadership.com/nexttoptenlatin.jpg
“Latin America has
two major advantages over all other outsourcing locations – time zone and
travel time. While it takes 18 hours to reach Mumbai from Dallas, I can be in Guatemala
City in only four hours,” says Ben Trowbridge,
Alsbridge CEO. “Call centers and business functions requiring work to be
completed during US business hours lend themselves to a working location in
this hemisphere.”
Many of the leading outsourcing companies are
already making moves to establish a presence in these emerging locations.
Infosys and Wipro have operations in Monterey, Mexico while TCS is operating in Montevideo, Uruguay.
Dell and EDS are in Panama City.
All of the cities listed have shown the ability to attract major global corporations
and outsourcing providers.
“The Global 50 brands have already established a
presence in the traditional offshore locations, whether through an outsourcing
provider or their own shared captive centers,” says Trowbridge. “Now we
are seeing a request by these companies for a diversification strategy.
They want to know what’s next and we believe there are emerging cities across
the globe that qualify based on the quality of the workforce and low cost of
living.”
According to an Alsbridge survey of information
technology outsourcing buyers, Latin America
is low in the list of preferred locations. Respondents identified Costa Rica (5%), Brazil
(8%), Argentina (8%) and Mexico (13%), yet India
(64%) and China
(25%) dominated the list.
“Typically, those going to Latin America today have
a need for Spanish language support or they have saturation in other offshore
locations and are experimenting with new locations,” says Trowbridge.
“Companies must perform extensive research and due diligence based on their
unique situation in order to make the smartest location choice.”
Alsbridge research previously identified the next top
ten emerging cities in India
and China.
Companies should be mindful of their location and carefully engage outside
assistance from focused consulting experts such as Alsbridge prior to making
any location decision. Future reports will include Eastern Europe, Africa and
the United States.
For these studies and additional research on outsourcing and offshoring, visit
outsourcingleadership.com
