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The analyst firm Gartner has just published new research on the top locations for offshore services in 2010, based on their analysis of the past year watching the offshoring market. The top thirty countries for offshore services were rated according to 10 criteria that will help determine which locations are right for individual organisations. The 10 criteria were: language, government support, labour pool, infrastructure, educational system, cost, political and economic environment, cultural compatibility, global and legal maturity, and data and intellectual property security and privacy. The rating scale was “poor”, “fair”, “good”, “very good” and “excellent”.
So, with five possible scores across ten criteria the results are fairly comprehensive, and so it’s interesting to note that only fast-growing developing economies feature in the top thirty:
Americas: Argentina, Brazil, Chile, Colombia, Costa Rica, Mexico, Panama and Peru.
Asia/Pacific: Bangladesh, China, India, Indonesia, Malaysia, the Philippines, Sri Lanka, Thailand and Vietnam.
Europe, the Middle East and Africa (EMEA): Bulgaria, the Czech Republic, Egypt, Hungary, Mauritius, Morocco, Poland, Romania, Russia, Slovakia, South Africa, Turkey and Ukraine.
Seven highly developed countries have moved out of the top thirty this year – Australia, Canada, Ireland, Israel, New Zealand, Singapore and Spain. Clearly these locations remain important as nearshoring destinations, but their value compared to other regions is fast declining.
Another interesting fact is that almost a third of all the top thirty countries in the Gartner list are from the Central and Eastern European region – demonstrating that this region is not only important as a nearshoring destination, but is also developing the expertise to sell services to the world.
Additional information is available in the report entitled “Gartner’s 30 Leading Locations for Offshore Services, 2010-2011”. The report is available on Gartner’s website at: http://www.gartner.com/resId=1491316.