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Cost Arbitrage - Globalization - NeoIT

Filed in archive Offshoring by prashanth on December 23, 2006

On the on going discussion on the topic of the increasing cost of salaries in India and therefor the loss of the cost arbitrage advantage that created this Industry of outsourcing and put Globalization on the fast track. While doing some poking around for more information I came across this study by NeoIT, which focuses on the areas of Salary cost in the possible offshore locations it focused on the areas of business IT Outsourcing & BPO (Voice / Non Voice).

Some methodology on the study, Study is based on data from a survey of leading service providers in Tier 1, 2 & 3 in 20 sourcing destinations including 9 in Europe, Middle east & Africa region (the Czech republic, Hungary, Ireland, Israel, Poland, Romania, Russia, Slovakia & South Africa) ; 4 in Americas region (Canada, Brazil, Mexico & Costa Rica); and seven in Asia Pac region (China, India, Malaysia, the Philippines, Singapore, Thailand and Vietnam) analyzing salaries of 3 levels of experience upto 2 yrs, 3-6 yrs relevant experience & Project Manger includes 7-10 yrs.

The report has many useful / interesting insights, I have just take some of the graphics from the report and highlighted put them below, Now to read the report in depth:

SalaryCostOutsource.jpg
SalaryAvg.jpg
SalaryIndex.jpg

Source: 1


Prashanth Rai



Permalink: Cost Arbitrage - Globalization - NeoIT
Tags: outsourcing  offshoring  IT  BPO  NeoIT  Globalization  2007  cost+arbitrage 

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