Fighting Talent Shortage and Attrition: Offshore Development Centers

When IT is the keyword of the economy, the most wanted people are undoubtedly skilled software professionals. But where are they? The US software industry is seeing an increasing shortage of skilled software talent and there starts a chain reaction: There is a shortage of skilled software talent and an enormous demand for them. This has triggered a talent war with rising salaries, retention problems and frequent job shifts. And in the end, you are faced with a very high attrition rate.

Attrition is definitely a serious issue for you as a company, and shortage of skilled workers, a larger economic issue. The immediate and natural response of the economy was to look around for a source to fill in the gaps and India comes in as a handy answer.

It is not just about saving costs

Outsourcing is evolving and so are different models of outsourcing. The newest trend is the setting up of offshore development centers in India either in a big way or a small way. In a big way you can set up an offshore office or as a small beginning, start hiring people from the numerous software companies in India and then grow to have your own center.

The concept of offshore development center (ODC) is seen as an answer to attrition as well as filling the talent shortage. If outsourcing is primarily for a cost advantage, then ODC is for tapping the right talent from the right place along with cost advantage.

The India Advantage

The advantage that you have with India is her large pool of English speaking, skilled software engineers who are available for a salary of only 25% of what you would have to pay in the US . Too many parameters, right? But that is true and India 's credentials as a trusted outsourcing and software destination are proven. With more and more software giants like Microsoft, Hewlett Packard, Intel and Oracle have already set up their camps in India , the idea of offshore development centers is rapidly growing.

Speaking about hiring talent from India, it is like an extension of your IT team. Companies allow you to hire from their own team of professionals. You are into a different style of outsourcing wherein you retain complete control of your projects as the people will work under you and directly report to you. The facilitating companies take up the responsibilities of assigning you the talent, retaining them and in case of attrition, providing with replacement.

According to Narayana Murthy, founder of Infosys, the value proposition of the Indian Software industry is "faster, better and cheaper". When you can get skilled people, at lower rates and that too not being bothered about the attrition, why not give it a shot?

Find out how you can make use of the ODC/FTE services of IndiaWebDevelopers.