In the context of global sourcing and new emerging locations, security and safety concerns are becoming the top issue for companies considering outsourcing their IT projects to cost efficient locations offshore. In this respect, the annual research conducted by the Black Book of Outsourcing with the rankings of the most dangerous / safest outsourcing spots around the globe attracts great attention among companies as a reference point for long-term business strategies.
The latest research for 2010 interviewed 3,100 corporate development leaders, including more than 400 outsourcing customers, to indicate their company's inclination to consider specific offshore locations for outsourcing (including IT outsourcing and BPO). The survey asked respondents to rank those cities on various perceived threats and weaknesses, including geopolitical risk, terrorist threats, climate concerns, legal maturity, environmental waste and pollution, IT and telecom infrastructure security, and crime rates.
According to the 2010 results, Central/Eastern Europe (CEE) tops the list of the safest offshore locations, while Pakistan, Colombia, and Mexico top The Black Book of Outsourcing's 2010 list of the most dangerous places for offshoring.
The results are particularly important for companies engaged in high-risk business, like finance, where security, stability, IP and data protection come first and often overweigh cost factors. According to the published survey results, CEE proves an ideal secure and cost-efficient spot for outsourcing IT projects. This has already been marked by some leading companies who engaged with regional providers. One of the latest examples is the decision of the investment giant Barclays Capital to set up its IT Center in Kyiv and select EPAM Systems, the leading software engineering services provider in Central/Eastern Europe, as its technology partner for offshore software development. Ukraine’s capital Kyiv is among the Top Ten safest cities for offshore outsourcing.
"Even the perception of risk factors such as high crime, corruption or terrorist threat can paralyze a region's offshore business momentum," says Douglas Brown, Research Director of Datamonitor's Black Book. "That required sense of security can be destroyed, even in the most vibrant and progressive of communities, entirely on what is perceived by the corporate decision maker."
Source: CIO
The latest research for 2010 interviewed 3,100 corporate development leaders, including more than 400 outsourcing customers, to indicate their company's inclination to consider specific offshore locations for outsourcing (including IT outsourcing and BPO). The survey asked respondents to rank those cities on various perceived threats and weaknesses, including geopolitical risk, terrorist threats, climate concerns, legal maturity, environmental waste and pollution, IT and telecom infrastructure security, and crime rates.
According to the 2010 results, Central/Eastern Europe (CEE) tops the list of the safest offshore locations, while Pakistan, Colombia, and Mexico top The Black Book of Outsourcing's 2010 list of the most dangerous places for offshoring.
The results are particularly important for companies engaged in high-risk business, like finance, where security, stability, IP and data protection come first and often overweigh cost factors. According to the published survey results, CEE proves an ideal secure and cost-efficient spot for outsourcing IT projects. This has already been marked by some leading companies who engaged with regional providers. One of the latest examples is the decision of the investment giant Barclays Capital to set up its IT Center in Kyiv and select EPAM Systems, the leading software engineering services provider in Central/Eastern Europe, as its technology partner for offshore software development. Ukraine’s capital Kyiv is among the Top Ten safest cities for offshore outsourcing.
"Even the perception of risk factors such as high crime, corruption or terrorist threat can paralyze a region's offshore business momentum," says Douglas Brown, Research Director of Datamonitor's Black Book. "That required sense of security can be destroyed, even in the most vibrant and progressive of communities, entirely on what is perceived by the corporate decision maker."
Source: CIO
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