Cost Arbitrage - Globalization - NeoIT

CIO-Weblog.com
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. more...

Offshoring Tax Returns Preparation to India

Researchandmarkets.com
We estimate that in 2011, 1.6 million US tax returns will be prepared from India, for $200 million, for a largely 4-month activity. Significantly, Returns preparation is expected to lead the way for a host of other accounting services that can be effectively outsourced to India.Overloaded CPA firms have increasingly been taking to offshoring tax returns preparation to India. The workload in the peak tax season forces CPA firms to employ seasonal tax workers, and let go of other lucrative professional opportunities, which are typically more remunerative. These include advisory services, Sarbanes-Oxley compliance, financial budgeting, MIS reporting, etc. Outsourcing works well to address this situation for CPA firms already challenged by manpower shortages and rising labor costs. more...