Outsourcing homework to India

  • By Saritha Rai

The World

BANGALORE, India — Six days a week in the wee hours of the morning, Saswati Patnaik logs into her home computer.

The homemaker — and tutor for a Bangalore company called TutorVista — rises early to help American high school students write English term papers, prepare S.A.T. essays or finish homework assignments.

Outsourcing, of course, started as a way for American companies to lower costs by shifting work to cheaper locations. After nearly two decades, that practice has become so mainstream that hundreds of U.S. businesses — from Wall Street banks to law firms, architects and others — routinely outsource to India.

But now a growing number of individual Americans are following in the footsteps of businesses — and outsourcing homework.

For $99 a month, American customers of TutorVista get unlimited coaching in English, math or science from Patnaik or one of her 1,500 fellow tutors. Similar personalized services in the United States charge about $40 an hour.

“The economic downturn has pushed education to the top of the average American family’s monthly household budget,” said Krishnan Ganesh, CEO and founder of TutorVista. “More Americans feel that education is their only safety anchor, the only thing that can help them stay competitive in this world.”

The company's customers are overwhelmingly from the U.S., but Canadians, Koreans, British and Australians also sign up for lessons.

To meet this growing demand, TutorVista is adding another 1,500 teachers across India in the next few weeks.

To be sure, homework outsourcing is no longer a novelty. Several Indian companies offer the service, operating like call centers with tutors sitting in a common office. But companies like TutorVista are now extending the trend directly from the homes of Indian tutors to those of American students.

Technology has already made communication seamless from anywhere-India to anywhere-United States, said CEO Ganesh. There is no stopping the trend now.

On this particular morning, Patnaik is working with students from Atlanta and New Jersey. She logs into the TutorVista portal, using webchat to greet her student. “Hello, Brittney," she says. Her student responds back immediately. They switch to audio, and Patnaik asks, “How have you been?” A polite sentence or two later, she queries, “How may I help you today?”

The ninth grader has a quiz on Stephen Crane’s "The Red Badge of Courage" the next day. The two discuss the novel and its characters. Patnaik probes Brittney on a few chapters and asks her several questions. She writes the themes in the novel on the digital pad and they discuss as the words show up on their respective computer whiteboards.

Among the Indian tutors working for TutorVista are fresh graduates looking for an opening in a slack job market, stay-at-home mothers, and women with young children, retired professionals and even those confined to their homes by illness or other circumstances.

Saswati Patnaik, for instance, says she made her career choice because she is homebound for health reasons.

In small Indian towns such as Kasargod in the south and Faridkot in the north where career choices are limited, these outsourcing jobs have become an important new source of income. Teachers can earn from 10,000 rupees (more than $200) to twice that sum, depending on the hours and the grades they teach.

American teenager Maureen Baker, a high school senior in New York, says she enrolled with TutorVista a year ago because her father felt it would give her better control over time and resources. Baker is in an advanced program in math and science.

At peak times, TutorVista’s teachers coach 2,500 American students in one-to-one sessions that last between 30 minutes to an hour. On an average day, the company serves about 3,500 students.

The slight communication barrier, an occasional technological problem and the quality of tutors present a challenge for the students, said Baker. But there are many advantages, she said. “I have my share of tutors who do an outstanding job and make the sessions enjoyable and productive.”

Tutors like Patnaik say some of the students are outstanding but many do not focus enough. “American kids don’t face the kind of academic pressure that Indian kids have to cope with both at school and at home,” said Patnaik, who has been tutoring for more than two years.

Older teachers face a culture shock when the kids they are tutoring call them by their first names or criticize them openly. In India, teachers are seldom faulted and always respectfully addressed “Ma’am” or “Sir."

There are other wrinkles as well. For instance, TutorVista has to steer its tutors away from India’s rote learning system to the more open, interactive American way.

Still, that hasn't mollified some critics (mainly teachers in the U.S.), who have raised concerns about the quality of instruction and the lack of uniform standards and testing.

For its part, TutorVista says bridging cultural gaps presents its own share of challenges — like, for example, conversing with American teens.

So in the next few weeks, Indian tutors will learn to use “awesome” as praise, and illustrate a math problem using donuts instead of mangoes.

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I Get Paid to Do Homework for Students Around the World

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I Outsourced My Homework To India!

Birmingham (England) - Birmingham City University officials say as many as 1000 students are outsourcing their homework to coders in India. The students attend or have attended universities and A-School (Britain’s equivalent of the last two years of a US high school) and outsourced homework as simple as a minor coding project to full-blown post-graduate dissertations. Birmingham officials say students sometimes paid as little as $10 for homework.

Birmingham City University have been monitoring outsourcing websites since 2004 and say the cheating is almost impossible to detect. This makes sense because programming is much more structured than say writing an essay — really there are only so many ways you can write a function or program.

It’s easier than you might think to get your homework outsourced. A quick search through Google brings up several companies and perhaps the most prominent one — with the most common sense name — is rentacoder.com. Operating on an auction system, students and companies place ads describing the coding project and programmers then bid on the job. The lowest bidder wins. The university claims that students pay from $10 for a small homework project to $200 for a dissertation.

Companies have been outsourcing their coding for years and it was only a matter of time before students started using the same systems. Of course, you can argue that students who outsource their homework overseas are only hurting themselves when they finally get a job. We can only hope that employers give a comprehensive interview that tests coding skills, but unfortunately some organizations are primarily concerned about whether the applicant has a degree from a prestigious college or university.

Outsourcing of IT homework is just a small part of a growing trend to sending services overseas. Recently several U.S. newspapers have outsourced their copyediting to India and the Philippines. In many ways this makes sense, because of the time difference newspaper reporters can send their stories to India where it will be daytime. The stories will then be edited and sent back in time for the printing presses to run.

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  • chewbenator That is terrible. I struggled through two computer science courses before switching out of it, and the coding projects are THE MOST IMPORTANT THING you must do in the courses. They are really only hurting themselves when students do this sort of thing. Though they might get the grade, once they get the job it's only a matter of time before they are found out and won't get another chance at landing another job in that industry. Reply
  • alfrido thats why the third world are catching up on the western countries its really bad to hear this. Even the word outsourcing brings tears in my eyes. Lazyness of westerners Reply
  • cyprod Clearly the author isn't a programmer. Only so many ways to write a program, psh. At my school they detected cheating by diffing your parse tree with every other parse tree for the last 5 years. If it wasn't adequately different, you failed. Then of course theres code obfusication, see how unmaintainable you can write your code. Two things are sad about this, first, programming isn't that hard. I went to school for computer engineering with my specialty being VLSI and ULSI design. Couldn't get a job in that so I got a job as a programmer because it was a hobby of mine with only a minimal amount of schooling in it required for my degree. They tested the hell out of my coding skills in my interviews and I got the job with next to no formal schooling. (Granted they did higher me for test, but transfered me to software fairly quickly) Second, 10 bucks!? I just told one of my indian friends I work with to tell his buddies back in india to charge more! Reply
  • captaincharisma this is typical especially from the U.S. outsourcing in the U.S has taken the place of slavery in the U.S or can make the assumption they are the same thing Reply
  • NarwhaleAu Maybe they can start outsourcing their brains as well. Reply
  • pocketdrummer Maybe jobs will start hiring based on skill rather than some piece of paper someone paid for. Degrees don't really mean shit. I know plenty of people who didn't go to college that outsmart people who did. With a little luck, these cheater won't be able to maintain a job and will quickly realize how stupid they are. Reply
  • Joe_The_Dragon pocketdrummerMaybe jobs will start hiring based on skill rather than some piece of paper someone paid for. Degrees don't really mean shit. I know plenty of people who didn't go to college that outsmart people who did.With a little luck, these cheater won't be able to maintain a job and will quickly realize how stupid they are.No people like this end becoming PHB's. Reply
  • DXRick This will just fuel the drive of companies to outsource their IT to India as well. They might as well pay the real programmers to do the work, especially since they will do it for less than US programmers. Having been a programmer for 19 years, I can't imagine how someone who can't do the work themselves could possibly get a good job anyway and keep it. Reply
  • clay12340 Captaincharismathis is typical especially from the U.S. outsourcing in the U.S has taken the place of slavery in the U.S or can make the assumption they are the same thing That's the dumbest thing I've ever heard. Outsourcing and sweatshops are two different things. Outsourcing is absolute genius for the person doing the work. They make a pile of money compared to the rates of pay they have available. $10 might sound like very little, but when you take into account the exchange rate and cost of living it isn't bad at all for a simple assignment. Not to mention it would probably take someone competent very little time to do. The only group that gets hurt in outsourcing are the people who live in the areas and have the skills that companies are outsourcing. Exchange rates and cost of living work against those people. Which is pretty awesome for someone like me who is a programmer in the US... Reply
  • sapphireforever For people who outsource their homework, how are they going to deal with midterm and final? When I was in school, part of test was to ask you to write the a program or a piece of program on paper. Reply
  • View All 13 Comments

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Yes, you can outsource your homework to India

Indian entrepreneur krishnan ganesh is out to prove that consumer services can be outsourced just the way business services are..

NEW YORK (Fortune) -- Few large corporations need to be convinced of the benefits of offshore outsourcing. Many U.S. companies have fully embraced the outsourcing of customer call centers, software troubleshooting, and even medical diagnoses to workers in India and other emerging markets as a way to cut costs and take care of business when most of America is asleep.

Now, Indian entrepreneur Krishnan Ganesh is out to prove the advantages of outsourcing to a different and more skeptical audience: American parents and students.

Ganesh, 45 years old, is founder and chairman of TutorVista, an online education company that provides struggling students with 'round the clock tutors - who just happen to be scattered throughout the Indian subcontinent. For $100 a month, students get unlimited help with various subjects. The company also provides preparation for major standardized tests. All the potential pupils need is a computer and Internet connection.

Since its launch 18 months ago, the company has signed up some 2,200 students worldwide, roughly 2,000 in the U.S. That's a fraction of the students served by companies such as Educate Inc ( Charts )., the parent company of Sylvan Learning Centers, or test prep giant Princeton Review.

And Ganesh himself is quick to point out perhaps the biggest challenge his company faces in trying to crack the $2.5 billion-a-year private tutoring market in the U.S.: "How do you get a parent in rural Mississippi to spend $100 a month on tutors from a company in India, of all places?" Ganesh said in an interview this week during a visit to the U.S. "Will they trust us?"

Ganesh already has earned the trust of one key constituency: the financial world. In January, TutorVista closed on a second round of financing, attracting close to $11 million from blue-chip venture funds Lightspeed Venture Partners and Sequoia Capital India.

Investors are no doubt impressed with Ganesh's track record. He founded his first company, a company that fixed computers and other technology for Indian corporations, at age 29. He took that company public in India, then took over as CEO of a troubled telecom joint venture of outsourcing giant Wipro ( Charts ) and British Telecom ( Charts ). He then founded one of the first call center outsourcing operations, CustomerAsset, which Indian bank ICICI acquired, and next helped launch Marketics, a data analytics firm that did work for large U.S. corporations. WNS Limited ( Charts ) acquired the Marketics earlier this year in a deal valued at $65 million.

Ganesh says his mission is to use local Indian resources to serve global markets. "The idea that you can create services around the world with Internet and telecom connections, that you can do virtually any service, fascinates me," he says. He says he also likes to be a pioneer in any field he pursues.

TutorVista is indeed plowing fresh territory: While Indian companies such as Wipro and InfoSys have thrived by selling services to businesses, no Indian company has built a successful consumer services company. "They all work behind an American consumer brand," he says of the Indian outsourcing giants. "There's an opportunity to create a direct consumer play from India."

In India, too, TutorVista is trying something new: its tutors all work from their own homes, not a centralized call center. This allows TutorVista to hire experts throughout India, including retired professors who are using computers for the first time thanks to their TutorVista employment.

Full time tutors with the company make about Rs 12,000 to Rs 14,000 a month ($299US - $349US). A typical teacher's salary might run closer to Rs 9,000 ($224US) a month, Ganesh says. All the company's tutors go through a training and certification process.

Though Ganesh likes to be first, he is hardly alone. New Delhi-based Educomp says it is looking to make an acquisition as a way into the U.S. tutoring market. Sylvan also offers online tutoring.

Whether online tutoring (outsourced or otherwise) really works is a subject of hot debate in education circles, but Ganesh insists that TutorVista essentially is democratizing one-to-one education.

outsource homework to india

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How to Outsource Work from The USA to India in 8 Steps

How to Outsource Work from The USA to India in 8 Steps

In the modern global business landscape, knowing how to outsource work from the USA to India is essential for leveraging cost-effective solutions and accessing specialized skills.

 With a flourishing talent pool and competitive advantages, India offers a compelling proposition for businesses aiming to optimise their operations. This guide will help in understanding the essential steps, best practices, and considerations for a successful outsourcing partnership.

 From initial planning to project execution, it equips businesses with actionable insights to navigate the complexity of cross-border collaboration. 

With a focus on enhancing efficiency and gaining a competitive edge, this guide empowers businesses to unlock the full potential of outsourcing, encouraging growth and success in an increasingly interconnected world.

Overview of the Growing Trend of Outsourcing to India

Outsourcing to India has become a prominent global trend over the past few decades, with the country emerging as a leading destination for various business processes, including information technology (IT) services, business process outsourcing (BPO), knowledge process outsourcing (KPO), and more.

Currently, India Remains the Top destination for Outsourcing around the world. According to a survey by Deloitte , 59% of respondents said they are already outsourcing from India and 22% said they are planning to Outsource from India.

A study from Statista shows that IT outsourcing to India Will grow at a massive 17.92% annually from 2023 to 2028, creating a market volume of USD 20.09bn by 2028.

Outsource work from the USA to India graph

Let’s Understand the factors that are driving the growth of outsourcing In India.

1.rapid industry growth.

The Indian outsourcing industry has experienced rapid growth, with the IT and business process management (BPM) sector contributing significantly to the country's GDP. 

According to the National Association of Software and Service Companies (NASSCOM), India's Tech industry's revenue reached $245 billion in the fiscal year 2023, marking a significant growth compared to the previous year's (2022) revenue of $227bn.

The country has established a conducive ecosystem and is rapidly enhancing its infrastructure to meet the burgeoning demand of the IT and technology industry.

2. Skilled Workforce

India boasts a large pool of skilled professionals, including engineers, software developers, data analysts, and customer service representatives, among others. Today you'll find Indians in the position of CEO in the top multinational companies, this reflects Indian talent.

  • India Currently has over 5.4 Million Employees in IT and BPM industries.
  • Every Year India Produces 1.5 million graduates in Engineering.
  • Only 2.5 lakh or 250,000 graduates land jobs.

The country's strong education system, emphasis on technical education, and proficiency in the English language have made it an attractive destination for outsourcing.

3. Cost-Effective Solutions

One of the primary reasons for outsourcing to India is the cost advantage. Companies can significantly reduce operational costs by leveraging the comparatively lower wages in India without compromising the quality of services.

Because of the large pool of talent passing every year and lesser jobs in the country, the salary of labor. This cost efficiency has led many businesses to outsource various functions to Indian service providers.

For example: The average hourly rate of software developers in India starts from $15 and can go to $40 per hour. whereas in the USA it will range from $38 to $63.

4. Government Support and Policies

‍ The Indian government has implemented various policies and initiatives to support the growth of the outsourcing industry.

 These include tax incentives, infrastructure development, and regulatory reforms aimed at fostering a conducive business environment for both domestic and international companies.

Because of government initiatives such as Digital India, and Startup India , local companies got a favorable environment from the government. and it has made India significant strides in technological advancements, particularly in the IT sector. 

With the rapid adoption of digital transformation, Indian outsourcing companies have been quick to embrace new technologies such as artificial intelligence, machine learning, blockchain, and cloud computing, enhancing their service offerings and staying competitive in the global market.

5. Global Recognition

India as a country as well as Indian outsourcing companies have gained global recognition for their quality services, reliability, and innovative solutions. 

Many Fortune 500 companies and leading multinational corporations have established strategic partnerships with Indian outsourcing firms, further solidifying India's position as a preferred outsourcing destination.

6. Diverse Outsourcing Services

‍ India offers a diverse range of outsourcing services, including software development, customer support, finance and accounting, human resources, research and analytics, and more. 

This diversity has enabled businesses across various industries to find tailored solutions for their specific outsourcing needs.

These factors, coupled with India's favorable business environment, strong technological infrastructure, and a continuously expanding talent pool, have positioned the country as a key player in the global outsourcing landscape, with a significant impact on the economy and employment sector.

Benefits of outsourcing work

Outsourcing work to India has proven to be highly advantageous for many US businesses across various industries. 

The benefits range from cost savings to accessing a highly skilled workforce, as well as taking advantage of the time zone difference. Here are some of the key benefits:

Cost Efficiency

‍ One of the primary advantages of outsourcing to India is cost savings. Labor costs in India are generally lower compared to the United States, allowing businesses to access skilled professionals at a fraction of the cost. 

This cost efficiency can significantly impact a company's bottom line, enabling them to allocate resources to other critical business operations.

Skilled Workforce

‍ India is known for its large pool of skilled professionals, including engineers, software developers, accountants, and customer support representatives, among others. 

These professionals often possess strong educational backgrounds and technical expertise, making them well-equipped to handle complex tasks and projects effectively.

Quality Services

‍ Despite cost advantages, Indian outsourcing firms are renowned for providing high-quality services. These firms often follow international standards and best practices, ensuring that the work delivered meets or exceeds client expectations.

 The emphasis on quality control and continuous improvement has helped build trust and long-term relationships between US businesses and their Indian outsourcing partners.

Time Zone Advantage

‍ The time zone difference between India and the United States can work in favor of businesses. It allows for the execution of tasks around the clock, enabling seamless workflow and faster turnaround times.

 Companies can assign tasks to their Indian counterparts at the end of their business day and have the completed work ready when they resume operations the next day.

Focus on Core Competencies

‍ Outsourcing non-core functions to India enables US businesses to focus more on their core competencies and strategic initiatives. 

By offloading tasks such as IT support, customer service, or back-office operations, businesses can redirect their resources and energy toward activities that directly contribute to their growth and competitive advantage.

Access to Advanced Technology

‍ Indian outsourcing firms often invest in advanced technologies and infrastructure to stay competitive in the global market. 

This provides US businesses with access to state-of-the-art tools and technologies without having to bear the full cost of investment, helping them stay updated with the latest advancements in their respective fields.

Scalability and Flexibility

Outsourcing to India provides businesses with the flexibility to scale operations up or down based on their current requirements. This adaptability allows businesses to respond swiftly to changing market conditions and demands without the constraints of hiring or downsizing an in-house team.

Cultural Compatibility and Language Proficiency

‍ Indian professionals are often familiar with Western culture and proficient in English, making communication and collaboration seamless for US businesses. 

This cultural compatibility and language proficiency help in establishing a strong working relationship and effective communication channels between both parties.

By leveraging these benefits, US businesses can enhance their operational efficiency, reduce costs, and remain competitive in an ever-evolving global marketplace.

How to Outsource Work from USA to India - 8 Steps to Make It Successful

Outsourcing is a strategic business decision that involves delegating certain tasks and functions to external service providers. When done effectively, outsourcing can yield significant benefits, but it requires a structured approach. To better understand the outsourcing process, we can break it down into three key stages:

1. Pen Down Your Requirements

Define your outsourcing needs and goals by clearly outlining the tasks or projects intended for delegation.  And also create specific objectives and desired outcomes for the outsourcing initiative. 

This involves identifying key deliverables, timelines, and performance metrics to measure success.

By setting clear expectations upfront, you provide a roadmap for both your organization and the outsourcing partner, ensuring alignment and accountability throughout the project lifecycle.

Defining needs and goals enables targeted outsourcing efforts, enhances communication, and maximizes the likelihood of achieving desired results efficiently and effectively.

2. Research for your outsourcing partner 

Research potential service providers by exploring outsourcing companies, freelancers, or offshore development centers in India.You will find various marketplaces for different types of industries so find the relevant marketplace for your requirements to search for the outsourcing partner. 

For software-related outsourcing companies, you can check marketplaces like Clutch, Goodfirms, etc. And for freelancers, you can check marketplaces like Fiverr, Upwork, etc.

Prioritize firms with a proven track record, relevant experience, and positive client testimonials. Evaluating past performance and client satisfaction helps gauge the reliability and capability of potential partners. By conducting thorough research, you can narrow down your options to those with a proven track record of delivering quality services. 

3. Evaluate Cost and Quality

Evaluate cost and quality by comparing pricing structures and service standards across different providers. Analyze factors like hourly rates, project-based fees, and additional expenses such as communication tools or project management software. 

Balancing cost-effectiveness with quality ensures optimal value for your outsourcing investment. Assessing these aspects enables informed decision-making, helping you select a provider that offers competitive pricing without compromising on service excellence.

By prioritizing both cost and quality considerations, you can secure a reliable outsourcing partner capable of meeting your project requirements within budget constraints.

4. Evaluate Costs and Quality

Negotiate terms and contracts by finalizing the engagement details, including project scope, timelines, and payment terms, to draft a comprehensive agreement. 

This involves clarifying responsibilities, deliverables, and expectations for both parties involved. Ensure that all aspects of the project are clearly defined and agreed upon to mitigate potential conflicts or misunderstandings.

Crafting a detailed contract helps establish a framework for the outsourcing relationship, outlining the rights, obligations, and protections for all parties. By negotiating terms effectively, you set the stage for a successful collaboration and minimize risks associated with the outsourcing arrangement.

5. Establish Communication and Tools

Having proper communication and tools helps in seamless collaboration with the partner which minimizes the chances of revision or changes. Utilize video conferencing, instant messaging, and project management software to foster clear communication and real-time collaboration.

 By establishing robust communication channels and utilizing appropriate tools, you promote transparency, alignment, and productivity within the outsourcing arrangement. 

This fosters a cohesive working environment, enhances project coordination, and ultimately contributes to the success of the collaboration.

6. Provide project details to the outsourced team

Provide comprehensive project details to the outsourced team to familiarize them with your company's processes, tools, and expectations. Communicate project objectives, scope, timelines, and deliverables to ensure a shared understanding of the project requirements. 

Ensure that team members have access to necessary tools and resources to facilitate efficient workflow and information sharing. Share relevant documentation, guidelines, and access to necessary tools or platforms to facilitate smooth collaboration. 

By providing clear and detailed project information, you empower the outsourced team to align their efforts with your organization's goals, work efficiently, and deliver high-quality results.

7. Monitor Progress and Performance

Monitor progress and performance by regularly tracking the advancement of outsourced projects and evaluating the performance of the offshore team. 

Utilize project management tools and communication channels to stay informed about project milestones, tasks completed, and any potential delays. Assess the quality of work delivered against predefined standards and expectations to ensure consistency and alignment with project objectives. 

By actively monitoring progress and performance, you can identify and address any issues or bottlenecks promptly, thus minimizing risks and ensuring the timely delivery of high-quality results. Regular monitoring strengthens accountability, transparency, and continuous improvement within the outsourcing partnership.

8. Review and Adjust

Review and adjust the outsourcing arrangement by periodically evaluating its effectiveness, soliciting feedback from both parties, and making necessary adjustments to optimize collaboration and achieve desired outcomes.

Assess the performance of the outsourcing partner against predefined metrics, identify areas for improvement, and implement corrective actions as needed. Facilitate open communication to address any concerns or challenges that may arise and seek input from all stakeholders to inform decision-making. 

By actively reviewing and adjusting the outsourcing arrangement, you can enhance efficiency, mitigate risks, and foster a mutually beneficial partnership that drives success for both your organization and the outsourcing provider.

Best practices for outsourcing to India

Thorough research about the options available.

Conduct extensive due diligence to identify reputable firms with a strong track record, relevant expertise, and cultural compatibility. Evaluate factors such as past performance, client testimonials, and industry reputation to ensure a reliable and trustworthy partnership. Cultural compatibility is also crucial for effective collaboration across borders. 

By investing time and effort in thorough research, organizations can mitigate risks, maximize the likelihood of successful outcomes, and establish long-term relationships with outsourcing partners that align with their objectives and values.

Clear Communication with your partner

Ensure to have transparent channels to convey expectations, project requirements, and timelines effectively to the offshore team.  Utilize video conferencing, instant messaging, and project management platforms for seamless interaction. Clarify any ambiguities promptly to prevent misunderstandings and delays. Encourage open dialogue and active listening to foster a collaborative working environment. 

By prioritizing clear communication, organizations can align efforts, mitigate risks, and ensure successful project delivery. This facilitates a cohesive partnership between the outsourcing team in India and the client, driving efficiency and achieving desired outcomes.

Detailed Contracting

Draft comprehensive contracts that meticulously delineate project scope, deliverables, timelines, payment terms, and dispute resolution mechanisms. Clearly outlining these aspects helps prevent misunderstandings and legal disputes.

Specify key milestones, quality standards, and communication protocols to ensure alignment between the client and the outsourcing team in India. By establishing a robust contractual framework, organizations can mitigate risks, uphold accountability, and safeguard against potential challenges throughout the outsourcing engagement. This fosters trust and transparency, laying the foundation for a productive and mutually beneficial partnership.

Assuring Quality Assurance

Quality assurance is paramount in outsourcing to India. Implement stringent processes to uphold high standards of work and ensure deliverables consistently meet or exceed expectations.

Conduct thorough reviews, tests, and inspections at key stages of the project to identify and address any issues promptly. Utilize quality management tools and metrics to monitor performance and track progress.

By prioritizing quality assurance, organizations can instill confidence in the outsourced team's capabilities and deliverables, mitigate risks, and uphold client satisfaction. This fosters long-term trust and fosters a reputation for reliability and excellence in outsourced projects.

Regular Updates

Regular updates are crucial for effective outsourcing management. Schedule frequent progress reports and updates to stay informed about the status of outsourced projects. 

Utilize various communication channels to facilitate transparent collaboration between your team and the offshore team in India. Regular check-ins allow you to address any issues or concerns promptly, ensuring timely resolution and alignment with project goals. 

By maintaining open communication and providing regular updates, you can foster trust, accountability, and transparency within the outsourcing partnership, ultimately leading to successful project outcomes and a strengthened relationship with the outsourcing team.

Cultural Sensitivity

Respect and acknowledge cultural differences to foster an inclusive and collaborative working environment between your team and the offshore team in India.

 Embrace diversity and promote mutual understanding by celebrating cultural traditions and customs. Encourage open communication and active listening to bridge cultural gaps and build trust.

 By valuing cultural diversity, organizations can enhance teamwork, creativity, and innovation within the outsourcing partnership. This approach promotes mutual respect, reduces misunderstandings, and strengthens the relationship between teams, ultimately leading to greater productivity and success in outsourced projects.

Data Security

Implement stringent measures to safeguard sensitive information and ensure compliance with data protection regulations in both the USA and India. 

Encrypt data, restrict access to authorized personnel, and conduct regular security audits and assessments to identify vulnerabilities and address them promptly. 

By prioritizing data security, organizations can instill confidence in their clients and stakeholders, mitigate risks of data breaches, and uphold trust and integrity within the outsourcing partnership. 

This commitment to data protection fosters a reputation for reliability and strengthens client relationships.

Popular Services for Outsourcing to India

  • Software Development
  • Customer Support
  • Digital Marketing
  • Accounting and Bookkeeping
  • Human Resources Management
  • Legal Process Outsourcing (LPO)
  • Manufacturing
  • Market Research and Survey Analysis etc

List of US Companies Outsourcing to India

Below is the list of top US companies that is outsourcing some of their work in India.

  • American Express  

Case Studies and Success Stories on Outsourcing Work from USA to India

Client Overview:

Sevaro Health, a prominent healthcare technology firm based in the USA, encountered significant challenges in expanding its operations due to the prohibitive costs of hiring local talent. Seeking a solution that balances cost-effectiveness with quality, Sevaro Health partnered with us to develop a custom app for their needs.

Aphelia's Contribution:

Aphelia took on the challenge by creating a tailored team of skilled professionals for Sevaro Health. This team included a Technical Project Manager, Business Analyst, UI/UX Designers, Mobile Developer, Frontend Developers, Backend Developers, and a Quality Assurance Engineer. Seamlessly integrated into Sevaro Health's operations, this diverse team contributed to the company's product development and expansion endeavors.

Results and Impact:

Through Aphelia's provision of offshore development services from India, Sevaro Health realized significant cost savings of up to 60% compared to local hiring in the USA. The expertise brought by Aphelia's professionals allowed Sevaro Health to expedite project timelines, enhance product quality, and elevate overall operational efficiency. This successful partnership underscores the advantages of global staff augmentation, demonstrating how strategic collaborations can deliver cost-effective, high-quality solutions for businesses navigating competitive markets.

Outsourcing to India provides cost efficiency, skilled workforce access, and operational flexibility, allowing businesses to focus on core competencies and innovation.

 Encouraging its strategic adoption highlights improved efficiency, scalability, and global market expansion. Emphasizing strong partnerships stresses open communication, mutual trust, and shared goals for successful outsourcing, fostering sustained business growth and development.

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The complete guide on outsourcing to India (pros, cons, how-to)

outsourcing to india

Most companies have now outsourced work to India to save costs and scale their business activities.

From giants like Microsoft, Google and IBM to early stage startups… everyone’s doing it!

Are you also thinking of outsourcing to India?

With India’s efficiency and expertise in handling outsourced work, you could be looking at increased profits in no time.

In this article, we’ll cover everything you need to know about outsourcing to India and how to manage your outsourced staff.

This article contains:

(Click on the links below to jump to a specific section)

  • What Is Outsourcing?
  • About The Outsourcing Industry In India
  • Three Commonly Outsourced Services in India
  • Pros And Cons of Outsourcing to India
  • Four Steps To Start Outsourcing To India

Let’s get started.

What is outsourcing?

Outsourcing is an activity where a company hires a third-party to handle its non-core tasks. This includes tasks that don’t have to be performed in-house, like customer support, data entry and more.

Why do companies do this?

Instead of doing the work themselves, they hire third-party service providers to do it for them. This way, they can focus on core activities that are essential to growing their business .

Additionally, as most outsourcing service providers are based in countries where labor is more affordable, companies can benefit from reduced costs too!

Who are these service providers?

Typically, service providers are companies who have dedicated staff to perform the task. For example, you can outsource your software needs to IT companies.

However, with the rise of the gig economy, you can also outsource to freelancers or independent contractors.

About the outsourcing industry in India

India is one of the largest outsourcing markets in the world. Cities like Mumbai, Bangalore, and Hyderabad are often among the top outsourcing destinations in the world. The country is also known as the best IT outsourcing hub!

And the reasons for this?

Access to a large talent pool, lower salaries and support from the National Association of Software Service Companies ( NASSCOM ) are some reasons why companies prefer outsourcing to India.

We’ll dive into these reasons in a minute.

Three commonly outsourced services in India

While you can outsource almost any non-core task to an Indian service provider, here’s a closer look at some of the most popular ones:

1. Information technology (IT)

No matter which industry you work in, you need IT support in tasks such as:

  • Website development
  • Technical support
  • Software and mobile app development

However, as IT services require specialized knowledge and equipment, you’ll have to train your in-house staff and set up the infrastructure for it. This can be time-consuming and super expensive.

Instead, why not outsource it to the Indian IT industry?

The Indian software industry has the ready infrastructure, specialized knowledge and skilled software developers for the job.

This frees up your time and resources to focus on growing your business. And as most of these companies have been doing this for decades, you don’t have to worry about any dip in the quality of work.

2.Customer support services

Whether you’re running an e-commerce or a software development company, you need to address your customer’s needs and concerns. But answering tons of customer calls and replying to their emails can be very time-consuming and tedious.

So why not outsource it to an Indian service provider?

As it’s not a fairly technical task, you can hire call centers to attend to your customers’ needs. They’ll have all the dedicated staff and technology needed to provide round the clock support. This way, you’re free to focus on core business activities that really need your staff’s inputs.

3. Knowledge process outsourcing (KPO) services

KPO is the outsourcing of tasks that require information processing, like:

  • Big-data analytics
  • Financial and investment research
  • Market research

These are high-end services for which you need to understand the nature of business and process large volumes of information. As establishing this in-house requires lots of time and other resources, it’s best to outsource it to Indian service providers.

What’s the Indian KPO advantage?

By outsourcing to Indian service providers, you get high quality work done by engineers and MBAs without having to deal with finding and recruiting skilled talent. They’ll also have the technology to ensure that your data is accurate and secure.

indian flag

Pros and cons of outsourcing to India

To help you determine if India is the right outsourcing destination for you, let’s take a look at its pros and cons:

Like the Philippines , India has been a profitable outsourcing destination for hundreds of companies including Silicon Valley giants like Google and Facebook.

Here’s why:

1. Cost-effective

It’s no secret that most companies prefer offshore outsourcing to save costs.

India has a low cost of living compared to other developed countries like the United States. This translates to lower salaries for your outsourced staff. You’d only have to pay a fraction of what you’d have to pay for a US employee!

While that’s a given for any developing country, it isn’t the only reason why companies prefer offshoring to India.

You also benefit from reduced startup cost due to the availability of ready outsourcing infrastructure in India. For example, you don’t have to set up any equipment or technology to perform your IT tasks — the service provider will already have it.

2. Access to a vast pool of skilled talent

The availability of skilled professionals is another reason why companies choose to outsource to Indian service providers.

India churns out a massive number of skilled professionals every year from its many colleges and universities. Most of them are well-versed with world-class business practices and the latest technologies to perform your tasks efficiently.

This ensures that Indian outsourcing firms have access to the right skill sets to consistently deliver quality work.

3. English proficiency

Issues with outsourcing work mostly arise when there is a lack of understanding due to a language barrier .

However, many Indians speak fluent or native-level English since the medium of instruction for most higher education institutions is English.

This way, you’ll have no trouble communicating work requirements with Indian workforces. As they’ll have no trouble talking to your customers and addressing their needs, they’re perfect for your customer support services.

4. Good outsourcing infrastructure

Some outsourcing tasks, such as customer support, require dedicated technology and infrastructure.

Recently, India has seen tremendous improvement in telecom, broadband, power and other infrastructure.

As Indian cities also have the advantage of lower real estate prices, Indian outsourcing firms can offer you quality services at a lower price than most other countries.

While India is one of the top business process outsourcing destinations in the world, there are some drawbacks to outsourcing there:

1. Time zone differences

Most Indians are proficient in English; however, you might still face some communication difficulties.

While virtual communication tools can help you cross the distance, time zone differences can create a delay in getting the message across.

For example, tools like Slack and Fleep can help you message your outsourced staff, but sometimes you might want to explain things over a video call. However, time differences can make it difficult to organize these calls!

2. Monitoring issues

This is one of the major issues with offshore outsourcing.

When your outsourced staff is working thousands of miles away, it can be challenging to keep tabs on their work activity. You might not know if they’re actually working on your project!

Considering that most outsourcing firms charge by the hour, you need to know how many hours it really took to finish the task. For example, an outsourcing firm could bill you for five hours when it only took three hours to do the job!

Luckily, there’s one way to solve this issue.

steps to outsource to india

The four steps to start outsourcing to India

Wondering how to start outsourcing to India?

Here’s a step-by-step guide to help you out:

1. Learn how the outsourcing industry works in your niche

The first step in outsourcing to India is to understand the outsourcing industry in your niche.

Why should you do this?

The Indian outsourcing industry caters to a large number of different businesses! If you don’t have a clear idea of how the industry functions, it can be difficult to outsource the work to an Indian service provider.

Here’s how to do that:

  • Learn about the tasks typically outsourced in your niche.
  • Identify the risks involved with outsourcing.
  • Find out the measures taken by other firms to mitigate these risks.

This way, you’ll be able to understand the industry before leveraging it for your company.

2. Determine what you can outsource

The next step is to decide what activity you want to outsource to an Indian service provider.

Outsourcing is not just about saving money. You need to know what tasks you are willing to cede control over by outsourcing them.

However, you shouldn’t outsource your core business activities!

For example, if you’re good at digital marketing, you do not want to outsource that.

So how do you decide what to outsource?

Here’s how:

  • Identify what non-core tasks your business is lacking in.
  • Think about the resources spent on these tasks.
  • Decide if you’re willing to give control over that task to a third-party entity.

This way, you’ll have a better understanding of what you’re willing to outsource.

3. Partner up with a service provider

With hundreds of firms catering to your niche, you must make an informed choice while choosing an outsourcing firm.

Remember, this firm will be an essential part of your business, just like your in-house employees.

Here are a few pointers to keep in mind:

  • Evaluate outsourcing companies as strictly as you would evaluate potential employees.
  • Look for reviews and ask your peers for peers in the industry.
  • Choose someone with a stellar work record and sufficient industry expertise.

While choosing an outsourcing partner is not easy, here’s a look at some Indian companies that offer outsourcing services:

1. Triniter

Triniter

Triniter is known for providing high-quality yet affordable BPO call center services. They have been helping top companies with inbound customer and back-office support for a decade.

Key BPO services:

  • Customer support services
  • Back-office and technical support services
  • AI and data management services

2. DataPowerHub

DataPowerhub

DataPowerHub is specialized in any type of data related and internet research services such as data entry, data processing, data mining, data management, internet and web research. If they don’t maintain 100% accuracy, they mentioned they will give you double the money you paid for their services. They are one of the top data entry service providers in the world.

  • Data Processing
  • Data mining and data management
  • Web and internet reserach

3. AppTechub

AppTechub

AppTechub is a famous outsourcing partner in India. They have the highest clients’ retention and repetition rate of around 97%. They also have the most outrageous guarantee, that is, if they don’t exceed your service-level expectation, they will give you 200% of the payment you paid them. No questions will be asked.

  • Web app development services
  • Mobile app development services
  • Customer software development services

4. Tata Consultancy Services (TCS)

tata consultancy services

Tata Consultancy Services (TCS) runs one of the biggest outsourcing firms in India. It’s largely popular for handling business processes such as supply chain management. TCS has a strong workforce of over 35,000 employees in India.

Key BPO services

  • Information technology
  • Finance and accounting
  • Legal process management
  • Customer support

Wipro

Wipro is an Indian BPO giant with a presence in over 15 cities. It’s known for handling IT-enabled services (ITES) for other companies.

  • Human resources management
  • Procurement services

infosys

Infosys is a popular service provider that mainly offers digital business solutions. Present in cities like Bangalore, Hyderabad and Mumbai, the company has over 43000 employees.

  • Customer services
  • Sales and fulfillment

4. Use the right tools

The main problem with outsourcing is that, as your outsourced staff could be thousands of miles away, how do you:

  • manage projects and share relevant files with them?
  • communicate effectively?
  • monitor your outsourced team during work hours?

Luckily, you only have to invest in the right set of tools to avoid these issues.

Here’s a look at the different types of tools you’ll need when outsourcing to India:

A. Project management tools

With your project taking place remotely, you need a platform to:

  • Delegate tasks to your outsourced staff.
  • Share and store relevant files.
  • Monitor the project progress

With the right project management tool, you could do all this and more!

Look for tools that have features like:

  • Dashboard for quick overviews of the project progress.
  • Task priorities to help you prioritize urgent tasks.
  • Integrations to ensure it works with your other workplace software.

Some good project management tools include ClickUp, Wrike, Jira and Workzone.

B. Communication tools

Communication plays a vital role in ensuring that your outsourced project is on track. You need tools that help you communicate project demands and progress to your remote teams.

How do you do that?

Use Messaging Tools.

Tools like Fleep and Slack are extremely easy to use. They allow you to:

  • Have team-specific conversations.
  • Update team members on the task progress.
  • Integrate with other workplace software.

Use Video Calling Tools:

Zoom and Skype are well-known video calling tools that let you:

  • Hold project meetings with your team.
  • Communicate using audio and video.
  • Share work screen for detailed task discussions.

C. Performance monitoring tools

Monitoring work progress is critical for outsourcing any activity.

After all, you need to hold the service provider accountable for any delays or issues in the project.

Without monitoring, you won’t be able to accurately know:

  • How long has the outsourced staff worked on your project?
  • If they’re passing off idle-hours as work hours?
  • If your projects actually took that long to complete?

Luckily, you can use a performance monitoring tool like Time Doctor to monitor your outsourced staff.

What’s Time Doctor ?

Time Doctor is a powerful employee monitoring tool that’s used by large companies as well as by small companies. It lets you:

  • Accurately track the hours your outsourced staff worked on your projects or tasks.
  • Prevent them from getting distracted with irrelevant websites and apps like social media.
  • Ensure that they are actively working on your project and not billing you for idle hours.
  • Know if someone accesses a website or app that violates company policies.
  • Track time across software like project management, communication and invoicing tools.

Outsourcing to India is one of the quickest ways to save costs while ensuring that you get high-quality work done.

However, you need to carefully chalk out a plan before partnering up with any Indian outsourcing service provider. Conduct in-depth research about the industry and the companies we covered here to get a head start.

Book a free demo of Time Doctor

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How to Outsource Work to India: A Complete Guide

outsource homework to india

Different hiring trends are observed worldwide as we experience economic uncertainties coexisting with technological advancements. 2022-23 saw another wave of layoffs among several tech companies, with 4.25 lakh employees losing their jobs. However, it brings a brighter prospect for outsourcing work to India. Known for its high-quality talent, experts predicted that 30-40% of the layoff jobs could be offered to an Indian workforce. 

India produces one of the most STEM graduates globally due to its high population rate. With access to the internet, good-quality education, cheaper labour costs and English as a dominant language, the Indian workforce has the potential to attract foreign recruiters to offshore their requirements to a resourceful distributed workforce in India. 

Are you looking to hire Indian workers but unsure how to outsource work to India? You’ve reached the right place, as we give you a complete guide. 

Why Do Companies Outsource to India?

What makes India a magnet for hiring IT talent for several foreign companies? Some of the reasons why companies continue outsourcing work to India are: 

  • It is Cost-Effective

A sizeable difference exists between the salaries of a US and Indian developer working on the same task. A software developer in the US has an hourly rate of $46/hr . However, the rate for an Indian developer ranges between $18-40 , depending on their experience. 

With the availability of good-quality talent at a much lower cost, companies look forward to hiring developers from India . 

  • Access to Skilled Talent

A Gartner survey from late 2021 revealed that 75% of IT executives cited talent shortage as the biggest barrier to adopting new technologies. However, the picture transforms when it's about outsourcing work to India, which has a 36% digitally skilled workforce . 

Nasscom states India also ranks first in AI skills penetration and the demand for professionals in India is estimated to cross 1 million by 2026. This creates a positive sentiment among foreign companies to seek advantage of India’s vast talent pool. 

  • English Proficiency

Although English is not the first language for many citizens, it is one of the official languages of India. About 88% of the Indian population in urban areas can read and speak English. 

With a basic understanding of English, it is easier for US-based employers to communicate with their Indian team members. Language and script are not a bigger barrier than other countries. 

  • Time Zone Benefits

Outsourcing work to India enables a 24x7 operational facility. There is a 12-hour difference between India and the USA, which means your work won’t stop even though your work hours do. The product development cycles can be faster because the Indian team members can continue the tasks in their regular workday of 9-5.  

Many companies also outsource their back office processes to India to deliver 24x7 availability to their clients. 

  • Technology and Infrastructure Access

As India inches forward among the world's top economies, it has visionary plans to develop its digital infrastructure. A pan-India 5G rollout in 2023 will further accelerate this digital transformation. 

A report states at least 20% of Forbes 2000 global companies have set up their Global Capability Centers in India till 2023, and this share is estimated to grow to up to 55% by 2030. These help drive innovation and develop emerging technologies. 

Access to the latest technology and 5G internet support ensures a smooth workflow when outsourcing work to India. 

How to Outsource Work to India?

The main question may arise about the outsourcing process and the formalities involved in reaching out, finding new talent, recruiting and onboarding. How to outsource work from USA to India? Here are some steps to follow: 

Identify Your Needs 

Ask yourself the following questions:

  • Do I need to establish my own subsidiary or seek third-party support?
  • Do I need full-time employees or independent contractors?
  • How many employees do I need to hire? 
  • What is my budget for outsourcing tasks? 
  • What are my expectations from the outsourcing partner? 

Once you conduct this basic research on your end, you can frame relevant job descriptions and search for candidates. 

Analyse Compliance Requirements 

While hiring from India is attractive, one must navigate its complex labour laws. If you are hiring full-time employees, you will need to consider the regulatory compliance requirements in the country. Some of these are:

  • Framing a formal employment contract
  • Minimum wages
  • Maintaining a payroll cycle 
  • Overtime pay
  • Local benefits and insurance 
  • Any other licenses and certifications (depending on industry) 

Search for Potential Outsourcing Partners 

India, being a top hub for outsourcing, has no shortage of outsourcing companies. While some may only take care of HR administration, others can offer end-to-end services. 

Begin your search for outsourcing partners that tick off all your needs. Request quotes and see if they fit your budget. 

Partnering with an employer of record (EOR) is another option you can rely on. They will be a legal employer on your company’s behalf and can handle all HR administrative tasks. 

Finalise and Start Collaborating 

Once you find the right outsourcing partner, finalise the contract and start collaborating. On your end, ensure you share all your requirements with a turnaround time so they can work on them accordingly. 

How Do You Choose an Outsourcing Partner?

All your answers on how to outsource work to India will be simplified if you choose the right outsourcing service provider. Past instances highlight tech giants like Microsoft and Amazon falling prey to fraudulent tech support scams in India. It is thus essential to have a credible outsourcing partner who can set up trusted support systems for your company in India. 

Here are some things to consider before choosing your outsourcing partner: 

  • Services offered: Confirm what services are offered by the company. Other than the regular HR administrative tasks, ensure that they also have payroll support. Find out if the company handles local employee benefits and legal compliance.

Check if they provide relocation and visa processing in case your employee has to move/travel for work. Or do they have local partnerships to provide workspace for your remote teams? Some outsourcing organisations also have their own recruitment programs, which can make hiring candidates easier. Make sure the services you require align with the available offerings.

  • Package cost: Most companies have a designed package that covers all the services. Either per employee or a fixed number of employees will be recruited at a specified cost. Check if the package is worth the services offered and analyse if it is within your budget.
  • Client portfolio: There are numerous outsourcing partners in India, but search for the ones who have worked within the IT industry. When the company has worked with clients like yours, they will have a better understanding and experience in catering to your needs.

So, research their client portfolio and ask related questions to understand their work experience better.

  • Reviews: In today’s age, when everything is posted online, find and check reviews of the company you plan to partner with. Reviews highlight the pros and cons of a particular company and can help you finalise your decision. 

Things to Know Before You Outsource Work to India 

The high-quality talent and lower labour costs are definitely attractive to hiring teams in India. But here are some things every US company should be mindful of. 

Cultural Differences

India is a diverse country with a diverse cultural landscape. When recruiting Indian teams, ensure the local festivities and celebrations are respected. Acquaint with days of cultural significance in the country to incorporate them into your corporate calendar. 

Work Ethics

Indian business ethics vary a bit from other Western countries. Hierarchy is important in decision-making and there is a negotiator approach in matters of financial transactions. It is crucial to understand these nuances where mutual respect is dominant. 

Compliance 

The regulatory compliance requirements can differ from one state to another. Employee engagement has to be formalised with a contract that specifies the role, salary, working hours and expectations. It should also lay out the employee benefits and number of leaves an employee is entitled to. Full-time employees have to serve a 30-day notice period when they leave/are terminated. Having local expertise to simplify all these compliances for you is always helpful. 

Payment Cycle 

India follows a monthly payment cycle. The company can decide the dates for the payment. The payment terms can vary if you appoint freelancers and independent contractors. 

Labour Laws

Indian labour laws are designed to protect workers' rights, ensure fair employment practices and maintain harmonious employer-employee relations. It focuses on 4 core elements: work contracts, employee rights, social security and benefits and termination.

These laws are different in special economic zones, states and union territories. Navigating these on your own can be confounding and non-compliance can attract penalties. 

Choose Rapid For Your Outsourcing Needs

If you are wondering how to outsource work from the USA to India, Rapid is a reliable partner. With more than 20 years of expertise in the Indian market, we can assist in recruiting a skilled remote team while ensuring adherence to all local regulatory requirements.

Rapid is adept at staying updated with constantly evolving global regulations, an essential factor for tech companies to remain compliant and avoid legal obstacles in India's varied legal environment.

We offer an all-encompassing solution for US tech companies aiming to tap into India's vast pool of highly proficient IT professionals. Our specialists are poised to transform the intricate task of distributed workforce management into a seamless and efficient process, especially in the context of outsourcing to India.

Click here to book a demo today. 

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Two computer screens showing programming code. outsourcing to India

Did you know that you could reap the benefits of outsourcing to India, even if your business is small? In fact, most smaller businesses these days are taking advantage of outsourcing software development to India, along with many other tasks. 

In this post, we’ll talk about the pros and cons of SEO, customer service, software outsourcing to India, and more. We’ll also look into how businesses normally take advantage of outsourcing to India. Finally, you’ll catch a glimpse into how to outsource work to India once you’re ready to give it a try.

Benefits of Outsourcing to India

You may be asking, “Why outsource to India in the first place?” Well, the benefits of outsourcing to India include several major factors, which we’ll go over here. 

Cost Savings

The first of the major advantages of outsourcing to India is cost savings. It will cost you a lot less when you’re outsourcing customer service to India, for example. If you hire from the US, Canada, UK, or other western country, you can easily pay double or triple for the same work. Because India’s economy is different, your dollar will go further than it would at home. As long as you’re still paying decent wages, you should be able to get the quality services that you and your customers deserve.

Access to Skilled Talent

Let’s say you wanted to try outsourcing SEO to India because of the cost savings. You’ll be pleasantly surprised to know that many Indians are highly technologically savvy. By this logic, outsourcing web development or software development to India is a good idea as well. If you were to ask other businesses out there, you would probably find that most have had at least one Indian involved at some stage in their project. 

outsourcing to India

Time Zone Advantages

Hiring from a country that’s several hours ahead may not sound like an advantage at all. However, we think it’s another of the best benefits of outsourcing to India. While you’re still cozy in bed, an Indian team can be hard at work on your app or website. This way, you can immediately have a look at their progress. Then, you still have time to give further instructions for them to do before their workday ends. If you’re outsourcing customer service to India, the time difference means that you can have people taking care of your customers while you sleep. And you’re not even paying the usual night differential!

Technology Infrastructure

India is one of the few countries in the world that have massive technology infrastructure for serving overseas industries. India is known for tech savvy, exposure to western culture and the English language, and low cost of living. Because of this, they are one of the BPO giants. BPO stands for Business Process Outsourcing, which is an industry centered on helping other countries with outsourcing and offshoring to India. It’s a huge industry because businesses always look for ways to save on costs while getting the same quality output. 

Challenges of Outsourcing to India

Outsourcing to India is not all rainbows and roses. Every option out there is going to have some caveats. You need to be aware of these pitfalls, but don’t let them scare you away from outsourcing to India.

Cultural and Communication Barriers

India does have a lot of contact with the western world. However, this does not guarantee an absolute match in terms of culture. It also does not mean that every individual you come across will speak English the way you expect. 

Many will say that they speak English fluently. That means, however, that they speak well according to their standards. It’s a different variety of English, just like British English differs from American English in vocabulary and accent, and even grammar. Maybe their teachers – also not speakers of your native variety of English – told them they speak very well. They are likely not aware that people in other countries can’t understand them or don’t hold the same values and norms as they do.

One thing that warrants its own paragraph here is a warning about Indian holidays. Make sure that you ask anyone you hire about the holidays that they observe because Hindus and Buddhists especially have some very lengthy holidays that the west isn’t accustomed to.

Lack of Privacy and Security Laws

Every country has its own rules and regulations. Outsourcing to India means managing your expectations in terms of what laws they must abide by. When it comes to Asia, you need to know that the law tends to be less advanced in the areas of technology. This means that you need to cover your bases more thoroughly than you would if you were hiring locally. We recommend consulting a lawyer who is well-versed in the privacy and security laws that will affect you.

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Unforeseen Expenses

Hiring overseas will always come with the risk of unforeseen expenses. You won’t be able to control the work environment, for instance, because it’s not your office. You won’t always know what might pop up for an overseas hire, either. However, you can easily reduce these risks by going over the details of the job and setting clear expectations. 

Take note of any instances when a hire doesn’t comply. Take steps immediately to ensure higher compliance next time around. Still, they may simply not meet your expectations, or don’t seem to be trying to. In this case, be prepared to safely stop work at a reasonable point in the project and let them go. If you have the proper milestones set up, you should have zero problems hiring someone else to pick up where they left off.

Types of Services Commonly Outsourced to India

You can outsource a lot of different tasks to India. We don’t want you to think that there is a limit on what you can hire for there. These are just a handful of the most common outsourcing examples . 

Software Development

Outsourcing software development to India is probably the most well-known of all. Getting software built from scratch can be super expensive. This is the main reason why India is a go-to option, since they can do the work just as well as developers from the other side of the world.

Mobile App Development

Software outsourcing to India isn’t just desktop stuff. These days, a lot of companies are getting their own apps made. This is because just about everyone has a smartphone, and prefer to use it. More than this, companies can target more users with mobile apps because people are on their phones loads more than they are on computers. If you want an app built without getting into debt, consider outsourcing to India.

Digital Marketing

Outsourcing SEO to India is another really common one. SEO is really technical, and India has a long history of focusing on technical skills. It takes a special mind and special training to understand SEO at a high level. When your business is at stake, you want to hire only the best optimizers to get you quality hits to make bank.

outsourcing to India

Back Office Services

We highly recommend to all our clients that they pass off administrative type tasks as quickly as possible. These tasks are tedious and time-consuming – not the type of stuff a business owner should be handling. These tasks usually don’t require a ton of skills, but it’s always good to hire someone who understands all the tech that you use for business operations so they can do their job well.

Customer Support Services

A lot of businesses shy away from outsourcing customer service to India. They prefer to go with the Philippines or Latin countries because the accents are easier to understand. However, you can find a number of Indians who actually have very clean English – you just have to be willing to pay more than a few dollars per hour! It will still be totally worth it. In addition, accents have nothing to do with grammar, so if you need some non-voice talent, there’s nothing stopping you from outsourcing to India.

Alternative for Outsourcing

Outsourcing to India is not your only option! You can outsource to many different countries all over the world. You can actually hire anyone these days who has the ability to work online. We have a favorite, however, which is the Philippines! Our whole team, actually, almost exclusively consists of freelancers we’ve hired from the Philippines.

The reason why we so highly recommend hiring from the Philippines is because they have the best scores in the areas we mentioned above. The costs of hiring in the Philippines are comparable to those in India. Sometimes, they can be higher, but this is because you get better quality. 

The time zone advantages are the same, and most Filipino freelancers are actually willing to work odd hours. They are very accommodating – it’s part of their laid-back culture! – so you can quite easily come to an agreement on hours. The BPO industry in the Philippines is also booming, so they have the experience and the infrastructure to support outsourcing. One of the things we love the most is that Filipinos speak English much better overall than the rest of Asia. Although some may have some accent and grammar issues, it’s not hard to understand them, comparatively. You will still need to look into privacy and security laws and set clear expectations to avoid unforeseen expenses. But you should be doing this with any hire, anyway!

Frequently Asked Questions

A cork board with pins and yarn connecting frequently asked questions.

How much can I save by outsourcing to India?

The amount that you can save by outsourcing to India versus hiring locally depends on the task you are hiring for. As mentioned above, you can expect to save up to 70% for the most part. This takes into consideration salaries and benefits, overhead, and equipment. If you require special software and are paying lower hourly rates, most freelancers will not agree to pay for the software.

What are the risks associated with outsourcing to India?

Outsourcing to anyone is risky because you have a lower level of control. You do not work in the same space, and cannot supervise them closely. When you outsource overseas, this level of control drops further. You can manage these risks quite well, though, if you set up the right checks and balances and keep a close eye on operations – or hire someone to do that for you!

How do I ensure data security and confidentiality when outsourcing to India?

For the most part, limiting access to data is the best way to ensure data security and confidentiality across the board. Always keep backups, and set up safeguards so you are always in control of your data. This is especially important for financial data. Scammers are everywhere! The only reason why we all worry about getting scammed overseas is because it’s much harder to prosecute an overseas scammer. Moreover, the reason why countries like India, China and Russia have a bad reputation when it comes to scams is because of numbers – there are many more Indians, Chinese and Russians in the world than other nationalities. 

What are the cultural differences that I need to consider when outsourcing to India?

One major hurdle for many western businesses when hiring Indians is the expectation of advancement. The Indian mindset is hierarchical because their society is hierarchical. An Indian hire can quickly lost motivation if not given opportunities for advancement. If you have a flatter operating structure, you may want to adjust for your Indian team to keep them performing well. 

To meet their aspirational goals, you will need to develop performance metrics to apply to them that unlock benefits. For example, if they finish a project faster without a lot of bugs, they get a bonus. If they fix bugs before the set deadline, you give them a nice review to post on different sites where they get work. Commendation within the company is also a good way to motivate people who love knowing that they can climb the ranks and hate feeling like they are commodities.

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Since being founded in 2020, Outsource School has helped 1,000+ business owners hire 2,000+ virtual assistants for their companies.

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After weighing the drawbacks and benefits of outsourcing to India, you may still feel uncomfortable pulling the trigger. We understand how making that first overseas hire can be daunting. However, we are confident that if you know how to outsource work to India, you’ll be totally fine. It’s really about hope much attention you pay in the early stages, as you prepare to get an overseas hire ready to start working. If you need help in this area, we are, of course, available to you. Just book a call and we’ll get together to see how we can be of assistance.

Julia Valdez

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COMMENTS

  1. Outsourcing homework to India | The World from PRX

    Outsourcing homework to India. BANGALORE, India — Six days a week in the wee hours of the morning, Saswati Patnaik logs into her home computer. The homemaker — and tutor for a Bangalore company called TutorVista — rises early to help American high school students write English term papers, prepare S.A.T. essays or finish homework assignments.

  2. I Get Paid to Do Homework for Students Around the World - VICE

    These agencies, in turn, gradually started outsourcing the work to India and other parts of Asia to operate at a cheaper cost. By 2017, we started working on these students’ assignments as well.

  3. I Outsourced My Homework To India! | Tom's Hardware

    Outsourcing of IT homework is just a small part of a growing trend to sending services overseas. Recently several U.S. newspapers have outsourced their copyediting to India and the Philippines. In ...

  4. Outsource your homework to India - May. 22, 2007 - CNN Business

    Stephanie N. Mehta, Fortune senior writer. May 22 2007: 10:51 AM EDT. NEW YORK (Fortune) -- Few large corporations need to be convinced of the benefits of offshore outsourcing. Many U.S. companies ...

  5. Outsourcing homework to India - The Sydney Morning Herald

    To meet growing demand, TutorVista is adding another 1,500 teachers across India in the next few weeks. To be sure, homework outsourcing is no longer a novelty. Several Indian companies offer the ...

  6. How to Outsource Work from The USA to India in 8 Steps

    Outsourcing to India has become a prominent global trend over the past few decades, with the country emerging as a leading destination for various business processes, including information technology (IT) services, business process outsourcing (BPO), knowledge process outsourcing (KPO), and more. Currently, India Remains the Top destination for ...

  7. The complete guide on outsourcing to India (pros, cons, how-to)

    3. AppTechub. AppTechub is a famous outsourcing partner in India. They have the highest clients’ retention and repetition rate of around 97%. They also have the most outrageous guarantee, that is, if they don’t exceed your service-level expectation, they will give you 200% of the payment you paid them.

  8. iTWire - Students worldwide 'outsource' homework to India?

    For $2 per hundred words, homework outsource units in India and elsewhere are crafting custom-written homework and answers for students willing to pay up and hope they don't get caught.

  9. Everything to Know About Outsourcing Work to India

    Some of the reasons why companies continue outsourcing work to India are: It is Cost-Effective. A sizeable difference exists between the salaries of a US and Indian developer working on the same task. A software developer in the US has an hourly rate of $46/hr. However, the rate for an Indian developer ranges between $18-40, depending on their ...

  10. Outsourcing to India: Everything You Need To Know

    The first of the major advantages of outsourcing to India is cost savings. It will cost you a lot less when you’re outsourcing customer service to India, for example. If you hire from the US, Canada, UK, or other western country, you can easily pay double or triple for the same work. Because India’s economy is different, your dollar will go ...