Outsourcing to Latin America, Nordic countries (Benefits & Challenges) Latin America countries Latin America, a near shore option, has emerged as a favorable destination for Information Technology (IT), Business Process Outsourcing (BPO), captive operations. Geographical proximity, similar time zone and cultural affinity have defined the value proposition for near shore. However, the region is ready to take the next step. Latin America offers a large spectrum of options roughly corresponding to the countries in the region covering almost entire alphabet from Argentina to Venezuela. Each country has its own specifics and its own set of Pros and Cons; the differences between countries could be dramatic, compare for example political climate …show more content…
They provide favorable cost savings of about 25-30% when compared to US and Western Europe. Compared to European offshoring and nearshoring locations, Latin America certainly provides greater savings. 2. It has a large pool of skilled workers similar to Asian countries with similar universities and programs. 3. It is helpful for both English and Spanish speaking clients. Argentina, Mexico and Costa Rica have the best English-speaking capabilities in the region. We have found that other countries currently emerging on that front are Guatemala and Nicaragua. Additionally, Guatemalans, like Colombians, have a neutral accent that allows them to assimilate other Spanish accents and they are very good English speakers. 4. There is also a lot of cultural …show more content…
These countries act as nearshore locations for UK companies. Out of these countries, Denmark is the more favored one and Sweden and Spain are the countries with least amount of outsourced services. Gartner research of 2015 has found that use of Indian service providers in Nordic countries is increasing by 20% per year. The research shows that the average market share for Indian companies in the Nordics is probably around 5% and in Finland specifically it is 6-7 per cent. Outsourcing is on the rise during the last four years; F&A BPO has experienced a significant increase of nearly 400% across the Nordic market. As indicated by the senior finance executives interviewed, this growth is likely to continue in the years to come. Although F&A BPO has increased, it is not without challenges and there are still issues to be resolved in the relationships between customers and