Source: www.siliconindia.com

Bangalore: The Indian IT is now experiencing a fully positive effect of talent crunch in developed countries like the U.S. coupled with an increased demand for IT services, as it is leading to an increase in the outsourcing of work to locations like India, says a joint study by Everest Research institute, an outsourcing analysis and advisory firm and Bernstein Research, the investment research resource.

The study points out lessened economic sensitivity and central roles for globalization and offshoring as a paradigm shift happened in the sector. IT Consulting companies like Accenture, Cognizant, EDS, Perot Systems, HCL, L&T Infotech, Patni, Satyam, Satyam, TCS and Wipro are some of the 15 companies participated in the study.

The growing sophistication of offshore IT firms is another reason for the current trend.

However, there were reports some months ago that the economic pressures in the UK and U.S. have been increasing the rate at which companies are offshoring their IT services, most notably to India.

Research firm Gartner in April this year reported, “Organizations are refocusing on IT cost reduction and taking steps to accelerate the use of offshore labor. Buyers of IT services will shift from cost containment goals to a greater focus on cost reduction and productivity increases in their sourcing decisions.” The report predicted that India would continue to be the most-sophisticated country option to source offshore IT services in the near term.

Source: profit.ndtv.com

Britain’s biggest law firms are outsourcing jobs related to conveyancing, accident claims and due diligence investigations to India to cut costs.

Thousands of Indian lawyers and fresh law graduates have reportedly been employed by British firms for a fraction of the cost if the work were done in Britain.

Clifford Chance, reputed to be world’s largest law firm, has set up its own offshore centre in New Delhi. Eversheds, another leading UK law firm, has confirmed it was making use of India-based legal resource centres.

Several other legal companies have expressed an interest in outsourcing hundreds of millions of pounds worth of high-volume work, a report in ‘The Independent’ said.

“The often negative image of call-centres is increasingly being replaced by more accurate perceptions of the quality of legal work available from professionals in India,” it said.

Nearly 80,000 English-speaking law graudates pass out from Indian institutions every year. Young Indian lawyers are considered very competent and also Indian legal system is largely based on English law.

CPA Global, a legal process outsourcing company (LPO), said that more than 30 law firms and company legal departments were in talks to use its legal support base in India, which employs 450 graduates and lawyers.

CPA is one of the biggest providers of LPO services in India and counts Microsoft among its clients.

The downward pressure on legal costs in the economic downturn had forced the once-conservative legal profession to consider radical means for delivering legal services to clients who wanted fees to be fixed, rather than billed at an hourly rate, the LPO company said.

Indian firms have responded by offering US and UK law firms litigation support and compliance work at around 100 different legal outsourcing centres, the report said.