Outsourcing jobs is a common practice among businesses of all sizes, as it allows companies to reduce costs and improve efficiency by hiring skilled workers from other countries.

Number of Jobs Outsourced in 2011

According to a report by Gartner, the number of jobs outsourced worldwide in 2011 was approximately 8 million. This represents a 6% decrease from the previous year, when the number of jobs outsourced was estimated at 8.4 million.

Outsourcing Trends in 2011

Despite the overall decrease in the number of jobs outsourced in 2011, there were still several trends that emerged during this time. One notable trend was the increased focus on nearshoring, or outsourcing to countries located close to the home country. This shift reflected growing concerns about security and data privacy, as well as a desire to reduce transportation costs and improve communication between workers in different locations.

Another trend in 2011 was the continued growth of offshore outsourcing in the technology sector. Many companies turned to outsourcers located in countries such as India, China, and the Philippines to take advantage of their skilled labor pools and lower labor costs. In fact, the technology sector accounted for approximately 50% of all jobs outsourced worldwide in 2011.

Factors Affecting Outsourcing Decisions

There are several factors that can influence a company’s decision to outsource jobs. These include:

• Cost savings: One of the primary motivations for outsourcing is to reduce labor costs and improve profitability. By hiring workers from other countries, companies can take advantage of lower wages and reduced benefits, which can help them save money on salaries and overhead expenses.

  * Improved efficiency: Outsourcing certain tasks or processes can also help companies improve their efficiency by freeing up internal resources to focus on core business activities. For example, outsourcing customer service functions to a call center located in another country can help reduce wait times and improve the quality of service provided to customers.

  * Access to skilled labor: Another key factor that can influence outsourcing decisions is the availability of skilled workers in a particular location or industry. Many companies turn to offshore locations because they offer access to large pools of highly skilled workers who may be difficult to find domestically.

  * Security and data privacy concerns: In recent years, security and data privacy have become increasingly important considerations for businesses that outsource jobs. Companies must ensure that their outsourcers are able to protect sensitive data and comply with relevant regulations and standards in order to minimize risk and maintain customer trust.

  Conclusion

  In conclusion, the number of jobs outsourced worldwide in 2011 was approximately 8 million, representing a decrease from the previous year. However, there were still several trends that emerged during this time, including an increased focus on nearshoring and continued growth in offshore outsourcing in the technology sector. When making outsourcing decisions, companies must consider factors such as cost savings, improved efficiency, access to skilled labor, and security and data privacy concerns. By carefully evaluating these factors, businesses can make informed decisions about whether or not outsourcing is right for their needs.