IT outsourcing or information technology outsourcing refers to the process where a company allocates or outsources its computer-related work to one or more organisations. IT outsourcing is most commonly associated with the term BPO or business process outsourcing that mainly refers to outsourcing of work that is largely non-technical. Lack of sufficient resources and cost reduction are two of the main reasons for IT outsourcing. The term is also used in conjunction with IT enabled services (ITES) outsourcing. India, along with Philippines, is one of the biggest global destinations for IT outsourcing, mainly because of its world-class facilities and availability of cheap labour. An overwhelming part of the business for Indian IT outsourcing services comes from the U.S. and European regions. While the industry is still recording decent growth rates, the recent increase of real estate and infrastructure costs in the country’s metros has forced BPOs to look at teir 2 and tier 3 cities for further expansion. Hide this