Argentina’s advanced economy, excellent ties with Europe and an eager-to-work talented pool of technically-savvy, well-educated workers, makes it a top-notch outsourcing destination.
Argentina produces thousands of IT graduates every year and boasts about its well-educated and vibrant workforce with the highest level of proficiency in Latin America. The country offers a nearshore advantage to the United States. Companies such as JPMorgan Chase & Co, Citigroup, Inc., Accenture and Chevron Corp have outsourced their research, accounting and call center jobs to Argentina. However, on the downside, businesses in the country are affected by a high inflation rate at close to 23 percent and instability in geo-political environment.1
Brazil is one of the most preferred offshoring countries in Latin America – especially since it passed a legislative bill in 2017, allowing businesses to hire more temporary workers on longer-term contracts, permitting outsourced employees to work in both a company’s primary and support activities.
With a robust and vibrant workforce, one of its top industries is call center support services. The country has one of the most significant English speaking populations among the major developing economies and holds a decent number in its multilingual labor pool. On the downside, frequent social unrest and outbreak of diseases continue to be a challenge in the country. 2
Colombia has much to offer in the outsourcing industry: sophisticated financial systems, controlled inflation, a booming population of young people, countless exports, increasing foreign direct investment and geostrategic locations.
Colombia’s sourcing industry boasts the presence of significant players such as HP, Dell and Accenture, offering services ranging from the contact center to application development and maintenance, finance and accounting, etc. Nevertheless, the shortfall of bilingual and multilingual workforce persists to be a key challenge in the sector. On a positive front, concerning infrastructure, the Colombian government has announced the opening of new free zones in Colombia in May and December 2018. 3
The Last Word
In a world where buyers are increasingly demanding more advanced products, faster project turnaround times and lower cost services, organizations are focusing on core activities and technology service providers to improve productivity, reduce costs and manage operations more efficiently. As businesses look to create greater outputs, the Latin American market for business outsourcing will continue to expand. Due to their proximity to North America, these Latin America countries compete favorably with India, China and several other outsourcing destinations.