Outsourcing to India, China and Ukraine doesn’t surprise us anymore. What we found interesting, however, is an emerging trend in the world of offshoring that doesn’t revolve around India and Chennai, in particular.
Chennai may be losing its top placement on the list of offshore capitals of the world, as Lima, capital of Peru, comes in. Peru is starting to be seen as the new destination for general web development, as well as more specialized projects such as CMS implementations.
What are the implications?
Why Lima is Cooler
While offshoring web development to India often seemed to be a cheap way of achieving fast results, let’s face it – there are too many challenges coming your way, if you decide to go this route.
Sharing the Same Time Zone
Time difference would be one of them. With the majority of Internet companies operating in the Eastern or Pacific time zones, it’s just simply too hard to stay on the same page with India. Lima, on the other hand, is in the very approachable GMT - 5 time zone.
Language and Communication
It is amazing how unsurpassable the communication barriers be even when you’re speaking the (supposedly) same language. Thank goodness there’s Skype, AIM and other means of typed communication that eliminate the stress of trying to decipher what it is you’re actually hearing.
In case with Lima, it seems to be much easier to find a Spanish-speaking project manager in the U.S. able to facilitate communication processes with the Peruvian developers, than to learn Hindi.
With Microsoft being the primary development environment in Peru and a good amount of experienced .NET developers, it only seems logical for North American companies to go south (geographically, it is).
Proximity is a Plus
Add shorter commute times and less time spent being delayed and canceled and you’ve got a perfect solution. A flight to New Delhi from New York would take about 25 hours (on average) with layovers – and that is flying coach for at least US$ 1,000 round-trip.
A business trip to LIM would cost you almost half as much money from the same destination. With layovers in either Atlanta or Mexico City, you can get to Lima in less than 10 hours. Makes quite a difference!
Culture and Sights
The poverty-laden and unhygienic India may not be the most exciting destination. Peru, with 44.5% of it's population below the poverty line (according to the CIA's 2006 estimates
), is not much better.
For some reason, however, Peru is deemed to be less dreary and depressing. Perhaps, the combination of the Andes, Incan culture and the Amazon has something to do with it.
Howard Tiersky, the president of Moving Interactive, also adds that it is way cooler to take clients to Peru as opposed to India: there are rainforests, great food and culture. Not to mention the fabulous beaches and awesome people that Lima has to offer.
Offshoring CMS Implementations
While sending general web development abroad may sound like a good idea, when the goal is to achieve fast results cheaply, what about offshoring such specialized projects as content management systems implementations?