Crucial Outsourcing Statistics for All Your Staffing Decisions

Businesses and corporations worldwide have been outsourcing staffing for over 30 years. Today, outsourcing is an integral part of business management, with its market size amounting to over $90 billion in 2019.

Outsourcing business functions to an overseas workforce lowers overhead costs, provides greater focus while receiving high-quality service. Most importantly, this employment method leads to exponential growth for your business. All this put together means consistently high revenue for years to come.

If you’re a business owner who’s still hesitant about outsourcing crucial roles, many statistics advocate for this modern workplace model. This article collates data from various trusted sources that will show you the myriad benefits of hiring offshore.


The Reach of Global Outsourcing Revenue

Business process outsourcing (BPO) involves delegating business functions such as human resources, accounting, front office, or customer relations. These processes are passed on to call centers and service providers located in other countries, mainly as a cost-cutting tool.

Businesses and corporations outsource hundreds of thousands of jobs overseas.

In 2019, information technology outsourcing (ITO) services generated $66.5 billion worldwide, while BPO generated $26 billion. These two closely related services are expected to grow and expand even more in the next few years, with technological developments streamlining the outsourcing process and making the option available even for small- to medium-sized businesses.

According to The Clutch’s survey of small business owners, over 37% of small businesses outsource at least one business process. The most commonly outsourced tasks are IT services (37%), accounting (37%), digital marketing (34%), web development (28%), customer support (24%), and human resources (24%).

Survey respondents also plan to further expand tax, human resources, and procurement tasks to their offshore partners. For example, businesses in the United States wish to outsource up to 90% of finance functions.

These responsibilities require specific skills and high-quality training. Outsourcing these tasks to an overseas expert ensures that businesses still get good service without high-cost preparations and onboarding procedures.


The Future of IT Outsourcing

Advancements in technology have led to deeper integration of cloud services into several industries, which makes outsourcing even more efficient. As more and more businesses, organizations, and corporations move their data and business processes to the cloud, the outsourcing industry is expected to grow exponentially.

Because of the increased frequency of cyberattacks, 83% of IT industry leaders with in-house security teams plan to outsource security services to manage service providers (MSP) in 2021. IT systems require tremendous manpower 24/7, and in-house teams are ill-equipped to handle the exponential increase of cyberattacks.

As more and more corporations outsource their security functions, MSP’s market size is expected to reach over $40 billion by 2022. As security infrastructure and staffing become requirements for businesses storing their data online, the demand for outsourced IT security will continue to increase.


The Motivation for Outsourcing

Deloitte is a company at the forefront of the outsourcing industry, and their yearly global surveys present stark numbers that show the many benefits of offshore services. For their 2020 survey, they interviewed 40 business executives about why they outsource and how their companies have benefited from this practice.

Over 70% of survey respondents said that the main reason they outsource services is to reduce costs. It’s relatively simple to calculate cost reduction rates as opposed to scalability and tech enablement, so it remains the primary motivation for clients.

Organizations prefer their outsourcing partners to be as flexible as possible and to deliver genuine business transformation. In the digital age, clients expect service providers to elevate their business and leverage high-end technology to streamline their business processes further.

In the last few years, it’s become common practice to use interchangeable service providers. Businesses no longer limit their contracts to one outsourcing partner; instead, they take on multiple vendors and sources for their employees. While it has been a challenge to integrate more than one service provider, it has proven to improve business flow and make processes more efficient.

Through outsourcing, businesses get greater, high-quality staff support at manageable costs. This helps with scalability, improved customer service, and higher revenue to remain competitive in their respective industry.


The State of Outsourcing in Different Regions Worldwide

68% of companies in the United States outsource their services, making it the leading outsourcing market in the world, with the United Kingdom and Australia following right behind.. In recent years, Singapore and Japan have also begun to expand their outsourcing industries.

India is the undisputed outsourcing industry leader, and they offer a depth and breadth of English-speaking skilled labor that cannot be matched. There are over 2 million BPO employees and 200 multinational companies with branches in India. Outsourcing providers in India offer talents specializing in IT services ($154 billion revenue in 2017) and software development.

After India, the Philippines is the most popular outsourcing provider in the world, handling 21 out of the top world’s 25 offshore call center projects. Declared as the BPO Capital of the World in 2010, their workers specialize in voice and non-voice customer service roles mainly due to their neutral English accents. The outsourcing industry contributes to 10% of the country’s total economy.

In Eastern Europe, Ukraine is a country that has quickly gained outsourcing popularity. Their workers specialize in IT services, over 200,000 of whom are web developers. Their numbers are expected to increase up to 125% by 2025, and their IT industry market is expected to be valued above $5 billion in 2021.

Poland is one of the most prominent players in IT in Eastern Europe, and their employees’ multilingualism gives them a tremendous advantage in the outsourcing industry. BPO companies in Poland ensure top data security through regulatory compliances from their local institutions, which makes them a popular choice for multinational clients.

Brazil rounds out this list of top 5 outsourcing locations. Their outsourcing law was signed and ratified in 2018, and their outsourced IT workers have been dubbed an alternative to India.



These statistics show how deeply outsourcing has penetrated businesses and corporations across all industries worldwide. As cloud solutions and other remote work technology continue to develop, the outsourcing industry is expected to grow and become even more widespread. The right outsourcing partner will deliver high-quality services at a very affordable cost.

CrewBloom provides premium outsourcing staffing solutions to clients all over the world. Whether you need customer support services in the Philippines, appointment setters, tech support, or other outsourcing services, we will find the best talent for you. Schedule a call with our experts today!

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