India and the Philippines are widely considered to be the top outsourcing destinations in the world. Just so we could know what really makes them tick, we’ve set their strongest qualities side by side. Hopefully we can determine why they really succeed in the outsourcing world and others do not.

India

Educated and Talented Workforce. With over a billion inhabitants, India never seems to lack good talent. The technical expertise that we see in young Indians is the result of a rigorous education system that emphasizes science and mathematics at early levels of school. Consequently, Indian workers have a good grasp of qualitative and quantitative concepts, enabling them to comprehend the latest technologies and trends available. Indians are great English speakers too, producing 2.3 million English-speaking graduates.

High-end Technology. While data entry is still strong among outsourcing jobs in India, numerous offshore jobs going to India are consistently increasing in complexity and scope. The networking infrastructure in the country — telecom, ISP, and networking sectors — are intertwined to assist the growth of BPO-related jobs.

Pro-Outsourcing Government Stance. India’s government so far has favored the enormous growth of the I.T. sector. Landmark laws have been passed in order to facilitate the entry of foreign investment, international job offerings and outsourcing opportunities. A few of these measures include:

• Creating a separate governmental department — The Ministry of Information Technology — to handle all national I.T. projects and to simplify regulation.

• Passing the Information Technology Act of 2000, a body of law that seeks to regulate all e-Commerce and I.T.-related activities in the country. The issuance of cyberlaws makes India one of the select nations to consider on I.T. security.

Philippines

Cultural Affinity/Better Adaptability. It is no secret that Filipinos are better equipped in dealing with Westerners. Their English skills are comparatively better than other Asian neighbors, being influenced by several decades of American rule. Filipinos boast about their countrymen having a 95% literacy rate, and almost 80% of these are fluent in English.

As a result, Philippine English is more accent-muted; meaning there is a small of amount of discernable intonation and unfamiliar diction in their speech. Western culture is also ubiquitous in the country and widely-accepted. This makes it easier for Westerners to understand communication with the Filipinos, and lessens culture shock for them.

Service-oriented Workforce. In addition, both locals and foreigners admit that Filipinos are quite adept at dealing with people relationally. Decades of Malay, Chinese, and Spanish influences have developed the Filipino with a commendable gift of better relational skills. Consequently, they are more proficient in areas of customer service. No wonder many international firms choose to outsource their customer service departments to the Philippines, and that BPO industries are booming in this nation.

Active Government Support. Although the Philippines is relatively a newcomer in the outsourcing industry, it also has responded quickly to the emerging IT trend, setting up an atmosphere for job growth and foreign investment during the dot com boom.

• Creation of the Information Technology and E-Commerce Council (ITECC) and the E-Commerce Act of 2000 in order to handle and encourage the growth of the IT industry in the country. The cyber law also mandates the businesses to extend their services online, making local Philippine businesses available on the Web.

• Creation of the nation’s first Cyber Corridor, a network of cities having the most vigorous and productive IT and BPO hubs in the country. This national project aims to generate at least $13 billion in revenue this 2010, and employ more than a million Filipinos.