Q3 2016 was the most active quarter for all-around delivery location-related announcements since we started tracking them.
We tracked announcement of 92 new or expanding centers (excluding product and engineering R&D centers). Services Providers announced 58 new/expansions, and one shutdown. Captives and global in-house centers (GIC) announced 29 new/expansion centers, one redundancy and two shutdowns.
IT and business process outsourcing trends are impacting the location choices made by both service providers and shared services captive centers, with the key driver for both types of organization segments being talent related. While cost and tax implications are important, talent requirements must be met prior to choosing new geographic locations.
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