Emerging ITO and BPO Markets

This publication explores two overlapping niche sourcing markets: rural sourcing and impact sourcing. Rural sourcing is the practice of locating information technology outsourcing (ITO) or business process outsourcing (BPO) delivery centers in low-cost, non-urban areas. Impact sourcing is the practice of hiring and training marginalized people in ITO or BPO services who normally would have few opportunities for good employment. Rural sourcing and impact sourcing intersect when marginalized people in rural areas are hired, trained, and employed in ITO or BPO businesses. Based on 62 interviews with providers and clients in the US, Israel, India, and China, this concise study discusses challenges, best practices, and lessons for providers seeking to build ITO and BPO capabilities in remote areas or with unique populations and for clients seeking to buy their services.