US COMPANY, STATE OF YUCATAN CONFIRM PROMISING PARTNERSHIP
4th Source becomes 1st US Technology Company to occupy Yucatan's Citi Centro facility.
(June 15, 2005) YUCATAN, Mex. – Software products and services company 4th Source announces the opening of its Latin American headquarters in Merida, Yucatan. 4th Source's unprecedented vision is to shift focus from off-shore customized technology services in India and Eastern countries to America's more convenient neighbor, Mexico.
Company COO Mark Molinari says, “4th Source was founded on the principal that Mexico is a substantially better Information Technology sourcing destination than India. Major companies with major investments in India are facing major hurdles – and proximity is a root cause. Mexico is closer and closer is better.”
Companies are also realizing that low price isn't the most important criteria when selecting a sourcing destination…and low price doesn't necessarily translate into low cost. “When Chief Sourcing Officers evaluate their options they should consider their corporation's overall strategy as well as the import/export relationship between their company and target sourcing countries. As America's 2nd largest trading partner, twice as many agricultural products, 3 times the chemicals, iron and steel, 4 times the office and telecom equipment, 5 times the machinery, 90 times the clothing and 100 times the automotive products are exported to Mexico than India. So sourcing in Mexico makes both dollars and sense”, quips Molinari.
4th Source President Richard McKay states, “The availability and skill sets of Mexican Information Technology workers rival those of any foreign nation; there is a wealth of talent in Merida. By adding a team of recent graduates and seasoned professionals to our domestic workforce we've established a global, world-class delivery organization. Doing so has also allowed us to expand our staff in the US. It's a win-win scenario for the US and Mexico.”
Guy Puerto Espinosa, Yucatan's Secretary of Economic Development, agrees that this venture validates the State of Yucatan as a place for American companies to establish business. “Two years ago, we initiated a comprehensive plan to attract high tech companies to Yucatan. With the plan now completed, 4th Source is the first US technology company to seize this opportunity. We'll see to it they thrive and hopefully this will start a trend with other American businesses. We view this as an investment in Merida's future.”
“One of the side benefits of locating our offshore operation here” explains McKay, “is that Merida is a beautiful, clean and safe city. It's a place you'd want to visit; it's a place you'd want to live. And it's only a 90-minute direct flight from Miami or a short hop over to Cancun. Traveling to India to visit your IT project on the other hand is simply impractical.”
4th Source is an independent software products and services company providing premier business and technology solutions for industry leading companies and government agencies. 4th Source's expert services range from specialized technology areas to enterprise wide business solutions. 4th Source software products consist of an IT Productivity Suite and a Labor Sourcing Suite built for global leaders demanding product excellence.