There is little doubt that both China and India and the respective cultures has given each society the ability to produce significant numbers of successful entrepreneurs – either at home or abroad. In fact, many of the technology related firms in Silicon Valley were started ether by Chinese (specifically Taiwanese) and Indian entrepreneurs. On the other hand, there also seems to be key differences between the Chinese and Indian entrepreneurial classes. For example: By-and-large, firms involved in offshore IT services and service outsourcing (Infosys, Wipro and Tata etc.) have largely been started by Indian entrepreneurs in India while Chinese entrepreneurs in China seem to achieve the most success in off-shore manufacturing and exporting (Haier etc). Read more
Written by JohnU · Filed Under Outsource Blogs | 1 Comment
India in the 21st century remains a country of stark contrasts and perhaps one of the biggest contrasts is how a country with a thoroughly globalized and thriving IT services and outsourcing industry can still be (officially) socialist. In fact, a recent opinion piece in the Wall Street Journal by Barun S. Mitra is well worth reading as he noted that in India, “we’re all (still) socialists.” His article began by noting that Indian politicians love to talk about “reform” and yet most of them still like to spend more money (Americans and Europeans, does this sound familiar?). Moreover and when it comes to spending US$22 billion in annual food or fertilizer subsidies or the rural employment guarantee scheme (and so on), there is little to no debate – despite the fact that India has a vibrant democracy around 50 political parties at the national level. Read more
Written by JohnU · Filed Under Outsource Blogs | 2 Comments
Recently I read a blog in the Harvard Business Review web site. It is an interesting blog that discusses outsourcing and IT innovation. The blog suggests that large scale IT outsourcing limits strategic value of companies and limits innovation using IT as a strategic asset. It is sad that still blogs and articles are being written questioning the value of outsourcing and connecting company’s lagging innovation to outsourcing. Most of the Fortune 1000 companies in US have fully-owned subsidiaries in emerging countries like China, India, Brazil, Philippines, etc. US companies have been sending work from US to its subsidiaries all over the world. What do you call this practice? Outsourcing, offshore outsourcing, insourcing? Read more
Written by Mani Malarvannan · Filed Under Outsource Blogs | 4 Comments
According to a new report by Forrester Research, second tier outsourcers located in India can offer specialized services in certain areas that their larger counterparts like Infosys or TCS may find too niche to resolve. Read more
Written by Jacob Cherian · Filed Under Outsource Blogs | 2 Comments
The recent US decision to hike H-1B visa fee is blatantly discriminatory and this is some thing on which both the Indian outsourcing industry and government hold the same view. Not only is it seen as a retrograde move likely to have a negative impact on Indian outsourcing industry, but also as one that will do more harm to US interests than good. Also there is a growing feeling in India that every time Obama’s ratings plunge on account of economy issues, or there is an election around the corner the administration turns its guns on the Indian IT industry, blaming it for loss of jobs. This is reminiscent of the way the US used to be blamed by left leaning politicians of India some years back for everything ranging from inflation to drought. Read more
Written by Vipin Labroo · Filed Under Outsource Blogs | 2 Comments
The outsourcing industry, one of India’s flagship industries, responded vehemently to a U.S. law that is designed to toughen the control of the Mexican border. It will also spike visa fees for American work visas. Many Indian IT graduates are employed on the work visa by companies in the U.S. India is among the top outsourcing locations and has dominated the outsourcing landscape for the last decade. Read more
Written by Jacob Cherian · Filed Under Outsource Blogs | 1 Comment
We recently pointed out several reasons why Andy Grove, the man who built Intel into what it is today, was both right and wrong in a thought provoking opinion piece he had written for Bloomberg about making jobs again in America where he argued that the USA should levy an extra tax on the use of offshore labor and implement other protectionist type measures. However, the history of Intel, especially that of its presence in the Philippines, is a good case in point that shows why Andy may be right about the symptoms and problems facing America, but also why he is completely wrong with his prescription for a cure. Read more
Written by JohnU · Filed Under Outsource Blogs | Leave a Comment
Andy Grove, the businessman and entrepreneur who built Intel into what it is today, has written a thought provoking opinion piece for Bloomberg about making (or perhaps re-making) jobs in America where he argued that the USA should levy an extra tax on the use of offshore labor and if this results in a trade war, then America should fight to win it. What makes the article all the more interesting and perplexing (also noted in the Wall Street Journal by James Altucher) was how Andy could be right about so many things and still manage to develop a completely wrong conclusion. Here is what Andy is right about and what he also fails to mention: Read more
Written by JohnU · Filed Under Outsource Blogs | 2 Comments
According to a recent developer survey finding from Jaspersoft, an open-source business intelligence supplier, there has been little damage done by the acquisition of Sun Microsystems by Oracle. The report reiterates that Java and MySQL appear to be doing well n their abode. Read more
Written by Jacob Cherian · Filed Under Outsource Blogs | Leave a Comment
Despite the controversy regarding outsourcing, IT outsourcing is catching on among U.S. firms. There are a few reasons why. Read more
Written by Jacob Cherian · Filed Under Outsource Blogs | 3 Comments
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