Although India and China have dominated the outsourcing landscape for some time, it looks like Latin America is about to take a huge leap forward, reports topix.com Read more
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A survey by BDO USA, a consultant, reveals that outsourcing has declined among US firms. Read more
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Though outsourcing has become a standard among businesses, there are some risks associated with it. With drastic improvements in technology, data privacy has become a relevant issue in outsourcing.
This is particularly true with special networks and cloud computing. Against this background, India has introduced modifications to the IT Act of 2000. The objective is to monitor security breaches more closely so that Indian outsourcing takes on a higher degree of reliability.
Although the new regulation has been received with discontent, outsourcing firms are complying with the Reasonable Security Practices and Procedures and Sensitive Personal Data or Information. Most firms are getting ready for the new technology rules in 2011.
The government’s intention is to promote offshoring in India with enhanced data security and privacy. But outsourcing firms will have a tough time obtaining access to sensitive documents. Some executive are of the opinion that the rules are inflexible.
Satya Prabhkar, CEO and founder of Sulekha.com was quoted as saying, “The changes to the IT rules give enormous freedom to the government to block any blog or website. And this is definitely something that is not implemented in print media, for instance.” He added, “The act uses generic terms like being grossly harmful, libelous, harassing, etcetera, as reasons to block or remove any content on the Internet. The government should have a re-look at it,” reports CIO.in
Some companies say that implementing cyberlaws has been lax in India. Unless the law is executed, people will find a way to get around it.
Sachin Jain, head-IT and CISO, Evalueserve said, “If there are changes which can make our lives easy; and more clarity is brought into it (the new laws), it will be better.” In addition, costs are another factor associated with implementation of privacy regulations. Moreover, it is up to the outsourcing company to determine if they want to implement laws and not the government because it is not compulsory. However, by following the government rules, these firms can bypass the liability involved.
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According to statistics, Costa Mesa, California saved a bundled in legal fees after outsourcing city attorney work n 2004 financial year. The public legal duties were outsourced to Jones and Myer law firm. Read more
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Although the deal is expensive, Britain’s Serco plans to acquire Indian outsourcer, Intelenet, for approximately $634 million. This will be an initiative to drive growth into overseas market that has high-growth. Read more
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According to an online article in CFO.com, outsourcing benefits not just large firms but smaller ones too. Nitish Grover of GLG Research looks at how outsourcing is climbing and the hurdles that it faces, particularly in India. Read more
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According to published reports, Tata Technologies has put into effect plans to employ 400 engineers at its technical facility near Detroit. This hiring expansion will collaborate with new auto manufacturing that is ongoing in the U.S. and Canada, reports breitbart.com. Tata Technologies is a Tata Motors subsidiary.
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The buzz from the Infosys lawsuit last year seems to be flaring up again. After Jack Palmer, an Infosys consultant alleged that the outsourcing giant requested that he ink documents stating that company employees were traveling to the U.S. to participate in meetings. This implied that these Infosys employees were not working during their stay in the U.S.; this was seen as a means of bypassing the stringent H1B visa laws. Read more
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Despite a lag in the economy, Indian outsourcing service providers are riding a wave of increased revenues according to reports for the latest quarter. The recession brought on a decreased demand for IT outsourcing, particularly as companies decreased discretionary spending. Read more
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For the last twenty years or so, the H1B Visa was a status of envy, second only to the Green Card. If you didn’t get your green card, at least you had your HIB. This allowed IT personnel to live and work in the U.S. Read more
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