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Sunday, June 08, 2003

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Outsourcing made possible
Can any one tell me who is the biggest outsourcer in the world? India, offcourse I am talking about IT outsourcing, in other words, Business Process Outsourcing. India happened to be one of the leaders of the same getting highly chased by Israel, China and also Malaysia. India can be considered as the outsourcing dependent country.
The major resources are coming from USA. During the whole last decade India has evolved the standard above others and have been proclaimed by the intellect and also the power of English. Though we speak the language of King and Queen, but we do understand what an American means to say. This is a major barrier for Israel and also the China. The talent is superfluos for them. The human resources are unending, what matters is the ability to serve the client. I was reading some notes on Gartner found some interesting research
"China and India Can Both Win at Software Development"
by French Caldwell | Dion Wiggins

India's and China's software industries aren't like opposing teams in a football match. In the World Cup, people in every participating country cheer on their national team, and at the end of the game one side has to win; the other has to lose. The same thing could happen between China and India in software, as both governments cheer on the national efforts. This type of scenario will not likely occur in the software market, because cooperation between Chinese and Indian software vendors will give both sides more opportunities for growth.
The countries have complementary strengths in software. China has a large, fast-growing domestic software market. Multinational companies will want to outsource development to Chinese companies, at least in part, as a way to participate in the domestic market. Yet, Chinese companies are small and not well-known abroad. India's large, established companies have strong relationships with multinational corporations, and they have a deep pool of seasoned IS professionals able to manage large development projects. Therefore, Gartner's forecast is that Indian companies will partner with Chinese software makers and will win a large portion of the software outsourcing market in China. That's a game no one has to feel badly about in the end.
The companies going for the outsourcing option are really very much cautious about a few things like knowledge retention. Major concern is what if the person who is traned ont he system leaves the vendor company, they do nto ave any backup.If you consider the way India works is totally indigestable to an American Entrapreneur.
The India-Pakistan war tensions made the decisions defintely divert to China. Pakistan is also a competitor, but they will have to work a lot on the political situation before they can even be counted on, sufferer is India.
A major concern is also that "Country or Company?", one has to make a decision, currently the whole market is profit oriented, everybody is asked to cut down their costs, so the labor has to be cheaper. Outsourcing has been a greater option in IT. The industry where labor is also called as Knowledge Worker. He was paid lavishly, so cut on the pays lead to the cheaper foreign labor, the lay offs are common for the employees. So some are still dwelling on the question of "C or C?". This does not have any right or wrong answer. After all we all have a tummy to fill twice day.