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BPO between US-India
Post #1
01-16-2005, 04:24 AM
Krish
Newsletter/Forums Member
Hi All,
Am here to take opinion with regard to BPO business between USA
and India.Majority of Indian IT Organisations depends on projects
outsourced from US or UK markets.
Further to 9/11 attack it is not very stable. At first the issue was 9/11
attack which affected quite a lot of IT giants like Wipro, Infosys,
HCL etc. The second
issue came up was the decesion by US Govt not to Outsource the projects when
US themselves have the resources to do the job. Recently the value for US
Dollor came down to a great extend.
Taking all these points into consideration do you think BPO between
US-India is on a thin rope or it is on concrete base.Basically what
will be the projected
life of BPO between the two countries.
Please add you opinions and suggestion
__________________
Moni Krishnan
krish@ameinfo.com
+96899852825
Last edited by Krish : 01-16-2005 at 04:31 AM.
Post #2
01-19-2005, 03:10 PM
Oystein Konsmo
Moderator
Hi Krish,
This is a tough question. Here are my thoughts. I do not think
the current U.S. policies will impact the outsourcing business
between the U.S. and India
much.
If this will be a factor later is hard to say, but personally I do not
think so. The currency fluctuation could impact the number of
projects, but I do
not think it will be a big factor yet. As long as India has comparative
advantages relative to cost and quality of the services you provide,
companies will
still look to India for their product development and customer service
functions. Over
time your comparative advantages will most likely decline as your wages
will increase, and you will see more and more competition from
other countries.
Hence, I believe it is inevitable that Indian companies must start developing
products,
software and associated services as the next step in your "information technology
life cycle" and sell to the international market place. Best regards,
Oystein Konsmo
Post #3
01-20-2005, 07:05 AM
Charles Mills
Principal Moderator
We are seeing -- with the purchase of the IBM
PC division especially -- how China is moving up from being just
a very cheap place to make stuff
to finding
a real
place in the world economy. There may be a lesson in there for India.
__________________
Charles
CharlesMillsConsulting.com
StrategicDueDiligence.com
Post #4
01-23-2005, 08:44 PM
Krish
Newsletter/Forums Member
Thnx for the pat- Oystein.
I really agree with you Charles. Indian companies are bit concerned
and trying to raise to the level as they are closely watching
the growth of
China.
So far India is maintained a major share in BPO; no wonder if China
takes that place. They are tracking from the root itself.
I'll be really happy if I receive any more opinions.
Post #5
01-25-2005, 04:14 PM
Dave45000
Newsletter/Forums Member
But, problems are opportunities. So make
the most of what is for us and for you a fleeting issue. All
code will be Chinese in twenty years. And,
they
aren't the ones that have threatened the U.S. with an infowar.
If you do start developing your own products, let the Chinese code
them. Don't hire Indian coders, because that will drive your costs
up.
On quality, Boeing shipped all their documentation work to Chilie,
where there are no native English speakers. Their expectation is
that they
can accept three
times the rework and still come out ahead. Don't think quality
matters.
And, why do we offshore? To have investment monies for other more
value-added products and services. Guess what! They aren't software.
The software industry is less than 3% of the U.S. economy, so
why should our goverment care what happens to our industry.
Blaming math and science
scores
is bogus. Subsidizing education is bogus. Where there is no
opportunity, no one will go. So while it might look like manna from
heaven,
it isn't. It's
short-term.
Plan for that.
And, last, of course, the world ends in 2008. Might as well
start the countdown timer.
David Locke
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