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Offshoring
by Scott Wilson on May 20, 2009
TechFlash has posted an interview with CEO Kris Gopalakrishnan of Infosys. It's worth a read if you're trying to get a sense of the upheaval in the offshoring market. Gopalakrishnan is a featured panelist at Microsoft's CEO summit this week and will speak on the future of technology. He discusses just this topic with TechFlash's Eric Engleman.
Gopalakrishnan clearly sees the dangers in industry consolidation and in changes in the nature of outsourcing, with more businesses taking the same tack as they have with their internal IT organizations by looking at business process applicability rather than discrete technical capability. Infosys seems well-oriented to adapt to this new world since Gopalakrishnan identifies their value proposition as a strong knowledge of customer businesses; that's a necessary first step to perform solid business process outsourcing at the enterprise level.
Speaking of the enterprise, Gopalakrishnan reveals another telling point about Infosys' business when he indicates that the company is not yet doing any work with Amazon Web Services (although he signals willingness to do so). To whatever extent enterprises are working with cloud services, it is still on a small scale and apparently under the corporate radar. Cloud computing is all but a foregone conclusion at the SMB/SME level; enterprises are still sluggishly evaluating the concept.
Gopalakrishnan goes on with some random observations on the mobile market and the CEO summit (human interest questions, I guess) but the bits of interest to CIOs are near the top of the interview and make for a quick read.
Gopalakrishnan clearly sees the dangers in industry consolidation and in changes in the nature of outsourcing, with more businesses taking the same tack as they have with their internal IT organizations by looking at business process applicability rather than discrete technical capability. Infosys seems well-oriented to adapt to this new world since Gopalakrishnan identifies their value proposition as a strong knowledge of customer businesses; that's a necessary first step to perform solid business process outsourcing at the enterprise level.
Speaking of the enterprise, Gopalakrishnan reveals another telling point about Infosys' business when he indicates that the company is not yet doing any work with Amazon Web Services (although he signals willingness to do so). To whatever extent enterprises are working with cloud services, it is still on a small scale and apparently under the corporate radar. Cloud computing is all but a foregone conclusion at the SMB/SME level; enterprises are still sluggishly evaluating the concept.
Gopalakrishnan goes on with some random observations on the mobile market and the CEO summit (human interest questions, I guess) but the bits of interest to CIOs are near the top of the interview and make for a quick read.
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Response from:
Varada
(06/10/09 10:51pm)
Look at the inflated salaries of workers, which was deliberately hiked by Government of India arbitrary salary hikes. The quality of IT graduates in India is dismal and their service is even worse. Today the cost of Indian IT worker is alsmost 80% of that of US worker with all overheads and the risk of Business information leaking outside. Infosys might have ebeen good in 1990's but not today!
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