Massive outsourcing in India likelihood
The growth in outsourcing sector in India is unstoppable at the moment. The recent development of the outsourcing model in India has undergone (and still going) drastic changes. Outsourcing to India is very cordial and easy and the norms are very flexible. Even yesterday IGate Global Solutions Limited – a Pittsburgh based IT and BPO service providing company had announced the acquirement of 51% stake in Bangalore based Quintant Service Limited providing contact services to clients in US.
The presence of US firms in the Asian terrain has grown rapidly. Fast rate of globalization has led many US corporate giants to outsource business activities in the region so as to avoid high operational cost in their own territory. China and India is providing that base to them. China as the industrial development hub and India for the value-based services. Outsourcing to India will unanimously grow in the next few years. An estimated $ 5 billion worth of business will be outsourced to India in 2003-04.
Thursday, July 31, 2003
Wednesday, July 30, 2003
Outsourcing to India obvious choice in America
Outsourcing business to India has grown steady as the offshore continues in large scale. The move by the American firms to outsource business to cheaper countries will be unrestricted. In a recent research by a firm in US - the exodus of companies from America will continue despite of outcries and bills introduction.
The primary need for BPO companies in India is to project the image of offshore outsourcing to India. Rather than waiting in shell and let the US media dominate the terms, the Indian Outsourcing industry should be telling – why outsourcing to India is profitable. No one is forcing US firms to outsource business to India. If the policy norms – for bilateral trade – are encouraging and if there is potential for saving it is quite speculative as to why outsource business to India. Lest - outsourcing business to India is growing and there seems little deterrence for it. As long as the quality along with cost saving is assured - outsourcing to India will remain the obvious choice.
Outsourcing business to India has grown steady as the offshore continues in large scale. The move by the American firms to outsource business to cheaper countries will be unrestricted. In a recent research by a firm in US - the exodus of companies from America will continue despite of outcries and bills introduction.
The primary need for BPO companies in India is to project the image of offshore outsourcing to India. Rather than waiting in shell and let the US media dominate the terms, the Indian Outsourcing industry should be telling – why outsourcing to India is profitable. No one is forcing US firms to outsource business to India. If the policy norms – for bilateral trade – are encouraging and if there is potential for saving it is quite speculative as to why outsource business to India. Lest - outsourcing business to India is growing and there seems little deterrence for it. As long as the quality along with cost saving is assured - outsourcing to India will remain the obvious choice.
Saturday, July 26, 2003
Outsourcing to India saves hugely for US
Saving for US firms through outsourcing to India is likely to amass almost $10-$11 billion by 2003-04. Outsourcing business services to India is the phenomena catching feverishly in the western corporate world.
Yet we know that the present employee union in US and or in Europe is not happy about outsourcing to India. The idea going offshore means rapid job slaying. But several analyst in India and abroad have found and disclosed that outsourcing to India is never the only culprit reasoning to the alarming job cuts in US. Experts points that economic slowdown is the major cause for it. And during economic suppression companies’ are forced to slack jobs as well as try all measures to cut the cost.
Outsourcing to India will be increasing by all means. There is little deterrence that is been faced by US government and offshore outsourcing will have little importance at the end. Even the US High Court has rejected a bill in New Jersey asking to impose a ban on services outsourcing to India.
Saving for US firms through outsourcing to India is likely to amass almost $10-$11 billion by 2003-04. Outsourcing business services to India is the phenomena catching feverishly in the western corporate world.
Yet we know that the present employee union in US and or in Europe is not happy about outsourcing to India. The idea going offshore means rapid job slaying. But several analyst in India and abroad have found and disclosed that outsourcing to India is never the only culprit reasoning to the alarming job cuts in US. Experts points that economic slowdown is the major cause for it. And during economic suppression companies’ are forced to slack jobs as well as try all measures to cut the cost.
Outsourcing to India will be increasing by all means. There is little deterrence that is been faced by US government and offshore outsourcing will have little importance at the end. Even the US High Court has rejected a bill in New Jersey asking to impose a ban on services outsourcing to India.
Friday, July 25, 2003
Outsourcing in India: The result of able workforce at low cost
The global economy has merged together and outsourcing business has grown over the years. The business sector gainer from outsourcing is the service sector. Within next six months more than 50,000 jobs in the BPO sector will be formulated. This will mainly constitute of call center professionals and people engaged in back-office outsourcing activities. Outsourcing to India will continue to gain despite of backlashes and outcries generated in US and or Europe.
Already offshore outsourcing in the IT sector is the largest growing industry worldwide. Outsourcing to India, thus is poised to grow like never before. Despite outcries in west, recent surveys indicated that there are no real dangers of joblessness and its more a hype than reality. Outsourcing business to India in many ways is an example, how able workforce contributes to national integration as well global business enhancement.
The global economy has merged together and outsourcing business has grown over the years. The business sector gainer from outsourcing is the service sector. Within next six months more than 50,000 jobs in the BPO sector will be formulated. This will mainly constitute of call center professionals and people engaged in back-office outsourcing activities. Outsourcing to India will continue to gain despite of backlashes and outcries generated in US and or Europe.
Already offshore outsourcing in the IT sector is the largest growing industry worldwide. Outsourcing to India, thus is poised to grow like never before. Despite outcries in west, recent surveys indicated that there are no real dangers of joblessness and its more a hype than reality. Outsourcing business to India in many ways is an example, how able workforce contributes to national integration as well global business enhancement.
Thursday, July 24, 2003
Outsourcing to India
In order to meet its outsourcing requirements and cash on the talented professionals India has to offer, Staffware Plc – offering Business Process Management (BPM) solutions have announced the launch of Indian operations and immediately bagged a BPM contract from HDFC Bank. This move indicates a major shift for outsourcing in India. India is already a preferred destination for outsourcing business services because of various factors like cost-effective resources, sophisticated IT infrastructure and value based services.
Outsourcing to India has also grown over the years. India will be an outsourcing giant in Asian region within next one-year outclassing Australia as the BPO service provider. By the year 2007 India will accumulate close to $14 billion dollars for offshore outsourcing generated all over. India also grabs more than half (read 66%) of the total offshore outsource business and presently rakes $1.8 through such activity.
In order to meet its outsourcing requirements and cash on the talented professionals India has to offer, Staffware Plc – offering Business Process Management (BPM) solutions have announced the launch of Indian operations and immediately bagged a BPM contract from HDFC Bank. This move indicates a major shift for outsourcing in India. India is already a preferred destination for outsourcing business services because of various factors like cost-effective resources, sophisticated IT infrastructure and value based services.
Outsourcing to India has also grown over the years. India will be an outsourcing giant in Asian region within next one-year outclassing Australia as the BPO service provider. By the year 2007 India will accumulate close to $14 billion dollars for offshore outsourcing generated all over. India also grabs more than half (read 66%) of the total offshore outsource business and presently rakes $1.8 through such activity.
Wednesday, July 23, 2003
Indian outsourcing to dominate offshoring sector
Outsourcing to India will dominantly grow for the many years to come unless some new offshore destination comes anywhere close to India in terms of salary combined with quality, IT infrastructure and other factors. India alone will receive approximately $13.8 billion from business outsourcing by 2007, reserch agency Gartner has projected.
Outsourcing to India is the mantra for new age business firms who looks to outsource simply to deduce operational cost. Be it Call Center services, accounting works, inventories, book-keeping - Indian infrastructure aptly suits for such activities. Offshore outsourcing is the also the fastest growing IT industry segment with Compund Annual Growth Rate (CAGR) of 29%. As India offers the most reliable and cost-effective IT services – unless discussed – outsourcing to India will dominate the offshoring sector for many years to come.
Outsourcing to India will dominantly grow for the many years to come unless some new offshore destination comes anywhere close to India in terms of salary combined with quality, IT infrastructure and other factors. India alone will receive approximately $13.8 billion from business outsourcing by 2007, reserch agency Gartner has projected.
Outsourcing to India is the mantra for new age business firms who looks to outsource simply to deduce operational cost. Be it Call Center services, accounting works, inventories, book-keeping - Indian infrastructure aptly suits for such activities. Offshore outsourcing is the also the fastest growing IT industry segment with Compund Annual Growth Rate (CAGR) of 29%. As India offers the most reliable and cost-effective IT services – unless discussed – outsourcing to India will dominate the offshoring sector for many years to come.
Tuesday, July 22, 2003
Outsourcing to India should not be feared in US
Outsourcing to India is the right decision made by the corporate firms in western countries. One of the major issues about outsourcing business to India was the jobs layoff that the trade unions have been outraging about in the recent past. However it is worth mentioning that at present only 1.5% of the entire BPO business is been sent overseas. The stats are not going to see dramatic changeover in the coming time as well.
On the contrary, outsourcing to India saves the corporate firms in US and Europe huge amount of revenues. When the savings are as high as 70-80% - there is little choice over outsourcing. However the India is making most out of it. There is a tremendous job-creation in the country and people are getting the taste of how the future market is likely to be. Until recently only large corporate firms were outsourcing their business services – in US as well as India. But now even the small players – read medium and small size industries – are also eager to outsource their business. Though going offshore for outsourcing for small players is not easy yet in future the corporate world will witness mega changeover of business services between the countries.
Sunil Mehta, V-P, NASSCOM said that officials and industry representatives in the US understand the benefits of outsourcing to India. On the matter backlash against IT outsourcing to India Mr Mehta proclaimed “We are talking to US law firms (for consultancy) on a draft approach paper on professional services visa which help in cutting down on time for availing a visa”.
Outsourcing to India is the right decision made by the corporate firms in western countries. One of the major issues about outsourcing business to India was the jobs layoff that the trade unions have been outraging about in the recent past. However it is worth mentioning that at present only 1.5% of the entire BPO business is been sent overseas. The stats are not going to see dramatic changeover in the coming time as well.
On the contrary, outsourcing to India saves the corporate firms in US and Europe huge amount of revenues. When the savings are as high as 70-80% - there is little choice over outsourcing. However the India is making most out of it. There is a tremendous job-creation in the country and people are getting the taste of how the future market is likely to be. Until recently only large corporate firms were outsourcing their business services – in US as well as India. But now even the small players – read medium and small size industries – are also eager to outsource their business. Though going offshore for outsourcing for small players is not easy yet in future the corporate world will witness mega changeover of business services between the countries.
Sunil Mehta, V-P, NASSCOM said that officials and industry representatives in the US understand the benefits of outsourcing to India. On the matter backlash against IT outsourcing to India Mr Mehta proclaimed “We are talking to US law firms (for consultancy) on a draft approach paper on professional services visa which help in cutting down on time for availing a visa”.
Monday, July 21, 2003
Automaker Hindustan Motors into outsourcing services
Indian outsourcing industry is having great moments since a new deal – very frequently – props up to strengthen the already matured market for western firms. Indian Tobacco Companies (ITC) subsidiary ITC Infotech India Ltd announced an outsourcing agreement with PTC Software - the largest product development software company in the world. The joint accord would enable ITC Infotech to avail on-the-ground implementation of PTC's services in India. ITC will open a development wing at its research and operation center in Bangalore.
Outsourcing in India saw another major deal by the arrival automaker Hindustan Motors (HM) opened its plans to start HM Remote Services Division (RMS). This unit of HM will work in the areas of software maintenance and development – and said it was open grab outsourcing services to be offshored to India. This will include processing data, software professional services, consultancy and information deliverance.
WNS Global Service already outsourcing services from India – have declared its plan of WNS Knowledge Services (WNSKS) division for research and analytics services. WNS has operations in Mumbai and Pune in India – thus adding to its present workforce.
Outsourcing to India is growing healthy and strong. More and more companies are establishing within BPO market and new emergence sees no stop. Merging, partnerships, and installations – everything is happening within outsourcing market in India. The growth is rapid and Indian economy is gaining most from it.
Indian outsourcing industry is having great moments since a new deal – very frequently – props up to strengthen the already matured market for western firms. Indian Tobacco Companies (ITC) subsidiary ITC Infotech India Ltd announced an outsourcing agreement with PTC Software - the largest product development software company in the world. The joint accord would enable ITC Infotech to avail on-the-ground implementation of PTC's services in India. ITC will open a development wing at its research and operation center in Bangalore.
Outsourcing in India saw another major deal by the arrival automaker Hindustan Motors (HM) opened its plans to start HM Remote Services Division (RMS). This unit of HM will work in the areas of software maintenance and development – and said it was open grab outsourcing services to be offshored to India. This will include processing data, software professional services, consultancy and information deliverance.
WNS Global Service already outsourcing services from India – have declared its plan of WNS Knowledge Services (WNSKS) division for research and analytics services. WNS has operations in Mumbai and Pune in India – thus adding to its present workforce.
Outsourcing to India is growing healthy and strong. More and more companies are establishing within BPO market and new emergence sees no stop. Merging, partnerships, and installations – everything is happening within outsourcing market in India. The growth is rapid and Indian economy is gaining most from it.
Sunday, July 20, 2003
UK retailer Tesco Plc to outsource operations in India
Tesco Plc has announced an expansion of its services by creating 3,500 new jobs but also said that almost 10% of it would be transferred to India to curb the operational cost. Thus Tesco Plc – largest retailers in Britain - joins the band of companies outsourcing services to India. Company says that by doing so they would cut down some cost while making optimum use of the strong IT infrastructure, telecommunications networking and quality workforce with strong computer skills. Business outsourcing to India by Tesco Plc will be made sometime in 2004.
Toyota Kirloskar Motors Ltd (TKML)—-a joint venture between the Toyota and Kirloskar Group is also planning for outsourcing components from India and has incorporated a separate entity with a separate management team— Toyota Kirloskar Auto Parts (TKAP), at an investment of $5 billion. TKAP, a 100 per cent EOU is set to start commercial production of automobile transmissions by June 2004 which would be supplied to Toyota worldwide.
Outsourcing to India have already soaring up. India is poised to become the largest outsourcing destination in Asia-Pacific by overtaking Australia within a year. Multinational Corporations from all over the world - these include companies’ from Fortune 500 – have recognized this value proposition offered by India and are increasing their outsourcing operations in India.
Tesco Plc has announced an expansion of its services by creating 3,500 new jobs but also said that almost 10% of it would be transferred to India to curb the operational cost. Thus Tesco Plc – largest retailers in Britain - joins the band of companies outsourcing services to India. Company says that by doing so they would cut down some cost while making optimum use of the strong IT infrastructure, telecommunications networking and quality workforce with strong computer skills. Business outsourcing to India by Tesco Plc will be made sometime in 2004.
Toyota Kirloskar Motors Ltd (TKML)—-a joint venture between the Toyota and Kirloskar Group is also planning for outsourcing components from India and has incorporated a separate entity with a separate management team— Toyota Kirloskar Auto Parts (TKAP), at an investment of $5 billion. TKAP, a 100 per cent EOU is set to start commercial production of automobile transmissions by June 2004 which would be supplied to Toyota worldwide.
Outsourcing to India have already soaring up. India is poised to become the largest outsourcing destination in Asia-Pacific by overtaking Australia within a year. Multinational Corporations from all over the world - these include companies’ from Fortune 500 – have recognized this value proposition offered by India and are increasing their outsourcing operations in India.
Friday, July 18, 2003
Asia Pacific – India – Big market for outsourcing
Outsourcing business in India have resulted the economic - almost like never seen before. The Indian National Stock Exchange (NSE) – popular as Nifty few days ago registered its 16-month high closing. The IT Software and Services companies in India have registered a growth of 18.4% amassing revenues of $7.2 billion for 2002-03. The report was issued by NASSCOM today. Although this excluded ITES and BPO services yet Indian outsourcing industry captures most of what is up for stake from the international.
The Business Process Outsourcing for Wipro – Spectramind marked 19% growth over last Q. The outsourcing company is also looking for acquirement of other outsourcing companies in order to expand its operations and add-value to services.
Gartner Inc. – engaged into surveying and consultancy have predicted that India will be the biggest market for the western firms looking to offshore outsourcing services. This move comes with west world’s migration to Asia Pacific in order to decrease operation cost and save themselves from overburdening. The Asia Pacific region represents big potential for the Indian IT companies. The total market for IT services in the Asia Pacific region stood at around $94 billion in 2002, according to the Gartner estimates
Outsourcing business in India have resulted the economic - almost like never seen before. The Indian National Stock Exchange (NSE) – popular as Nifty few days ago registered its 16-month high closing. The IT Software and Services companies in India have registered a growth of 18.4% amassing revenues of $7.2 billion for 2002-03. The report was issued by NASSCOM today. Although this excluded ITES and BPO services yet Indian outsourcing industry captures most of what is up for stake from the international.
The Business Process Outsourcing for Wipro – Spectramind marked 19% growth over last Q. The outsourcing company is also looking for acquirement of other outsourcing companies in order to expand its operations and add-value to services.
Gartner Inc. – engaged into surveying and consultancy have predicted that India will be the biggest market for the western firms looking to offshore outsourcing services. This move comes with west world’s migration to Asia Pacific in order to decrease operation cost and save themselves from overburdening. The Asia Pacific region represents big potential for the Indian IT companies. The total market for IT services in the Asia Pacific region stood at around $94 billion in 2002, according to the Gartner estimates
Thursday, July 17, 2003
Exploring Outsourcing Fundamentals: And The Indian Role!
Outsourcing to India has been the boon for the western corporate firms. Lately - with the trend of globalization, trade had started amongst the countries - laterally. Being introvert was not gaining to anybody. When trade exchanged – resources were explored within each other for the self-benefit. Countries with strong economy were seeking for low-cost production and on the other hand countries on the lower end desired for more jobs for their people.
Although not new – the outsourcing cult got its model shape of late. Companies looking to shelve out business found other companies ready to grab the shelved out business. Thus the outsourcing trend came to been. During the outsourcing hustle-bustle India blossomed maximum. The outsourcing industry in India must be thriving due to some specific reason. No other country matches India - which houses 66% of the entire global offshore outsourcing services business. Primarily India is a developing economy rubbing shoulders with likes of China, Korea, Philippines, Singapore, nations from Latin US and even Africa.
The distinct advantage that India had was already platformed much earlier. Indian emphasis on IT development, youth build-up upon very dynamic and globalized education system and easy opening to international trade paved way for the outsourcing industry here. Outsourcing to India is everybody’s choice. The international trade pundits know well that Indian can provide quality assured services – that too at a very nominal cost.
Outsourcing to India has been the boon for the western corporate firms. Lately - with the trend of globalization, trade had started amongst the countries - laterally. Being introvert was not gaining to anybody. When trade exchanged – resources were explored within each other for the self-benefit. Countries with strong economy were seeking for low-cost production and on the other hand countries on the lower end desired for more jobs for their people.
Although not new – the outsourcing cult got its model shape of late. Companies looking to shelve out business found other companies ready to grab the shelved out business. Thus the outsourcing trend came to been. During the outsourcing hustle-bustle India blossomed maximum. The outsourcing industry in India must be thriving due to some specific reason. No other country matches India - which houses 66% of the entire global offshore outsourcing services business. Primarily India is a developing economy rubbing shoulders with likes of China, Korea, Philippines, Singapore, nations from Latin US and even Africa.
The distinct advantage that India had was already platformed much earlier. Indian emphasis on IT development, youth build-up upon very dynamic and globalized education system and easy opening to international trade paved way for the outsourcing industry here. Outsourcing to India is everybody’s choice. The international trade pundits know well that Indian can provide quality assured services – that too at a very nominal cost.
Wednesday, July 16, 2003
Kanbay opens outsourcing center in India
US based Kanbay International has started their third outsourcing facility center in Pune, India. The move was made to cater its rapidly growing demand for customer care services and solutions as the company is providing Information Technology Enabled Services (ITeS) to its clients primarily from the financial service industry. The new outsourcing facility center would rope in around 550 more professionals (software engineers). Kanbay plans to build up a staff of 3000 people by 2005 from its present strength of approximately 1300 professionals.
The growth of outsourcing to India has lured several corporate firms fro all over the world. Since India accumulate a strong IT infrastructure combined with low labor cost – several companies’ finds the country perfect for outsourcing their services. India’s offshore BPO revenue is expected to mount $13.5 billion by 2007 – according to the surveys from research agency Gartner Inc.
Asia is growing as the major outsourcing hub for its western counterparts. Though outsourcing of manufacturing is mostly bagged by China, India continues to rule the field for outsourcing of services. Outsourcing services to India has – without doubt – paved a concrete road not to be broken for years.
US based Kanbay International has started their third outsourcing facility center in Pune, India. The move was made to cater its rapidly growing demand for customer care services and solutions as the company is providing Information Technology Enabled Services (ITeS) to its clients primarily from the financial service industry. The new outsourcing facility center would rope in around 550 more professionals (software engineers). Kanbay plans to build up a staff of 3000 people by 2005 from its present strength of approximately 1300 professionals.
The growth of outsourcing to India has lured several corporate firms fro all over the world. Since India accumulate a strong IT infrastructure combined with low labor cost – several companies’ finds the country perfect for outsourcing their services. India’s offshore BPO revenue is expected to mount $13.5 billion by 2007 – according to the surveys from research agency Gartner Inc.
Asia is growing as the major outsourcing hub for its western counterparts. Though outsourcing of manufacturing is mostly bagged by China, India continues to rule the field for outsourcing of services. Outsourcing services to India has – without doubt – paved a concrete road not to be broken for years.
Tuesday, July 15, 2003
Outsourcing to India saw another major break when Online Internet service provider AOL of Time Warner Inc. publicized to recruit 400 more people to their Call Center in Bangalore, India. By doing so – the company would strengthen its workforce to almost 2000 people. AOL is already world’s largest Call Center service provider universally.
Numerous US companies – many from Fortune-500 - are outsourcing their business overseas with India as the most favored one. Economy in US have amassed benefits of more than $16 billion from India through various modes – such as outsourcing, taxation, exports and imports. Outsourcing to India thus becomes a favored resource for US. The US businesses have witnessed significant cost savings from offshoring outsourcing to India apart from reaping productivity and quality benefits.
Though there had been numerous hard fighting efforts in US to curb outsourcing to India – the Indian economy have least to worry. Atleast for the time being. National Association of Software and Service Companies (NASSCOM) VP Sunil Mehta has also stepped forward to rescue Indian professionals working for US firms outsourcing to India. As he states on anti-outsourcing Bill introduced in US, "In India everybody knows about this Bill, but nobody in the US knows about it". Several US political parties have asked the government to abolish H1-B visas to Indian Tech professionals. By and large - outsourcing to India doesn’t at all seem to be in deep waters.
Monday, July 14, 2003
Indian cities as major outsourcing destinations: Jones Lang LaSalle
Real estate services and investment management firm - Jones Lang LaSalle conducted a Corporate Real Estate Impact Survey (CREIS) cited Bangalore and India as the major outsourcing destinations in Asia Pacific region for outsourcing. The strength of low cost economical structure attracts outsourcing to India.
Carlyle Group – a US private equity investor is investigation to plan outsourcing in India. The group has set aside $100 million to start up outsourcing operation in India. The company has started WorldZen Holding (in Gurgaon) – a US-based company till today as their outsourcing move to India.
With the job outlook (in the US) grim, outsourcing overseas (mainly in India) is an increasingly thorny issue as per Wall Street Journal. Yet there seems to be no stopping as far companies from US and Europe are rapidly chasing India for their outsourcing operations.
Real estate services and investment management firm - Jones Lang LaSalle conducted a Corporate Real Estate Impact Survey (CREIS) cited Bangalore and India as the major outsourcing destinations in Asia Pacific region for outsourcing. The strength of low cost economical structure attracts outsourcing to India.
Carlyle Group – a US private equity investor is investigation to plan outsourcing in India. The group has set aside $100 million to start up outsourcing operation in India. The company has started WorldZen Holding (in Gurgaon) – a US-based company till today as their outsourcing move to India.
With the job outlook (in the US) grim, outsourcing overseas (mainly in India) is an increasingly thorny issue as per Wall Street Journal. Yet there seems to be no stopping as far companies from US and Europe are rapidly chasing India for their outsourcing operations.
Sunday, July 13, 2003
Indian outsourcing as focal point for investment
Several Indian software services companies have announced plans to offer outsourcing services. They are likely to have a head start over pure-play BPO companies in India, according to Roland Wee, fund manager at ING Investment Management, based in The Hague, Netherlands.
DuPont on Thursday said that it is exploring contract manufacturing and outsourcing of specialty chemicals in India for its global requirements. In an another economical shift, Europe's second largest software services firm LogicaCMG plans to move some of its mobile payments unit operations to Bangalore from Bristol.
Outsourcing to India has seen dramatic turnaround during past couple of years. All the above industrial swings clearly specify that India is leading the outsourcing hub that the Western and European corporate magnate finds Indian outsourcing as there best investment focal point.
Several Indian software services companies have announced plans to offer outsourcing services. They are likely to have a head start over pure-play BPO companies in India, according to Roland Wee, fund manager at ING Investment Management, based in The Hague, Netherlands.
DuPont on Thursday said that it is exploring contract manufacturing and outsourcing of specialty chemicals in India for its global requirements. In an another economical shift, Europe's second largest software services firm LogicaCMG plans to move some of its mobile payments unit operations to Bangalore from Bristol.
Outsourcing to India has seen dramatic turnaround during past couple of years. All the above industrial swings clearly specify that India is leading the outsourcing hub that the Western and European corporate magnate finds Indian outsourcing as there best investment focal point.
Friday, July 11, 2003
Expansion in outsourcing activities: Accounting, Management joins the list
‘Both Indian and Chinese economies are running rapidly. But most companies are going for outsourcing for manufacturing activities to China and outsourcing of services to India.’ The quote came straight from the lips of Oracle chief Larry Ellison. Supporting its statement Oracle has announced to double up its manpower in India – to almost 6,000 people. The company also plans to outsource professional services to India like accounting, inventories and bookkeeping besides software development.
Outsourcing services in India is leveraging. US and the European market see India as one of its prime market. Indian Software giant Infosys also registered increased revenues of nearly 50% for the first quarter ending June. A major part in the progress of Infosys was played by the offshore outsourcing trend - which the west world is delivering to India.
Another major factor that aided the Indian economy was that the several midsize companies are also outsourcing services to the country. Outsourcing of finance, accounting, bookkeeping, record management are starting to catch as well. Several BPO service providers in India are engaged in filtering the accounts of firms based in US. Outsourcing to India is bolstering not only the countries economy but also helping companies (who are outsourcing) huge money. Through outsourcing services to India – companies are easily saving 60%-70%.
‘Both Indian and Chinese economies are running rapidly. But most companies are going for outsourcing for manufacturing activities to China and outsourcing of services to India.’ The quote came straight from the lips of Oracle chief Larry Ellison. Supporting its statement Oracle has announced to double up its manpower in India – to almost 6,000 people. The company also plans to outsource professional services to India like accounting, inventories and bookkeeping besides software development.
Outsourcing services in India is leveraging. US and the European market see India as one of its prime market. Indian Software giant Infosys also registered increased revenues of nearly 50% for the first quarter ending June. A major part in the progress of Infosys was played by the offshore outsourcing trend - which the west world is delivering to India.
Another major factor that aided the Indian economy was that the several midsize companies are also outsourcing services to the country. Outsourcing of finance, accounting, bookkeeping, record management are starting to catch as well. Several BPO service providers in India are engaged in filtering the accounts of firms based in US. Outsourcing to India is bolstering not only the countries economy but also helping companies (who are outsourcing) huge money. Through outsourcing services to India – companies are easily saving 60%-70%.
Thursday, July 10, 2003
BPO provider MPhasis reports 4.1% increase for QI
MPhasis- BFL – the company offering Business Process Outsourcing (BPO) services as well services in the field of Application Integration, Application Lifecycle Management have reported 4.1% (Rs 19.5 crore) increase for the first quarter ending June 2003. MPhasis operates from nine countries and have three outsourcing centers in India viz. Mumbai, Bangalore and Pune. Indian software giants Infosys also confirm 28% profit at the end of first quarter. Infosys bags large offshore outsourcing deals from United States.
Indian outsourcing segment has reported huge profits because of the growing interest from the west. Outsourcing business to India has become a phenomenon in last few years – tactically due to reduced operational cost. Companies emitting business activities overseas (read offshore) sizes 38% - globally and Outsourcing to India will be the highest. India is expected to bag $1.3 billion worth of deals in 2003 through the companies planning to outsourcing overseas.
Most of today's offshore outsourcing opportunity remains at the level of out-tasking a component of a business process, rather than outsourcing an entire business process, and is mostly relegated to Contact Centers and back-office transaction processing. While several major international players like Microsoft, Oracle, GE, are already thriving in the Indian terrains, outsourcing industry in India will loom for unprecedented growth.
MPhasis- BFL – the company offering Business Process Outsourcing (BPO) services as well services in the field of Application Integration, Application Lifecycle Management have reported 4.1% (Rs 19.5 crore) increase for the first quarter ending June 2003. MPhasis operates from nine countries and have three outsourcing centers in India viz. Mumbai, Bangalore and Pune. Indian software giants Infosys also confirm 28% profit at the end of first quarter. Infosys bags large offshore outsourcing deals from United States.
Indian outsourcing segment has reported huge profits because of the growing interest from the west. Outsourcing business to India has become a phenomenon in last few years – tactically due to reduced operational cost. Companies emitting business activities overseas (read offshore) sizes 38% - globally and Outsourcing to India will be the highest. India is expected to bag $1.3 billion worth of deals in 2003 through the companies planning to outsourcing overseas.
Most of today's offshore outsourcing opportunity remains at the level of out-tasking a component of a business process, rather than outsourcing an entire business process, and is mostly relegated to Contact Centers and back-office transaction processing. While several major international players like Microsoft, Oracle, GE, are already thriving in the Indian terrains, outsourcing industry in India will loom for unprecedented growth.
Wednesday, July 09, 2003
India tops Global Outsourcing list: Merrill Lynch
Outsourcing in India will grab 50% of the entire offshore outsourcing business according to the reports. Recent studies by Merrill Lynch on global outsourcing put India on top of the list ahead of Ireland, Israel, Canada, Philippines and South Africa. Companies operating outsourcing to India have shown greater satisfaction through their Indian operation than anywhere else.
It needs to be well understood that without offering quality services – outsourcing in India would not have thrived. India boats high level of Information & Technology Enabled Services (ITES) through strong technical back up. In recent the Indian Government has flexed the norms for Foreign Direct Investments (FDI’s) – thereby opening floodgates for the MNC interested to outsource from India.
India is also navigating opportunities of outsourcing in manufacturing sector like engineering, pharmaceuticals, electrical and electronic items, automobile parts, where a good manufacturing base exists with low-cost operation, but attention has to be paid to quality and international standards to win global customers. At present Outsourcing to India is at its peak and India finds little competition from any other country.
Outsourcing in India will grab 50% of the entire offshore outsourcing business according to the reports. Recent studies by Merrill Lynch on global outsourcing put India on top of the list ahead of Ireland, Israel, Canada, Philippines and South Africa. Companies operating outsourcing to India have shown greater satisfaction through their Indian operation than anywhere else.
It needs to be well understood that without offering quality services – outsourcing in India would not have thrived. India boats high level of Information & Technology Enabled Services (ITES) through strong technical back up. In recent the Indian Government has flexed the norms for Foreign Direct Investments (FDI’s) – thereby opening floodgates for the MNC interested to outsource from India.
India is also navigating opportunities of outsourcing in manufacturing sector like engineering, pharmaceuticals, electrical and electronic items, automobile parts, where a good manufacturing base exists with low-cost operation, but attention has to be paid to quality and international standards to win global customers. At present Outsourcing to India is at its peak and India finds little competition from any other country.
Tuesday, July 08, 2003
US save $16.8 billion outsourcing to India
Outsourcing to India yielded the US economy close to $16.8 billion in year ended 2002, reports from NASSCOM revealed. While $10-$11 billion dollars were accumulated through outsourcing back-up services to India along the exports from United States to India ranging almost $3 billion. Rest was the collections made through taxes and interests paid by the Indians working in the US territory.
The major contribution undoubtedly came through outsourcing to India, though. The ever-rising interest by the US firms – despite the stiff remonstration – to outsource business activities through India have not only saved the economy massively but also provided tremendous job opportunities in India. And while the process of outsourcing to India is still in rapid progression, US government seems eager to pile up more savings.
Outsourcing - especially through offshore - is becoming a practical key not only to save revenues but also to decrease the work pressure that arises out of minor business activities. US and Europe has rightly found the way out of it by outsourcing to India. Though there are no estimates of the saving made by Europe by outsourcing to India but companies like Prudential, British Airways and others have surely brought immense profits to the European economy as well.
Outsourcing to India yielded the US economy close to $16.8 billion in year ended 2002, reports from NASSCOM revealed. While $10-$11 billion dollars were accumulated through outsourcing back-up services to India along the exports from United States to India ranging almost $3 billion. Rest was the collections made through taxes and interests paid by the Indians working in the US territory.
The major contribution undoubtedly came through outsourcing to India, though. The ever-rising interest by the US firms – despite the stiff remonstration – to outsource business activities through India have not only saved the economy massively but also provided tremendous job opportunities in India. And while the process of outsourcing to India is still in rapid progression, US government seems eager to pile up more savings.
Outsourcing - especially through offshore - is becoming a practical key not only to save revenues but also to decrease the work pressure that arises out of minor business activities. US and Europe has rightly found the way out of it by outsourcing to India. Though there are no estimates of the saving made by Europe by outsourcing to India but companies like Prudential, British Airways and others have surely brought immense profits to the European economy as well.
Monday, July 07, 2003
Outsourcing Deals To India Inevitable: Experts
Outsourcing industry in India had posted a tremendous growth recently(read - almost 60%). Recent figures released by Gartner Group shows that the growth in the Indian outsourcing industry is poised at $1.8 billion as compared to $1.3 billion last year. Indian dominance in the offshore outsourcing business at 66% is far ahead than its closest rivals.
Alongside its software industry - worth $1.2 billion in 2002 - India is the largest global outsourcer so far and still growing. The major debacle of outsourcing to India – as posed by the countries affected by the mass exodus of the BPO accounts to India – is the quality. Here it may be noticed that India has second largest English speaking population - next only to US. The education system in the Indian schools gives huge emphasis to English – especially in the public schools. Though the quality may not be as good as those from Britain, US, Australia – countries most affected in the situation – yet the students\professionals from the metros in India ensures the quality results. The tremendous migration of outsourcing to India is not possible if the quality is not guaranteed.
Industry experts said more offshore outsourcing deals to India are certain as companies push to reduce costs, in response to tighter profit margins.
Outsourcing industry in India had posted a tremendous growth recently(read - almost 60%). Recent figures released by Gartner Group shows that the growth in the Indian outsourcing industry is poised at $1.8 billion as compared to $1.3 billion last year. Indian dominance in the offshore outsourcing business at 66% is far ahead than its closest rivals.
Alongside its software industry - worth $1.2 billion in 2002 - India is the largest global outsourcer so far and still growing. The major debacle of outsourcing to India – as posed by the countries affected by the mass exodus of the BPO accounts to India – is the quality. Here it may be noticed that India has second largest English speaking population - next only to US. The education system in the Indian schools gives huge emphasis to English – especially in the public schools. Though the quality may not be as good as those from Britain, US, Australia – countries most affected in the situation – yet the students\professionals from the metros in India ensures the quality results. The tremendous migration of outsourcing to India is not possible if the quality is not guaranteed.
Industry experts said more offshore outsourcing deals to India are certain as companies push to reduce costs, in response to tighter profit margins.
Saturday, July 05, 2003
India Continues To Be Outsourcing Giant
India holds a competitive edge over other nations in the outsourcing business. The decade-old experience of Indian businessmen in this area, the ability of many people to speak fluent English, supportive policy of the government, the presence of adequate infrastructure and the ability to provide high quality services have all helped to keep India high on the global clients' list.
The concept of outsourcing business that mainly started through the IT industry slowly spread to all forms of business. Companies felt a need to marginalize their priorities. By loosing time on activities like bookkeeping, accounts, inventories etc., they lost time to emphasize strategies and discuss future policies. Thus outsourcing part of their business activities was one way out of it. Since India was able to offer outsourcing services at a very low cost with high proficiency - it became the favored destinations by the US corporate firms.
Today India is holding a major stake in the $275 billion outsourcing industry. Despite of US protest, New Jersey Bill and outcry – like that of the employees of British Airways there seems little concern in India’s growth as the outsourcing agent. The offshore BPO, Call Center industry is surrounded around India – undoubtedly.
India holds a competitive edge over other nations in the outsourcing business. The decade-old experience of Indian businessmen in this area, the ability of many people to speak fluent English, supportive policy of the government, the presence of adequate infrastructure and the ability to provide high quality services have all helped to keep India high on the global clients' list.
The concept of outsourcing business that mainly started through the IT industry slowly spread to all forms of business. Companies felt a need to marginalize their priorities. By loosing time on activities like bookkeeping, accounts, inventories etc., they lost time to emphasize strategies and discuss future policies. Thus outsourcing part of their business activities was one way out of it. Since India was able to offer outsourcing services at a very low cost with high proficiency - it became the favored destinations by the US corporate firms.
Today India is holding a major stake in the $275 billion outsourcing industry. Despite of US protest, New Jersey Bill and outcry – like that of the employees of British Airways there seems little concern in India’s growth as the outsourcing agent. The offshore BPO, Call Center industry is surrounded around India – undoubtedly.
Friday, July 04, 2003
Advantage To Outsource To India
It comes to the mind of many entrepreneurs in US and Europe as to why outsource their business to India. India – undoubtedly – is a country with rich talent resource. The young generation in India is technically efficient to cater the demands and requirements of their clients in US and Europe.
National Association of Software and Services Companies (NASSCOM) in India have set the table for a very bright outsourcing business industry in India. The Government and NASSCOM have framed certain regulatory policies in this regard. Also, in a parallel move, there is an effort to get the American companies that benefit from outsourcing to speak up for the Indian cause. With job losses becoming a sensitive issue, not many want to publicly adopt the benefits of outsourcing, “but they can definitely do some back-room lobbying”, according to one industry source.
There are various advantages that make India as the perfect hub to outsource business. India has abundance of well using youth. The growing demand in the Business Process Outsourcing (BPO) sector provides them with an opportunity to work for Multinational Companies at a comparatively lower cost. Which in the Indian standards is well to do. It becomes beneficial to outsource business to India if you are able to almost 80% savings by doing so.
It comes to the mind of many entrepreneurs in US and Europe as to why outsource their business to India. India – undoubtedly – is a country with rich talent resource. The young generation in India is technically efficient to cater the demands and requirements of their clients in US and Europe.
National Association of Software and Services Companies (NASSCOM) in India have set the table for a very bright outsourcing business industry in India. The Government and NASSCOM have framed certain regulatory policies in this regard. Also, in a parallel move, there is an effort to get the American companies that benefit from outsourcing to speak up for the Indian cause. With job losses becoming a sensitive issue, not many want to publicly adopt the benefits of outsourcing, “but they can definitely do some back-room lobbying”, according to one industry source.
There are various advantages that make India as the perfect hub to outsource business. India has abundance of well using youth. The growing demand in the Business Process Outsourcing (BPO) sector provides them with an opportunity to work for Multinational Companies at a comparatively lower cost. Which in the Indian standards is well to do. It becomes beneficial to outsource business to India if you are able to almost 80% savings by doing so.
Thursday, July 03, 2003
Outsourcing Buzz in India
An Indian delegate from the corporate sector affirmed of the positive response from the British Government of ‘outsourcing to India’. According to Tarun Das DG of Confederation of Indian Industries (CII) Britain sees great savings to outsource business to India. Michael O' Brien, the British Minister of State for Trade in an earlier conference had stated that UK companies realize the benefits of outsourcing from India, which, he said, had become the preferred global hub for software development and Business Process Outsourcing (BPO).
Although, the long downturn in the US economy has added to the job losses and also dampen the standard of living in the US, blaming Indian technology workers and outsourcing from India for their misery is totally not correct. From the US point of interest the savings from outsourcing IT jobs to India is estimated at around $10-11 billion during the current financial year, according to NASSCOM. Total revenue saved in this context figures to $16-$17 billion per year.
Outsourcing to India is undoubtedly beneficial to US and Europe corporate sector. The operational cost comes down to almost half. Because of its low-cost resources and strong elementary set-up Outsourcing in India is flourishing giving a tremendous opportunity to make money, whether it’s the employees, the outsourcing player, the clients or the customers as well.
An Indian delegate from the corporate sector affirmed of the positive response from the British Government of ‘outsourcing to India’. According to Tarun Das DG of Confederation of Indian Industries (CII) Britain sees great savings to outsource business to India. Michael O' Brien, the British Minister of State for Trade in an earlier conference had stated that UK companies realize the benefits of outsourcing from India, which, he said, had become the preferred global hub for software development and Business Process Outsourcing (BPO).
Although, the long downturn in the US economy has added to the job losses and also dampen the standard of living in the US, blaming Indian technology workers and outsourcing from India for their misery is totally not correct. From the US point of interest the savings from outsourcing IT jobs to India is estimated at around $10-11 billion during the current financial year, according to NASSCOM. Total revenue saved in this context figures to $16-$17 billion per year.
Outsourcing to India is undoubtedly beneficial to US and Europe corporate sector. The operational cost comes down to almost half. Because of its low-cost resources and strong elementary set-up Outsourcing in India is flourishing giving a tremendous opportunity to make money, whether it’s the employees, the outsourcing player, the clients or the customers as well.
Wednesday, July 02, 2003
Outsource to India. Why?
In the expanding era of outsourcing to India amongst the corporate firms world-over, Microsoft Inc. is the newest in the block. The Software Colossal after testing its BPO operations in India in April looks set to join Amazon, Dell and other major player of the same trade as the business outsourcer to India.
In a recent move, state Government of Andhra Pradesh state in India has signed a MoU with the Governments of Thailand and Canada to show interest in offering outsourcing services industry. This moves comes as Indian Outsourcing Industry soars to attract more outsource business to India.
Outsourcing in India is expected to reach $142 billion mark by 2009. Reports say that US firms have saved $6 billion in last four years via outsourcing to India. The growing propensity in India to outsource is only due to privileges that the country offers to the corporate firms. In the books for business ethics, it is very congenial to reap profits by saving the operational cost, whichever way possible. Outsourcing to India is just another way to do it.
In the expanding era of outsourcing to India amongst the corporate firms world-over, Microsoft Inc. is the newest in the block. The Software Colossal after testing its BPO operations in India in April looks set to join Amazon, Dell and other major player of the same trade as the business outsourcer to India.
In a recent move, state Government of Andhra Pradesh state in India has signed a MoU with the Governments of Thailand and Canada to show interest in offering outsourcing services industry. This moves comes as Indian Outsourcing Industry soars to attract more outsource business to India.
Outsourcing in India is expected to reach $142 billion mark by 2009. Reports say that US firms have saved $6 billion in last four years via outsourcing to India. The growing propensity in India to outsource is only due to privileges that the country offers to the corporate firms. In the books for business ethics, it is very congenial to reap profits by saving the operational cost, whichever way possible. Outsourcing to India is just another way to do it.
Tuesday, July 01, 2003
Indian Impetus in Outsourcing Business
Michael O’Brien, British Minster of state for Trade today said, “British companies realize the benefits of outsourcing from India , which has become the preferred global hub for software development and business process outsourcing (BPO)”. Indian recent intrusion into outsourcing business for international firms have comes as boon not just only to India but also to the companies looking to outsource business.
Outsourcing to India is definitely very cheap. It reduces to the operational cost to almost 80% for the corporate firms in US or Europe. Manpower in India is technically efficient and makes best resource for such work. There is a very strong economic imperative that is fuelling the growth of the Outsourcing industry in India in terms of economic rationale wherein, profits are going higher and higher.
Offshore Outsourcing in India is a rapidly growing industry. Pioneered by the likes of GE Capital and Amex (through in-house, captive call centers); the industry has witnessed explosive growth in the last 2-3 years. As the IT services/ software industry growth has slowed, Outsourcing have emerged as strong employers, absorbing large number of fresher as well as experienced people in the country.
Michael O’Brien, British Minster of state for Trade today said, “British companies realize the benefits of outsourcing from India , which has become the preferred global hub for software development and business process outsourcing (BPO)”. Indian recent intrusion into outsourcing business for international firms have comes as boon not just only to India but also to the companies looking to outsource business.
Outsourcing to India is definitely very cheap. It reduces to the operational cost to almost 80% for the corporate firms in US or Europe. Manpower in India is technically efficient and makes best resource for such work. There is a very strong economic imperative that is fuelling the growth of the Outsourcing industry in India in terms of economic rationale wherein, profits are going higher and higher.
Offshore Outsourcing in India is a rapidly growing industry. Pioneered by the likes of GE Capital and Amex (through in-house, captive call centers); the industry has witnessed explosive growth in the last 2-3 years. As the IT services/ software industry growth has slowed, Outsourcing have emerged as strong employers, absorbing large number of fresher as well as experienced people in the country.
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