Friday, February 5, 2010

What next? - IT outsourcing industry.

We have seen some interesting differentiators used in winning outsourcing deals in the last decade:

Technology based
1. Communication/Connectivity technologies
2. Internet technologies
3. Emerging technologies????

Event based
1. Y2K
2. Dot.Com

People-based
1. # of graduates (engineers)
2. Talent pool

Business/Economic based
1. Manufacturing -> Services

Quality based
1. Quality certifications leading to claims on Industrialized/factory model for delivery

Cost based
1. Labor arbitrages
2. Factor costs based on countries

Risk based
1. Shift and degree of accountability and ownership changes

What is the next dominating set of factors that could (re)shape the IT outsourcing industry?
- Politics (Regulation, taxation of outsourcing industry, and other trade impediments)
- Economics (Inflation, Exchange rates,....)
- Social structures (Free agents as opposed to employees of organization, ???)
-????

3 comments:

  1. Sure rise of entrepreneurship in IT industry in India
    Sudden shift to new products emerging from India
    Tipping point I think is 2012-2013
    By 2015 -2020 India rising despite all the problems in IT products delivering better services - I can feel it in the air!

    US going down in a big way - next three years!

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  2. Srinivasa C (seeni18@hotmail.com)August 7, 2010 at 2:21 AM

    I think it's cloud computing which is going to be the next big thing in IT, which could have direct impact on out sourcing as a whole!

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  3. I wanted to thank you for this great read!!I appreciate this kind of information IT Outsourcing Services industry.

    ReplyDelete