OUTSOURCING HASN'T HIT ITS PEAK

Source: Businessweek

An excerpt of an interview with Mr. Lakshmi Narayanan, CEO Cognizant Technology Solutions. To be brief Lakshmi, had been part of the founding team of Cognizant, he has been with the company in its mega growth phase. When recently awarded the “Entrepreneur of the Year” award by The Economic Times, a leading business daily, the jury had this to say: “… On parameters like profitability, brand equity outside India, turnover, number of jobs created and governance, Cognizant and its founders are clearly the best of the lot.”

Being simple and down to earth by his form and nature, this 53 year old, not out young man talks about outsourcing and its current form, adds “Outsourcing is still in its amateur stages”.
Outsourcing started as a way for companies to realize the benefits of lower costs. Later, they realized they could improve the quality of much of their work by taking advantage of excellent workforces. It can take six months to assemble a team in the U.S. We can have a problem solved in six months. He adds the pie of the outsourced value is just $20 billion a year, where the real potential is $200 billion.

“When it comes to areas such as innovation and development, the U.S. still is unchallenged. As other countries develop, the demand for higher-end U.S. services will grow. The U.S. needs to make sure its workforce is trained to meet that demand.”

My Take: Valuable point to think. I always dream of a day for India, where Technology, Innovation takes precedence over the mundane Process and Quality followed in the Industry. (I might not carry with me wealth of experience with the industry, excuse me if I am against any your views or facts.) When there’s innovation embedded in our products and offerings, why should we after all care for the western guys shouting against outsourcing? Our products and technology would talk for itself as in every industry. On the lighter, it took me an hour to publish this post. Hats off to the terrific service provided by my ISP.

Category:Outsourcing