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ARTICLE: “Outsourcing Works So Well, India Is Sending Jobs Abroad,” by Anand Giridharadas, New York Times, 25 September 2007, p. A1.
This out-outsourcing phenomenon is less about finding the necessary bodies in India (although, yes Virginia, there is such a thing as rising wages in India) than it is about these Indian companies ambition to go global.
The quote from Ashok Vemuri, SVP from Infosys:
… the future of outsourcing is “to take the work from any part of the world and do it in any part of the world.”
Sounds like he’s read the bible of Sam Palmisano, IBM’s CEO.
So new back-back offices in Brazil, Chile, Uruguay, Guadalajara, the Czech Republic, Thailand and cheap-labor areas in the U.S. and China. Hell, Americans are brought into India to boost the company’s diversity program!
Nice.
The killer connectivity dynamic:
Infosys says its outsourcing experience in India has taught it to carve up a project, apportion each slice to suitable workers, double-check quality and then export a final, reassembled product to clients. The company argues it can clone its Indian back offices in other nations and groom Chinese, Mexican or Czech employees to be more productive than local outsourcing companies could make them.
“We have pioneered this movement of work,” Mr. [S.] Gopalakrishnan [CEO] said. “These new countries don’t have experience and maturity in doing that, and that’s what we’re taking to these countries.”
Experience, maturity, connectivity . . . India really arrives with this sort of stuff: not just taking in work but spreading work.
Very impressive and very powerful, and indicative of what I’ve argued consistently since
Blueprint for Action: the New Core sets the new rules. Or as I like to say now, “The last in, the next begins.” The most recent globalizers are the countries and economies that will drive its next-stage expansion.
India will be huge in this regard, along with China. This article describes serious frontier-integration activity. You just gotta see how many frontiers are actually out there. Infosys’s training is described by Americans who’ve taken it as “the equivalent of a bachelor’s in computer science in six months.”
Extending nets, outsourcing to the bottom of the pyramid--wherever it is found--and exporting education . . . again, there is very powerful stuff to be located within the New Core's rise.
You either access this phenomenon or you get left behind.
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