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IT | "Outsourcing in India: Emerging Trends & Challenges with Reference to Global Perspective"

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Outsourcing in India: Emerging Trends & Challenges
with Reference to Global Perspective

- by Sheeba Rehman *

Previous

Page - 9

2. Dynamic Challenges

  • Management challenges

  • Cultural / language communication risks

  • Security risks


  • Legal concerns

  • Time zone challenges

  • Knowledge transfer challenges

  • Legal issues

  • 3. Outsourcing In-house Problems

  • Sign up for projects without enough preparation

  • Striking big deals for the wrong reasons

  • Lack of legal and regulatory expertise

  • Inappropriate recruitment

  • Shortage of technical expertise

  • Up-front investment

  • US Concerns: There are some anti-outsourcing trends booming in US, but the US Chamber of Commerce (USCC) has evidently come out sturdily in favor of outsourcing as it considers it good for the US economy, and it has reportedly decided to fight legislative moves against outsourcing of jobs to countries where jobs are being outsourced.

    Outsourcing Trends

    Outsourcing, going to be more and more of a mainstream phenomenon, is now a business essential. The next wave in globalization is focused on the transplantation of entire IT departments offshore. Recent trends suggest that the outsourcing market will continue to grow. Contracts are awarded incessantly and study indicates that companies are expanding the range of IT services they outsource.

    Recent Trends

  • Offshore outsourcing is increasingly being accomplished as global sourcing or global delivery.

  • Cannibalization of work: Earlier work was outsourced to a supplier who stayed at home, but today outsourcing is more prevalent.

  • Next


    * Contributed by: -
    Sheeba Rehman,
    Sr. Lecturer - Management,
    IMS, Noida.
    Article posted on November 2, 2008.


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