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11/11/2011
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Indian Outsourcing Model 'Over,' Says HCL Exec

Offshore player builds out U.S. presence and plans to hire more domestic talent to support customers' strategic IT engagements.

Offshore outsourcing, where U.S. companies farm out tech work to low-cost countries like India, will wane as routine data center functions become automated and businesses start to employ IT for more strategic purposes--like building new sales channels--and seek service providers that can help them along that path, according to a senior industry exec.

"You can look at the early signs that the Indian IT model is over," said Krishnan Chatterjee, head of global strategy and marketing at HCL Technologies, during an interview last week. "The question that customers are now asking is, 'Are you willing to blend multiple services into an integrated offering, so we can talk as business partners, rather than you giving me 10 bodies who will churn out x lines of code at the cheapest rate."

What's driving the change is that new technologies like virtualization, cloud computing, and smart analytics are automating many routine IT tasks--such as network provisioning and monitoring--that have often been offshored. That means companies can use more of their technology budgets for strategic projects that can drive growth through new products and services. They need IT service providers who can keep up.

[There is a lot of debate on the future of outsourcing. Read Occupy Wall Street A Threat To Outsourcing?]

A deal that HCL announced last week illustrates the type of higher level engagements the company is seeking. U.S.-based healthcare payer United Health Group said it would use proprietary software tools developed by HCL to support its adoption of new disease classification codes, known as ICD-10, which go into effect in 2013.

"Customers are asking, 'Do you have the competence to leverage technology on behalf of my business, as opposed to just recruitment and workforce management," said Chatterjee.

Many of these engagements--such as building a digital supply chain to support an e-commerce initiative--require onsite specialists with skills in project management and architectural design. "The more we move up the value chain, the more of our traditional services business we start killing. But that's okay because we're going to add value in new ways," said Chatterjee.

To meet demand for onshore services, HCL is building out its presence in the U.S. Company officials said about 8,000 of the their 83,000 employees are now in the United States, and that number will grow.

Ultimately, it wants more than 12% of its employees to be based in the U.S. or Europe by 2015. About 40% of HCL's current U.S.-based workers are Americans or green card holders; the rest are on H-1B and other temporary visas. Officials say they also want a larger percentage of their U.S.-based workers to be citizens or permanent residents.

In September, HCL announced the opening of a development center in Redmond, Wash., where it plans to hire about 400 local workers over the next two years. HCL's Collaborative Engineering Hub will provide development services for Microsoft. The company has also built out development centers for anchor customers in Rochester, N.Y. and in Raleigh, N.C.

While higher labor costs will mean that HCL will ultimately have to charge more for services provided in the U.S., Chatterjee said customers will be willing to pay more if those services aren't just about "keeping the lights on," but help deliver an advantage over competitors. "When differentiation comes into play, the conversation is no longer about who is cheapest and who has the most bodies," he said.

HCL's strategy isn't without risk. It's possible that many U.S.-based customers will turn to American services providers like IBM or Accenture to perform onsite work. A significant advantage held by the domestic players is that they already have large teams of experts in place in key areas like cloud and mobility.

Chatterjee conceded that it could be tough for HCL to find individuals with the skills it needs. "Finding talent can be very difficult," he said, "but we are actively working with universities so that we get people that have the necessary skills and capabilities."

The institutions HCL is working with include Virginia Tech, Seattle University, Oregon State University, and University of California, Irvine.

HCL's strategy of focusing on higher value work more than some of its Indian peers appears to be paying off. In its most recent quarter, net income spiked 49% year over year, while quarterly revenues surpassed the $1 billion mark for the first time. To continue that growth, it will need to convince customers that require onshore services that it's coming to America to stay.

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2/11/2014 | 12:47:35 AM
re: Indian Outsourcing Model 'Over,' Says HCL Exec
.............
Wakjob2
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Wakjob2,
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11/20/2011 | 7:27:05 AM
re: Indian Outsourcing Model 'Over,' Says HCL Exec
Every immigration wave to the U.S. since 1900 has led to recession or depression. The late 1998-2000 wave was the biggest in U.S. history - bigger than the one from 1906-1920. Historical facts do not lie. Here is the history of immigration and recession to America since 1900:

1906-1920 - Huge wave from Europe - Great Depression in 1929.

1965 - Ted Kennedy's Immigration Reform Act - Big recession 1973-1981

1990 - H-1B started - recession 1991-1993

Oct. 1998 - H-1B caps raised form 65,000 to 115,000 per year - collapse in 2001.

Apri 2000 - H-1B caps raised from 115,000 per year to 195,000 per year - collapse in 2008.

The fake "recovery" in the mid 2000's was no recovery - just cheap Fed credit making up for Americans losing their jobs.

America was built by Americans. Every buildup leads to immigrant takers who come in when times are good, strip the economy, then leave when times are bad - as they are now.

84% of the current U.S. population was born here. Do you seriously expect us to believe that 84% of the natives live off the work of the other 16% immigrants? Come on, stop being either a liar or delusional. Immigration is a disaster for America.

China and India don't have open borders. Did I mention they are booming.

Free Trade caused WW2 - America in the 1920s sold its scrap steel to Japan and England's Rolls Royce sold aircraft engines and factories to Hitler. We all know how that turned out.
Wakjob2
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Wakjob2,
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11/20/2011 | 7:25:46 AM
re: Indian Outsourcing Model 'Over,' Says HCL Exec
Some simple facts about highly-skilled workers from the 3rd world. This is not opinion. These are facts.

- The H-1B guest worker visa program was started in 1990 with an annual cap of 65,000 visas.

- The L-1 visa program was started in the 1970s and was designed for intracompany transfers only. It has since been abused to bring in foreign nationals for services companies and then place them at their clients - which is illegal.

- From 1978 to 1998 - including the 90's boom - the demographic in the IT industry was 98% white American males. The U.S. economy was booming in 1998.

- In late 1998, India (and the rest of the world) sat up and took notice of the huge amount of wealth America's tech workers were generating. India decided they wanted to take over what Americans had created and get the $ for themselves. But how? Answer: Public Relations of course! So India's IT lobby, NASSCOM, hired D.C. PR/lobbying firm Hill & Knowlton to plant fake "worker shortage" stories in the U.S. media in 1998. While most Americans were busy enjoying the fruits of their labors, India was plotting how to invade and take over America. This barrage of news alleging a worker shortage story was the vehicle by which India, Inc. convinced America to permit the next step:

- In late 1998 and early 2000, the H-1B visa caps were raised from 65,000 a year to 115,000 per year and 195,00 per year, respectively. Then-president Bill Clinton - not George Bush - signed the increases. Tech workers from India didn't begin arriving in the U.S. in large numbers until late 1998. How could they have created the 90's tech boom when they weren't even here? The tech boom was created by Americans. Now that Americans have been driven out by the imported workers, the Silicon Valley and U.S. economies are a disaster.

- As a result of the 1998 & 2000 increases, 1.1 million foreign guest workers came into the U.S. from October 1998 to October 2003. According to the U.S. Dept. of Labor, 90% of those H-1B visas went to people from India. These people promptly took over America's tech jobs and drove Americans out of them.

- A unknown number more came in during the same time period on the L-1 intracompany transfer visa, which has been heavily abused by Indian outsourcing companies such as Wipro, InfoSys, and Tata. The number of L-1s who came in from 1998-2003 is at least 1 million, maybe 2 million.

- There is no yearly cap on L-1 visas.

- The H-1B visa cap reverted back to 65,000 per year in Oct. 2003. Despite this, over a million foreign guest workers continue to come into the U.S. every single year - even during periods of record unemployment, such as today.

- The U.S. economy went from booming to collapse the same year of the 2nd H-1B increase - proof that the foreign guest workers did not perform as promised.

- In fact, the U.S. economy has been in decline since 2000 or 2001. The government tried to offset the decline by making huge amounts of cheap credit available to make up for lost jobs and lower wages caused by the flood of cheap labor from the developing world. The credit ran out in 2008 and the real economy now is the result.

- There has been no real economic growth in the U.S. since the 2000-2001 collapse.

- Since the millions of guest workers arrived in 1998 and 2000, 14-16 million white collar American jobs have been destroyed. Approximately 1-2 million of those have been offshored - the rest have been destroyed. Promises by guest workers to help the U.S. economy in 1998 have never materialized. The opposite has happened.

- Despite common myths, there is no legal requirement in the H-1B laws which requires an employer to look for and hire an American worker instead of a foreign worker.

- Protections for American workers are provided in Federal law under Title 8, Section 1182, which defines who is an inadmissible alien, but those laws are being ignored and are not enforced.

- Most H-1Bs that enter the U.S. from developing countries such as India and China are not skilled as claimed - they are being trained by Americans when they get here - which makes both the applicant and hiring company guilty of fraud, which is a felony.

- American companies are using the H-1B and other work visa programs as a way to displace and bypass American workers in favor of cheaper foreign labor.

- Most foreign imported workers who come to the U.S. to work on work visas make less than their American counterparts. Companies love imported workers because companies think they increase profits by cutting costs. Cost-cutting is a sign of a company in trouble. In reality, long-term cheaper foreign workers harm American profits because long-term increased profits rely on innovation, not lower costs - and countries like India and China have terrible track records in innovation.

- Due to historical and ideological factors, most of the foreign workers we are brining to the U.S. are deliberately keeping skilled Americans out of the workforce by denying them jobs. The foreign workers claim Americans are too stupid, but Americans created the IT industry. The real reason Americans are being kept out of the workforce is because of racism, hypernationalism, communists in corporations who hate capitalism and hate America, and because of historical resentments by the guest workers themselves. Britain invaded and colonized India 150 years ago. Indians think the evil white man stole all their wealth. Hence Indians think they are entitled to break the law and deny jobs to Americans. It's payback time. Britain colonized China by taking control of Hong Kong from 1898 to 1997. The Opium Wars enslaved China and weakened it. Hence most Chinese resent hate white people. The Chinese are also deeply jealous that the U.S. has far surpassed them in just 250 years and China has been around for 6000 years.

- Both China and India resent America because both countries are communist or socialist and hence the U.S. would not trade with them for 50 years - from the end of World War 2 until globalization began in 1997. Most Chinese and Indians believe that they were kept out of the world economy by America and hence they want to do the same to us. Mexicans hate Americans because NAFTA disrupted the local Mexican economy when it was flooded with American goods by greedy American executives who wanted to find new consumers to sell to.

- Foreign guest workers are conducting a systematic campaign of ethnic cleansing - cleansing Americans from jobs in their own country. The reasons why are covered above.

- China is all about "saving face". America's success makes China look bad. The Chinese are jealous of us. Many imported guest workers from China will deny jobs to brilliant Americans simply because they are Americans - even to the point of making companies fail by staffing them with incompetent foreign guest workers who can't do the jobs. Can't hire Americans you know - that increases the prestige of Americans and decreases the prestige of Chinese. What do they care what they do to Americans? As long as the can fake it long enough to grift out VC-funded companies and send the money home, it's ok - after all, the evil white man oppressed China and hence China is entitled to America's money - even without performing as advertised. The cleanout of American VC-funded tech companies by fraudulent foreign workers is one of the prime causes of both the "credit crisis" (money going overseas when foreign workers send their paychecks home), and high unemployment (foreign workers not doing the jobs, and cusing companies to fail, thus reducing the number of jobs in the economy). It's not just how many people are working that matters, it's who is working. Workers from developing countries not only want our money, they want to see our economy fail - after all, that lowers U.S. prestige in the world and makes the other countries who can't compete look relatively better. If you can't beat your competition, just attack them instead, take their money, but collapse all their companies while you are at it.

- The U.S. currently exports $45 billion a year in wages to India alone and over $70 bllion a year to Mexico. Wonder where the capital in our banks is going? It's not being used to create jobs in America or being spent into the American economy - it's being shipped overseas by guest workers here.

- India wants to be known as the IT capital of the world - despite the fact that India is incapable of creating it own operating system. Name one software application that comes from India. Name one Indian software company anyone has heard of - not services companies like Wipro, Tata, etc - Indian companies that actually produce software they sell - none exist.

- More software comes from Scandanavia than from India.

- The average Indian IQ is 81. The average American IQ is 98. The average Japanese IQ is 107. The average German IQ is 100. Why aren't we importing a million workers a year from Japan and Germany? Why only from 3rd world countries? Answer: people from 3rd world countries are not the best and the brightest - they are the opposite - we are importing them for International Socialism - so that they can enjoy the fruits of the labor of productive countries like the U.S.

- Name one new industry or invention to come out of India or China in 250 years. Auto industry - America. TV & radio industries - America. Aerospace industries - America. Light bulbs, integrated circuits, computers, the internet, software - all of it comes from America, invented and created by Americans. Modern manufacturing, assembly line process - American. Now name one new industry or invention to come from India or China in 250 years - there are none. America doesn't need these workers.

Foreign-born founders and their contributions to America

- There has been much talk recently of the contributions of foreign-born founders to America. While it is true that there are some few rare exceptions, the reality is the vast majority of immigrants are here to take from us and send money home - as well as to acquire skills from Americans so they can be more like us.

- A few immigrants have made contributions to America - many of them from Europe. Many of them over 40 years ago. Einstein and von Braun come to mind. A few others more recently from non-European countries - Vinhod Kosla at Sun, the creator of Hotmail, or Amit Singh. But again, they are the rare exceptions, not the rule. The fact is, a decade of importing millions of foreign workers is not making the U.S. economy grow - it was growing in the 90's - before they got here, not now.

- For every one outstanding immigrant who does contribute, we are bringing in at least 10,000 destructive ones who are only here for our money and jobs. - immigrants who take and destroy as our economy is now proving.

- Let's talk companies and who founded them. As a rationale for why immigrants need to come help America, the immigrants themselves have been telling lies about who founded what companies. Let's set the record straight.

- Intel - Intel was not founded by immigrants. It was founded by 2 Americans - Robert Noyce and Gordon Moore (of Moore's Law fame).

- Yahoo! - Yahoo! was founded by one American - David Filo - and one immigrant - Jerry Yang. But Yang came to the U.S. at age 6 from Taiwan - a developed country. He was raised here and went to school here. He's more American than immigrant.

- Google - Google was founded by one American - Larry Page - and one immigrant - Sergei Brin. But Brin came from Russia, not India or China - and he came here at age 3 and grew up here and was educated here. He's more American than immigrant.

- Microsoft - Founded by two Americans - Bill Gates and Paul Allen.

- Apple - Founded by two Americans - Steve Jobs and Steve Wozniak. Apple is booming today. Why? Apple CLOSED its R&D in India in 2006 and hires mostly Americans for all of its software development. 0% of Apple's software development is done offshore.

- Sun - Founded by 2 Americans, 1 German, and 1 Indian. Sun's CEO for the 1st 25 years was Scott McNeally - an American. Sun's operating system was architected by another American co-founder - Bill Joy. In 2001 Sun was taken over by legions of foreign guest workers from India and China - and Sun is now losing $150 million a quarter and is being sold off to Oracle to avoid the embarrassment of closing its doors with foreign guest workers running it.

Now let's go down the list of companies damaged or destroyed by foreign imported labor since 1998:

PeopleSoft - Taken over by imported Indian workers in 2000 - had to be sold off to Oracle to avoid embarrassment of closing.

Sun Micro - Dying. See above.

Bell Labs - Taken over by Indian-national Arun Netravalli in 2003. Bell Labs where the transistor, UNIX, and the C programming language were invented is now being turned into a shopping mall.

Quark - Taken over by Indian national Alukah Kamar - who laid off all the American developers and sent the work to India. The products became so bad that 60% of Quark's customer base defected to Adobe InDesign, never to return. Kamar was later fired but not before permanent harm was done to Quark.

Computer Associates' former CEO from India is now serving 12 years in federal prison for fraud.

MIT Media Lab Asia - Closed in 2006 due to faked invoices in India.

Intel Whitefield processor project - this project in India was cancelled when Intel discovered that many of the "engineers" had faked their resumes.

ComAir - ComAir's 100% Indian IT staff caused the nationwide 2005 Christmas day airport shutdown when they used a short int instead of a long int in the crew scheduling software they were working on. So much for the best and the brightest from overseas contributing to the American economy.

Boeing Dreamliner - Boeing's new 787 Dreamliner airplane has been delayed 5 times - in part because of failed software written by India's HCL Technologies - whose CEO once said "American grads are unemployable".

Lehman - This failed Wall St. institution had purchased Wipro's Spectramind software (which they in turn had bought from someone else and messed up) just before it went bankrupt. It also had hired large numbers of India, Inc. workers just before it went under.

Dell - Outsourced a lot of work to India over the past decade. Profits are now down 54%. Michael Dell once said "Stability is more important than growth".

United/Delta - Both companies brought their call centers back to the U.S. from India when they discovered that foreign call centers were harming their business.

HSBC - ATM software was taken over by India, Inc., ATMs began failing in 2006.

AIG - Signed outsourcing deal in 2007 in Europe with Accenture, collapsed in 2009.

Vodaphone - UK's top cell phone vendor has gone into major decline - in part because its CEO from India didn't do the job and walked out with over $41 million in compensation for doing nothing.

World Bank - Indian, Inc. fraudsters including Wipro were BANNED for 3 years because they stole data.

The verdict is in: Whatever else immigrants and foreign-born founders are doing to America, on balance, they are causing net harm to the U.S. economy - harm that is the cause of our current economic problems. No amount of hype, news stories, studies, or commentaries will change the above facts about the effects of foreign guest workers on the U.S. economy.

A huge army of conmen from India numbering into the several millions have spent a decade cleaning out America's economy. America's moronic MBA managers and boomers who know nothing about technology have been conned by this elaborate PR-driven charade and have been duped into throwing Americans who created IT out and replacing them with incompetent conmen. The end result is what you see now: a destroyed American economy and a vast transferrence of America's wealth to India. People like Vivek Fraudwha are India's cheerleaders and keep shouting from the rooftops that this is good for us, but based on the state of the economy, it clearly isn't.

Now you know the exact chronology of what has happened to America's economy and who is responsible. All the fluff you hear on the evening news is just cover or what has really happened: we've been invaded and plundered by foreign interests that's all.

Capital crisis? Nah - remittances. Guest workers send $45 billion year from the U.S. home to India. $70 billion to Mexico. And that's just those 2 countries. The total is in the hundreds of millions. Keep siphoning that money out year after year and it leaves American banks and lands in Indian banks. And we wonder where all the credit has gone - credit is capital sitting in banks. Except that after a decade of this nonsense, it's no longer sitting in U.S. banks where it would have been lent to businesses to create jobs. Duh.

Housing collapse? Subprime crisis? Nah - mortgage-paying Americans no longer having the jobs or incomes to pay their mortgages - because their jobs were taken away from them and given to cheaper imported workers who have no interest in living here, only in working here so they can send our their money home. There were no subprime loans in America's booming economy of 1998. Sure Barney Frank helped contribute, but that's not the prime cause. No jobs, no mortgages. At least not ones Americans can afford. The banks too are complicit in this: they give out too many loans and run the housing values way up in boom times due to excessive demand, then they flood the labor market and collapse the economy by laying everyone off. Homeowners who have been making payments for years lose all that cash, plus the interest, plus the house too - the banks end up with the money and the property. Pretty nice deal - if you're a banker.

Record federal debt? Nah - suplus elimination by the Fed banksters who control us. In 1998 Bill Clinton sequaled "We've cured the business cycle". Greenspan chimed in: "We should use the Federal surplus to pay down the national debt". Uh oh. Red warning alarms going off in every Fed building in the country (and in a lot of castles in Europe and in The City in England too). Surpluses put bankers out of business. A boom like the 90s lets everyone pay cash. No need to borrow much. Bankers don't like that. Hence, since they control our money supply through the Fed (it's illegal for the U.S. government to issue its own money due to The Federal Reserve Act of 1913), something had to be done. But what? First they tried Open Source to try to kill the value of proprietary software. That didn't work - smart companies continued to protect their inventions. The banksters finally figured out the best way to wreck an economy is to flood it with unproductive workers and replace the super-productive ones who are creating the boom. When salaries are high, tax revenues go up too. When salaries are low, tax revenues go down. Hence, to stop a surplus, all one has to do is get rid of the highly-paid workers, and replace the with lower-paid ones. If you can actually destroy the jobs in the processs, you put the brakes on the economy even more. Hence another reason for the flood of IQ81 people from India replacing America's most brilliant American workers whose IQs are in the 140 range.

That did the trick - that and pilling on even more debt through never-ending unecessary wars which cost billions.

So now you know the history of how the American economy was really wrecked - don't let the blow-dried morons on the news fool you.
Wakjob2
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Wakjob2,
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11/20/2011 | 7:25:24 AM
re: Indian Outsourcing Model 'Over,' Says HCL Exec
Companies ruined or almost ruined by imported Indian labor

Adaptec - Indian CEO Subramanian Sundaresh fired.
AIG (signed outsourcing deal in 2007 in Europe with Accenture Indian frauds, collapsed in 2009)
AirBus (Qantas plane plunged 650 feet injuring passengers when its computer system written by India disengaged the auto-pilot).
Apple - R&D CLOSED in India in 2006.
Australia's National Australia Bank (Outsourced jobs to India in 2007, nationwide ATM and account failure in late 2010).
Bell Labs (Arun Netravalli took over, closed, turned into a shopping mall)
Boeing Dreamliner ES software (written by HCL, banned by FAA)
Bristol-Myers-Squibb (Trade Secrets and documents stolen in U.S. by Indian national guest worker)
Caymas - Startup run by Indian CEO, French director of dev, Chinese tech lead. Closed after 5 years of sucking VC out of America.
Caterpillar misses earnings a mere 4 months after outsourcing to India, Inc.
Circuit City - Outsourced all IT to Indian-run IBM and went bankrupt shortly thereafter.
ComAir crew system run by 100% Indian IT workers caused the 12/25/05 U.S. airport shutdown when they used a short int instead of a long int
Computer Associates - Former CEO Sanjay Kumar, an Indian national, sentenced to 12 years in federal prison for accounting fraud.
Deloitte - 2010 - this Indian-packed consulting company is being sued under RICO fraud charges by Marin Country, California for a failed solution.
Dell - call center (closed in India)
Delta call centers (closed in India)
Fannie Mae - Hired large numbers of Indians, had to be bailed out. Indian logic bomb creator found guilty and sent to prison.
GM - Was booming in 2006, signed $300 million outsourcing deal with Wipro that same year, went bankrupt 3 years later
HP - Got out of the PC hardware business in 2011 and can't compete with Apple's tablets. HP was taken over by Indians and Chinese in 2001. So much for 'Asian' talent!
HSBC ATMs (software taken over by Indians, failed in 2006)
Intel Whitefield processor project (cancelled, Indian staff canned)
JetStar Airways computer failure brings down Christchurch airport on 9/17/11. JetStar is owned by Quantas - which is know to have outsourced to India, Inc.
Lehman (Spectramind software bought by Wipro, ruined, trashed by Indian programmers)
Medicare - Defrauded by Indian national doctor Arun Sharma & wife in the U.S.
Microsoft - Employs over 35,000 H-1Bs. Stock used to be $100. Today it's lucky to be over $25. Not to mention that Vista thing.
MIT Media Lab Asia (canceled)
MyNines - A startup founded and run by Indian national Apar Kothari went belly up after throwing millions of America's VC $ down the drain.
PeopleSoft (Taken over by Indians in 2000, collapsed).
PepsiCo - Slides from #1 to #3 during Indian CEO Indra Nooyi' watch.
Polycom - Former senior executive Sunil Bhalla charged with insider trading.
Qantas - See AirBus above
Quark (Alukah Kamar CEO, fired, lost 60% of its customers to Adobe because Indian-written QuarkExpress 6 was a failure)
Rolls Royce (Sent aircraft engine work to India in 2006, engines delayed for Boeing 787, and failed on at least 2 Quantas planes in 2010, cost Rolls $500m).
SAP - Same as Deloitte above in 2010.
Singapore airlines (IT functions taken over in 2009 by TCS, website trashed in August, 2011)
Skype (Madhu Yarlagadda fired)
State of Indiana $867 million FAILED IBM project, IBM being sued
State of Texas failed IBM project.
Sun Micro (Taken over by Indian and Chinese workers in 2001, collapsed, had to be sold off to Oracle).
UK's NHS outsourced numerous jobs including health records to India in mid-2000 resulting in $26 billion over budget.
Union Bank of California - Cancelled Finacle project run by India's InfoSys in 2011.
United - call center (closed in India)
Victorian Order of Nurses, Canada (Payroll system screwed up by SAP/IBM in mid-2011)
Virgin Atlantic (software written in India caused cloud IT failure)
World Bank (Indian fraudsters BANNED for 3 years because they stole data).

I could post the whole list here but I don't want to crash any servers.
NSWINTON550
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NSWINTON550,
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11/18/2011 | 4:39:46 PM
re: Indian Outsourcing Model 'Over,' Says HCL Exec
@PMMcDougall: Shame on you for replying to this moron & validating his comments. Read through his bigoted drivel again. Anyone who dumps a huge group of people in one competence level based on a few personal experiences, is pretty narrow-minded.

Do I like outsourcing? *NO*. It is hugely profitable for the big name companies on both sides - those in US that outsource & those in India that cater to them. But it sucks for employees on both sides - raising resentment in one group & demeaning the other at many levels. But anyone who extrapolates this dislike to paint all engineers with a wide brush based simply on their race is a complete moron.

If you continue such sensationalist articles in InformationWeek, I will be done with this site & seek my tech news somewhere else.
YMOM100
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YMOM100,
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11/16/2011 | 4:09:59 AM
re: Indian Outsourcing Model 'Over,' Says HCL Exec
DGF!@#$GQRG@!#$G!!!!!

Can ANYONE here form a coherent thought or speak English? FFS!

Algonquian_Cougar, get off the booze.

As for the article:
83,000 * .12 = 9960 - 8000 = 1,960

They want to hire 1,960 Americans. Whupee...Wait a moment...

"About 40% of HCL's current U.S.-based workers are Americans or green card holders; the rest are on H-1B and other temporary visas."

So 40% of those 1,960 are going to come from India? How is Massive, pervasive Visa FRAUD "The end to the Indian Outsourcing Model"?

Because, that's what this article is about. FRAUD, and "trendy" managers think you know, if they can hire someone ELSE to commit the crime and they benefit from it hey. Why not steal the lollipop from the baby if there's no repercussions?

You know what the big problem is with Outsourcing? What happens when your competitors outsource to the same companies you do. HP, Toshiba, Fujitsu, Acer, IBM, et cetra all decided it'd be a good idea to reap some savings by outsourcing their motherboard manufacture to ASUS and Quantum. Guess who's building Laptops, Netbooks, and Desktops now and undercutting them? It's pervasive in the IT industry and one of the reasons PAAS/SAAS make no sense in most areas. Those new companies are going to "cut out" the U.S. management as the middlemen and undercut them just like U.S. management did to them.

More importantly, you see companies specializing their employee's into oblivion; One guy handles the networking, one guy handling Active Directory, Another handling Messaging Applications, another handling Server and Virtualization Support. I saw a Job ad the other day; 120k/year for handling JUST Active Directory Architecture. Nobody goes for the multidisciplinary way anymore for fear management might think "Oh he doesn't have enough years in CISCO, IBM, [insert another big-name brand Doohickey here]".

I find it entertaining "cloud" and "mobility" and considered "key areas". Can we get a previous CTO to write an article, for once? I've worked with several; they could write something a million times more interesting than this drivel!!!!

I'm tired of reading writing this garbage. I'm going to bed and the next time I see an "Informationweek" article I'm going to ignore it. I promise myself that. It just isn't relevant information.
PMcDougall
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PMcDougall,
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11/15/2011 | 6:30:18 PM
re: Indian Outsourcing Model 'Over,' Says HCL Exec
@Algonquian_Cougar: Would like to point out that we've done many stories on some of the negatives/risks associated with outsourcing, such as this one: http://www.informationweek.com.... And this one: http://www.informationweek.com.... Paul McDougall
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Guest,
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11/15/2011 | 3:35:53 AM
re: Indian Outsourcing Model 'Over,' Says HCL Exec
A better solution to lowering IT costs is: 1) Automation of administration 2) Stop buying the most costly IT products on the market with functionality you, in 95% of the cases, do not need (e.g. Oracle DB, anything Microsoft, Cisco networking, EMC storage).
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11/15/2011 | 3:31:53 AM
re: Indian Outsourcing Model 'Over,' Says HCL Exec
True, if you are going to India purely to lower costs, that is over. It is a giant hassle to manage a team on the other side of the world and the costs, after you factor in all of the partner management oversight, are comparable to local talent.
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11/15/2011 | 12:25:20 AM
re: Indian Outsourcing Model 'Over,' Says HCL Exec
In my experience, Mr. Chatterjee is correct, but the thought is inclomplete. I spent the last five years working very closely with Indian colleagues at a large US Consulting firm on series of projects at a large US Financial services firm. The entry-level programmers we brought onsite were excellent, and of course were being paid similarly to our US-born employees at the start.

Additionally we had development happening offshore in several locations in India and the quality and price were both very good.
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