I guess they think we will believe anything....
"Indian, US companies reversing the outsourcing tide" by John Helyar |
Bloomberg News, November 04, 2012
ATLANTA — Janie James says she was cool at first when Indian
outsourcing company Infosys Ltd. approached her about a job near
Atlanta, even though she was unemployed. She didn’t know much about the
company, and it seemed a step down from her old vice president post at
Primerica Inc.
In the end, she decided she could use experience gleaned from her
work at life insurer Primerica and another stint at a
financial-investment company to help Infosys build its insurance
outsourcing business. Now James is an operations manager at the
Bangalore, India, company’s first predominantly US-staffed center, which
opened in April....
James is one of thousands of workers filling outsourced jobs that are
coming back to the United States, or at least not going offshore.
Indian and US outsourcing companies, along with corporate icons like
General Motors and General Electric, are reversing a 20-year outgoing
tide.
Translation: wages and other benefits have been reduced so far it now makes economic sense for corporations to bring them back.
These companies and others, including software developer
GalaxE.Solutions Inc., say some complex functions, such as human
resources and software development, are better to have closer to their
own operations and to respond to customers.
Indian outsourcing companies are finding it tougher to get visas for
workers brought from India, and some US businesses want to outsource —
yet keep jobs in the country. State tax breaks also provide incentives
to hire locally.
‘‘It used to be just about getting the job done at the lowest cost,’’
said Madhusudan Menon, who heads Infosys’s Atlanta center and delivery
of US business-process outsourcing. ‘‘Now companies are saying some jobs
are best done closer to where they are, not cheap as possible somewhere
else. They’re rebalancing their onshore and offshore outsourcing.’’
US companies with more than $1 billion of revenue sent 1.1 million
technology and back-office jobs offshore during the past decade,
according to the Hackett Group, a Miami-based consulting company. While
it forecasts a slowing outflow beginning in 2013, it calculates another
400,000 positions will be lost offshore through 2016.
It must be addition by subtraction because that is not the tone of the agenda-pushing article.
A survey of 617 outsourcing industry executives by Boston-based HfS
Research in July and August found the United States is seen as the most
desirable region in the world to expand IT and business-services
delivery centers in the next two years. India was second.
Respondents have been largely satisfied with the offshoring of
low-end jobs, such as call centers and routine IT maintenance, according
to Phil Fersht, chief executive officer of the outsourcing-research
company. With more complex tasks, the survey showed the headaches may
have outweighed the savings.
I don't consider those "low-end." I've been told and taught that they were a good road to the middle class and the American dream!
‘‘We’re at an inflection point,’’ Fersht said. ‘‘They have picked
much of the low-hanging fruit offshore, but they’re frequently not
getting the quality they need with the more complex functions there.’’
***********************************
The Indian offshore companies are establishing beachheads in the
United States for political, as well as business, reasons, according to
Fersht. President Obama and Republican presidential candidate Mitt
Romney have traded charges of being ‘‘outsourcer in chief.’’
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