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May 20, 2007

Outsourcing to india

Now a days most people in other countries are really worried about outsourcing to india. They feel that they might loose their jobs. I dont think outsourcing is really a bad thing.
Let me give some figures of normal US salaries:
For a typical software engineer in US they need to pay around 5000$ per month.
They can hire at least four people in india with same money and can get the work done. Hence in lot of cases productivity will be more. Thats why people are trying to outsource to india.

what are the things that are currently outsourced.

1) BPO (Business process outsourcing)
2) KPO (Knowledge process outsourcing)
3) Software Jobs
4) Hardware Jobs
5) Medical Transcription
6) Law Transcription
7) Animation Outsourcing
8) Games Outsourcing.

Most of the companies which are getting these projects are serviced based companies like TCS, Infosys, Wipro and Satyam etc..
The problem with these companies is that they hire in huge quantities and pay less.
I have worked in one of those service based company some time back. The problem what i could figure out there is that when ever you need to perform a job you will not get full specifications of what to do or why to do that, but you have to do that. After working in service based companies in india i was really frustrated and moved to a product based company. Now life is good.

One point i always want to emphasize is that why people in US are most worried that indians are taking their jobs. Currently the situation in india is something like how it used to be in US at dotcom boom near 1999.

when i compare the working style of people over there in US and in India, i can say that over there people will not stay after office hours, irrespective of how much work they have, when it comes to friday they will just go out from office at 2 or 3 in the afternoon.

Since people have realized that they can get more business out of india and cheap labor they are coming to india,
if at any point of time they find some other country where they need to spend less money they will obviously prefer that country.

what i would try to emphasize here is that people over here are not making much money but doing the same work what they are doing in US.

So Folks be happy and dont worry about their jobs. They will have their jobs intact.

2 Comments By Users:

Anonymous said...

Thanks for the great info on your blog. Just curious to know...how much a fresh engineer coming out of the Indian school with no work experience makes on average in India, and what average perks/benefits are associated with the total compensation?

talkaboutanalog said...

A fresh engineer coming out of college in india will make around 20,000 Rs per month. that is approximately around 500$ per month.

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