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Profits and Pitfalls of Working with India

The experiences of the technology ensure privacy of your consumer data
companies in the last few years who because companies are run by
failed to navigate the rapid changes people.Educating everyone involved and
brought about in their marketplace by setting-up formal processes for handling
disruptive flattening forces may be a sensitive information are keys to
warning to all the businesses, eliminate risks surrounding privacy.
institutions that are now facing these Learn to politely say 'No' few times a
inevitable, even predictable, changes but day if asked for information that you are
lack the leadership, flexibility, and not comfortable divulging.Overhead
imagination to adapt - not because they Geographically India is farthest from
are not smart or aware, but because the us, twelve time zones away. When we are
speed of change is simply overwhelming looking forward to a good start on any
them.The Internet now makes this whole day they are tired of that day and simply
world like one marketplace. This retiring and vice-versa. When you find
infrastructure is not only going to out something important during middle of
facilitate sourcing of work to the best the day here, they are probably dreaming
price, best quality, from the best place, about your finding (its middle of the
it is also going to enable a great amount night there) or having nightmares. You
of sharing of practices and knowledge, may have to wait to share it with the
and it's going to be 'I can learn from team in India.If they have a question on
you and you can learn from me' like never your specification, you would prefer they
before. It's very good for the world. And send you an email instead of calling you
India has emerged as back office hub for when you are fast asleep. We all loose
all kinds of services for the world.Two some time and productivity due to this
thirds of Fortune 500 companies have overhead.Face-to-face meetings are
setup offices in India for this reason. sometimes required to build team
Most think of its 300 million-strong dynamics, but a daunting 20-hour flight
well-educated and ready-to-spend-more followed by 5-day jetlag is definitely
middleclass as an opportunity of our overhead. Best is to entrust them with
times. It's a market to capture, and a responsibility and never
talent pool to tap into. Big micromanage.Honesty
multinationals are moving forward in that When you say a simple word 'couple' you
direction and it gives them a competitive mean exactly two, in India it's open to
edge. A competitive edge you wish you interpretations. When someone says a
had.Well, it's finally time to compete couple of our engineers are working on
with the global leaders. Time has come your problem it means some, it could be 2
for every business to benefit from a new or 3 or more. When you hire someone on
trend in global economy. Partnering with hourly basis, it is hard to validate the
India. The global economy is going to number of hours or number of consultants
drive more integration (of India into it) they bill you for. A company can claim
and integration is going to drive the that researchers on their team have PhD
global economy.PROFITS: degrees, you will never know where from
Let's begin with why it makes sense to and how many really know about their
work with India:Quality company's claim. Some small businesses in
It used to be that work would go India will have their employees fabricate
wherever cheapest labor is available. qualifications, numbers or experience
That is not the case with India. Sure, when asked by client. An art mastered by
it's cheaper than here but not the Enron.It is highly recommended to select
cheapest. More and more work is going to a proven partner and check references
India because it provides good quality from past clients. Getting agreements
services at competitive rates. Thanks to reviewed by a local attorney, and
the dot-com-bust, more and more companies alerting concerned parties on
in India are learning that quality brings non-compliance as soon as they occur
return business. And there are plenty of reduce risk of failure.Quality
clients who would outsource every aspect If the company you are working with
of their business that can be done oversold you on the benefits or is unable
remotely. Vast English speaking to retain the key employees and cannot
population sees outsourced jobs as deliver, what you get is low quality work
gateway to better life. They come to work and a place back to square one. Poor
every day (and night to synchronize with quality of products and services
us here) with such enthusiasm not seen delivered is cited the main reasons why
for that type of work and reward anywhere clients in the USA change the vendor or
else.The drive for quality also brings supplier in India often.Just to avoid the
Indians to US companies for products and last minute surprises, you should start
services for their needs. If Dell, GM, small. First get a small feature done in
Microsoft, and Citibank have benefited a few weeks and verify the quality of
over past several years, I bet you will work done before outsourcing
find clients keenly interested in your everything.Accountability
expertise now.Quick Proof of Concept If responsibility can be dodged, it will
So, you are excited to be working on be. Well, in most cases. When arriving on
innovative new technology but have a time for a meeting is not considered very
shoestring budget to create a prototype. important, deadlines will come and go.
Welcome to outsourcing to India. Getting Most Indian consulting company's
prototype done in India gives you a executives have had experience working in
chance to evaluate the Indian partner the USA, but working bee does not. Dog
without loosing your shirt. If you get ate my homework still rules for young
next round of funding, you already know fresher out of college.You can specify
whether to continue working with same the release date or you can specify what
company or look for a better features are to be in a release. It is
partner.Routine & Maintenance Work hard to do both and get a reliable
To maintain legacy applications you have commitment. Release dates are most
tried hiring consultants here and the one reliable if people who will work on them
who lasted longest was with you for 6 also estimate them.CONCLUSION:
months. It's not worth the effort India is a threat, India is a customer,
anymore. Most Indian companies would and India is an opportunity. You have to
compete for your routine maintenance work internalize India to succeed. You cannot
for long-term and do it more efficiently ignore it. Instead of competing with
and effectively for far less money. And India as an enemy you break down your
remember since it uplifts their standards business and think about which part of
of living, they do it the business you would like to do in
passionately.Productivity India, which part you would like to sell
If you find the right company to to India, and which part you would like
outsource your work to, you can focus to buy from India.Sending software,
your own resources on doing more of what accounting, billing and any such work AND
you do better and stay lean. Your Indian selling US products and services to
partner can surprise you by doing more India, is now possible for all of us.
than just what you originally thought was Whether you should do it, depends on your
possible to do remotely. Most of the time objective, growth, and need. Distance,
outsourcing increases your own communications, lack of information, and
productivity, increases sales, and quality etc. should not be roadblocks
increases customer satisfaction and anymore. You should choose your Indian
loyalty. It builds value.The other side partner diligently and audit them
of productivity coin is ramping up demand regularly.About 60 percent of IT projects
for leadership skills building, outsourced to offshore companies fail to
mentoring, and management consulting meet the deadline and budget in
within Indian companies. Concepts comparison to moderate 23 percent of
nurtured and mastered by the US companies projects outsourced to local US
command high price from their companies.Following are some pointers to
counterparts.Quick ROI & Cost Savings improve your chances of success in
If it weren't for saving big money for working with India:· Discover the best
investors and stakeholders, businesses way to specify your services, software or
would still be dealing with labor business process
associations on pay hikes for things that · Keep in touch with your outsourcing
can be done at a fraction of the cost team without micromanaging
outside. The cost benefits of sending · Communicate directly with development
work to India can range from 20% to team by email, instant messaging, and
astonishing 70% sometimes. In all cases telephone.
it's the quickest route to ROI and that · Treat the outsourced Indian team as
should convince your CFO to start asking part of your own team
why aren't we doing it.PITFALLS: · Require local leadership and entrust
Are you thinking everyone else is doing them with authority and responsibilityIf
it and I should too? Sure. Like each new you cannot do it yourself, use services
wave, just take some time to see if it's of Pacview, Inc. with expertise and
really for you. Study all your options, presence in both US and India to:· Find
do market research for services you plan the right outsourcing team that best fits
to offer. Evaluate your Indian partner, your situation,
and measure performance if you plan to · Choose from more than a dozen proven
avail their services. Here's is list of expert teams in India categorized by
things that can; and do; go wrong:Privacy skills,
There is very little privacy in life of · Cut your team search time by 90% -
an average Indian. It is very common for from months to just days,
people to ask each other salary they make · Cut your software development or BPO
and everything else that is not asked out costs by up to 70%,
of courtesy in the USA. If people do not · Increase your customer base by 100% -
worry too much giving such personal from Bay Area to Bangalore.
information, Corporations can hardly




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