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  •    
    IT Outsourcing Witness Growth from New Markets and Divesting

     

    By unloading excess baggage and looking for the new markets, the company leader are compelled to creatively move their business to profitability. A growing number of the companies are divesting to achieve a leaner structure and at the same time looking for a new markets to tap. The IT outsourcing providers tap into domestic market, with the current pressures faced even by the outsourcing providers especially the IT services providers as the demand for the year. It is expected to decline by 1.7 percent. They are continually challenged to develop sharper eyes for the new markets to target and a new ways to make it more cost competitive. The Infosys Technology Limited and Wipro are tying up with rural services providers to be able to create a service offerings for India’s domestic market.

    BY recruiting rural talents, the Infosys and Wipro will be able to offer cheaper services to the domestic market, this strategy then will allow them to cash in a similar gross margin for the domestic and international business. To keep an eye on, the kind of the local partnership will be an phenomenon to keep an eye on, aside from achieving cost efficiencies it also expands talent pool diversity as ell as decentralization of the economic growth in the outsourcing hubs like India, China and Philippines. The Manila and Cebu for the instance are the major outsourcing hubs in the Philippines hosting the offices of TeleTech Holdings, Inc. Convergys Corporation, eTelecare Global Solutions, Inc and Aegis Group plc to name a few. The providers should consider partnering with the other provincial companies or even provincial governments. Investing on the rural talents should not be merely an attempt to reach head count and put quality at a risk. The high standards should be maintained by scrutinizing hiring and continuous employee training otherwise risking global deals and reputation.

    The Information Technology Divisions Transfer to outsourcing providers, aside from tapping the new market,  the Information Technology service outsourcing providers also enjoy growth from the company divesting, To attain cost efficiencies, it will be outsourcing a major part of its IT division, replacing 80 percent of its local IT workforce with those from the top Indian tech outsourcing firms including the Wipro and TCS. Barclays that will also be moving its global infrastructure and service delivery to India, Hungary and Singapore as a move to become leaner. In IT jobs globally are expected to come. To cut costs by EUR 4.5, a French retailer operating supermarkets expects to cut costs over the next three years. By 5.7 percent, the news increased its stock price, as part of its leaning process, Carrefour signed a EUR 180 million IT management and maintenance deal with the technology outsourcing giant IBM.

     

     

    REFERENCE:

    http://www.blog.infinit-o.com/it-outsourcing-witness-growth/

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