software outsourcing

A blog related to software development company and offshore software outsourcing

Thursday, May 18, 2006

Storm against Offshore Software Outsourcing Process

In this world of globalization, sending work overseas has been the most common practice for the organizations. But with the success of it, a storm against Offshore Software Outsourcing has also raised. This storm is especially in the IT Industry as growing number of IT jobs and development works are moving overseas. IT Outsourcing has been the routine practice for several IT companies. Because of this unemployment issues are also coming in to the market and it is the main reason that CEOs from many IT organizations are opposing the process of Offshore Software Outsourcing. Currently this storm of opposing is taking place in America. Though, the process brings lots of benefits but the issue of unemployment is the main reason that raises such issues in America.
IT companies from America are now moving large no. of development work to the destinations like India and China. But because of this the people in America are now boycotting the products and services of the companies who are sending the job works overseas. Such reaction from the public creates threats in to the mind of the companies who are sending the development work oversea. Even some companies in their own territory are not willing to work with the companies who are sending jobs to the overseas destination like India and China. If this trend in America will continue, than such companies will really have tough time in the near future.

Trend of Offshore Software Outsourcing

Though, companies believe that the trend of Offshore Software Outsourcing will continue but the situation in the current market is very hot. At present many employees and professionals are taking the process of IT Outsourcing as the harsh one for their future as they found that their jobs are in danger. Such things lead to the heavy storm in the country against the process of Offshore Software Development. IT companies like IBM, Microsoft and Oracle do have their presence in the countries like India and China where the labor costs are almost five times less than America. This cost factor is the one that leads the companies to seek for the process of Offshore Software Outsourcing.
But the IT professionals and employees are taking the whole process as the negative one and unhappy with this trend in their country. There are many IT experts who have faced the backlash in their firm against Offshore Software Outsourcing. But the main reason of such backlash of IT Outsourcing was the improper planning of the companies as they were not able to take the judgment that which job to stay onshore and which to send overseas. Apart from Offshore Software Development some other industries have also started to send their jobs overseas for the development purpose because of the higher labor cost inside the territory. Lots of legislative issues are also coming in to market because of the increment in the process of Offshore Software Outsourcing.
The process of sending work overseas has both positive and negative sides with it. This process really brings benefits to the companies along with it, but on the other side it is not possible to keep the moral of the employees up. Offshore Software Outsourcing might have to pay because of the unemployment issue.