Outsourcing

From the time when there was something resembling Industry there was outsourcing. It is the way society works. One man can not do everything. Which also implies to an organization. It may be good at multiple things but to operate they need to be good at more things. Which they cant be. So they find out some other group of people who are good in those stuff and then they take their service commercially. Which is cheaper than doing it yourself. This is outsourcing in a nutshell.

So it is of no surprise that the trend is followed in IT services as well. Over the time companies realized that they spend too much time, effort and money on IT processes and maintenance. So they start outsourcing, in their own country at first. But as the world became more connected through globalization companies started looking for option outside their country. Off shoring, as it is called, has caught the industry by storm. Presently almost all organization off shore their IT requirement. So much so that companies have opened their subsidiaries in these off shore location to stay competitive.

As far as IT off shoring is concerned India is one of the most sought after destination. And after economic reforms in 1990s the private IT companies have grown by leap and bounds. Infosys, TCS and Wipro are some of them to name a few. Which has allowed lot of IT related works to be transferred to offshore locations. Which also meant that there were lot of people who lost their jobs in the outsourcing countries.

So there has been a lot of debates going on whether outsourcing is good and should it be allowed at the cost of locals. Its a very tough call to make specially when there are more than one nations involved. We would like to see all aspects before we even try to make a decision.