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Blocking outsourcing of jobs helped, says Obama: Are Indian BPOs in peril?

Created by : Dayanand Deshpande, Senior Consultant, Ernst & Young  | 08 05 2010 08:26:24 +0000
Industry : Radio, TV & FilmsFunctional Area : Outsourcing(Operations)
Keywords : india outsourcing obama indian bpo
Activity:  779 views;  last activity : 11 24 2010 18:01:41 +0000

The outsourcing debate reared its ugly head once again with US President Barack Obama saying that America is on the road to recovery thanks to his economic plan that included ensuring new jobs and industries don't go to China and India.

http://www.call2gain.com/images/biotechbpo.jpg

The Democrat leader said that his new economic plan was "focused on making our middle class more secure and our country more competitive in the long run so that the jobs and industries of the future aren't all going to China and India, but are being created right here in the United States of America". Do you think this will have an effect on the outsourcing sector in India? Are Indian BPOs in peril?

  
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Yes Indian Bpos are in danger state.Though 82 percent of US Companies ranked India as their first choice for software outsourcing Mr.Barack Obama wants to reduce US outsourcing business with India as he wants to assure his citizens from reducing rate of unemployment.To do this he initially announced tax rebate to those US Companies who avoids outsourcing business with India.
Because of that our Indian outsourcing market faced a huge dip during april 2009.Lot of IT professionals lost their job.

Once again to avoid this I request our Indian Government should take some initiative before the problem rises.
By Dayanand Deshpande, Senior Consultant, Ernst & Young  08 05 2010 08:30:02 +0000
 
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hello Dayanand,if our processess and approaches are good there won't be any threat but,there will be still more tough competition that has to be faced.
By jairaj shyam prasad, Production Manager, BOSCH Ltd  08 05 2010 16:01:33 +0000
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Having penetrated so well in this space, India should not lose sight of European countries. Slowly, percolate in this region to generate more business, so that the pressure by USA on outsourcing to India would gradually dissipate. Its time Indian super-brains should really look for alternative strategy to counter USA's threat so that this model will automatically lose its sheen!
By S. Muralidharan, Executive Director, Knowledge Foundation & Campus Around the Corner  | 11 24 2010 18:01:40 +0000
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you are right Mr. Deshpandey indian govt. must pount pressure over us administration.
By rakeshbhatnagar , GM Projects., wig brothers india pvt.ltd.  | 11 24 2010 16:26:50 +0000
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AS i think i indians step out from all place in US ,can US stand out .No ..... Its all about us which US people are getting evrything.
By tanujsood , B.Tech/B.E. student, H.E.C-Jagadhri  | 08 18 2010 09:04:17 +0000
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obama thinks about US first and the rest later .. indian mantris shud also do like wise !!
By Ajay Ziz, Dy. Registrar,, University of Jammu  | 08 17 2010 04:33:32 +0000
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Americans believe in "Aristocratic" life and they have been thriving on two factors, "cheap labour from Asians" and "plastic money" to acquire comforts. No matter what happens, the country would come to their aid in absolving the loan, if declared bankrupt. The US Government has a onerous responsibility to prepare its own citizens to work. To shift their paradigm from "comfortable living on others' efforts" to "earn their own living" will take its own course. Till such time, let's not worry much about the policy decisions.
By S. Muralidharan, Executive Director, Knowledge Foundation & Campus Around the Corner  | 08 17 2010 04:12:19 +0000
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Yes its effect Indian BPO as there r outsourc of US
By Virupakshappa , M.E/M.Tech/MS student, University of Visveswaraiah College  | 08 07 2010 15:51:06 +0000
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Yes, obviously, if someone blocking the flow of jobs to India then one day we will become jobless. anyway in India so called bloody systems is not up to face anything, in each and everything corruption, scams, bullshit.
By Manjunath A.V, Global Component Engineer, at Unknown Technology  | 08 07 2010 15:13:19 +0000
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Hey guys thanks for you comments.... :)
By Dayanand Deshpande, Senior Consultant, Ernst & Young  | 08 06 2010 12:47:55 +0000
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But i think this will help India and Indian software develpment companies to develop their own product and market it. This way there will not be any dependency on other countries in long term:). I think Obhama is taking a great initiative, it is good both for US citizens and India's future :)
By Rajesh Jaganatha, Product Technician, SWEP Internation AB  | 08 06 2010 03:44:45 +0000
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I completely agree with you Mr. Dayanand Deshpandey.

 
By NATTERAJA R. ARIKRISHNAN, GM-Projects, Bentec Electricals & Electronics Pvt. Ltd  | 08 05 2010 17:56:25 +0000
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I also feel that our BPOs are in peril. The factors which affect the business are many. Here Government Policy become an obstruction, which has no solution. We can't go against Government Policy. If Mr. Obama is blocking outsourcing of JOBS then whatever would be our quality & our price, it never will count.
By Vinay Kumar Keshri, Marketing Manager, TUV Austria (India)  | 08 05 2010 16:24:21 +0000
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Yes, I go with Sulagna Brahma, US might bring many reforms in terms of healthcare , employment. But they cannot sustain and run their policies on a long term basis..
By Anand Rajaraman, Sr.Technical Writer, Reflexis Incorporation, Retail Execution Management  | 08 05 2010 11:46:15 +0000
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Truly, this will have an adverse effect on the BPO sector in India. Our Govt. should take an initiative here.
By Betzi Miriyam Kuriakose, HR Section Head, The commercial real estate company  | 08 05 2010 09:30:36 +0000
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I support your views, Dayanand.

Govt. should take initiative to solve this problem, otherwise many of us will loose their BPO jobs.


By SHRIKANT MANOHAR DANKE, Project Manager, Phadnis Infrastructur Ltd  | 08 05 2010 09:15:50 +0000
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us corporates look at the bottom line. cheaper to outsource jobs. it gets done faster also which is more important. someone should also look at the number of american jobs created by indian companies by picking up nearly-failing companies and turning them around
By V. Srinivas, Freelancer, Information Technology  | 08 17 2010 14:21:18 +0000
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NO, US PRESIDENTS PLAN MAY NOT BE SUCESSFULL AS THEY DO NOT HAVE ADEQUATE SKILLED MAN POWER,IF PEOPLE ARE AVAILABLE THE COST IN US AND INDIA DIFFERS A LOT .WHICH WILL SAVE INDIAN BPO'S,EXCEPT ALL THIS INDIANS ARE HARD WORKING IN COMPARISION TO US PEOPLE AND SUCESS IS ALWAYS WITH HARD WORKING PEOPLE. 
By rakeshbhatnagar , GM Projects., wig brothers india pvt.ltd.  | 08 10 2010 16:23:21 +0000
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I wouldn’t say that jobs are completely lost but there would be stiff competition IF outsourcing to India and China did slow down. But India & China BPOs will have some stiff competition.  I don’t think that Indian BPOs are in peril. Only time will tell for that. There might be a possibility that some outsourced work will still come to India & China. Only time will tell how bad it might get. I wouldn’t say that jobs are completely lost but there would be stiff competition IF outsourcing to India and China did slow down. But India & China BPOs will have some stiff competition.  I don’t think that Indian BPOs are in peril. Only time will tell for that. There might be a possibility that some outsourced work will still come to India & China. Only time will tell how bad it might get. 
I wouldn’t say that jobs are completely lost but there would be competition IF outsourcing to India and China did slow down. It would have some affect on the India & China markets. I don’t think that Indian BPOs are in peril. Only time will tell for that. There is a possibility that outsourced work will still come to India & China. Only time will tell how bad it might get. 
By Business Management Consultant, Business Management Consultant, Business Management Specialist & Strategic Planner  | 08 08 2010 15:16:58 +0000
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It was nice to see the statement made by USA president Mr.B.Obama regarding creation of more jobs in United states by reducing the outsourcing jobs.

First of all i would like to mention here that they can do this at any cost because if they reduced the outsourcing of jobs then their own industries will face deep mess in cutting cost and everyone in this world knows that USA economy is in awkward stage where they are having unbalanced and unplanned growth.

Secondly i think my friends should go through his statement once again, this statement was made in context to outsourcing of manufacturing jobs not the type of work which Indian BPOs performs..
By Gurpreet Singh, Team Associate, BA Continuum Solutions  | 08 06 2010 16:37:14 +0000
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Thanks Dayanand Ji,. The US businessmen are pure businessmen. I don't think few soaps offerred by Mr. Obama will satisfy the businessmen to the extent that he shifts his outsourcing operations. He will only shift the operations if he sees that the benefit that he gets out of those soaps is more than the cost that he has to bear for shifting his operations. One more thing Mr. Obama has to satisfy India and China also. So he can not do something totally brash. He will be very careful while taking decisions which will affect India and China directly.
By Aditya Sharma, Insurance Advisor/Analyst, LIC OF INDIA, ICICI LOMBARD  | 08 06 2010 07:57:26 +0000
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India is on a strong economic foundation.When the whole world including the US was engulfed in economic crisis including the US,India managed it wonderfully.
I do no think Indian BPOs would be in peril.
By Sulagna Brahma, Sr Reporter, Leading Indian English Daily  | 08 05 2010 09:28:56 +0000
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