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Topic : Narayana murthy & Infosys
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Infosys branded as the chop-shop by Americans??

Created by : Puja Sarkar, Software Developer , Softpal Technologies Pvt Ltd  | 08 09 2010 08:25:12 +0000
Industry : IT ServicesFunctional Area : Outsourcing(Operations)
Keywords : outsourcing indian outsourcing companies us senator brands infy as chop-shop infosys branded as chop-shops
Activity:  717 views;  last activity : 08 28 2010 15:09:40 +0000

Criticizing companies outsourcing highly-paid American jobs, a US Senator has described Indian IT major Infosys as a "chop shop", a place where stolen cars are dismantled and parts sold separately. A U.S. senator supported raising H1-B visa fees for them to raise $600 million to secure the porous U.S.-Mexican border.


http://im.rediff.com/money/2010/jan/11bpo.jpg

Forget the border thing. The funds are being collected by assessing fees on foreign companies known as chop shops that Outsource good, high paying american technology jobs to lower wage, temporary workers from another countries..

I mean was the US senator right in branding Indian Outsourcing companies as chop-shops people??

  
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Top Argument
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One thing is sure these companies sell India cheap and make American salaries competitive by offering 'Indian' salaries for American jobs. That trend is toooooo business like. The people in America, Indians included are suffering because of this. And Indian salaries are really really cheap. I had suffered this in India trying to relocate with a job and gave up.
By Sal P, Team Leader -(NonTechnical), Sunflower  08 10 2010 12:37:33 +0000
 
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I don't think so he was right in saying all the outsourcing companies are chop-shops.  If Infosys and other Indian companies are Chop shops, then US and its companies are the biggest buyers on this planet for the products and services offered by these companies. If with their current talent pool and resources, US is able to manage every thing on its own without depending on other countries, let us see whether they can survive on their own for 5 years.

Many brilliant product ideas are provided by Indian brains, including Intel, Microsoft etc. We must continue to do the best work. These kind of selfish people are more than real doers.
By Puja Sarkar, Software Developer , Softpal Technologies Pvt Ltd  08 09 2010 08:25:12 +0000
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Thanks Puja for inviting for this debate. Perhaps the senator may be right as he is representing his constituency. It is eye opener to big IT companies to have their own vision about Information Technology and its future relevance to the world rather than just worried about serving Fortune 500 companies. To appreciate this argument I wish to draw a comparison between TWO technologies NUCLEAR and IT.  India is a CLIENT in case of nuclear technology and is signing SLA almost dictated by the SUPPLLER for THE PRICE and CONDITIONS including its safety and security of usage. On the other hand as a Indian IT service SUPPLIER still we are bound by SLA and conditions imposed by the CLIENT this is the Paradox which we are suffering. Cash rich IT majors have to invest in R & D and come out with such products and such product service offerings of our own terms however costly and cheep they may be. If our PRODUCTS serve the society at large and not Fortune 500 companies’ then only we get appreciation in the world as   IT SUPER POWER. On the contrary the IT giants are focusing on acquiring MOST (More Of Same Thing) companies all over the world
By MVS Rao, Director, Sai-Sudir PG College, Hyderabad  | 08 10 2010 09:16:29 +0000
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Thank you Puja,

Competition and Eye Wash for Americans.. 

 
By G.Ramana Prasad, Sales/BD Manager, INTERACTIVE DATA SYSTEMS PVT. LTD  | 08 10 2010 05:29:09 +0000
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What the US senator has said is not false. It is just sounding harsh because he has used some very strong words. But, everyone knows that the point that he is making is true.

The 'outsourcing' companies like TCS, Wipro, Infosys etc. are perceived as big companies with a strong emotional appeal in India, but in the west they are only looked at as companies that provide cheap labour. Now that we are competing directly against the west, we cannot expect them to sit quietly and watch what is happening right? This kind of a reaction was bound to come keeping in mind the current job scenario in the US.

Once we have entered the competitive world outside, we have to be ready to put up a fight for our cause. I see nothing wrong in his reaction. We would have reacted the same way if we were in a position like they are in.

Regards,

Om Deshpande
By Om Deshpande, Business Consultant, JobsXS  | 08 10 2010 04:06:02 +0000
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ya...all outsourcing companies
By Mehebub Ahmed, Senior Analyst, UnitedHealth Group  | 08 09 2010 11:25:58 +0000
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americans are right !!
By Ajay Ziz, Dy. Registrar,, University of Jammu  | 08 09 2010 11:12:00 +0000
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I think we are the chop-shops where different things are fitted, assemble and sent back to them, we are just doing their work which they think which is not important to them, and just because we are getting cheap labour for doing it, we are getting all these work, and in a way they are making sure that any sort of hardcore research is not happening where outsourcing is happening but only in their countries and that too with our own Indian professionals whom they are wooing with lots of money and power which is being given to them, a clear example is where you can see in Obama's administration where more and more Indians are getting chance to prove themselves, this shows Indians are good at manythings, but in India they are failing to recognize this and are just into outsourcing mode and not into research mode...
By Darshana Sawant, HR Manager, Leading IT services company  | 08 09 2010 11:04:53 +0000
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i think u.s senator is absolutely wrong at his perception or in his words.. lets just be practical for a while... one day our house maid bunked her duty for a foreign trip with her boyfriend.. and this issue had come to your notice after a week when returned to work...  and to be frank if you raise the issue in her presence... its just like you are poking your eye with high sharp edged(.001mm)  reynolds ballpoint pen.. and the one need not say the consequence of this beauty act..

    so, Mr. senator of the very pure thick america..  please i suggest you to keep your tounge twisted inside your mouth with an heavy weight dumble attached to the other end of it... and remember who(indians) knows the work also know how to make others(rest of world) work for him.. once an owner is once upon a servant... so go sleep....
By rakesh.t , B.Tech/B.E. student, m.v.s.r engg.college, hyderabad  | 08 28 2010 15:09:33 +0000
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Well if it wasn't for companies like Infosys, US would have hit the rock bottom in Economy with no signs of coming up. Be it a chop shop or not, why are the businesses seeking Infy, is evident enough of the cost advantage they get.
By Pavan Kumar, Program Manager, Sapient Corporation  | 08 16 2010 09:19:08 +0000
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Everything look yellowish for the jaundiced eyes.
By Abraham Paul, Senior Telecom Consultant, FCOMNET- Future Groups  | 08 14 2010 13:07:05 +0000
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THE WORDS USED DENOTE THAT THEY ARE DESPERATE.THEY SHOULD NOT FORGET THE FACT THAT ONLY  OWING TO NON AVAILABILITY OF TALENT MATCHING INDIAN STANDARDS AT A LOWER PRICE COMPELLED THEM TO OPT FOR INDIAN COMPANIES. WORLD WILL NOT FORGET INDIANS HAVE A VERY BIG ROLE IN THE DEVELOPMENT OF US COMPANIES AS MANY CORPORATES ARE DEPENDING UPON INDIANS AND INDIAN COMPANIES.
By s.baalu , Consultant, XYZ LTD  | 08 14 2010 12:51:24 +0000
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I do agree with the argument of Pooja.  What Indian companies are doing outside India is the same.  The words used for describing the situation sounding harsh.  There is a strategy behind the picking up the most respectable company like Infosys, however it hurts the sentiments of Indians. 


By Srinivas suravajhala, Asst. Manager.  | 08 10 2010 08:13:44 +0000
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This is the crux of globalization... You should be able to get the best possible talent for any particular job at the best possible price. Whether the talent is in the USA or any other part of the world should not matter. Americans have been teaching globalization to the rest of the world for decades now. Why should they get so worried???? Or were they actually teaching Americanization of the world rather than globalization???
By Nandan Gijare, Program Manager, Cognizant Technology  | 08 10 2010 07:00:46 +0000
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Thanks Puja,

This statement shows the pressure of competition and political pressure On US Senator, I would say it is just a eye wash statement for the Americans...

I storngly condem the statement ....

 

 
By G.Ramana Prasad, Sales/BD Manager, INTERACTIVE DATA SYSTEMS PVT. LTD  | 08 10 2010 05:27:55 +0000
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I think this is similar to Indian Parliamentarians arguing about giving space to an MNC like POSCO in Orissa or the debate about Genetically Modified Vegetables. This comes from what we can call 'Ultra Nationalism' wherein the premise of the argument is that MNCs are here to rob our country of wealth. True , there are some who do, but 85% of the MNCs in any country are there to create wealth and prosperity for the local populace and in doing so trying to add value to the money invested by headquarters. I think Infosys is one of the responsible companies which try to abide by the law and culture of country in which they operate in. So the tag of 'Chop-shop' is entirely unwarranted.
By Venkat C S, Business Analyst - Risk and Pricing, Genpact India  | 08 10 2010 01:43:56 +0000
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The are just creating an environment of enemity between the MNCs , So that there Home market could stable at faster rate. The Globalisation is essential aspects of Growth and innovations... I strongly Condemn the Word " CHOP SHOP"
By Arvind Singh, Assitant Manager, Reliance Communicaiton  | 08 09 2010 13:05:50 +0000
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