An exclusive extract:
It is increasingly clear to global managers that outsourcing is not about "exporting jobs"; it is about "importing competitiveness." Firms compete. Motorola competes with Nokia and Samsung. GE competes with Siemens. IBM competes with Accenture, Infosys, and TCS. This is not about countries but about the competitiveness of firms. It is no surprise that global firms have recognized this need to access skills from around the world to compete effectively and provide superior service to customers.
This recognition is forcing firms to build project teams that are multi-geographic and multicultural. The focus is not just on cost. Cost is a consideration but equally important is the quality, innovativeness of the solution, and speed. The patterns of work and the composition of the teams vary considerably as the nature of projects and access to talent required varies.
In the following paragraphs, we give examples of firms, such as IBM (established US-based MNC) and TCS (emerging India-based MNC), configuring their resources for specific projects. You will notice that the pattern of resource configuration depends on the nature of the project and where the firms can find the appropriate skills.
The patterns continually change. The relationships across geographies, business units, and vendors are not predetermined or static. The phenomenon is best described as a dynamic configuration of talent based on the specificity of needs.
Image: Young Uruguayan computer engineers at work at Tata Consultancy Services' building in Zonamerica. | Photograph: Panta Astiazaran/AFP/Getty Images
Also read: My judgement is almost always right: TCS boss
Advertisement
