[Reader-list] New wave of Globalisation!
monica at sarai.net
Tue Feb 12 19:25:32 IST 2002
This is a good document from the other side that does not see the
difference between material sweatshops and html ones...
MEDIA ADVISORY - Globalization Experts Say a New Wave of
Globalization Is Replacing Sweatshops with Office
Parks in The Wall Street Journal Today
Experts Are Available For Interviews on Globalization Topics and the
World Economic Forum
NEW PROVIDENCE, N.J., Feb. 1 /PRNewswire/ -- In a Wall Street Journal
essay published today, globalization
experts at Inductis say that a new era of globalization is allowing
high-end service sector work
to move to some of the poorest countries in the world.
"A lot of people are talking about globalization. We are doing it,"
says Sandeep Tyagi, Inductis President
and one of the Inductis globalization experts who is available for
media interviews. Mr. Tyagi's firm is
helping Fortune 500 companies take cost centers of $100-$250MM and
shave off 30-60% of their costs.
"Thanks largely to the fact that a decent education, Microsoft
Office, and the Internet are all as useful
in Manila as in Minneapolis, the service sector has gone mobile. Poor
countries are sewing sneakers.
And they are exporting billions of dollars in services, from
answering 1-800 numbers to software
coding and Ph.D.-level risk modeling work," Inductis writes in today's Journal.
"The implications of a boom in service trade are immense. It has the
potential to lift hundreds of
thousands of people out of poverty and the potential to either cut
costs for companies that ride the
phenomenon or cut profits of companies that don't," the firm writes.
Of course, the trend does mean painful layoffs and job losses for
some in the short term, but Inductis says
that in the long term, outsourcing high-end work to India and the
Philippines will increase prosperity in
the US. "If we can leverage low-wage labor abroad, we end up
increasing productivity and wages at home,"
says Doug Lavin, an Inductis consultant.
Inductis experts are implementing globalization drives that are
helping US firms set up operations in the
Philippines, China, India, Jamaica, Eastern Europe and other
low-cost, high-quality labor markets. "I was
visiting offshore outsourcing centers earlier this month," said Arjun
Saxena, Inductis Vice President and
a native of New Delhi. "The protesters who claim to be speaking for
people in the Third World have no idea
what the reality of the situation is on the ground abroad. The
globalization of services is helping
educated people find good jobs -- college graduates in Bangalore
today can expect salaries that are 5 times
what they were a decade ago."
Inductis itself is structured using an innovative business model,
designed to capitalize on the next
wave of globalization. Most of its 40-person staff is in the New
York City Metro area, but key
administrative functions and high end analytic work are also
performed at lower cost in Inductis' New
Delhi office. "The idea that 'multinational' means big company is
oldthink," says Mr. Tyagi. "Most US
businesses can and should be redesigned so that a portion of their
cost base benefits from international
labor cost arbitrage. We have the ability and the experience to make
these redesigns happen and have a
strong impact on profitability."
Inductis is a management consulting firm that employs alumni of
McKinsey, AT Kearney, Mitchell Madison, Booz
Allen and other leading strategy firms, but only performs work that
produces high-impact tangible
Messrs. Tyagi, Saxena and Lavin are available for interviews.
Please visit us at: http://www.inductis.com
Inductis is a management consulting firm with an edge built around
the idea that strategy combined with
technology and entrepreneurship can transform business.
Our fact-based approach to strategy starts with data and ends with
tangible results. We use technology and
sophisticated analytics to improve client profitability. We help
firms rethink what businesses
they ought to be in and where. We largely serve the financial and
information services industries.
Current engagements include multiple studies in the areas of: Credit
Scoring, Algorithim Redesign, Risk
Analytics, Internet Strategy Redesign, Turnaround Analysis,
Investment Prioritization, Offshore
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