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News Items - ISO & BPO

US concerns on outsourcing more of an emotional one

PTI[ SATURDAY, APRIL 24, 2004 07:39:41 PM ]
CHANDIGARH: Instead of treating outsourcing as an emotional issue, the US should look at it with business logic to see its brighter side and realise the flowback to their own economy due to outsourcing. "While they fear that outsourcing means job losses to their own people, what they seem to ignore is that jobs are created on the contrary. Flowback to their own economies is what they should be looking at in this situation of job churning process and at a time when global economy is restructuring," Nasscom president Kiran Karnik, said at a press conference here. India was emerging as the global hub for the corporate back-office services and the ITES-BPO sector was expected to grow by 54 per cent this year, he said. About India's software exports, he said the country's software industry had grown from a mere $150 million in 1991-92 to revenue of Rs 47,500 crore during 2002-03. "No other industry has performed so well against the global competition. According to a Nasscom-McKinsey report, annual revenue projections for India's IT industry in 2008 are $87 billion with a potential for 2.2 million jobs in IT by that year," he said, adding the IT spending around the world had been decreasing.

Source: http://economictimes.indiatimes.com

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