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This is a big win for consulting firms as their offshore profitability per employee is 3 times higher than onsite. Given a choice, they would want all their emp
by ern 10y ago
This is a big win for consulting firms as their offshore profitability per employee is 3 times higher than onsite. Given a choice, they would want all their employees offshore, and the only reason they had to bring in some % of H-1B's was on the US client companies request, which they may do away with
The clients probably have a reason for wanting consultants onsite. Many modern software development processes ("agile methodologies") require ongoing communication between a customer and developers. This is a lot harder remotely, especially when you factor in language differences and time zones. So a significant number would probably pay more to keep a local dev team.
- techk 10y agoI agree that clients prefer/want their consultants onsite and many of the companies won't compromise on this. But for the ones where cost is the primary factor, they would just keep the critical people onsite. (Onsite coordinator, architect guy etc.,). Regarding timezone, consulting firms already run several projects matching US time. The whole thing is so complex and has so many facets that there is no straight forward solution to it.