3 ms·
The failure of software outsourcing is really quite interesting, especially since telework is working decently well. That seems to eliminate the “remote work do
by api 5y ago
The failure of software outsourcing is really quite interesting, especially since telework is working decently well. That seems to eliminate the “remote work doesn’t work” objection.
It was not for lack of trying. The management class pushed it very hard. There are still many firms trying but it’s not really panning out.
From what I have seen the answer is that good software engineers are globally scarce and the good ones in India or Eastern Europe make enough that outsourcing isn’t that profitable once all overhead is included.
“Insourcing” is becoming a bit of a thing. You can get some salary benefits outsourcing to lower cost domestic places like Nebraska or Kentucky and not dealing with language, time zone, international currency exchange, legal differences, or other headaches. These folks can also travel to your office for an in person meeting in hours not days. Oh and their power grid and broadband are reliable too.
The jobs that have been most successfully outsourced are low to moderate skill manual jobs where basically what is needed is huge numbers of cheap hands.
- cableshaft 5y agoAlso a lot of the good software engineers in India end up relocating elsewhere, like the US, to get better pay. I've worked with a lot of really talented Indian software engineers, and some really terrible Indian developers (I hesitate to call them engineers). All of the talented ones had relocated and were living in the US. I'm sure there are some talented software engineers that stay in India also, I just never end up working with them (probably because the companies I worked for were trying to save a few bucks by outsourcing to begin with, and went with the lowest bidder).
- mbrodersen 5y agoIt is obvious why: the great developers in India start their own companies or immigrate. The bad ones work for outsourcing companies.