| Author | Message | ||
     Maverick Side Hero Username: Maverick Post Number: 9514 Registered: 01-2008 Posted From: 192.146.101.24 Rating: N/A |
aps tammud h1b l1 bhai bhai..light teesuko | ||
| Apsrtc Junior Artist Username: Apsrtc Post Number: 451 Registered: 08-2008 Posted From: 69.141.26.63 Rating: N/A |
As a strong supporter of this outsourcing.. I myself screwed up my prospects due to billing rate changes and I am not blaming the system as I know the truth. My billing was more than 90 at one point of time. Now it is reduced to 65 per hour. Many consulting firms where my friends used to earn 100+ per hour with bonus and benifits fired on the same day their contract ended. I am sticking to it still with low salary. Vote for Congress Party | ||
| Shawshank Comedian Username: Shawshank Post Number: 1231 Registered: 08-2008 Posted From: 212.249.201.85 Rating: N/A |
When it is a blood bath all over the world, why should somebody expect it to be peaceful and serene in your street. I am a contractor myself, I have been on bench of longer periods, I have seen my billing rates falling, but that is the way it is. As Quantum said, there will be more competition and it is not just going to be from Eastern European block, also from many other countries like Philippines, Sri Lanka etc .. who will you complain to then ? I do not know how long people whining here have been on bench, but I know good knowledgeble candidates with fair amounts of experience (more knowledgeble than I am ) who were on bench for the last 6 months. They have families to support, bills to pay and lives to survive. And finally, luck plays a crucial part and more so in this competitive markets. Nataraja swaami jatajooti loki cherakunte .. viruchuku padu sura gangaku viluvemundi .... http://lkadvani.in/ BJP ko vote do .. Bharat ko bachao .. | ||
| Pplsuck Junior Artist Username: Pplsuck Post Number: 99 Registered: 07-2008 Posted From: 99.234.115.56 Rating: N/A |
It is a simpe of question of demand and supply guys.......idelaa undantaey, janthikochchi murukuni choosi navvinattundi........ if any, american gaallu H1B meeda yedusthaaru, bcoz they think they are entitled to better pay being citizens and H1B is screwing it up for them ani........ilaa H1B vallu TCS and Co meeda yedavadam too much comedy undi.... if market is not ready to pay some SAP guy >$100/hr, it means the guy is not worth it......they can cry on all the people and blame it on everyone out there....but the simple fact is he overvalues his skillset and his worth....... "maa thaathalu netulu taagaaru, maa moothula vaasana choodandi" antey navvipothaaru.......may be all SAP/Java guys were ble to sell them very high in the past, but please today's reality is different......please move out of the past as soon as you can for the well being of yourself and everyone out there..... Go read Supply/demand plzzzzzzzzzz | ||
| Apsrtc Junior Artist Username: Apsrtc Post Number: 448 Registered: 08-2008 Posted From: 69.141.26.63 Rating: N/A |
Yes. in terms of assets and money it manages.. it is not a NYSE or nasdaq listed company. Vote for Congress Party | ||
| Tinku Side Hero Username: Tinku Post Number: 2235 Registered: 08-2008 Posted From: 198.133.105.244 Rating: N/A |
Are u sure it is a $500 billion company? Also $500 billion in what terms,market cap? Cycle ekkocchi chettho oka railu pattaaa pakkaki tappinchi set chesi unchite, elli loyalo paduddhi engine - OT after watching PB. | ||
| Apsrtc Junior Artist Username: Apsrtc Post Number: 446 Registered: 08-2008 Posted From: 69.141.26.63 Rating: N/A |
as naked_basket said.. billing rate reduction is market issue. I worked for a company is most decent and most profitable non wall street high end financial firm reduced the billing rates from 15% to 45% in some key areas to embrace market. One vendor had SOW contract until 2010.. they cancelled it and requested fresh bids from the same team.. to save few hundred million dollars as the current market rates are down and many people offering low fee services. I am talking about 500 billion company with IT budget more than 2.1 Billion. When such big firms with decent earning go for such drastic steps.. what happening in your street is not common. Vote for Congress Party | ||
| Der_schuler Junior Artist Username: Der_schuler Post Number: 234 Registered: 01-2009 Posted From: 199.171.86.140 Rating: N/A |
True Infact, job market evolution during recession is actually a interesting field of study....recession puts forth as employer driven market i.e markets where people who employ and hire call the shots and they fix the wage...and if they decide to lower the wage....the fictitious scenario of TCS etc being absent wouldn;t change a thing.....coz n e ways he will do anything and everything to maximise his profits and liquidity to prevail the recession!!!!! | ||
| Der_schuler Junior Artist Username: Der_schuler Post Number: 233 Registered: 01-2009 Posted From: 199.171.86.140 Rating: N/A |
With due respect, I don't think you understand the dynamics of the markets u are participating it...A bit of research will help you understand it...... Rates and depreciation thereof is purely a market signalling process which will be solely governed by markets!!!!!!!!!!! and monopilsation is a part of that game.....cuz TCS etc can monopolize wage structure doens't indicate that they are bad...it only says that the market values them higher than the others as simple as that....it is akin MS setting the price of desktop software.......it owns 80% of the share and it dictates the way the prices evolve in the market.... and I think u, me or anyone is qulified to talk about quality of work....the market won't favorably value inferior quality......coz the effect of loosing a client far outweighs the benefit of cheap labor.... brace urself for more cmpetition...as India will vansih from the scene and people form eastern european nations will swarm the markets in the next decade and guess what they are far more desperate...and far more smarter than current players....this is not going to change for you or me | ||
| Newguy123 Junior Artist Username: Newguy123 Post Number: 987 Registered: 01-2009 Posted From: 67.84.74.19 Rating: N/A |
india lo 10-15K kanna ekkuva vachevadu kuda fraud yena? | ||
| Kadapafan Side Hero Username: Kadapafan Post Number: 2662 Registered: 01-2008 Posted From: 122.169.71.146 Rating: N/A |
This is OBVIOUS. Competition will increase during tough times and rates will further fall.... If I have a billion dollar company, I can even offer free servies at this market to attract new customers (ofcourse free means compensating from next year...) | ||
| Kadapafan Side Hero Username: Kadapafan Post Number: 2661 Registered: 01-2008 Posted From: 122.169.71.146 Rating: N/A |
okk... Asalu Outsourcing kottenti babulu?? Its an age old thing, but in Manufacturing sector... | ||
| Siddharth Junior Artist Username: Siddharth Post Number: 186 Registered: 01-2009 Posted From: 67.159.50.91 Rating: N/A |
Agreed supply demand valla rates will deteriorate...but 6 momths back vuna rate ravatledu...6 months back kooda recession vundi....even American vendors are cutting down on the billing rate...enduku...because of high competition they've got from Tcs/wipro/Infosys. | ||
| Kadapafan Side Hero Username: Kadapafan Post Number: 2660 Registered: 01-2008 Posted From: 122.169.71.146 Rating: N/A |
IBM vallu iche rates ee Indian company ivvaledu... | ||
| Apsrtc Junior Artist Username: Apsrtc Post Number: 445 Registered: 08-2008 Posted From: 69.141.26.63 Rating: N/A |
I am not talking about consulting and audit firms. The term used for Big-4 for discussion. I agree..add CSC and EDS now HP also to the list. Vote for Congress Party | ||
| Der_schuler Junior Artist Username: Der_schuler Post Number: 232 Registered: 01-2009 Posted From: 199.171.86.140 Rating: N/A |
people who were busy billing 100$/hr were unaware of the plight of people in third world nations when the so called capitalist G8 forced countries like Indonesia, Malaysia, Vietnam, India and Burma to forcibly open up their agrarian markets to the cheap produce (owing to mass production) and subsequently kill local markets , farmers and micro finance structures by driving several small scale industries to a catastrophic death......weren't we in some sense also responsible for the thousands of deaths of farmers when local markets fail to price them..fairly owing to thrusted mass produce from the west???????? People who were Gap and Armani should understand that every shirt they buy takes away a couple of farmers from the local markets as they are forced to migrate from villages to so called cities to participate in a forced globalization............WHAT GOES AROUND COMES AROUND | ||
| Kadapafan Side Hero Username: Kadapafan Post Number: 2659 Registered: 01-2008 Posted From: 122.169.71.146 Rating: N/A |
exactly...alaa free markets kaakunte firstly H1-B ane concepte undadu | ||
| Apsrtc Junior Artist Username: Apsrtc Post Number: 444 Registered: 08-2008 Posted From: 69.141.26.63 Rating: N/A |
Why do you need a PHD to implement a SAP module? What are the so called skills you need for SAP consultant? Dont be hypocrite.. think logically. The guys in Hihgher billing rates are most and most fraudsters. Open your eyes and accept facts. Desi companies if they bid for less rate.. they must show an explanation.. it is not an easy thing what you think.. first try to understand and accept facts.. before crying up with your ignorace. this is ur last response to you.
Do you know that IBM, Accenture and CTS also quote the same prices what the Indian MNCs quote? What an hypocrites are you guys when it comes to blame someone with preset mind set? Do you IBM outbid indian MNCs in many contracts since three years? Vote for Congress Party | ||
| Kadapafan Side Hero Username: Kadapafan Post Number: 2658 Registered: 01-2008 Posted From: 122.169.71.146 Rating: N/A |
Annai idem definition?? Big 5 ani Anderson Consulting, Deloitte, E&Y, KPMG, PWC ani ane vallu, those are in auditing and all, not in IT Enron taruvaata Anderson went off, and it became Big 4 - Deloitte, E&Y, KPMG, PWC IBM, Accenture, Deloitte, CG ni evaru inta daaka group cheyyaledu naaku telisi... CapGemini is not so strong, ee roju anna lepeyyochu company... Top companies in IT Services are: IBM, Accenture, HP (After acquisition of EDS), CSC... CTS cannot match these companies on any thing... | ||
| Siddharth Junior Artist Username: Siddharth Post Number: 185 Registered: 01-2009 Posted From: 67.159.50.91 Rating: N/A |
manam chese jobs lo american workers percentage is very low... mana skillset vallaki vundadu..since ippudu vuna most of the workers were unable to adapt to the new skillset....ayina con_W2,con_corp_w2 based jobs anni valle chesthaaru... manavi anni corp_corp...ee corp-corp lo kooda ee tcs/satyam/infosys kukkalu laga kottukuntayi | ||
| Kadapafan Side Hero Username: Kadapafan Post Number: 2657 Registered: 01-2008 Posted From: 122.169.71.146 Rating: N/A |
This is CRAZY... Billing Rates depend upon Market trends... Airtel kottallo vachinappudu Incoming 12rs per minute ki use chesina rojulu gurtunnayi naaku, Competition entered, Supply perigindi, Demand taggindi, Rates taggayi, Incoming free ayyindi Competition lenappudu rates untaayi kaani, competition unnappudu kaadu Any industry will be the same, indulo Infy, TCSlanu anadam enduku?? Looking at it the other way also reveals the same: Any thing commodity ayyenta varaku daani pricing ekkuva untundi, taruvaata taggipotundi...this is pretty natural If not for Infy, TCS etc.., vere companies would have done this, thats how industry works... | ||
| Der_schuler Junior Artist Username: Der_schuler Post Number: 231 Registered: 01-2009 Posted From: 199.171.86.140 Rating: N/A |
asalu ikkadi janalaki ardham cheppalsina vishyam evitante......just because satyam or TCS quotes lower billing rate doesn't drive down the market wage....They can drive down the market rate unilaterally in only one scenario...if they have a workforce of equitable quality who is willing to work for less..... if they indeed have quality in their ranks..their they are in no way responsible for the dent in wage structure as free markets profess that agents which bring maximum utility to a given unit investment will be braced by the market. The market will not differentiate between geographical disparities or cultural as free markets purely treat job markets as wealth generation agents and they have no other humanitarian value associated to them..... It is surprising that ppl who live in the US of A...the grand thief of modern era.....which professes that anything and everything is valid as long as you have the bang for the buck are now talking about humanitarian considerations....wage structure....... | ||
| Newguy123 Junior Artist Username: Newguy123 Post Number: 985 Registered: 01-2009 Posted From: 67.84.74.19 Rating: N/A |
H1B workers raavatam valla americans ki bokka billing rate vishayamlo.. TCS,satyam etc companies valla H1B workers ki kuda bokka.. | ||
| Apsrtc Junior Artist Username: Apsrtc Post Number: 443 Registered: 08-2008 Posted From: 69.141.26.63 Rating: N/A |
Big 4: IBM, Accenture, Delloite, CapGemini.. but it is taken over by CTS. These are mostly US based.. but they have 10s of employees in India doing offshore-onsite model jobs. Vote for Congress Party | ||
| Newguy123 Junior Artist Username: Newguy123 Post Number: 984 Registered: 01-2009 Posted From: 67.84.74.19 Rating: N/A |
TCS,WIPro,Infosys,satyam anukunta.. | ||
| Siddharth Junior Artist Username: Siddharth Post Number: 184 Registered: 01-2009 Posted From: 67.159.50.91 Rating: N/A |
ikkada billing rates thaggadaniki discussion nadusthundi...market meltdown meeda kaadu.... billing rates thaggadaniki main reason ee bloodsuckers Infosys/Tcs/wipro import chese low billing employees valla | ||
| Kadapafan Side Hero Username: Kadapafan Post Number: 2656 Registered: 01-2008 Posted From: 122.169.71.146 Rating: N/A |
ee low billing rates valla market down avvadam enti?? Any Industry will go through 4 phases: 1. Nascent Phase: Where no one will believe that this will work 2. Growth Phase: Where every one believes that this will happen and invest heavily 3. Stabilization Phase: Where all the high spending will stabilize, i.e. prices will stabilize 4. Dying Phase: Consolidation of companies, lowering costs, lowering margins etc.., IT Industry in India is between 2 and 3... | ||
| Kadapafan Side Hero Username: Kadapafan Post Number: 2655 Registered: 01-2008 Posted From: 122.169.71.146 Rating: N/A |
Annai, Big-4 ante em companies?? first time intunna ee terminology... | ||
| Siddharth Junior Artist Username: Siddharth Post Number: 183 Registered: 01-2009 Posted From: 67.159.50.91 Rating: N/A |
Since yesterday, andaru cheppedi okkate outsourcing valla problem kadu... India lo nunchi employees ni cheap lo theppinchi ikkada work chepisthunnaru... MS/PHD lenollu kooda ikkada high billing rate ki pani chesthunnaru ikkada.....degree doesnt matter... kani so called Big 5 valla ee billing rate meltdown started...no wonder QA job ki 10$ meeda kooda bidding chestharu ee so called Big 5 | ||
| Apsrtc Junior Artist Username: Apsrtc Post Number: 442 Registered: 08-2008 Posted From: 69.141.26.63 Rating: N/A |
Rising: nannu mannichu.. ninna kondarini chosi baadha vesindi as they lost jobs and 5 of my closes friends do not have jobs and I feel sad.. but I want to tell the opinion on outsourcing as I believed in this practice very much.  Vote for Congress Party | ||
| Apsrtc Junior Artist Username: Apsrtc Post Number: 441 Registered: 08-2008 Posted From: 69.141.26.63 Rating: N/A |
What a H1B worker/consultant must do: I must agree and feel very sad that many of my close friends lost jobs and trying very hard to meet their ends since few months due to very bad job market and recession. I want to express my sympathy and best wishes to pass through this tough situation they are going through. I am sure many of them frustrated a lot due to vanishing job markets. But I want to tell my opinion on to look back and understand the crisis a person is going though. Take your skill set and your job profile and do a SWAT analysis of what you are and how you and what went wrong and what is the solution to issue on case by case basis. Few things I see now are: -> Technology Domain they are into and its prospects -> Current pay rate one is getting and how much different than peers in the company -> Competition and threat within the domain if you are highly billable and very old associate and they can replace ur functions easily. -> Major changes in the company - IT Procurement process evaluations and new biddings, change in strategy of IT management. -> Market factors - Future of the technology and supply of resources in the market. They must think hard to look for alternative career plans or education to jump-start another career or business opportunity. PS: One must understand and know that I am not questioning or blaming anybody is worthyness or credibility or skillset or any of it. It is just analysis. Vote for Congress Party | ||
| Apsrtc Junior Artist Username: Apsrtc Post Number: 440 Registered: 08-2008 Posted From: 69.141.26.63 Rating: N/A |
Talking about malpractices and fraud on H1Bs and Indian MNCs: US H1B/Desi consultants: Most of the H1B workers at some stage of their life gone through this kind of fraud and malpractice at various levels to succeed in life. As we all came to US for better living we faced all that and gone through the pain and sorrow of hassles. Most of the malpractices and fraud was come out of utter greediness of Desi consulting firms and some greedy people who don’t want to leave a dollar also in their life. I do not want to deviate the topic on Desi consultants from the H1B workers issue. Indian MNC: a. Indian companies never paid under pay compared to prevailing wages and the blame is lack of awareness. Their pay as explained is moderate and not the best one can get in US. Due to extreme pressure at Indian consulates and Indian MNCs not able to send their resources in time they have sent few resources for few weeks on B1 visa. This is not common to Indian MNCs. It happened in US corporations and US Big 4 IT companies. All the issues related to visas are systematic troubles they faced and even US government is aware. I admit it is a mistake to do it, but in some cases it is must and necessary as I have seen it. b. Some companies bring H1B employees to US and then look for companies and I admit it is a mistake on their part and they must not have done it. Few companies used to do it and it was stopped when the costs of employees become high and they forced to keep resouces in India. Pointing the blame on Indian companies in this crisis: As I explained above the major factors are not Indian companies. Many changes within IT have brought us lot of pressure. On top of that current economy holding up all the projects and reducing costs and resources ruthlessly and putting burden on existing resources to meet their short term goals. Indian companies not even share 10% of the whole crisis the US workers going through and they themselves hitting very hard in surviving through this economies. I am afraid that many Indian companies again go through a series of closures and bankruptcies if this kind of restrictions applies on us. Vote for Congress Party | ||
| Risingstar Side Hero Username: Risingstar Post Number: 4716 Registered: 08-2008 Posted From: 68.38.156.109 Rating: N/A |
 Anna TDP, NTR TDP cross chesaka TDP sangathi chuddam | ||
| Apsrtc Junior Artist Username: Apsrtc Post Number: 439 Registered: 08-2008 Posted From: 69.141.26.63 Rating: N/A |
As someone pointed out their pay is less compared to US counterparts. They must know following facts that -> Indian H1B/L1B worker is not in the same pool as you are and his nature of employment and life is temporary and due to this fact the salaries are based on the CTC (cost to the company) model for onsite employees across board. They never have to look back with Americans since they agreed to this pay before boarding the flight and they themselves wanted to go. -> If an employee is so worried about their pay is very less compared to co-worker on H1B must stop thinking that way since their route to American dream is different and if at all they want to pursue that dream they must not join Indian MNC and sulk into this dilemma that I am getting paid less and have to look for H1B employment in USA by leaving to India and come back on H1B employment. Those who point out salaries of Indian MNCs has none of their business since outsourcing companies are not here for employee benefit or US Desi worker’s job markets as they are in to business and they must have to follow certain processes and they must meet their financial goals. US H1B Worker/IT Consultant: -> As I already explained about what their backgrounds are, their employment itself lives on a very thin line between employer and employee trust on paying salary or paying his percentage of billed money earned. -> Some of them very lucky to get into good hands of employers who treat them very good and work on professional grounds in all the times. -> Their pay itself is not sure until their project billing cycle starts and it all depends on the terms of employment we discuss at the time of applying H1B. Some of exceptions to this who are setup a bi-weekly or monthly salary cycles without going too far on the money they earn. -> Many of them try to live their American dream fully by having everything and it is necessary for them to have a good job with decent pay. So their expectations are reasonable and they work hard to meet them. -> Since they feel or they think that they earn good amount of money they never bother about their way of life or their way of working with all these consulting issues and bottlenecks they have in dealing with vendors and employer and middlemen. Many H1B workers do not get paid when they are on bench. When we ourselves don’t have a standard salary structure and their prospects scattered, there are no moral grounds for one to blame an organized business process that was going since years with some set of commonly agreed standards. They face all these risks to earn money independently and want to live independently. When we have such independent life we must have to face all the circumstances in the consulting world with patience and dedication to succeed this life. Vote for Congress Party | ||
| Apsrtc Junior Artist Username: Apsrtc Post Number: 438 Registered: 08-2008 Posted From: 69.141.26.63 Rating: N/A |
H1B Worker/IT consulting employee Vs Indian MNC companies IT employee: US H1B: They have adapted to US work culture and life style and they want to live an American dream with most necessary things in life while working on H1B Very few of them hold Masters in their respective field they are working and most of them do not have any correlation to their master’s education and their current work they are doing Many MS graduates not prefer to take up entry level jobs and they only prefer high billing rate jobs due to the fact that you can fake your resume for 8 years and you can learn a technology fortnight as crash course from a friend or Internet. Many of the H1B workers working in small Desi consulting firms came from India with American dream. At least 50 of them not able to get a job in India in the stiff competition plan to come here and apply for H1B with no industry experience. Other 50% pool has vast experience and knowledge in the field they are working and they come to US to make a quick buck on the trend and boom. However every H1B worker work hard and to get through projects and during this process they learn a lot and work hard to succeed in their career. As they pass through projects they reach to a certain point that they can beat anything and their confidence level increased. Work culture of H1B worker: MS grad: They have gone through the tough life in school and they learn hard lessons of life in US. They follow a different standard and they try to live to that style and their adaption is very quick as soon as they join the projects. H1B India direct with no experience: Try to follow the people around quickly and able to change and adjust his work culture to meet their goals. H1B India with experience: They have already has a preferred work culture and they try to continue to that and sometimes depending on circumstances they change the way they work and they live. As everything has exceptions some people are totally different and they have no match to what their education and how they are and they live up to it or they behave stupid. So let us not worry about them since they never change. Indian MNC IT worker: -> Start their career as entry level techies as fresh graduates joined through campus/off-campus recruitment go through stringent training in their respective field they are working and they get enough exposure to understand the domain and technology -> They must have passed through many hurdles in picking up to project, proving their expertise in offshore to get best recommendation from onsite manager or PM offshore. -> They land up in US to work on short term with the intention to go back to home office as soon as they finish their project (let us keep visa issues aside for another topic). -> The onsite associates are paid SALARY not hourly RATE due to the fact that the project must have multiple factors of billing on time and materials or project based rate or hourly which is completely different from a consultant hired directly. -> Due to all these factors the salary that is paid to these employees is not the best in US but is a reasonable pay for short term assignment an employee was sent on deputation. -> To compensate the moderate salary employee is eligible to get many reimbursements and benefits to offset cost of living and saving few bucks out of that. They even reimburse any lease breakage, car driver learning, internet, cell phone and even taxi cab fee and many more. They pay variable pay depending on the housing costs to offset high rents. They process tickets and travel arrangements to spouse, children by themselves during the tenure of the onsite assignment. Earlier they used to pay for vacation travel also and it was stopped due to market conditions. They setup help desks to support travel and other logistics to the employees that are facing trouble. Their work culture: Many folks who come on site have given some basic training or no training on the work culture and Dos and Don’ts in US. Earlier US bound employees used to go through strict training and to reduce costs they reduced all these training processes as employees are increased. Due to internet age, people are aware of many things happening here and they follow them most of the time. Few people try to work as per Indian style as they do not have proper guidance and proper awareness It is offshore Manager Responsibility to bring up speed on the way they behave and work with US co-workers. Many times it was provided and in some cases it is lacking. Since their assignment is short term, they move in groups and they try to live very simple life and try to manage with basics. This may look unprofessional to others but it is unavoidable due to the fact of Indian culture in moving groups. Also most of them visit on short term to impress their work or business model to client and they forget everything in life about social life and personal time they spend. They dedicate their life 24X7 to work when they are in US. It is not an exception to US H1B workers. They also do the same depending the situation. PS: It is for comparison sake nothing personal. Vote for Congress Party | ||
| Apsrtc Junior Artist Username: Apsrtc Post Number: 437 Registered: 08-2008 Posted From: 69.141.26.63 Rating: N/A |
Comparison of Success of US –Big4 IT companies versus Top 5 Indian MNCs: The reason I brought the US Big-4 IT firms are due to the fact that they do considerable amount of business and they are the ones most highly paid consulting business people and implemented lot of EI and CRM and SAP and ERP solutions. Later Indian MNCs followed and entered the domain more aggressively. US Big-4 Companies had huge success in implementing full life cycle development projects from scratch or migration Indian MNCs and major outsourcing firms had huge success in maintenance and support projects and business continuity projects where not much innovation was needed. Indian MNCs also had success in full life cycle development projects from scratch/migration in medium form when compared to US counterparts. The reason is the US Big-4 companies have vast talent pool that is very good at project management, planning and architecture and execution. Till today they are number one in that area due to their affinity and business culture they have adopted and their ability to implement large projects with excellent planning and organization. I am not completely striking off Indian counterparts here but they are ahead of this race. The reason for Indian MNCs have huge success in maintenance and production support projects was due to vast number of resource pool and quick adaption of skills and environment and dedication towards work 24X7. That’s why many US corporations have Indian resources working on their own payroll manage all critical IT functions as they are such dedicated people. It is clear that their areas of competency and success rate clearly defined paths to them and able to acquire markets on the same principle. They are able to bid and win successfully in their own domains without any issue so far. Vote for Congress Party | ||
| Apsrtc Junior Artist Username: Apsrtc Post Number: 436 Registered: 08-2008 Posted From: 69.141.26.63 Rating: N/A |
How above actions affect an individual H1B worker or Individual IT Consultant on GC/EAD/Citizen: -> The flexibility of higher teaser rates is gone due to very few preferred vendors and demand and supply. Preferred vendors do not pay higher teaser rates due to control they have on the resources and demand and supply chain. -> Due to rates saturation many people are not offering Corp-2-Corp engagements and they preferring individual consultants on 1099 and W2. -> Due to very thin margins in the low billing region less than < = 50, consulting companies recruiting full time employees pool available through EADs or through GC to pay fixed salaries. -> Lack of vendor networking and internal connections bringing the Consulting market to standstill. Very few positions open up and they are taken away by their own bench pool or through internal networking candidate or an ex-consultant and they never show up on dice/monster -> Number of H1B holding and number of preferred vendors they have in their network. Not having many preferred vendors in their business is a key factor in this economic condition. It will directly affect H1B worker whose technology is vast and demand supply are not matching. I strongly feel many consulting firms did not invest profits in building a good relationship with many organizations fearing competition and it is affecting its workers when market rates are saturated. I am afraid that they never even looked at their technology domain pool and their partner’s resource requirements while recruiting them and raising concerns on the risks appropriately to their employees. -> At many large/medium corporations Indian MNC and US (CTS/Accenture and etc) outsourcing companies are taken as preferred vendors for all consulting activity since early 2008. This affected the many vendors on the block due to their competitive advantage the rates are not high and very few that came up through other vendors are filled up by as I explained above. So less rates is totally a myth and it is nothing to do with MNCs even though they caused the costs to come down. Above two factors affected most number of people on H1B. Vote for Congress Party | ||
| Apsrtc Junior Artist Username: Apsrtc Post Number: 435 Registered: 08-2008 Posted From: 69.141.26.63 Rating: N/A |
The root cause: As every company involved heavily in IT, IT budgets are growing exponentially they started looking at consolidating the IT divisions within the organizations and brought all the IT related work into a single VP or Director level to oversee spending and to control IT costs drastically. In all corporations where IT is brought into a vertical the IT consulting rates and the vendors that are allowed to bid are being scrutinized and put controls at single source. During this period existing US Big4 IT companies aligned their business model to present in such a way that suits the newly formed IT Verticals. Indian outsourcing firms also followed the same principle and offered even more competitive These IT verticals are approached by these major Indian outsourcing majors and US Big-4 (existing or new) with the Outsourcing model to perform Requirement gathering, business analysis and architecture and PM, Business critical work in US and doing major IT and development and maintenance in India or wherever outsourcing is setup. The success for Big-4 US IT companies is also huge when compared to Indian majors. But the number of clients and projects done by Indian outsourcing companies are very high and due to this factor the US Big-4 IT companies presence is not seen much. However they represent approx 30% of outsourcing work. We will compare them in detail later. Most of the blame is pointed towards Indian outsourcing companies due to the fact that they offer cheap billing rates and etc. This is a FALSE image. We will discuss about rates in detail later. Low billing rates and less market for new technologies: b. Wherever consultants used to pay very high hourly rate mostly falls under an IT company that had no single IT division where enterprise level IT cost control is enforced or else IT costs are directly managed by the respective business group and they might not had exposure to market rates prevailing in the similar technologies. At these client locations Contractors procurement process is not streamlined. A project manager can directly recruit and sign a new vendor agreement with direct consultation with Legal department have lot of flexibility to pay at rate higher than market rates offered by these companies. This option worked out for many consulting firms until now and it is still an option at many organizations. However it is getting difficult day by day to get to such companies. c. Wherever procurement and billing rates are standardized across the board have strict controls on the rates offered to vendors and exceptions are handled by single person like VP IT Division. All rates are defined based on location and market segment and local employment market. d. US Consulting firms greediness. All US Desi and American consulting companies’ lack of work ethics and narrow mindedness brought lot of change in consulting. First of all they lack unity and integrity to work on a set of common practices. Their aggressiveness towards successful business and to make profits and to cut short the competition they encourage various methods to get their candidates placed. Due to this many malpractices started in US companies where they favor many candidates paid highly and they are not able to meet the goals and provide kickbacks in various forms to the Manager who is hiring. e. To enforce malpractice and enforce standard rates the companies came up with strict vendor scrutiny to address various methods are put into practice by enforcing enterprise level and they are limiting contractor/vendor duration at a location and their frequent vendor bidding process to address competition to select preferred vendors brought them to knees and the profit margins are become very thin. f. On top of that they are facing constant rate pressure and vendor certification, recently since early 2008 Indian outsourcing firms also selected as preferred vendors in many corporations on SOW basis. Statement of Work basis means they have fixed timeline and they have multiple business function solution they can offer at a standard pricing schedule for a period of time like 24 months to 36 months. Vote for Congress Party | ||
| Risingstar Side Hero Username: Risingstar Post Number: 4708 Registered: 08-2008 Posted From: 68.38.156.109 Rating: N/A |
 Anna TDP, NTR TDP cross chesaka TDP sangathi chuddam | ||
| Risingstar Side Hero Username: Risingstar Post Number: 4707 Registered: 08-2008 Posted From: 68.38.156.109 Rating: N/A |
 Anna TDP, NTR TDP cross chesaka TDP sangathi chuddam | ||
| Apsrtc Junior Artist Username: Apsrtc Post Number: 434 Registered: 08-2008 Posted From: 69.141.26.63 Rating: N/A |
The background: Many small and medium companies in US never exposed to Outsourcing until late 2000 due to very less IT costs and moderate IT managements where IT costs are not driving the organization and dot com boom about to explode. Big Corporations in US exposed to outsourcing since Y2K issue and later in dot com boom they continued in bits and pieces. These outsourcing companies made into inroads of major corporations offered end-to-end solutions or SOW or project based works executed in India or onsite itself. The Big 4 IT and major US companies saw a threat from Indian outsourcing companies. Immediately they started operations in India and other countries to offset any outsourcing model competition to continue in the major IT contracts at big corporations by dividing US work (PMO and Project implementation) and Indian chunk (IT and IT related work force). During this period Accenture, Delloite, IBM, Cognizent, CapGemini, EDS and even small players like CTS, Keane. IT companies developing products also started looking at Indian IT route to reduce costs like Verizon, HP, Microsoft, Oracle, Siebel, SAP, Motorola and many more followed the route to India to recruit the Indian talent. When this transition is happening the H1B workers did their best in earning good money small and medium scale US companies where IT costs are less and they want to implement projects rapid and where they must need an US resource. Also some major US corporations also used to hire H1B/consulting workers since IT is not streamlined and controlled through single person. So it was not affected any US H1B workers or US GC/citizens doing Consulting and IT Project management are in to different league. Also in US Big4 IT companies also recruited Indians in very high numbers since they initially offered to do H1B Visa and had no restrictions on visa issues. So for fresh MS graduates and GC holders these Big 4 IT companies also helped in doing consulting jobs. This is continued in major financial and Technology companies also where they directly hired H1B workers on to their payroll to process GCs and they given good benefit packages. So major Big-4 US IT companies continued that growth and able to successfully compete and bid on these big IT contracts and able to win especially in Finance/Managed health care/Government and Automotive/manufacturing industry. At the same time Indian outsourcing companies also able to establish a footprint on all sectors by entering into pilot projects and later signing big IT contracts to a certain division or groups not enterprise wide. At this point of time explored all functions of business and started transferring call centers also to India and other countries where it is cheap. BPO also explored by many US corporations. It was started to pick up from 2004 onward and formed into major industry in 2005-06. BPO growth was at peak in 2007. During this period also many US critics blamed BPO industry for taking away American jobs. Some companies brought back and some companies took it to Ireland/EU and South American countries where English is primary language. But many Americans are affected by this and their future was not the same as before it used to be. Vote for Congress Party | ||
| Apsrtc Junior Artist Username: Apsrtc Post Number: 433 Registered: 08-2008 Posted From: 69.141.26.63 Rating: N/A |
Introduction: Many of us pointing blame on Indian outsourcing companies for the current situation of low billing rates, low pay and less number of projects. There are multiple reasons and factors that are driven this industry since years. All these factors directly or indirectly brought us into this situation. I just spent two hours two write this up based on my 8 years of experience in this Outsourcing and IT Consulting. Please discuss on a system wide rather an example or personal situation. Vote for Congress Party |
