PC World - Offshore IT Services Showdown: India Versus China

cleverman · 发表于 2007-9-10 03:22:48

Offshore outsourcing's reigning champion, India, squares off against its upstart rival, China, on software quality, staff costs, advanced business skills and more. We also figure in a few top of mind questions for the IT manager who'll be traveling to his company's offshore provider once a quarter: Can I get a decent cup of coffee, and how long will I actually be on the plane?

Tube Time

INDIA EDGE CHINA

Nonstop flight from Chicago to Delhi: 14 hours, 55 minutes Nonstop flight from Chicago to Beijing: 13 hours, 20 minutes

Software Quality

INDIA EDGE CHINA

Capability Maturity Model (CMM) Level 5 (highest ranking for software development maturity) CMM Level 3

Size of IT Services Industry

INDIA EDGE CHINA

US$30 billion in 2006 $12 billion in 2006

Getting a Good Cup of Joe

INDIA EDGE CHINA

Learn to love tea. Local coffee options are weak Starbucks locations abound in big cities

Scalability

INDIA EDGE CHINA

Tier-one vendors have tens of thousands of employees; can set up dedicated offshore centers for customers Most work remains product-based only, due to the fragmented nature of the IT services industry

Advanced Business Skills

INDIA EDGE CHINA

Skills like project management and business analysis are gradually getting better, thanks to market pressures and more than a decade of experience serving Western IT services clients. But there's still plenty of room for improvement. Poor project management and business analysis skills; limited experience serving Western IT clients.

MVCs (Most Valuable Customers)

INDIA EDGE CHINA

U.S. and Europe Japan

The Languages of Business

INDIA EDGE CHINA

English/Hindi Mandarin/Mandarin

Global Reach

INDIA EDGE CHINA

Local players have set up shop in the U.S., Latin America, Eastern Europe, and China. Little expansion outside of China, except through acquisition or merger.

Intellectual Property Protection

INDIA EDGE CHINA

Investigates and cooperates with the U.S. companies on reported IP violations. Encourages staff to protect client IP.

Cheeseburger Far from Paradise

INDIA EDGE CHINA

Good luck. If all else fails, try Millers 46 Steakhouse in Bangalore. Many Western-type burger joints (with local flair).

Average IT Staffer Salaries

INDIA EDGE CHINA

$9,896 $10,095

Wage Inflation

INDIA EDGE CHINA

11% annually 8% annually

Phoning Home

INDIA EDGE CHINA

T-Mobile roaming rate of $2.49/minute T-Mobile roaming rate of $2.29/minute

Currency Crisis?

INDIA EDGE CHINA

The dollar has depreciated 11 percent against the rupee in 2007; local service providers could pass the impact on to customers. The dollar has depreciated 2.9 percent against the yuan in 2007.

Jaywalking as a Sport

INDIA EDGE CHINA

You'll get hit by a car or pedicab. Drivers will make an attempt to stop.

National Marketing Efforts

INDIA EDGE CHINA

National Association of Software & Service Companies ( Nasscom) expertly sets the tone for conversations about India's IT services industry globally. Wants to set up its own version of Nasscom, but will likely be government run.

Popularity Contest

INDIA EDGE CHINA

Ranked number-one location for offshore IT services by Western IT services buyers. (Good job, Nasscom!) Tied for number three with Eastern Europe (Latin America is number two).

Technology Infrastructure

INDIA EDGE CHINA

Top-notch IT infrastructure within technology parks and on major IT campuses. Outside of those areas, not so much. Tie. Solid IT infrastructure within technology parks, although not quite as good as India's, extends to larger metropolitan areas.

Physical Infrastructure

INDIA EDGE CHINA

National telecommunications, power system and roads need major work. Construction and modernization projects around the clock (thanks in part to impending 2008 Olympics), but bad traffic and smog in some cities.

Multinational Presence

INDIA EDGE CHINA

India's share of multinational ( IBM, Accenture, EDS) headcount devoted to offshore work has decreased by 9.5 percent in the past two years. China's share of multinational (IBM, Accenture, EDS) headcount devoted to offshore work has decreased by 15 percent in the past two years.

Geek Quotient

INDIA EDGE CHINA

Approximately 170,000 four-year bachelor's degrees in engineering, computer science and IT (400,000 including subbaccalaureate degrees). More than 500,000 four-year bachelor's degrees in engineering, computer science and IT (but the accuracy of these Ministry of Education numbers has been called into question).

Supergeek Quotient

INDIA EDGE CHINA

Turns out about 40 PhDs in computer science per year. Nearly 3,000 PhDs in computer science each year.

WINNER: INDIA!