Wednesday, November 10, 2010

Outsourcing

It seems that over the last few years a significant number of jobs previously held by residents of the US of A have been transferred to residents of India. I guess it’s because the residents or India are far more qualified to perform these jobs. Otherwise, in this economy, why would US companies be taking jobs away from US workers? I’m sure it can’t be due to the fact that the many Indian workers make in a day about what many American workers make during a coffee break.

Tech support seems to be especially adaptable to the “Indian Alternative.” I’m pretty sure my recent call to get help with my HP computer was taken in Mumbai. The lady greeted me with; “Good evening (it was 9:00 in the morning), my name is Padma, how may I be helping you please?” I’m pretty sure it was Mumbai because American tech support people are seldom women, and never so polite.

I’ve been told that outsourcing is actually good for our economy: Sudhakar Ram, managing director of Mastek, Mumbai, does make a very compelling argument. No doubt, it allows large corporations to improve service and cut costs (at least cut costs), and this is always good news. The stockholders are happy, the executives are happy (the displaced workers, maybe not so much), and executive bonuses are up.

BPO and KPO are the new buzz acronyms: Business Process and Knowledge Process Outsourcing. Over 75% of major US corporations are heavily engaged in the PO’s. Over one million US jobs have been PO’d already, and over one billion US dollars are PO’d every year. I’m not sure our economy can handle much more good news.

Undoubtedly, new jobs will be created from all the PO’ing going on. Unemployment counseling and outsourcing consulting should be growth industries. Realtors specializing in foreclosures should do very well, and of course many more government employees will be needed to deal with all the newly unemployed. Wait! Wouldn’t the processing of unemployment claims be a natural for outsourcing?

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