Wednesday, January 18, 2006

Interesting trends in IT industry

As a follow-up after my session on 'Global Delivery Model' here is an excellent article that talks about the emerging dynamics in the Indian IT industry.

It makes a passing reference to a new delivery model christened 'Networked Delivery Model'. In my understanding the key difference between Global and Networked Delivery Model is that the latter may include multiple delivery centers in the same geography operating as a mesh. For example, Chile may provide Insurance (verticle) domain serivces while Mexico may provide Application Development and Maintenance (horizontal) services and India may provide Engineering and QA (horizontal) services.

The main advantages are:
1. Increased localization - European office has better grip over European insurance sector
2. Increased specialization - Chile office focuses mainly on Insurance, India on solution derlivery
3. Increased robustness (risk mitigation) because of increased geographical spread - In built fail over system

In my opinion, in the long run this model will allow TCS to develop processes and competencies at one center (say Solution Delivery capabilities at India) and then roll them out across many other centers (say Latin America). Thus, the main hub will function as a center of excellence in a particular horizontal / verticle.

Although, the article's focus is on TCS' strategies, I think it gives a very good perspective on the changing paradigm in the Indian IT industry. I got this article from an alum - Vijayant Gupta Co 2002. Thanks Vijayant!

file://isbhome/generalhome/Clubs_Co2006/Consulting-Club/Resources/CS.pdf


-- Yash

10 comments:

Shraddha Naik said...

Hi.. i stumbled onto this blog from a random link. and i am so glad i found it.
i was so engrossed that before i kenw it i finished reading all the posts. keep posting, i feel enlightened already :)

btw i have to ask. whats the countdown to Feb 1 for ???

Kris said...

Hey Yash !
Could u plz forward me that article ?
Its "magicofkrishna@gmail.com" here .
Thank You !
Krishna

Anonymous said...

Yash,

I would also like to read the article mentioned in the blog. Could you please make this article available for public viewing.

Regards,
Aditi

Angela Write said...

Hi ##NAME##. Hope you are well. I came across your site totally by accident. In fact it wasn't exactly on a topic I was looking for (I was on the lookout for used truck sales info). But as I was searching, one link led me to another and I got curious about your blog. I found it interesting and thought I'd drop you a line to tell you so. I guess thats what surfing is all about.

Consulting @ ISB said...

Thanks everyone for your nice comments.

Aditi: let me know your mail id and i will mail the article to you.

-- Yash

Anonymous said...

Yash,

My email id is: aditi.apandey@gmail.com

Regards
Aditi

भाई said...
This comment has been removed by a blog administrator.
Anonymous said...

Yash,

Could you send that article to me too ??
My id is kx_in@yahoo.com

Thanks da.

Srini said...

Can u pls send me the doc ?

srini_isb@yahoo.com

Thx.
-Srini

Consulting @ ISB said...

Shraddha:
Feb 1 is the countdown for the placement month.
--Yash