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The Infosys Dilemma

Is Infosys moving in the right direction? At the end of 2014, I blogged that Vishal Sikka, who had been on board as CEO and MD only a few months, had made an effective start in reshaping the company’s strategy. In Q1 2015, I blogged about how Infosys was aligning with the digital direction

Stepping Back from Globalization and Offshoring

A sea change is starting because of digital technologies. The impact as companies apply these technologies to their business will be massive – much bigger than the Industrial Revolution with the invention of the loom for manufacturing clothing and Ford inventing the production for manufacturing automobiles. Everyone has been talking for some time about

Digital Models Change the Location of Call Center and Finance / Accounting Work

Leading companies are re-imagining their call centers and customer experience to integrate digital models into their voice models. Work volumes are shifting from voice call centers into new channels such as chat apps, email, tweets and other social channels. Companies are adopting these new ways of communicating with customers and integrating them into their

How to avoid Hitting a Wall in a Digital Transformation

I recently spoke with Alexandre Pereira, Global CIO at Vale, a Brazilian multinational mining company, who told me about a conversation with one of the company’s business leaders when they considered launching a transformation initiative. The executive asked Alex, “Why do cars have brakes?” The answer: “It allows cars to go faster.” When it

Companies Face A Deal They Can’t Refuse

Just a month into 2017, the acceptability sentiment toward sending work offshore has changed. Companies are increasingly eager to explore ways to do work onshore which they would otherwise do offshore or is currently offshore. The question is how to do that without creating a negative cost impact. A wide variety of factors are

Shedding Light on Proposed High-Wage Immigration Changes

Although US immigration reform is front and center in the media since the Trump administration took office, the US Congress has debated the need to change immigration legislation for years and has introduced significant proposals since 2013. An integral component is the H-1B work visas heavily used in the global services industry. Right now,

Don’t Overlook This Cost-Effective Alternative to Offshore Services

On a worldwide basis, companies are pausing efforts or taking a step back from globalization. In Europe, this is most evident in recent months with Brexit in the UK. In the United States, it is most evident in the proposals underway in Congress and the White House for H-1B visa reform, rising trade barriers,

Powerful Wave of Digital Services Has a Classic Snarl for ROI

The world of business strategies is changing for U.S. businesses. All eyes are now on the bottom-line cost and productivity improvements achievable through digital technologies such as automation, analytics, robotic process automation (RPA), cognitive computing and cloud, along with their associated digital business models. The same is true with third-party service providers — all

Cost Impact of Immigration and Visa Reform to US Customers Using Offshore Services

Most US organizations have substantially used offshore service providers in IT and business process outsourcing (BPO) to drive cost reduction. But there is currently a great deal of discussion in Congress and the Trump Administration – as well as actions taken by Executive Orders in the last seven days – about changing the H-1B

IT Future Shifts from Labor Arbitrage to Productivity

The labor arbitrage/offshoring model is powerful and relatively simple — compared to investing in productivity for U.S. workers over the past couple of decades. Perhaps your company is like most enterprises in America, having opted for this strategy to achieve cost savings. I believe it’s important to recognize that the arbitrage/offshoring model took companies’