Daily Post 1307
A PACK OF CARDS – IT ENTERPRISES
The intermediaries imbroglio or tech human trafficking or the better termed body shopping has been the mainstay of the IT industry for long. Besides, there are numbers of levels in the IT enterprises, mostly superfluous, which add to the cost. The game of outsourcing which means that the source is unknown, has added a new dimension to the customer to tackle with. Certainly, for him the price does not go down. Besides, lack of clear accountability in this complex business, running on mercenary profit making, the inherent friction is killing. When all is packed up against the client / customer, his plight is beyond anybody’s imagination.
Any touch of reality makes this model a proverbial pack of cards. It’s like melting of solid butter with slightest of warmth. Corana has been more than the blazing Sharan sun. The butter is likely to melt leaving no trace behind, the first indications have started coming in just around 30 days of lockdown. Besides running this pack of cards model, the energies of IT companies were concentrated in Western Europe and America. Cheap IT Indian labour with the strength of the dollar did the trick. Still in the midst of the human tragedy no one knows how the economic tragedy will unfold.
Around a decade back in one project, one of the IT companies charged five times to the customer of what it paid to its employee. Ten years down the line one IT Consultancy MNC Company’s employee wanted to show his salary bank transfer to the client to prove that what his employers are quoting as his salary is false. It is well known secret that in emerging areas of technology, big Indian companies provide tech experts at four / five times the salary to MNCs. Lot many take up projects to distribute it to smaller companies, in a tech mafia style operation.
The innumerable levels of hierarchy; the job description, the value add and salary has no connection whatsoever. All have to be paid at Uncle Sam’s rates. The whole industry has no domain experts. More than half a dozen departments don’t deserve to exist. The lean agile model in not even taught in their training classes. Contract management seems to be unheard of, in the modern sense of the term, smart contracts the blockchain way are still a century away. Quality, timelines, cost escalation and providing comfort to the customer for the money spend is a far cry. Just hope it does not crash like the pack of cards refered to. They should reinvent at the earliest in the interest of both technology and the country.
THE PRESENT IT DRIVEN TECH / BUSINESS MODEL FACES IT’s WORST CRISIS.