Is wage inflation in India making other outsourcing destinations worthy of consideration?
RICKS: There has been wage inflation in India, but it has been manageable. India still has numerous cost-effective outsourcing possibilities. Places like China, the Czech Republic, Russia, and South America are certainly interesting places to watch, but India remains very attractive because of high levels of English proficiency and a nationwide commitment to IP protection. WORRALL: How do the distant locations of outsourced vendors impact operations at Sun? RICKS: Distance is a huge help in keeping us continually operating. Sun’s headquarters is on Pacific Time, and our Indian outsourcers operate in a time zone 12½ hours away, so along with our European and Far East locations, outsourcing provides us with a multiple-shift model that follows the sun. Occasionally the time zone differences get in the way of scheduling meetings, but that’s a very small price to pay for the overall gains in efficiency. WORRALL: Any closing words of wisdom for companies just entering the outsourcing game? R
