By: Some Guy

Some Guy — Mon, 09 Mar 2009 23:40:02 +0000

Nick, Comparing the IT industry to auto companies is completely missing the point which is why you are struggling to understand why the US IT industry still exists.
Toyota kicks GM’s ass because they have a culture of fostering quality and reducing waste at every level or the organization. The workers on the assembly are tasked with directly finding better and more efficient ways of doing their jobs. This is in direct contrast to GM workers which are forced into repetitive tasks and only do they are instructed to. So, GM has much more waste in the processes, and thus lower profits.

Now look at the offshoring business vs inhouse IT. If you were the Toyota of websites, you would not offshore your workers because they are the ones who can raise the quality of the product and reduce waste in creating it. Now the GM’s of websites will certainly offshore their IT workers because all they are looking at is reducing the cost per worker, regardless of the harm it causes their company. You think those offshore workers have any incentive to keep quality high. Of course not, their only looking to satisfy contracts and requirements. At some point the GM website companie’s codebase will become such a tangled mess that they won’t be able to compete any longer.

By: Nick Krym

Nick Krym — Fri, 06 Mar 2009 17:20:48 +0000

on behalf of Tony Vangelabbeek (LinkedIn)

Nicholas, your article is only controversial in India I think !

http://thewigglingblog.blogspot.com/

Comments on: Japanese Car Invasion vs. Offshore Outsourcing

By: Some Guy

By: Nick Krym