Global-O&O

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Source: Information Week
Date: Oct 16th, 2009

September issue of Information Week (http://www.informationweek.com/500 ) , had a  breakup of % spend on IT and details on which industry segmentsare expecting the spend to go higher for 2009.  As always financial services continues to spend a higher percentage of their revenues ( when they have the revenues !) and Healthcare and Insurance industry looks like willing to spend more on IT dollars.

For the financial services firms offshoring continues to be a higher percentage of effort in IT.  Not necessarily a growth but an overall higher percentage continue to offshore ( 76% compared to 57% across all industry segments).

Recent quarterly results by IT offshore vendors also seem to point to a similar trend.

Corrystone Global Partners

Date: Mar 21st, 2009

Reporting Attrition has become an art! There are multitude of ways companies can track or report attrition. From the day one of employment, from employees completing six months, from when employees complete training, billable employees, excluding involuntary attritions and so forth.

 Understanding the attrition percentage is helpful but what is more important is to see trends in attrition numbers over time. For companies looking to outsource they also need to compare that with their internal attrition rates. We have seen a few examples where client’s internal attrition rates are higher than those of the vendors.

The overall trend in attrition seems to be positive across the industry. Due to slow down of the economy people are not leaving as often and the number of job openings are less. This may change again if the economy opens up but overall the attrition will remain more in check and over the next few years should not be a key measurement factor for outsourcing vendors.

 Here are some general attrition #’s for some outsource vendors:

Suresh Vaswani:$371,014,

Suresh Senapaty:$334,831

Girish Paranjpe: $353,312

Net  income (US dollars in millions)

Note: Rupee-Dollar conversion rate based on end of quarter for those not available in dollars

Accenture quarter ends Feb

Note: TCS  headcount does not include subsidiaries

Accenture headcount a/o end of Feb,, Nov, Feb and is the global headcount and not
offshore
Tech Mahindra headcount is before the Satyam buyout
EXL latest headcount from their website and not quarterly report
Mphasis latest headcount a/o April, 2009

Fact bought to you by Corrystone Global Partners  www.corrystone.com

Infosys – 4,559
Wipro – 2,678
Satyam – 1,917
TCS – 1,539
Microsoft Corp. – 1,037
Accenture – 731
Cisco – 422
Cognizant 467 ( drop from fiscal 2007)
IBM India – 381
Intel – 351
E&Y – 321
Qualcomm – 255
KPMG LLP – 245