Interesting predictions for out sourcing

It is highly likely that India will be challanged even more for cost efficiency and higher valued services. Here are some observations and predictions from Gartner, Bernstein Research and Forrester Research; with my interpretation for implications.

Evolving From Evolving To Implications
Offshore labor primarily in India Labor in multiple geographies India will have competition; also as market size increases, India will have opportunity to rise in value chain
Off shoring provides cheap labor Off shoring provides efficient access to large talent pool and great technologies All offshore work will have to be higher in value
Many tactical out-sourcing vendors Few strategic out-sourcing vendors Customers will weave out-sourcing as part of business strategy instead of just focusing on cost efficiency
More focus on maintenance More focus on design, test and maintenance Out sourcing vendors will have to do both creative and labor oriented work
More focus on code More focus on consulting, SOA, infrastructure and code Simply put, out sourcing vendor will be key to success of customers’ IT success both in cost and value terms
Out sourcing is special Out sourcing is standard Out sourcing business will still keep growing
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