Like consumer products; Where we can use 'Freemium' and Complementary models very easily and gain marketshare, Can we use those models for Enterprises?
Will an enterprise buy free or complementary products and get hooked? (Sounds like Open Source!)
Can low cost IT Play a significant role instead of FREE or zero cost? (good idea!)
I think while Infosys and Wipro makes 21-25% operating margins, Cap Gemini makes only single digit profits (6-7%) - There is a big gap (all three have close to 95,000 employees worldwide) and there is huge scope for Indian IT to reduce price (adapt low cost IT) and get huge market share... I think we should seriously look at our options and learn from China.
(I need not ask for comments here...there would be many...!)
-Cheers
Can someone else do his Job thn let him go!
ReplyDeleteAlong with freemium concept one need to build the army of engineers around it to support it, throw some ppl at the problem and problem goes away!!
One more aspect to look at it is bring the expense down, not by just reducing skilled employees but increasing them, Unfortunately HR has common policy now a days “can someone else do his Job thn let him go…”
IT companies are becoming more greedier and not paying attention at the resource pool they have, As a result of this trained resources become more costly, apparently margin goes down where in other industries e.g. manufacturing the cost also goes down and margin stays.
How? Fresh resources double or triple thr cost within 3 years as most of these big companies look at the aggregate score of 4 years while hiring fresher’s where do rest of them go ? Can we not spend some extra and make them sharp over period of time instead of they go and work for shopping center and malls?
Mass training of resources is must to kill this problem; this will bring cost of resources down dramatically.
Let me connect some of the dots and explain why I think how big enterprises are falling in doing thr share to the community.
When Google wanted to create resource pool they created big library of Google tutorials around thr products and development tools.
When apple wanted to do launching of thr web development tool they did the same and same with cisco and lot others.
Now surprisingly independents are creating those video tutorials with very small funding($100-$200) and giving back to community e.g. http://www.khanacademy.org/ , http://www.vahrehvah.com/,
All these videos are creating massive resource pool every day, these kinds of academies will give chance to general people to become valuable resource over period of time. And available to reduce resource cost, it won’t take more thn 3 months training for those resources with all LABs now available virtually with very small cost or no cost.
Recently Bill Gates awarded 10m to khan for his work, so that he continues what he is doing, if non IT can do it why can’t IT?
Remember this is Information Technology not Knowledge Technology!!! Information and persistency wins!!