ESO Blog
Tuesday, January 29, 2008
Rate of Growth of Engineering Services Outsourcing
At what rate is the engineering services outsourcing business growing in US and in Europe?
This is the question to which Alan C of Processmaster.com has a rather brief answer - something like 300% growth in 2009!
Full answer here @ LinkedIn
This is the question to which Alan C of Processmaster.com has a rather brief answer - something like 300% growth in 2009!
Full answer here @ LinkedIn
Economic conditions will expand high-tech sectors use of outsourcing strategies
Economic conditions will expand the high-tech sectors use of outsourcing strategies
Companies will look to increase their internal outsourcing portfolio to create access to scalability without investment in labor and capital. High-Tech companies will embrace the new wave of more complex services that can deliver cost reduction and business transformation, says this post.
It continues - "...in 2008 more and more CIO’s and CMO’s will collaborate and engage Document Outsourcing Providers to focus on marketing and sales document processes. Document Outsourcing provides services in support of the entire document lifecycle from creation, to management and delivery of marketing and sales documents."
Full post here
Companies will look to increase their internal outsourcing portfolio to create access to scalability without investment in labor and capital. High-Tech companies will embrace the new wave of more complex services that can deliver cost reduction and business transformation, says this post.
It continues - "...in 2008 more and more CIO’s and CMO’s will collaborate and engage Document Outsourcing Providers to focus on marketing and sales document processes. Document Outsourcing provides services in support of the entire document lifecycle from creation, to management and delivery of marketing and sales documents."
Full post here
Tuesday, January 15, 2008
Satyam to bring Technology Enabled Innovations in the Process Manufacturing Industry
Satyam announces setting up of a New Center of Excellence (CoE) – PROMICE – to bring Technology Enabled Innovations in the Process Manufacturing Industry
General Press Releases December 21st, 2007
New center will provide engineering & information technology solutions to the process manufacturing industry.
The Process Manufacturing Innovation CoE will be setup in Hyderabad to provide continuous support for product and process innovation and futuristic solutions development in a collaborative environment with Industry, R&D Institutions and Educational Institutions
HYDERABAD, India — Dec. 21, 2007 — Satyam Computer Services Ltd., a leading global consulting and information technology services company, today announced that it will be setting up a Process Manufacturing Innovation Center of Excellence (PROMICE) at Hyderabad to help process manufacturing companies fully exploit advances in information technology – especially in the areas of product & process innovation – to achieve new levels of sustainable competitive advantage.
With its emphasis on adaptive manufacturing and other state-of-the-art engineering capabilities, the new facility is another step in Satyam’s ongoing initiative to make India a global R&D leader in the Process manufacturing industry. In addition, it demonstrates the organization’s commitment to collaborating with clients and institutional partners to develop leading-edge solutions. Already, Satyam services several top global companies in Steel, Chemical, Glass, Food, Pharmaceuticals and Cement Industries.
Satyam’s Process Manufacturing Innovation Center of Excellence will create solutions and intellectual property through a new Facility to be set in Hyderabad. This will provide exceptional business value to its global customers, while enhancing the organization’s competency in its process manufacturing business unit. Hyderabad provides a perfect setting for industry and institutes to come forward to collaboratively develop IT-based solutions for the process manufacturing industry.
“We are partners with leaders in the Industry, as well as premier academic institutions like Purdue University, ISB and Industry associations like CII in India and others across the globe,” said Subu D, Director & Senior Vice President, Satyam Manufacturing and Automotive Business. “As a result, we will offer innovative solutions using a highly collaborative environment which will provide our process manufacturing clients the expertise, speed, precision and agility they need to stay ahead in their market segments.”
The Hyderabad PROMICE will feature latest technology infrastructure and highly qualified technology & domain experts. It will have virtually simulated factories for each of major 10 process industry verticals viz. Metals & Mining, Building materials, Pulp & paper, Textiles, Food & Beverages, Leather, Plastics, Rubber, Chemicals, and Pharmaceuticals. The simulation & Virtual reality facility will reduce risks, while expediting time to market and ensuring return on investment. For example, an enhancement or improvement in manufacturing process design can be visualized in real time in the facility which will significantly reduce risks, lead times, effort, and cost.
“The mantra in the process industry today is Innovation. Satyam’s process manufacturing practice integrates in-depth knowledge of technology platforms with an extensive understanding of process manufacturing industries and develops Solutions using Technology to address that need,” Subu added.
About Satyam
Satyam (NYSE: SAY), a leading global business and information technology services company, delivers consulting, systems integration, and outsourcing solutions to clients in 20 industries and 57 countries.
Satyam leverages deep industry and functional expertise, leading technology practices, and an advanced, global delivery model to help clients transform their highest-value business processes and improve their business performance. The company’s 45,700* professionals excel in engineering and product development, supply chain management, client relationship management, business process quality, business intelligence, enterprise integration, and infrastructure management, among other key capabilities. Satyam development and delivery centers in the US, Canada, Brazil, the UK, Hungary, Egypt, UAE, India, China, Malaysia, Singapore, and Australia serve 577* clients, including one-third of the US Fortune 500. For more information, see www.satyam.com. *As of September 30, 2007
For further information, contact:
Satyam Contacts:
For clarifications write to us at MediaRelations {at} Satyam(.)com
Or contact our global PR representatives at:
India Vishwesh Iyer vishweshiyers {at} ogilvy(.)com
+ 91-022-44344086, 09820053697
US Siobhan Aalders Siobhan.Aalders {at} ogilvypr(.)com
+1-212-880 5341, +1 347 387 0733
Europe Clare Gibbins clare.gibbins {at} uk.ogilvypr(.)com
+44-20-7309 1037
Asia-Pacific Simon Murphy simon {at} howorth.com(.)au
+61 (02) 8281 3826
Safe Harbor
This press release contains forward-looking statements within the meaning of section 27A of Securities Act of 1933, as amended, and section 21E of the Securities Exchange Act of 1934, as amended. The forward-looking statements contained herein are subject to certain risks and uncertainties that could cause actual results to differ materially from those reflected in the forward-looking statements. Satyam undertakes no duty to update any forward-looking statements. For a discussion of the risks associated with our business, please see the discussions under the heading “Risk Factors” in our report on Form 6-K of the company for the quarter ended September 30, 2007 was filed on October 31, 2007. The United States Securities Exchange Commission on and the other reports filed with the Securities Exchange Commission from time to time. These filings are available at http://www.sec.gov.
General Press Releases December 21st, 2007
New center will provide engineering & information technology solutions to the process manufacturing industry.
The Process Manufacturing Innovation CoE will be setup in Hyderabad to provide continuous support for product and process innovation and futuristic solutions development in a collaborative environment with Industry, R&D Institutions and Educational Institutions
HYDERABAD, India — Dec. 21, 2007 — Satyam Computer Services Ltd., a leading global consulting and information technology services company, today announced that it will be setting up a Process Manufacturing Innovation Center of Excellence (PROMICE) at Hyderabad to help process manufacturing companies fully exploit advances in information technology – especially in the areas of product & process innovation – to achieve new levels of sustainable competitive advantage.
With its emphasis on adaptive manufacturing and other state-of-the-art engineering capabilities, the new facility is another step in Satyam’s ongoing initiative to make India a global R&D leader in the Process manufacturing industry. In addition, it demonstrates the organization’s commitment to collaborating with clients and institutional partners to develop leading-edge solutions. Already, Satyam services several top global companies in Steel, Chemical, Glass, Food, Pharmaceuticals and Cement Industries.
Satyam’s Process Manufacturing Innovation Center of Excellence will create solutions and intellectual property through a new Facility to be set in Hyderabad. This will provide exceptional business value to its global customers, while enhancing the organization’s competency in its process manufacturing business unit. Hyderabad provides a perfect setting for industry and institutes to come forward to collaboratively develop IT-based solutions for the process manufacturing industry.
“We are partners with leaders in the Industry, as well as premier academic institutions like Purdue University, ISB and Industry associations like CII in India and others across the globe,” said Subu D, Director & Senior Vice President, Satyam Manufacturing and Automotive Business. “As a result, we will offer innovative solutions using a highly collaborative environment which will provide our process manufacturing clients the expertise, speed, precision and agility they need to stay ahead in their market segments.”
The Hyderabad PROMICE will feature latest technology infrastructure and highly qualified technology & domain experts. It will have virtually simulated factories for each of major 10 process industry verticals viz. Metals & Mining, Building materials, Pulp & paper, Textiles, Food & Beverages, Leather, Plastics, Rubber, Chemicals, and Pharmaceuticals. The simulation & Virtual reality facility will reduce risks, while expediting time to market and ensuring return on investment. For example, an enhancement or improvement in manufacturing process design can be visualized in real time in the facility which will significantly reduce risks, lead times, effort, and cost.
“The mantra in the process industry today is Innovation. Satyam’s process manufacturing practice integrates in-depth knowledge of technology platforms with an extensive understanding of process manufacturing industries and develops Solutions using Technology to address that need,” Subu added.
About Satyam
Satyam (NYSE: SAY), a leading global business and information technology services company, delivers consulting, systems integration, and outsourcing solutions to clients in 20 industries and 57 countries.
Satyam leverages deep industry and functional expertise, leading technology practices, and an advanced, global delivery model to help clients transform their highest-value business processes and improve their business performance. The company’s 45,700* professionals excel in engineering and product development, supply chain management, client relationship management, business process quality, business intelligence, enterprise integration, and infrastructure management, among other key capabilities. Satyam development and delivery centers in the US, Canada, Brazil, the UK, Hungary, Egypt, UAE, India, China, Malaysia, Singapore, and Australia serve 577* clients, including one-third of the US Fortune 500. For more information, see www.satyam.com. *As of September 30, 2007
For further information, contact:
Satyam Contacts:
For clarifications write to us at MediaRelations {at} Satyam(.)com
Or contact our global PR representatives at:
India Vishwesh Iyer vishweshiyers {at} ogilvy(.)com
+ 91-022-44344086, 09820053697
US Siobhan Aalders Siobhan.Aalders {at} ogilvypr(.)com
+1-212-880 5341, +1 347 387 0733
Europe Clare Gibbins clare.gibbins {at} uk.ogilvypr(.)com
+44-20-7309 1037
Asia-Pacific Simon Murphy simon {at} howorth.com(.)au
+61 (02) 8281 3826
Safe Harbor
This press release contains forward-looking statements within the meaning of section 27A of Securities Act of 1933, as amended, and section 21E of the Securities Exchange Act of 1934, as amended. The forward-looking statements contained herein are subject to certain risks and uncertainties that could cause actual results to differ materially from those reflected in the forward-looking statements. Satyam undertakes no duty to update any forward-looking statements. For a discussion of the risks associated with our business, please see the discussions under the heading “Risk Factors” in our report on Form 6-K of the company for the quarter ended September 30, 2007 was filed on October 31, 2007. The United States Securities Exchange Commission on and the other reports filed with the Securities Exchange Commission from time to time. These filings are available at http://www.sec.gov.
Monday, January 14, 2008
Don’t rely on ‘offshoring’ and ‘lean thinking’, warns Cambridge guide
Don’t rely on ‘offshoring’ and ‘lean thinking’, warns Cambridge guide
18 December 2007
Many of the world’s biggest manufacturing firms could be missing out on ‘breathtaking’ benefits because their production networks are not designed to suit 21st century demands, according to a new guide.
Making the Right Things in the Right Places, which has just been launched by Cambridge University, also warns that many firms are relying too heavily on short-term outsourcing and offshoring to countries such as India and China.
Without a more systematically designed global ‘footprint’ or network, it says, even leading businesses will miss out on savings, fail to gain market share and could disappear within the space of a generation.
Full report here
http://www.supplychainstandard.com/liChannelID/22/Articles/1329/Don%E2%80%99t+rely+on+%E2%80%98offshoring%E2%80%99+and+%E2%80%98lean+thinking%E2%80%99,+warns+Cambridge.html
18 December 2007
Many of the world’s biggest manufacturing firms could be missing out on ‘breathtaking’ benefits because their production networks are not designed to suit 21st century demands, according to a new guide.
Making the Right Things in the Right Places, which has just been launched by Cambridge University, also warns that many firms are relying too heavily on short-term outsourcing and offshoring to countries such as India and China.
Without a more systematically designed global ‘footprint’ or network, it says, even leading businesses will miss out on savings, fail to gain market share and could disappear within the space of a generation.
Full report here
http://www.supplychainstandard.com/liChannelID/22/Articles/1329/Don%E2%80%99t+rely+on+%E2%80%98offshoring%E2%80%99+and+%E2%80%98lean+thinking%E2%80%99,+warns+Cambridge.html
More Dental Labs Outsourcing Custom Crown and Bridge Production
More Dental Labs Outsourcing Custom Crown and Bridge Production
Wed Jan 9, 2008
Press release
WALTHAM, Mass., Jan. 9 -- According to Millennium Research
Group's Global Markets for Dental CAD/CAM Systems 2008 report, US and European
dental labs are increasingly outsourcing crown and bridge computer-aided
design/computer-aided manufacturing (CAD/CAM) production to milling centers.
Accordingly, in the US, unit growth for scanners used in the outsourcing
process will reach nearly 20% annually over the next five years. In Europe,
this annual unit growth will exceed 20%.
Many laboratories outsource CAD/CAM crown and bridge production in order
to keep up with demand for CAD/CAM restorations. Outsourcing only requires
laboratories to invest in a scanner, the cost of which is sometimes as low as
25% that of a complete CAD/CAM system. Accordingly, many labs view outsourcing
as a more viable and profitable option than purchasing milling equipment. As
this trend continues, the volume of scanners sold will grow across both the US
and Europe.
"The more labs that can offer CAD/CAM restoration, the better" says Chris
Shutsa, Senior Analyst at Millennium Research Group. "This will allow more
dentists to meet the increasing patient demand for custom-milled crowns and
bridges."
The Global Markets for Dental CAD/CAM Systems 2008 report includes
coverage on US, Europe, and Japan. Coverage of industry competitors includes
Sirona, Dentsply, Wieland Dental Systems, KaVo, 3M ESPE, etkon, 3Shape, Nobel
Biocare, GC, WOL-DENT, and U-Best Dental Technology Inc.
About the CAD/CAM Production Process
To create CAD/CAM crowns and bridges, dentists create an impression of the
site to be restored. The mold of the site is then sent to a lab, where a
technician digitally scans the model. Using computer-aided design software,
the technician will design a 3D model of the restoration. Using the digitized
3D model and CAD/CAM technology, the technician will mill the restoration
directly in the laboratory or send the data to a production center for
milling. The latter method is commonly referred to as outsourcing.
About Millennium Research Group
Millennium Research Group (www.MRG.net), a Decision Resources, Inc.
company (www.DecisionResources.com), is the global authority on medical
technology market intelligence and a leading provider of strategic information
to the health care sector. Focused solely on the medical device,
pharmaceutical, and biotechnology industries, the company provides its clients
with the benefits of its specialized industry expertise through published
reports and customized consulting services.
All company, brand, or product names contained in this document may be
trademarks or registered trademarks of their respective holders.
For more information, contact:
Amy Krohn
Millennium Research Group
416-364-7776 x101
akrohn@mrg.net
SOURCE Millennium Research Group
Amy Krohn of Millennium Research Group, +1-416-364-7776, Ext. 101,
akrohn at mrg dot net
Wed Jan 9, 2008
Press release
WALTHAM, Mass., Jan. 9 -- According to Millennium Research
Group's Global Markets for Dental CAD/CAM Systems 2008 report, US and European
dental labs are increasingly outsourcing crown and bridge computer-aided
design/computer-aided manufacturing (CAD/CAM) production to milling centers.
Accordingly, in the US, unit growth for scanners used in the outsourcing
process will reach nearly 20% annually over the next five years. In Europe,
this annual unit growth will exceed 20%.
Many laboratories outsource CAD/CAM crown and bridge production in order
to keep up with demand for CAD/CAM restorations. Outsourcing only requires
laboratories to invest in a scanner, the cost of which is sometimes as low as
25% that of a complete CAD/CAM system. Accordingly, many labs view outsourcing
as a more viable and profitable option than purchasing milling equipment. As
this trend continues, the volume of scanners sold will grow across both the US
and Europe.
"The more labs that can offer CAD/CAM restoration, the better" says Chris
Shutsa, Senior Analyst at Millennium Research Group. "This will allow more
dentists to meet the increasing patient demand for custom-milled crowns and
bridges."
The Global Markets for Dental CAD/CAM Systems 2008 report includes
coverage on US, Europe, and Japan. Coverage of industry competitors includes
Sirona, Dentsply, Wieland Dental Systems, KaVo, 3M ESPE, etkon, 3Shape, Nobel
Biocare, GC, WOL-DENT, and U-Best Dental Technology Inc.
About the CAD/CAM Production Process
To create CAD/CAM crowns and bridges, dentists create an impression of the
site to be restored. The mold of the site is then sent to a lab, where a
technician digitally scans the model. Using computer-aided design software,
the technician will design a 3D model of the restoration. Using the digitized
3D model and CAD/CAM technology, the technician will mill the restoration
directly in the laboratory or send the data to a production center for
milling. The latter method is commonly referred to as outsourcing.
About Millennium Research Group
Millennium Research Group (www.MRG.net), a Decision Resources, Inc.
company (www.DecisionResources.com), is the global authority on medical
technology market intelligence and a leading provider of strategic information
to the health care sector. Focused solely on the medical device,
pharmaceutical, and biotechnology industries, the company provides its clients
with the benefits of its specialized industry expertise through published
reports and customized consulting services.
All company, brand, or product names contained in this document may be
trademarks or registered trademarks of their respective holders.
For more information, contact:
Amy Krohn
Millennium Research Group
416-364-7776 x101
akrohn@mrg.net
SOURCE Millennium Research Group
Amy Krohn of Millennium Research Group, +1-416-364-7776, Ext. 101,
akrohn at mrg dot net
New Players in Gujarat, India Eye Architecture KPO Business
New Players in Gujarat, India Eye Architecture KPO Business
21 Dec, 2007
The growth story of knowledge process outsourcing industry in the state is witnessing a new sub-plot. Architectural designing outsourcing has seen new players entering into the segment in the state.
Domestic architectural designing units, on the other hand, are also upgrading their facilities and infrastructure and equipping themselves with the latest technology to participate in the process.
Full news report here @ India Times
21 Dec, 2007
The growth story of knowledge process outsourcing industry in the state is witnessing a new sub-plot. Architectural designing outsourcing has seen new players entering into the segment in the state.
Domestic architectural designing units, on the other hand, are also upgrading their facilities and infrastructure and equipping themselves with the latest technology to participate in the process.
Full news report here @ India Times
CAD Outsourcing / Offshoring - Reality vs the Hype
CAD Outsourcing / Offshoring - Reality vs the Hype
"I think the reality of it is that in theory, with tools like ftp, the Web, email, instant messaging, it should be relatively simple (again, in theory) to exchange large amounts of information between two parties on two differing continents - but that doesn’t make it simple. Bottom line, no matter how high or low the billable rates, we take proximity for granted, in terms of how valuable it is to real communication and interraction. In some applications, industries, areas of interest, sacrificing proximity may pose little to no barrier to effective communication. But, based on experience, my conclusion is that in this business, without having a consultant close at hand, at least for some period of training, you had better budget time and money to deal with that learning curve."
These are the words from a person who has been through it...full post here
"I think the reality of it is that in theory, with tools like ftp, the Web, email, instant messaging, it should be relatively simple (again, in theory) to exchange large amounts of information between two parties on two differing continents - but that doesn’t make it simple. Bottom line, no matter how high or low the billable rates, we take proximity for granted, in terms of how valuable it is to real communication and interraction. In some applications, industries, areas of interest, sacrificing proximity may pose little to no barrier to effective communication. But, based on experience, my conclusion is that in this business, without having a consultant close at hand, at least for some period of training, you had better budget time and money to deal with that learning curve."
These are the words from a person who has been through it...full post here
16 Guidelines For Success In CAD Outsourcing
Managing a CAD Outsourcing Project
Global Carmakers Hit India Outsourcing Lane
Global Carmakers Hit India Outsourcing Lane
January 10, 2008
As the Indian auto industry comes of age and a number of new entrants enter this fast-growth market, many original equipment manufacturers (OEMs) are looking at entering India through the contract manufacturing route.
This offers many advantages: economies of scale, smaller investments, design & engineering outsourcing and the ability to a new market without having to bring in the entire product range.
Some Indian companies such as Maruti Suzuki and Mahindra & Mahindra are already offering contract manufacturing services for complete vehicles...
Full report here
http://www.dnaindia.com/report.asp?newsid=1144101
January 10, 2008
As the Indian auto industry comes of age and a number of new entrants enter this fast-growth market, many original equipment manufacturers (OEMs) are looking at entering India through the contract manufacturing route.
This offers many advantages: economies of scale, smaller investments, design & engineering outsourcing and the ability to a new market without having to bring in the entire product range.
Some Indian companies such as Maruti Suzuki and Mahindra & Mahindra are already offering contract manufacturing services for complete vehicles...
Full report here
http://www.dnaindia.com/report.asp?newsid=1144101
What Makes Automotive CAD/CAM Systems So Special?
What Makes Automotive CAD/CAM Systems So Special?
The high-end automotive CAD/CAM systems do a whole lot more than their name implies. In addition to design and manufacturing, they have the ability to support analysis, product data management, and more.
Creating automobiles is not a singular process, especially now with the globalization of engineering, design, and manufacturing facilities and third-party suppliers. This is why the information system helping to create cars is more than just computer-aided design (CAD) and computer-aided manufacturing (CAM).
This article explains further
The high-end automotive CAD/CAM systems do a whole lot more than their name implies. In addition to design and manufacturing, they have the ability to support analysis, product data management, and more.
Creating automobiles is not a singular process, especially now with the globalization of engineering, design, and manufacturing facilities and third-party suppliers. This is why the information system helping to create cars is more than just computer-aided design (CAD) and computer-aided manufacturing (CAM).
This article explains further
Indian auto makers flex engineering, design muscle
Indian auto makers flex engineering, design muscle
Jan 11, 2008, Reuters
Praise for Tata Motors' low-cost Nano car has been as much for its style and engineering as for its "world's cheapest" price tag, signalling India's intent to be more than just a cut-price manufacturer.
Analysts say India's reputation as a world-class information technology provider will help in that drive, but cost constraints and a growing shortage of skilled manpower may be roadblocks.
Full story here
Jan 11, 2008, Reuters
Praise for Tata Motors' low-cost Nano car has been as much for its style and engineering as for its "world's cheapest" price tag, signalling India's intent to be more than just a cut-price manufacturer.
Analysts say India's reputation as a world-class information technology provider will help in that drive, but cost constraints and a growing shortage of skilled manpower may be roadblocks.
Full story here
Tayana Software Acquires Engineering Outsourcing Vendor
Tayana Software Acquires Engineering Outsourcing Vendor
13 Jan 2008
Ex-BPL Mobile chief Rajeev Chandrasekhar-controlled Tayana Software Solutions (TSSL) has acquired 60% stake in Axis IT&T (AXIT), a Delhi-based listed engineering services company, for an undisclosed amount. AXIT provides mechanical engineering and heavy equipment design services to clients like Caterpillar. TSSL plans to move into the entire aerospace engineering services value chain through the combined entity.
More from here
13 Jan 2008
Ex-BPL Mobile chief Rajeev Chandrasekhar-controlled Tayana Software Solutions (TSSL) has acquired 60% stake in Axis IT&T (AXIT), a Delhi-based listed engineering services company, for an undisclosed amount. AXIT provides mechanical engineering and heavy equipment design services to clients like Caterpillar. TSSL plans to move into the entire aerospace engineering services value chain through the combined entity.
More from here
Sunday, January 13, 2008
Engineered in India, the Next Frontier?
Engineered in India, the Next Frontier?
By Priyanka Bhardwaj, Asia Times, Sep 2006
India is eyeing a slice of the engineering services outsourcing (ESO) cake. A product may be "Made in China", but it's the "Engineered in India" tagline that India Inc feels is up for grabs. And why not?
Money spent on engineering services, US$750 billion in 2004, is projected to zoom upward to $1.1 trillion globally by 2020. Of this, the outsourced component could be $200 billion. Currently, the ESO market is worth $15 billion with India's share @ 12%. Indian information-technology (IT) companies have a $40 billion opportunity by 2020 from engineering services, according to some reports.
India has the capacity to account for about $14 billion to $18 billion in 2020, compared with the current figure of about $1 billion in the high-tech/telecom vertical space. The automotive sector is another big opportunity for Indian players.
Full report here
By Priyanka Bhardwaj, Asia Times, Sep 2006
India is eyeing a slice of the engineering services outsourcing (ESO) cake. A product may be "Made in China", but it's the "Engineered in India" tagline that India Inc feels is up for grabs. And why not?
Money spent on engineering services, US$750 billion in 2004, is projected to zoom upward to $1.1 trillion globally by 2020. Of this, the outsourced component could be $200 billion. Currently, the ESO market is worth $15 billion with India's share @ 12%. Indian information-technology (IT) companies have a $40 billion opportunity by 2020 from engineering services, according to some reports.
India has the capacity to account for about $14 billion to $18 billion in 2020, compared with the current figure of about $1 billion in the high-tech/telecom vertical space. The automotive sector is another big opportunity for Indian players.
Full report here
Engineering Services Outsourcing to Grow Creating Opportunities for Emerging Markets
Engineering Services Outsourcing to Grow Creating Opportunities for Emerging Markets
8 August 2006
Emerging markets are the hot targets for outsourcing engineering services, the sector which accounts for 2 percent of the global gross domestic product (GDP). Although the focus of outsourcing was initially to cut cost, it has given way to growth in the emerging markets.
According to a recent survey by Booz Allen Hamilton for National Association of Software and Service Companies (NASSCOM), decisions about locating engineering capabilities will turn on strategic drivers, such as access to growing markets and an expanded pool of skilled labor. In the engineering services sector, the high-tech and telecom segment is the dominant and fastest growing sector comprising 30 percent of the market.
More from here
8 August 2006
Emerging markets are the hot targets for outsourcing engineering services, the sector which accounts for 2 percent of the global gross domestic product (GDP). Although the focus of outsourcing was initially to cut cost, it has given way to growth in the emerging markets.
According to a recent survey by Booz Allen Hamilton for National Association of Software and Service Companies (NASSCOM), decisions about locating engineering capabilities will turn on strategic drivers, such as access to growing markets and an expanded pool of skilled labor. In the engineering services sector, the high-tech and telecom segment is the dominant and fastest growing sector comprising 30 percent of the market.
More from here
Monday, January 7, 2008
Engineering Services Outsourcing to India - Opportunities & Challenges
Engineering Services Outsourcing to India - Opportunities & Challenges
Though engineering services outsourcing presents a large potential, there are a few challenges we need to overcome to realise this, says this article.
The first of these is the continued availability of engineers. To achieve the target revenue of $40 billion by 2020, India would require 250,000 qualified engineers.
The second challenge is the physical infrastructure. The Government needs to continue to focus on building roads, ports, and airports. Engineering design will also require the import and export of physical parts, components and machinery. The government needs to define a robust process in which there is a seamless transfer of goods that are required to deliver world class engineering services from India.
The third challenge is the cooperation among public sector manufacturing firms, engineering services providers, and education institutions.
Interesting read
Though engineering services outsourcing presents a large potential, there are a few challenges we need to overcome to realise this, says this article.
The first of these is the continued availability of engineers. To achieve the target revenue of $40 billion by 2020, India would require 250,000 qualified engineers.
The second challenge is the physical infrastructure. The Government needs to continue to focus on building roads, ports, and airports. Engineering design will also require the import and export of physical parts, components and machinery. The government needs to define a robust process in which there is a seamless transfer of goods that are required to deliver world class engineering services from India.
The third challenge is the cooperation among public sector manufacturing firms, engineering services providers, and education institutions.
Interesting read
Punj Lloyd sets up engineering services outsourcing co
Punj Lloyd sets up engineering services outsourcing co
Dec, 2006 - Leading provider of engineering and construction services, Punj Lloyd, has set up a new company for carrying out back office engineering activities for the group in India.
The new engineering services outsourcing company -- Simon Carves India Ltd, is a wholly owned subsidiary of Punj Lloyd and it would cater to the group's engineering requirements
Full report here
Dec, 2006 - Leading provider of engineering and construction services, Punj Lloyd, has set up a new company for carrying out back office engineering activities for the group in India.
The new engineering services outsourcing company -- Simon Carves India Ltd, is a wholly owned subsidiary of Punj Lloyd and it would cater to the group's engineering requirements
Full report here
Engineering Services Outsourcing, The Next Wave?
Engineering Services Outsourcing, The Next Wave?
Engineering Technology (ET) Services expected to become the next big wave in the India outsourcing scene.
Salaries to match IT sector, say professionals from the field.
THIS IS an opportunity for core engineering disciplines such as mechanical, civil, electrical and electronics, automobile, aeronautical, metallurgical and even naval architecture engineering students. Driven by the high quality, low cost and highly skilled engineering talent available in the country, a range of engineering services, R&D activities are being outsourced to India.
More from this report of The Hindu, Jan 2005
Engineering Technology (ET) Services expected to become the next big wave in the India outsourcing scene.
Salaries to match IT sector, say professionals from the field.
THIS IS an opportunity for core engineering disciplines such as mechanical, civil, electrical and electronics, automobile, aeronautical, metallurgical and even naval architecture engineering students. Driven by the high quality, low cost and highly skilled engineering talent available in the country, a range of engineering services, R&D activities are being outsourced to India.
More from this report of The Hindu, Jan 2005
The ESO Blog Started
The ESO Blog will provide regular updates in the domain of engineering services outsourcing...