Dear Sir,
I am working on a research for company A to lower their IT cost. This
company is paying € 100 per hour for their IT support/programming
service. I am thinking about the following 3 ways for them to lower
the cost. I need advice on each option
1. Outsource to Indian companies. I need to know about the pricing in
India, market size (turnover per year, amount of programmers, etc…),
and market trend.
2. Work with freelances all over the world. Is it possible to do it
this way? How much is the rate per hour for a freelance?? Both in
Europe and Asian. How am I going to find those people and how to
manage them??
3. Set up a company in China. Because I am a Chinese, it is much
easier for me to do business in China. This new company can offer
programming service to company A as well as other companies.
What are the advantages and disadvantages of each option and in what
situation which solution is better??
Any other recommendation to lower IT cost??? |
Request for Question Clarification by
hailstorm-ga
on
25 Aug 2003 22:09 PDT
guoqi,
Thank you for your Google Answers question.
It would help to know the size of the IT department of company A,
especially as pertains to the support and programming divisions they
are looking to cut costs for, as well as where company A is located.
I have some experience working on outsourcing IT functions to both
India and China. Labor is indeed much cheaper in both countries, but
a lot of thought and planning must be given for training the remote
workers, securing communication channels, and overcoming time
differences. In general, overseas outsourcing can reduce costs for
companies with large IT divisions, but for a small company with only a
few support/programming team members, it is often more cost efficient
for them to retain their current structure.
|
Clarification of Question by
guoqi-ga
on
26 Aug 2003 00:02 PDT
hailstorm,
Thanks for your Clarification request.
Company A is located in Amsterdam, Holland. They don't have their IT
department, they outsourced to Dutch IT service companies. They
outsource about € 150,000 to other companies per year.
It might be very interested in knowing what the costs are in terms of
"training the remote workers, securing communication channels, and
overcoming time differences."? In what size, it is better to
outsource, because it is for my school project as well.
I am a programmer myself (Using Microsoft technology). Because I have
a foreign degree, if I set up a company in China, I can enjoy special
policy from Chinese government. It cost me almost nothing to have the
company ready there. For this reason, I am thinking about setting up
a company in China myself, offering IT service to this company, at the
same time, try to enter Dutch market. Will this be a good idea?
Thanks in advanced!!
|
Clarification of Question by
guoqi-ga
on
26 Aug 2003 22:32 PDT
I will increase the amount a little bit now and additional tip will be
given for good answer.
I hope to get the answer as soon as possible.
|
Clarification of Question by
guoqi-ga
on
27 Aug 2003 09:05 PDT
I am sorry, it seems to me that I am under time pressure, if I don't
have the answer for this question tonight. I may close the question
tomorrow. The deadline for my school project is tomorrow afternoon. I
am very willing to pay additional tip for it.
|
Clarification of Question by
guoqi-ga
on
27 Aug 2003 15:58 PDT
please tell me when I expected to get the answer!!! I am still waiting
for it online.
|
Clarification of Question by
guoqi-ga
on
27 Aug 2003 18:38 PDT
Ok, Done, the answer is not important for me any more. So, now I
decrease the money from €60 to €5, and no tip any more, unless very
very good answer.
|
