March - 2015 - Special issue > CXO View Point
Intelligent Automation in Outsourcing - Now is the Time
By Ashok Balasubramanian, Head, Services Transformation Group, Syntel, Inc.
The IT and outsourcing industry have continuously evolved from the day Internet connected the world, making access to information and digital services a global reality. The first wave of outsourcing was driven by cost cutting measures and fueled by labor cost arbitrage that drove businesses to execute more of the work from offshore.
That model has run its course, however, and a change in approach has been coming for years. Businesses are now looking to work smarter rather than cheaper. Offshore-based Agile development, right shoring and other outsourcing industry innovations have helped create these expectations and the resultant shift in the industry.
Now, we stand on the brink of another big change in the outsourcing landscape: the race for automation.
The new generation of Cloud providers has demonstrated that mammoth data centers can be run at nearly zero downtime with dozens of support engineers, not hundreds. In addition, digital disruption is pushing enterprises to reinvent themselves at unprecedented speed or risk being eliminated by digital startups.
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