Friday, October 08, 2004

Outsourcing - Indian firms show the way in Telecom

Well the noise about outsourcing causing job losses hasn't died down completely. But here have Bharti Televentures here trying to correct some misgivings. Text books say outsourcing is what companies in developed world do to cut costs right? Outsourcing means that you hive off some off the non core functions of your company.

Wrong! outsourcing could also mean a company from the developing world deciding to give management of its network to the Nokia, Siemens & Erricson. Sunil Bharti Mittal redefined non core again when his decided to outsource his network management and systems functions( these to IBM) . So what is no-core for bharti ? Managing the Airtel brand :) Bharti has gained a lot in the process - It will save huge amounts in Capex over the next few years. The idea is a first nad has its risks. So, the world is watching because if this succeeds we have a number of telcom companies willing to venture because someone here in India has shown them the way.

Read the full story here - The man who gave away his network

1 comment:

Anonymous said...

Hai!!!
I typed Bharati IBM Erricson Outsourcing in Google (with the mistake in spelling) and got your site the FIRST!!!!
Great and the link to BW article worked very well and am going thru it now. Maybe I will come back to your site to go thru it.
At the moment am preparing a teaser on Supply chian mgmt and needed this example.