Sorry kids, Infosys and Wipro have cancelled graduate recruitment Infosys and Wipro have decided to skip hiring graduates this year as part of their "utilization optimization" strategies, after a quarter that brought both record deals amid continued macroeconomic uncertainty for India's big four IT services outfits. The change in utilization and hiring reflects just how much things have …
What do you think? They've won a shed-load of new orders, attrition continues at the normal high levels in the offshore workhouses, and they're recruiting few or no new staff.
A logical conclusion is that existing staff will have to do more work, pay won't go up, attrition will get worse, and those who stay will be (to a greater extent then now) working across multiple clients and contracts. There is no upside here.
Not that it matters. Offshoring is often touted as away of saving money, the harsh reality is that money is not the motivation, it's simply for the client to take a function that they can't be arsed to manage, and they don't care about how well it is done, and make it all somebody else's problem. And it's just as well that saving money isn't the objective because few outsource deals meet their business case projections, but by the time that's apparent, the business case has long been forgotten, and all concerned have rotated jobs.
Those are utilisation numbers that almost any other bodyshop or consulting firm dreams of.
Do they allow for illness and leave? Accounting for those, 70% is just about full-on on assignment and below that your previous KPIs start to suffer and the next round of layoffs may hit you. (ask me how I know that).
"pyramid optimization" - bigger at the bottom and pointy at top is a good start.
"onshore offshore rationalization" - more commonly known as "here" and "there." Probably as in "neither here nor there."
Odd that there is no "Dummies' Guide to Manglement: Practice and Language."
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