The Future of Software Outsourcing
Forrester Research, a research and consulting firm in its report
says that, jobs that are getting lost in the United States due
to software outsourcing are basically low salary IT jobs such as
software programming or computer support specialists or computer
operators. However, on the other hand, high paying jobs like
system analysts, network analysts and research analysts are
continuing dominating the market. In fact, jobs in this sector
are growing at the steadily rate of 4 to 5% every year.
Normally, these jobs require excellent domain knowledge and idea
about the internal working of IT systems and business process.
In software outsourcing these qualities are difficult to find.
Jobs that not get affected by software outsourcing Higher
skilled jobs such as system analysis and application development
are increasing at the rate of 6% per year. That's because, their
demand is growing continuously. Also, software outsourcing can
be shifted to India or other offshore software development
countries, where buyers need in-house workforce to customize and
upholder software.
Reasons for decrease in Software outsourcing in future Are you
the one afraid from this boom of software outsourcing? If yes,
there is news which can lower down your fear for a great extent.
According to a report, attraction of cost saving in software
outsourcing is yet very high and because of that, increase in
jobs like software programmer will be very less. That further
results into very low increase in software programming jobs,
salary rise will also hardly 1% in next few years. In fact,
salary of computer operators and database administrators will
also grow at the minimal rate of 1%. However, salaries of
computer research scientists and information system managers
will have highest growth at around 3.5% every year whereas
salaries of analysts and system administrators will grow at the
rate of 2 to 3% every year.
Offshore software development It is also predicted that the
market of software outsourcing which has major costs saving
today will decrease by 2008. The main reason behind this will be
the decreasing gap between the US salary and the outsourcing
countries such as India. As, it will lower the salary in US,
while in India and other offshore software development
countries, because of lack of availability of resources, salary
rise will be very high. It will also decrease the costs saving.
Finally, companies will prefer their in-house resources rather
then software outsourcing.
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