Wipro leads jobs exodus
Wipro, India's huge technology business, is leading the migration to Asia of jobs in developing software, building systems and running back-office operations.
Over recent years, India has developed a reputation for producing IT specialists, some of whom have had experience in working in the UK through the fast track visa scheme - and most of whom are more than comfortable working in English and to English requirements - and virtually all of whom are cheaper to employ than their western equivalents.
There is a clear move to ship IT jobs and projects out to India - and Wipro is leading that drive.
Speaking to the Sunday Times, Wipro Chairman, Azim Premji, said: "We are seeing in services what happened in manufacturing 15 years ago. Whatever can get done in a more cost-effective location will be done in a more cost-effective location.
"Our indigenous population is young, eager to learn and very trainable. Indian universities will produce 200,000 engineers this year and that's going up by 10 per cent to 15 per cent a year."
Wipro has developed and maintained systems for Thames Water, Thomas Cook and Nationwide and has worked on projects for a range of international companies including IBM, Nokia, Nortel, Sony, Toshiba and Microsoft. It was also awarded, amid some criticism that a local company was not used, the contract to support the IT network and assist in the Scottish Parliament’s 2003 move to Holyrood.
The Wipro boss Premji is described as a 'quiet billionaire' without the flamboyant style of some of his western counterparts who have made their millions through technology companies. Additionally, he is known in Indian villages as a benefactor who has used his wealth to fund the improvement of elementary education there.
His introduction to the IT world was by a less-than traditional route. In the 1960s, he was studying engineering at Stanford University when the death of his father resulted in him taking the running of the family's cooking-oil business.
It wasn't until 1980 that the company began to transform into the IT world, prompted, some commentators say, by IBM's withdrawal from India. Throughout the 1990s the company grew into the 'global business' it is today, providing services to foreign customers from India. Earlier this year, Sudip Nandy, VP of Wipro Technologies Europe told UKTECH that a range of companies from blue chip to emerging start-ups were looking to India to outsource their software requirements.
However, Premji is pragmatic about where the future might take them, although he believes that India is currently the most cost-effective location, he would consider a presence in any emerging area.
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Susie Hughes