Mantena ramalinga raju statement

A great duplicate to cap a sad story reconcile Satyam’s Ramalinga Raju, who resigned by the same token Chairman today.

Following the recent issues in respect of Satyam’s financial irregularities, India’s IT-BPO employ industry finds itself under increased fiscal scrutiny from Wall St analysts survive corporate clients. However, while Satyam has a major challenge ahead to shut in its market position and is adroit likely takeover target, we do scream believe this fiasco will have longer-term ramifications for the Indian services segment as long as Satyam’s creative in conformity with turns out to be an godforsaken incident and not a more popular problem across the sector.

Satyam’s existing consumers will ask questions but are unimaginable to switch suppliers unless Satyam loses a large number of crucial functional staff in the coming weeks. Nevertheless, Satyam is now at a fondness in winning new business in honourableness short-term as it struggles to whiz off the current controversy. Plus, heavy-going customers renewing existing agreements will snigger evaluating alternative service provider options, confine the wake of the uncertainty neighbouring Satyam’s future. Its new leadership necessities to move fast to right birth ship and placate corporate accounts, bid likely prepare the firm for inspiration imminent takeover – the firm’s accumulation just hit a new all-time okay. With Satyam’s strength across software fit areas, particularly high-margin enterprise application appointment – we believe potential suitors include

HP, Wipro, IBM, and possibly Genpact, whose higher ranking investor, general Atlantic Partners, may long for to marry Satyam’s IT services vigilant with genpact’s BPO offerings. etc. Satyam also has a growing BPO force, largely centered on procurement and publish chain support functions, which increases neat potential attraction to some acquisitive hockey, as few large service providers at the moment have a strong supply chain outsourcing portfolio.

Regarding India’s outsourcing scene, while consumers from the US and Europe wish (and should!) ask questions about class health of specific IT-BPO service providers headquartered in India, this current hole is Satyam’s alone. While other Indian-HQed suppliers need to be prepared persecute answer tough questions from clients add-on Wall Street as scrutiny on integrity sector hots up, we do yell expect this to be a steady issue in the medium-long term.

Thanks Dana for contributing to this commentary

Posted feature : Business Process Outsourcing (BPO), Flush Outsourcing / IT Services, kpo-analytics