Tag: digital revolution

Is Infosys Stepping Up Its Acquisition Game? | Sherpas in Blue Shirts

The disruptive turmoil of the digital revolution is felt in all corners of the world, particularly among India’s service providers. In several blogs, I’ve discussed the differing tactics third-party IT and business service providers are using to address the steep challenges in the changing market. The steps they’re taking to clamp down on the shift to digital services can affect your company’s decision around third-party services. Infosys’ announcement this week of its agreement to acquire Brilliant Basics illustrates it’s on the way to turning vision into reality.

CEO Vishal Sikka joined Infosys with a mandate to transform the company and implement a “digital first” strategy. Two big areas of change in this transformation are acquiring new talent and rethinking assumptions embedded in the organizational culture. New digital business models require that a service provider’s talent base have digital expertise. In an earlier blog, I pointed out Infosys would need to acquire companies that have already developed a digital business and have a digital talent base.

Read more here

How DevOps changes the delivery of IT functions | Sherpas in Blue Shirts

Labor arbitrage and shared services companies have had a perfect marriage over the last 20 years. Then along came the Digital Revolution with new business models and a new construct for services. One component of the digital model construct is DevOps. It makes a significant impact on business services, but it’s important to understand how it changes the picture for labor arbitrage and shared services.

Shared service companies are structured on a functional basis. One way to think about them is they are a stack of functional expertise. In the case of IT, the stack includes such functions as infrastructure, security, application development and maintenance, and compliance. There is a multiple stack hierarchy, with each functional layer having shared service champions responsible for delivering that function cost-effectively at a high level of quality. Labor arbitrage fits perfectly into this equation in that each functional layer uses people, and the work can often be done more cost-effectively offshore than onshore.

Read more at my CIO blog

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