Tag: Michel Janssen

Outsourcing To India Is A Suitable Option For Another 3 Decades: Study | In the News

India’s position as a labor arbitrage market may continue for another “25-35 years”, said IT consultancy Everest Group. However, it is unlikely that earlier offshored work would be back to its home market, it added.

“There is no doubt that India is still a highly attractive and viable option for low-cost labor, albeit not quite as good as it was 15 years ago, but still very compelling, and it will likely remain so for another three decades,” said Michel Janssen, Chief Researcher at Everest. “We move out our estimate for the end of the India labor arbitrage to beyond the 2040-50 time horizon.” Indian IT firms have put it that they have shifted from a model based purely on labor arbitrage and have been hiring in bulk onshore.

Read more in CXOtoday

Slow IT growth, high talent supply may keep salaries low | In the News

Entry-level IT jobs will continue to see low wage as the Indian software services industry foresees a slowdown in offshore services to the country in future.
Salary growth prospects for entry-level IT professionals will not be much given the fact that offshore jobs will not come in large quantities in contrast with the sharply growing number of information technology graduates, said a report by Everest Group, a Dallas, US-based IT consulting and research firm.

“More competition will keep the salary down over the 25-35 years horizon. The wage growth will remain muted. People were getting 8-10 per cent growth (on an average), but they will now be getting 4-5 per cent as they move up the pyramid. But the pressure will still remain on the entry-level positions,” said Michel Janssen, Chief Research Guru, Everest Group, Dallas, US-based IT research firm.

Read more in Business Standard

No, India’s High Tech Labor Isn’t Leaving The U.S. For Bangalore | In the News

If Silicon Valley thought that crackdowns on immigration in the U.S. would mean their favorite foreign worker would be hightailing it back to Bangalore, they are wrong.

Over the next three to five years, India will need around 40% less people than they current need for their labor arbitrage-based work, meaning outsourcing, or moving tech related service jobs to where the service can be done cheaper. Second, the real software and digital tech talent usually needs to be located in IT India’s main markets, which are the U.S. and Europe. Third, IT India has “over-hired” entry level computer science graduates and have too many mid-level employees who need training for the digital worlds being created on the backs of new technology like blockchain and artificial intelligence. The result is the continual churn of India’s IT employee base back home, says Peter Bendor-Samuel, CEO of the Everest Group, a global consulting firm with its headquarters in Dallas.

In the early 2000s, industry analysts said India’s advantage as a source for cheap tech talent would end by 2020. The consensus was that as wages rise in the U.S., it might just be easier for the Indian firms to move some labor back home.

“There is no doubt that India is still a a highly attractive and viable option for low-cost labor…and it will likely remain so for another three decades,” Michel Janssen, Chief Researcher at Everest, said. They now think India remains a hub for low cost tech talent way out into the 2040s!

Read more in Forbes

Everest Group revises forecasts for BPO, ITO in India based on labor supply | In the News

In the early 2000’s, many analyst models predicted that the US labor arbitrage incentive for outsourcing work to India would have run out of steam by 2017, but Everest Group recently revised its forecast, saying that train may still be running strong in 25 to 30+ years.

“India is still  a highly attractive and viable option for low-cost labor, albeit not quite as good as it was 15 years ago, but still very compelling, and it will likely remain so for another three decades,” said Michel Janssen, chief research guru at Everest Group.

Read more in InfotechLead

Offshored Information Technology jobs may not return home | In the News

India’s standing as a labour arbitrage market could survive for the next three decades, IT consultancy Everest Group said, and that it was unlikely that previously offshored work would return to its home market.

In the early 2000s, industry analysts had said the labour arbitrage advantage would end by 2020. Analysts have also suggested that as wages rise in offshore centres, it might be feasible for the jobs to move back onshore.

“There is no doubt that India is still a highly attractive and viable option for low-cost labour, albeit not quite as good as it was 15 years ago, but still very compelling, and it will likely remain so for another three decades,” Michel Janssen, Chief Researcher at Everest, said.

Read more in The Economic Times

 

Michel Janssen Rejoins Everest Group as Chief Research Guru | Press Release

Strong senior leadership to guide research agenda and capabilities in an era of sourcing industry disruption

Everest Group, a consulting and research firm, today announced the return of Michel Janssen to the company. Janssen, a 20-plus-year veteran of the research and consulting industries, will assume the position of chief research guru, responsible for guiding the agenda and architecture of Everest Group’s research capabilities, a division that he co-founded in 2005 during his original tenure with the firm.

“It is a tremendous pleasure to welcome Michel back to Everest Group. Having worked closely with him during his first stint and remained friends since that time, I am very excited about adding his creativity and spark to our leadership team,” said Eric Simonson, managing partner of research. “His experience in developing and scaling research capabilities will help us accelerate our evolution across many dimensions.”

As an expert in research development, Janssen has established an unequivocal track record for developing analysis and frameworks that are compelling and highly valued by clients. His return to Everest Group reflects the firm’s commitment to the growth of its research practice and its confidence that Janssen will contribute significantly to the firm’s expansion and market-leading innovation during a period when the senior executives across industries are facing significant market disruptions that call for the innovative, best-in-class application of technology and business processes.

“With his broad and varied career in the research industry, Michel is uniquely positioned to offer profound fact-based insights to enterprises and service providers alike,” said Everest Group CEO and founder Peter Bendor-Samuel. “His experience and entrepreneurial spirit will help propel Everest Group’s research practice to a new level – one that truly reflects the depth and breadth of our research capabilities, including our focus on digital transformation. We are pleased to welcome him home.”

Prior to rejoining Everest Group, Janssen spent a successful decade serving as chief research officer at Market Track, where he more than tripled the practice’s revenues during his 3 1/2 years there, and at The Hackett Group, where his contributions to innovating the research methodology and enhancing the market relevance of research services helped the company expand its practice by more than 15 percent annually. Earlier in his career, Janssen held analyst positions with Gartner and service leadership roles at EDS. He is widely quoted in news media as a subject matter expert on applying business insights and is a prolific contributor of thought leadership to conferences.

In addition to Janssen, Alan Wolfe, who brings 30 years of sales and sales management experience with leading research and consulting firms, joined Everest Group in the role of senior vice president of sales in May 2017. A dynamic and versatile sales leader, Wolfe helps generate revenue and income growth by building and nurturing outstanding sales teams. Prior to joining Everest Group, Wolfe held leading roles in several professional services organizations, including The Hackett Group, Gartner and Deloitte Consulting.

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