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Dell Expands In India

Posted by Hemos on from the growing-with-the-cost-basis dept.

s31523 writes "NEW DELHI - Computer maker Dell Inc. said Monday it planned to add 5,000 jobs in India over the next two years, bringing its work force in the country to 15,000. Dell is also looking to set up a manufacturing center in India, a move that could help boost the sale of Dell computers here, President and CEO Kevin Rollins told reporters after a meeting with Indian Prime Minister Manmohan Singh. "

2 of 53 comments (clear)

  1. Dell getting wise? by AKAImBatman · · Score: 5, Insightful

    Dell is also looking to set up a manufacturing center in India

    Now that's the first smart thing I've seen anyone do with Indian outsourcing.

    Outsourcing manufacturing is a tried and true method of cost saving. Since the work that needs to be done is mostly repetitive, it lends itself well to operating with minimal communication from the headquarters.

    Computer Programming, OTOH, is inherently about collecting new requirements and developing new processes. When you have an office with an orthagonal time zone, working with completely separate operations from the one's they are trying to reduce to code, you're significantly reducing your ability to produce the results you need.

    Managers need to get this through their heads: Coding is not a blue collar job. It inherently requires direct interaction with other professionals, and is core to making a business work. Bringing highly trained workers from other countries can work (putting aside cultural and language issues that sometimes cause problems), but you just can't be moving your core operations away from your headquarters unless you also move your headquarters. It's a recipe for disaster every time.

    --
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  2. To address the inevitable... by Anonymous Coward · · Score: 4, Insightful
    To address the inevitable deluge/trickle (as the case may be) of comments grumbling about Dell moving jaabs offshore, here's a quote from TFA:

    But Rollins said his company's expansion plans were not limited to tapping the talent, but also benefit from the growing demand for desktop computers and notebooks.

    A free market economy is not a one way street. You can't treat a country with a population of 1 billion solely as a market to sell goods to. Most people opposed to this idea of "outsourcing" would rather have companies (McDonald's, Coke, or their IT counterparts) profit from selling their goods to other countries, but not have them benefit through creation of local jobs or improvements in economy.