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Tag Archives: Nearshore
Offshore Nearshore: the euro’s fall below $1.10 prompts East-European offshore companies to export outside Europe
Given the euro’s current price and as long as it continues to drop, most offshore IT service companies established in a EU country, whether they are members of the eurozone or not, will most likely tend to offer their services outside the EU. Although this may not have any consequences whatsoever on intra-EU relations, there are some exceptions to the rule. For the United Kingdom, for instance, the fall of the European currency brings commercial opportunities with it.
The relationship between the euro and the currencies of the former Eastern Bloc countries has been stable in the last period
In fact, the euro’s fall against the dollar has not affected at all its relationship with the currencies of the former Eastern Bloc countries. There are two reasons for this situation. First of all, after theseRead more « Offshore Nearshore: the euro’s fall below $1.10 prompts East-European offshore companies to export outside Europe »
While Euro was reaching tops some years ago I wrote a lot on the impacts of those variations on every layer of the software outsourcing and consulting economy: the coder, the customer and the ITO company. With the Euro now experiencing some of its lowest levels (1.12 for 1 Euro last Friday) the same topic is up raising again with proportionally but inverse consequences on the ITO geopolitics. But currencies are not the only one to move. Pentalog has changed a lot too since we opened our first facility in Vietnam to strengthen our Romanian and Moldovan Units and under the influence of our fast growing sales operations in the US.
Pentalog US sales have progressed so fast that they weight already 2 times more in our turnover than Germany and could even catch upRead more « With Euro falling vs Dollar, is it the right time to invest in South America for Pentalog? »
Pentalog has made its decision to launch its first ops in South America by the beginning of 2015. The final place is not yet clearly defined. But the skill indicators meet to our expectations and the customers’ demand for South American engineering has been confirmed to Monica and me.
With that decision Pentalog is becoming part of the very exclusive club of IT consulting companies with facilities on all best coding spots of the world except India (Romania in the EU, Moldova in former USSR, Vietnam and Latin America).
This mix guarantees our customers a best in class technology provision together with a unique combination of time zones. They will benefit from a time shift range reduced down to 0-4 hours max, making Pentalog a WW agile enabler under the best cost conditionsRead more « Pentalog becoming a WW nearshoring operator with its future South American facilities »
According to a survey of 3,700 clients, Indian IT services companies wipe out their European competitors in terms of quality, turning offshore delivery into a superior model. Are you surprised? I’m not, and neither are those working at the core of long distance projects…
The European study conducted by Whitelane Research reveals two things about the quality of IT outsourcing companies. The most striking-one refers to the ranking domination by the Indian providers that monopolize the first 3 positions and occupy a total of 6 out of the first top 10 positions. The second-one is that France occupies 6 positions out of the 22 listed, coming third after the Americans and Indians, but way ahead of European competitors. British and German providers seem to be lagging behind as far as quality is concerned.
I willRead more « IT outsourcing companies: Indian quality ranking much higher than that of Western competitors »
Is IT reshoring the new buzzword on the ITO market? Although not common yet at global level, the concept of IT reshoring, meaning when companies decide to bring back home their IT activities (mostly outsourced to India), is becoming a real trend. Daimler, Procter & Gamble, General Motors, American Express are just some examples of companies that decided it’s more viable to bring IT operations back to the U.S. from India: “We want better control over our IT activities to remain competitive”. Some leaders also evoked a so-called “patriotic choice”, but I believe that the reasons they resort to reshoring are actually more practical than that.
In practice, the related constraints – cultural gap, language problems, different time zones, wage inflation, turnover – can sometimes happen to make an offshore outsourcing operation a less positiveRead more « Viable alternatives to reshoring »
As I pointed out in my previous article, the need to be actively present on the mobile market is more than obvious. In the United States, Android continues to make progress with 51.7% on the American smartphone sales market (according to Kantar Wordpanel Comtech) compared to 41.4% registered by iOS and 5.6% by Windows. This difference is even more striking at European level with 70.4% of Android smartphones (also according to Kantar Wordpanel ComTech).
In 2013, Android runs on 867 million devices across all platforms (Smartphones and tablets), and it is expected to reach 1 billion in 2014. Given such figures, it becomes almost mandatory to create or port your application to Android.
These devices are created under many different models. They vary in display size, processing power, communication capabilitiesRead more « Developing for Android requires more testing than for iOS! »
We’re talking about one of the Google searches that most frequently lead to our Pentablog. That is why, after so many years, we considered it was about time to write a short article on this topic.
In the 90′s, when the Offshore term first appeared in the IT field, it used to cover indistinctly any form of services production that was outsourced in a different country for reasons related to costs or labour market tightness. This word was equally associated to coast oil drilling and to tax havens, that is territories where certain taxes are levied at a low rate or not at all.
At that time, the countries considered to be offshore were mainly India, a small part of Eastern Europe and Rusia. Later on, as the Internet access became more and moreRead more « What’s the difference between offshore, nearshore and onshore? »
After a two-week-trip on the West coast of the U.S (see articles here and here), Pentalog has been reconsidering the idea of a new destination. This time we are planning a trip to the East coast, to Boston (April 30th – May8th 2013).
Capital of the state of Massachusetts, Boston is among the top 10 most economically powerful cities in the world (see table, source McKinsey Global Institute, May 2012).
Boston is a famous higher education center with a strong emphasis on scientific, engineering and technological education and research (Cambridge, MIT, Harvard, Boston University). This city is the second technological cluster after California’s Silicon Valley, a complete ecosystem ready to adopt and promote the emerge of products, services and innovative business models.
We consider Boston as a possible destination to
In these election times, in France as well as in the USA, this is a popular word. Easy to use and definitely catchy, it reconciles the extreme left, the extreme right, the extreme center and the elderly. It works almost on its own! There is a risk involved, meaning the potential for a lot of foolish economic decisions, but in general politicians and journalists tend not to care about it.
For example, we systematically forget to say that, when an Indian company orders 127 Airbus planes (which will bring 10 billion to the South-West of France and Northern Germany), this happens because there are more and more Indians who can fly due to earning higher incomes. Of course we want to sell these Airbus planes to them! But it would be even better if theRead more « Relocation, tax spoliation… just of few thoughts concerning the demagogues from all walks of life »
- How mobile, BYOD and younger workers are reinventing IT (February 24, 2012, Computer world)
- Industry giants unite to launch new web-based smartphone tech (February 27, 2012, IT Pro)
- Heads of finance hate big-bang IT projects (February 24, 2012, Computer weekly)
- Your IT career: Making time for continuing education and career development (February 26, 2012, IT World)
- China’s software, IT services industry hits US$292B (February 27, 2012, ZDNet Asia)
- Developers say Android has room for improvement (February 27, 2012, ZDNet Asia)
- Where to Outsource to: Eastern Europe or Asia? (February 27, 2012, ITO News)
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