Monday, April 07, 2008

Outsourcing to Ohio and Michigan.... Via India

MUMBAI, INDIA--India's leading software company Tata Consultancy Services (TCS) has signed a multi-year contract with US-based automobile manufacturer Chrysler to provide a comprehensive portfolio of IT services. According to the agreement, TCS will deliver IT application and maintenance support services to Chrysler by leveraging its Global Network Delivery Model from various locations around the world, including the recently announced TCS center outside Cincinnati, Ohio, and through a locally recruited team in the Detroit, Michigan, region.

Comment: What a wacky, interconnected, digital, Information Age, globalized, flat outsourced world - IT services outsourced from Chrysler in Michigan to Tata in India, back to Michigan and Ohio.

5 Comments:

At 4/07/2008 9:52 AM, Anonymous adam said...

Yeah, but is it a net gain or loss? Many people in Detroit lost their job because of this.

 
At 4/07/2008 9:53 AM, Anonymous adam said...

Heres the link:

http://www.detnews.com/apps/pbcs.dll/article?AID=/20080402/BIZ/804020469/1148/AUTO01

 
At 4/07/2008 10:41 AM, Anonymous Machiavelli999 said...

Sigh, what short sighted thinking by adam.

I think one point we free traders have to make is that any job that was lost to outsourcing would have been lost anyway in one way or another if outsourcing was not allowed. New technologies, restructuring, better productivity or just outright bankruptcy (see Delphi) would have eliminated those jobs anyways.

 
At 4/07/2008 11:19 AM, Anonymous adam said...

Not shortsighted at all. I was commenting to the spirit of the post. I understand free trade and they would have been lost anyway; but the post appears to be suggesting that these are new jobs from India when they are not. They are just "re-routed" jobs that were here to begin with. I have no problem that they were outsourced.

 
At 7/04/2008 5:24 PM, Anonymous Anonymous said...

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