Released on: 6, January 2006
, Author: Jim
, Audience: Software related
A report by research and consulting firm Forrester Researchmentions that, jobs which are lost in United states because of software outsourcingare primarily low salary IT jobs. These jobs are like software programming orcomputer support specialists or computer operators. But on the other hand, high endhigh paying jobs like system analysts, network analysts and research analysts haveseen continuous and stronger growth. Jobs in this niche market is growing steadilyat the rate of 4 to 5% every year. These jobs which require stronger domainknowledge and knowledge of internal working of IT systems and business process aredifficult to software outsource.
Which jobs will not get affected by software outsourcingJobs for software engineers for the position of system analysis and applicationdevelopment implementation are also growing at the rate of 6% a year. This isbecause, though software outsourcing can be done to India or other offshore softwaredevelopment locations, customers require in-house staff for customization andmaintenance of purchased software.
Why Software outsourcing will decreaseReport also mention that, attraction of cost saving in software outsourcing is yetvery high and because of that, increase in jobs like software programmer will bevery minimal. Also, because of very low increase in software programming jobs,salary rise will also hardly 1% in next few years. Salary of computer operators anddatabase administrators will also grow at barely 1% rate. On the other hand, reportalso mentions about jobs which will have highest salary rise. Salaries of computerresearch scientists and information system managers will have highest growth whichwill be around 3.5% every year. While salaries of analysts and system administratorswill grow at the rate of 2 to 3% every year.
Conclusion about offshore software developmentReport concludes with note that software outsourcing which has major costs savingtoday will decrease by 2008. Because in US salary rise will be very less. While inIndia and other offshore software development destination, because of lack ofavailability of resources, salary rise will be very high. This will decrease thedifference between salary of Indian and US software engineer and eventually decreasecosts saving. So many companies will prefer in-house resources rather then softwareoutsourcing.
Source: Express-Press-Release.com
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