Wednesday, November 11, 2009

Global Innovation Chain II

The Financial Times extends the theme:

Mr Vaswani said Wipro was finding that it could increase its utilisation rate – the proportion of staff busy on projects against those sitting idle waiting for new contracts – by better managing its global workforce. In the Egyptian case, the company had to provide a software package service to a client in India but found it did not have the resources available locally. So it flipped the job over to a few hundred Egyptian employees who were at that point under-utilised.

“Even if I had a high-cost resource sitting on the bench in the US, I might as well use him for executing the project in India rather than hiring someone in India because then I’d be paying for two people,” Mr Vaswani said, though he conceded this was an “extreme” example.

It doesn't get more Flat World than that. Time is running out on Richard Florida's Creative Class and Spiky World.

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