Multi-vendoring may benefit Indian companies

Multi-vendoring is likely to become a trend in future and could offer huge opportunities for Indian companies as a number of foreign companies have gone in for multi vendoring for their BPO operations, according to M M Nambiar, additional secretary, department of information technology (IT), ministry of communications and IT.

Addressing the inaugural function of IndiaSoft 2006, a two-day international IT conference-cum-exhibition, he said that leading players like ABN Amro and GE had opted for multi vendoring for their BPO operations. It would open up opportunities for vendors in Latin America to set up a joint ventures with Indian companies for BPO operations to serve the American, Canadian or the Mexican market.

"This would lead to a win-win situation for both the overseas and Indian partners besides creating local talent and capabilities," he added.

Stating that India's software exports were showing a growth of 30 per cent and they were likely to touch $50 billion in the next five years from the present $20 billion, he said that the success on the export front was reflected in the fact that most of the leading companies across sectors were already partnering with India, viewing it as an integral part of their business strategy.

Nambiar also said the government was keen to ensure that small and medium enterprises in the software sector got more of the action in the country's export efforts and exhibitions like IndiaSoft would help achieve this.

Setting up of operations for hardware and embedded software by many foreign corporations in India was also a reflection of the fact that the domestic market for software was as high as the export market, he added.

Nalin Kohli, chairman, Electronics and Computer Software Export Promotion Council (ECS), said that IndiaSoft was intended mainly for Tier II companies to enhance their export base by focusing on non-US markets.

In the two-day event (March 20 & 21), organised by ESC, over 70 exhibitors will be displaying their products and solutions. The event has attracted over 200 delegates from around 50 countries. Business delegations from USA, Russia, Republic of Korea, China & Hong Kong, Japan, Turkey, UAE, Latin America, Africa, Asean and CIS countries are participating in the event. This is the second consecutive year that IndiaSoft is being organised in Chennai.