Outsourcing Has Been Very, Very Good for Him and India

From the NY Times ("Outsourcing: It's Been Good to Him"), an interview with Azim Premji, the CEO of India's outsourcing giant and IT powerhouse Wipro, and India's richest man.

But what is not getting adequate focus is that globalization is a two-way street. If the United States wants access to Chinese, Indian or Vietnamese markets, we must get access to theirs. U.S. protectionism is very subtle but it is very much there.

The important thing about outsourcing or global sourcing is that it becomes a very powerful tool to leverage talent, improve productivity and reduce work cycles. The West is not producing enough engineers. The United States will produce 75,000 engineers this year; they will produce more sports therapists than engineers. Germany, the great engineering power of Europe, will produce 35,000 engineers this year; they will produce more architects than engineers. Western companies want access to Indian talent, that is why they outsource, that is why they come to India to set up base.