Russia: A discrepancy between the growth of the IT sector and the rest
Posted by: Catherine Kremerius in News on May 06, 2011
If you take a look at the speed the Russian information-technology sector has developed within the last years, you will see that the gap between this sector and all the rest has increased at the same rate. Russia’s economy can not keep up with the fast pace of its IT sector.
What does this show us? On the one hand the Russian IT sector has managed to reduce the distance to other leading IT sectors around the world; on the other hand Russia has enlarged the gap within its own country between the IT sector and others.
The task which the Russian IT sector has to deal with now is a lack of specialists in other countries. This causes a situation that calls for outsourcing to Russia, which in turn calls for a business model that differs from the one in use right now. The model has to be based on trust between clients and providers and service-oriented.
The advantages of this type of business model include that the outsourcing company can focus on its main cores. Employing skilled people who have the desired knowledge increases the flexibility of a business. Cost can be reduced by the companies that outsource to Russia not because of cheaper rates, but also because the taxes the client has to pay are collected in Russia which will save them money and at the same time have a positive result on the provider’s state economy.
What are the goals of IT outsourcing? Many companies that have decided to outsource have high expectations. Since they cannot finish the project themselves, they are looking for someone who can put all their visions into action at the highest quality possible. Other expectations include optimization of business structures, decreased as well as transparent expenses and a project that will be finished at a higher speed.
Before the economic crisis many companies had to take the idea of outsourcing into consideration to lower their costs. The fear of having providers in other countries and the possible loss of data and information took a back seat. The new fear became that of losing clients and thereby money.
Russia is one of the few countries that has actually benefitted from the economical crisis, since the progress that has taken place in its IT sector would have taken another five years without it.
The only issue that is still present, concerns trust. Western companies that have decided to outsource to Russia still do not have 100 percent faith in their partners.
