Ohio bans offshoring as it gives tax relief to outsourcing firm

[ChromeFoundry]

Source: Computerworld

Ohio governor says offshore work has 'pervasive service delivery problems,' creates privacy risks

September 7, 2010 06:00 AM ET

Computerworld - Ohio Gov. Ted Strickland is delivering one of the strongest attacks yet on offshore outsourcing, calling it not only a threat to jobs but an IT security risk.

Strickland's criticism of offshore outsourcing was part of a recent order to state agencies prohibiting them from hiring any firm that sends work offshore. The agencies were ordered to be in compliance by last week.

In his order, Strickland said that the purchase of offshore services "has unacceptable business consequences," and among them were "unacceptable data security, and thus privacy and identity theft risks."

But Strickland has also wooed offshore companies to his state. In 2007, Indian IT services giant Tata Consultancy Services said it would build its North American Delivery Center in Milford, Ohio, after the state offered about $19 million in tax credits and other incentives.

TCS said Friday that it has 400 people working at its Ohio delivery center, an increase of a 100 workers from about a year ago.




Read more: http://www.computerworld.com/s/article/9183570/Ohio_bans_offshoring_as_it_gives_tax_relief_to_outsourcing_firm_

[OhioChick]

1. Interesting....

"Strickland's deal with TCS has drawn White House attention. Last November, Strickland was among 16 people seated at the head table for a State Department luncheon for Indian Prime Minister Manmohan Singh. Others with Strickland included House Speaker Nancy Pelosi and Secretary of State Hillary Clinton."

[OhioChick]

2. Ohio bans offshoring of IT projects by govt depts

8 Sep, 2010, 12.35AM IST, N Shivapriya & Harsimran Julka,ET Bureau

MUMBAI/NEW DELHI: The US state of Ohio has banned outsourcing of government IT and back-office projects to offshore locations such as India, raising fears of similar moves by other American states struggling to cope with high unemployment rates.

“There are pervasive service delivery problems with offshore providers, including dissatisfaction with the quality of their services and with the fact that services are being provided offshore,” Ohio governor Ted Strickland said in an executive order passed last month.

The move is yet another blow to the Indian IT industry, which is facing higher visa costs and rising protests against outsourcing in other US states.

Offshoring work to India is a $50-billion industry, and the Indian tech industry has benefitted immensely from American firms wanting to take advantage of its low wages and top-quality skills. The industry employs about three million people across India and has largely been responsible for the sea change in the West’s perception about the country.

More: http://economictimes.indiatimes.com/tech/ites/Ohio-bans-offshoring-of-IT-projects-by-govt-depts/articleshow/6515714.cms

[apnu]

3. "top quality skills" HA! Indian programming is a crap shoot.

Some of them are brilliant, most of them are junk. Just like everywhere else in the world. I hate that meme, like India has some weird genetic disposition to programming. They're people just like the rest of us and only a few, in any given population, fully understand and are good at programming.

[Skittles]

8. as someone who has worked extensively with both onshore / offshore programmers

onshore: most of them are very good, but a few of them suck

offshore: a few of them are very good, but most of them suck

[apnu]

11. yup me too.

I've also worked with both and have come to a similar conclusion. It is easier to find quality programmers onshore.

[al bupp]

13. As someone who works w/ Indian programmers professionally...

I largely agree w/ you. However, is also true that any educated Indian is fluent is at least three natural languages, their mother tongue, Hindi & English. Most people in the US don't know that each Indian state has it own language, many mutually unintelligable and w/ completely different grammers, vocabularies and scripts.

I think that the understanding of multipule languages which educated Indians have gives them a better ability, in general, to comprehend the abstractions inherent in computer programming languages. This doesn't mean that they have any better inherent understanding the principles of good programming, that requires instruction and experience.

Just my 2 cents,

-Al

[ChromeFoundry]

14. I disagree

Strong mathematics is what is essential for a good programmer. That and spatial reasoning.

Learning Chinese and Spanish is not going to make anyone understand inheritance, polymorphism, multi-dimensional arrays, delegation, and interface implementation.

Indians understand their State Language and their National Language. The only reason they are required to learn English is because they need to build their economy by relocating jobs from other economies... They require the need for English skills in order to compete for western jobs.

If learning multiple languages made them better at understanding multiple cultures; then they should make excellent doctors. They should be able to understand patient problems, be great listeners, and most importantly be able to determine the best course of diagnostics to solve the given problem. I've been to far too many Indian doctors to be the wiser.

[Jim Sagle]

4. You said "top-quality skills", heh heh, heh heh.

[valerief]

5. If pols couldn't talk out both sides of their mouths, they wouldn't talk at all. nt

[Joanne98]

6. YAY

[sakabatou]

7. *facepalm*

[DainBramaged]

9. But but they can build their headquarters here and still fuck America

When you call customer service, ask them who has the best record in baseball. That usuall puts you on hold and someone else picks up. You can continue this for hours if you have free time to spare.

[realisticphish]

10. that would stump me

because baseball sucks...

In all those 50s movies, I would have gotten my ass shot if someone was trying to determine if I was a soviet in disguise. Ask me about NCAA football, and we're good.

[Javaman]

12. First you say you do and then you don't.

First you say you will and then you won't.

You're undecided now, so what are you going to do?