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Strategies & Market Trends : The New Economy and its Winners

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To: Dave Doriguzzi who wrote (18546)10/17/2003 1:11:06 PM
From: Lizzie Tudor  Read Replies (1) of 57684
 
well, I actually was much more pessimistic earlier this year when I took some time off from consulting... I was very concerned about the trends in offshoring labor. Not only is the trend itself disturbing, the entire tax structure is skewed against the first 100K of earnings on the middle class. So you just can't cut out all those jobs and expect to maintain this level of spending by the government. Anyway that was earlier this year and a few months ago I started trying to work under the offshoring model and my conclusion is that we have a massive overshoot here. So I am much more positive than I was.

I went to a party a few days ago and had this discussion with a VP from SAP and he put it best- any functional design is maybe 60% done at start of development at best. The notion that you can really write a complete functional design document here and send it elsewhere for production is naive. Now where do we go with the model. There still is offshoring but the process needs to be more thought out to say the least. Anyway a piece of anecdotal evidence- today I heard an advertisement for Trinet on the radio locally. This is the rent-a-HR dept company that you hire if you are going to bring on staff after you have gutted your own HR dept. They wouldn't be advertising if they didn't see any potential for business. I've never heard them advertise before.

Anybody out there considering trinet... they suck fwiw. Hire an admin to do benefits, it is much more efficient.

Anyway wrt enterprise software, I think there is one of these shifts going on to a web based model and the existing companies are going to have to deal with that which is painful, and that is really an industry specific thing, this time around enterprise software is not going to lead a tech spending cycle imho.
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