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To: Rob Fritz who wrote (5821)	10/3/2002 12:44:58 PM
From: Lizzie Tudor	Read Replies (1) \| Respond to of 306849

I sincerely think these 'cost-savings' moves are going turn out much more expensive in the long-run. Rob I agree totally. I was talking only about ERP software (orcl, sap, sebl etc) where the pattern we see is.... keep the business analysis close to the users here at corporate (meaning these people must be americans)... then produce a spec to be produced offshore- usually india. I started in the tech lead position of Oracle ERP apps and although I was located here (vs offshore)- this was the same model we had then. The problem was the business analysts had no knowledge of the internal structures in the package that may or may not allow their design to work. The best ERP implementations had these "techno-func" type people in both the business and technical lead roles. Now that they are trying to draw a hard line between the 2 roles again... with a huge body of water in between no less, I predict failure. Having said that, consultants from KPMG, Price and others for these large IT enterprise app implementations are too expensive. The model doesn't work, KPMG needs to bill at $100/hr and pay salaries of 50K to be profitable, its high cost low quality by definition. Lizzie

To: Rob Fritz who wrote (5821)	10/3/2002 12:54:30 PM
From: John Chen	Respond to of 306849

Rob,re:"long-run". Now, that's a new concept.

To: Rob Fritz who wrote (5821)	10/3/2002 2:13:53 PM
From: J. P.	Respond to of 306849

<<I know of a couple Bay Area, CA companies who have mid-term plans to out-source nearly all their IT support and development to India.>> A couple of security issues here also. Almost all of our companies are flocking to India to have operational source code done. Some of our largest railroads, airlines, chemical plants, banks, financial institutions. Do we really want foreigners with their fingers on every confidential part of our infrastructure just to save a couple of bucks? Apparantly the answer is yes. And how hard would it be for Al Quada to recruit some programmers and have them in Bangalore working on outsourced Air Traffic Control source code? Think it's funny and far fetched? Think again. And let's not forget that Pakistan and India have a much better likelihood than 0 of nuking each other. So all of our railroad infrastructure source get's nuked? Who cares, we're saving about as much as Ken Lay stole from Enron a year.