SIG Sound Bytes: TPI, MindTree, China and the Next SIG Event
April 2nd, 2010By Kirk Laughlin
Adjusting to the ‘new normal’, vendor management transformation in a post-recessionary environment, managing procurement vs. finance corporate showdowns and making sourcing relationships really work – these were just a few of the top level themes dominating the top flight S.I.G. event that just wrapped up yesterday in Savannah, Georgia.
Some key takeaways and insider news items that we picked up during the event:
China Meltdown: The Google-China clash of recent weeks, and other troubling signs of favoritism shown to domestic service providers and industry, are causing many to believe that the ‘open door’ policy of the last ten years is suddenly get slammed shut. On stage and in offline meetings, leading consulting firms and players in the market are quick to say that the political risk in China is something to take very seriously. It’s as if China has suddenly spiked on the risk scale and those with investments there need to take a hard look at diversification outside of the country. Even a China-based consultancy – which aims to play on the same field as IBM and Accenture one day – has representatives at the SIG event. When asked about the intensifying problems, the consultant said – “It’s all real.” By the way, Business Week has been doing a strong job covering this story and the implications for U.S. companies struggling to deal with the loss of access and eminence they once enjoyed.
MindTree Returns to the Nearshore: Insiders tell Nearshore Americas that India-based IT Solutions Provider MindTree which established a delivery center in Mexico in 2008, but quietly shut it down sometime after that – will be re-establishing a center in Mexico sometime in the second quarter of this year. The motivation to re-initiate a center is driven by the need to service a particular customer, sources said. MindTree spoke at the SIG event along with one of its customers, Avis Budget Group.
