Wednesday, August 19, 2009
HITS - is hiring in the slump. That's just an acronym I made up. But this makes for interesting reading.
Some companies, though, see the hard times as an opportunity to boost productivity and prepare for the next big uptick in the $800 billion global IT business. Top players such as Tata Consultancy Services, Infosys, Wipro (WIT), and HCL Technologies remain profitable and are loaded with cash; Infosys has $2.2 billion, and the others have $1 billion-plus.
So even as the industry suffered, the five biggest companies added a total of some 80,000 employees in the 12 months through March-a third less than the previous year but still sizable. And the outsourcers are all cozying up to customers, reinventing how they price and sell their services, and investing millions in training and research to help them take on more complex jobs.[BusinessWeek]
There are two things. One, that hiring during a slump (and not just in India, mind you) is contrarian. Two, the biggies seem to be either thinking alike or they know something we don't.
To me, the latter seems to be truer. And that is that a slump traditionally means companies scramble to become leaner and what better way to cut flab than in their IT departments. I am sure that the consultants that these companies employ are suggesting the same to their prospective clients. Either way, I like the way they think. Hiring during a recession surely builds up brownie points in those countries where a thousand advertisements cannot. And what better time to get those customers when they are in their deepest pain.
I am glad to see the Indian IT industry live up to its spots...