Globalization of Indian software companies: a study of strictures influencing the service product conundrum

Abstract

The Global scenario in the software business has quite dramatically transformed in the past few years. The Indian Software Companies have shown tremendous improvements and innovations in the way they have been doing business. A quick look at the global sourcing that the Indian Software Companies have been doing indicates that there is still a huge amount of scope in the market. While the Indian Software Industry is mostly centered around the services business and very less in its proportion of Products business, there is a lingering question on the minds of the Software Companies What is the way forward Software Products or Software Services or Both? In our project on the Globalization of Indian Software Companies: A Study of Strictures influencing the Service-Product Conundrum is a study and analysis of certain important parameters that affect the way in which the Indian software companies do business and are Globalizing themselves. Based on the study of data and the various methodologies that these companies have adopted, our strong belief is that the Indian Software Companies which have a healthy mix of both innovative products and best in class services built around those products, to be called Global is just a Marketing Fad rather than a believable reality. To be able to arrive at the healthy combination of Products and Services would require that the companies invest some of their critical efforts in understanding their internal structures, mind set, culture etc apart from collaboration and an openness to benchmark. It would also require that the managements of these companies keep their ears close to the Ground and be able to visualize the future. From this analysis we find that the external factors are favoring a product oriented business but the internals of the Indian software companies are more tuned towards a service business. Hence we are recommending a combination of service and product which is primarily focused on services and appended with a good product strategy as well. This would de-risk from the external shocks.