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26 Jul 2003
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Is multi-location the right approach?

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Dear Friends,

Are we geared up for large-scale expansion? Do we stick to
expanding operations only in a few cities like Bangalore, NCR and
Mumbai, or spread the presence to other potential destinations such
as Kolkata, Chennai, Hyderabad, Cochin...?

The more we spread, the better sustainable growth we can deliver to
the outsourcing segment considering the required scale.
Multi-location also doubles up as a disaster recovery (DR) option.
In the long term, organizations are looking for partners who can
scale to multi-locations within a country rather than the
multi-country option. This is mainly due to the operational
complexity that comes in if there are too many service centers in
different countries. Multi-location rather than multi-country
eliminates the need to manage operations with different time zones,
local laws and cultural challenges, to name a few.

To facilitate faster growth, India as a destination needs to be
promoted more widely by exclusive 'India Branding' events to ensure
that we are a top of the mind destination for offshore MT
outsourcing. Growth as seen through third party MNC service
providers & Indian startups, helps reduce the cycle time for roll
out and provides substantial scale of operations in a short period
of time. These advantages will drive an MT services migration
similar to that experienced in the manufacturing industries. We
need more of them setting up base in multi locations across the
country.

Cheers!!!

Maj (Dr.) Amit Chatterjee, SM
Strategist / Founder ~ mailto:amit@...
MT India ~ www.mtindia.org
"The Community of MT Professionals"
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MTIndia placements:
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*. QA with 4+ years experience?
*. Present gross salary over 2 lacs per annum?
*. Ready to relocate to Bangalore?

If you can implement, uphold, and maintain total customer
satisfaction with regard to quality, we have an exciting
opportunity for you! QAs from Bangalore are also welcome!

Apply in confidence to:
Anusha - anusha@..., before 30th July.

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NEWS AND VIEWS :
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1) Healthcare BPO gets a pep pill

There is a sudden burst of activity in the healthcare services
sector. While on one hand, the humble medical transcription (MT)
firms are aspiring to grow big through valued-added services, on
the other, providing business process outsourcing (BPO) services
for the health sector is gaining ground. New entrants in this space
are experimenting with offerings that promise to make healthcare
BPO (HBPO) the mother of all BPO services.

Mr Suresh Nair, managing director, HealthScribe, a pioneer in the
MT industry, said that to provide an end-to-end offering to the
customer, it was imperative to broaden the service offering. Coding
and billing are therefore a natural progression towards the
value-added service offering that a MT company can provide by
leveraging on healthcare industry expertise.

Despite the jump in revenues that going up the value chain
promises, some MT firms like Gurgaon-based Selectronic would like
to continue being providers of the low-end transcription services.
Mr Veer Sagar, president and CEO of the company, said that he did
not believe in going up the value chain, and there was considerable
business to be got in the existing service space. "MT is a $10
billion industry and we have barely scratched the surface," he
said.

http://economictimes.indiatimes.com/cms.dll/html/uncomp/articleshow
?msid=90619

2) Alliance Comnet asked to pay Rs 90,000 and refund fees

A Delhi consumer court has ordered a medical transcription
education institute to pay compensation of Rs 10,000 along with
refunding course fees of Rs 25,000, and also pay litigation cost of
Rs 1,500 to each of the aggrieved nine students for duping them by
promising jobs after the training.

"We find Alliance Comnet Ltd guilty of rendering deficient services
to the complainants by not fulfilling their promise to train the
complainants and to absorb them as one of their production team,"
the North West Delhi District Consumer Disputes Redressal Forum
said in its order.

"All the complainants are at the threshold of making their career.
They have spent valuable time and invested a huge amount with the
sole hope that they will get a job after the training," the Forum
noted, adding "Alliance Comnet has tried to shirk their liability
to provide job to them."

http://economictimes.indiatimes.com/cms.dll/html/uncomp/articleshow
?msid=87030

3) Backlash against India will ebb in 2004: Gartner

Gartner principal analyst Rolf Jester, quoted in the India-based
Business Standard news daily, said the current unhappiness felt by
U.S. workers and politicians about IT jobs being relocated to India
will ebb as the global economy improves and unemployment levels
decrease.

"There is a global economic recession leading to loss of jobs. The
politicians are capitalizing on this. However, once the economy
picks up, all this will disappear," Jester was quoted as saying.

Despite bills passed in the U.S. houses of government aimed at
slowing or even stopping offshore outsourcing, none have been
passed into law yet, observed the Gartner analysts, as American
authorities tend not to interfere with the right of businesses to
operate in the most competitive manner possible.

http://asia.cnet.com/newstech/industry/0,39001143,39142130,00.htm

4) Techsploitation

Lately a lot of engineers are talking trash about Indians. I don't
mean Indians like some guy named Bob Patel whose parents came over
from Gujarat in the 1960s and brought him up in Texas. Bob would
rather eat MoonPies than jalebee, and these engineers think he's as
American as they are. They're concerned about Indians from India,
people whom the aforementioned trash-talkers would probably never
meet except for the fact that their companies are outsourcing tons
of software development work to various and sundry citizens of the
Indian subcontinent.

Companies aren't outsourcing to India because Indians are "better"
but because they're cheaper. That means geeks in the United States
lose their jobs, and Indians lose out on getting the salaries they
deserve. But as long as racism divides the geek community,
corporations will always win.

http://www.sfbg.com/37/42/x_techsploitation.html
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Thank you for your interest in MT India!

The MTIndia Team
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