Overview
The island of Jamaica is not a major
contributor when comes to Software and Hardware development. Jamaica is slowly becoming a hub to house
and train their people in getting a chance to learn from foreign interest in
becoming a contributor. Due to the
fact that Jamaica is so close to United States many companies are moving
their projects to the Caribbean and with the help of the Ministry of
Commerce, Science, and Technology However, Jamaica is starting to establish a
large software and hardware community due in part to Nearshore
outsourcing. Jamaica has opened up
their island to the ideal of software outsourcing. The proper term is Nearshore software
outsourcing which is a specialization of the much wider phenomenon of IT
outsourcing, in which some or all of the work comprises the functioning of a
company’s IT base is contracted to external organizations. Jamaica is trying to demonstrate that they
are becoming a team player by offering land and various breaks to investors
for putting their distribution of IT in Jamaica’s many Free Zones. Personally I don’t think Jamaica will
flourish because of these deals but that’s why I am not running the country. Nearshore Software
Outsourcing There is talk about Nearshore software
outsourcing and globalization discourse.
Indusa Global, which was set up in 1995 by James Ram, an Indian
expatriate living in the U.S. He
sought to outsource software development work to India, but his clients
complained about being away from U.S.
Indusa chose to establish a software development presence in the
Caribbean. Jamaica was chosen because
of how close to the U.S. and the existence of telecommunication
infrastructure. By working with the government and the various colleges they
came up with a plan to train the locals by providing computer programming and
other training’s. With the help of the
government and other local agencies the Indians provided mentorship to the
locals. According to Ram, staff rose
from initial 15 to close to 100, by 2001, 83 of who were CIT graduates.
Estimates revenues for 2002 are forecast at US $3 million.
(33) Practitioners Views on Nearshore Software Outsourcing
Resources Nearshore Advantages
§ Cost of labor § Government incentives, (tax breaks) § Infrastructure § Availability of educated English-speaking workers Nearshore Disadvantages
§ Shortage of qualified staff § Cultural problems created by recruitment of expatriates Remedial Processes
§ Development of indigenous resources Location
Nearshore Advantages
§ Proximity to Client (United States) § Shared time zones § Physical characteristics (touristic appeal) § Familiarity of the environment, similarity with Western, particularly
U.S., culture Nearshore Disadvantages
§ Negative perception of the Caribbean as a high-tech business destination Remedial Processes
§ Overcoming client misconceptions through first-hand experience of the
environment § Assimilation into, and sensitivity to the local environment Context
Nearshore Advantages
§ British colonial heritage (language, educational system,
telecommunications infrastructure) § Business environment made similar to the United States Nearshore Disadvantages
§ Government bureaucracy § Suspicion of foreign investors by local authorities § Conflicts of interest among alliance partners Remedial Processes
§ Commitment of all alliance partners to achieve shared goals § Selection of projects to exploit location advantages.
(33) JAMPRO (Jamaica Promotions Corporation) which is spearheading the deals
to bring in more Nearshore Outsourcing companies have given a list of the
main companies doing business. Affiliated Computer Services West Corporation Teleservices Jamaica Ltd Sitel Carribean Ltd Teleservices Direct
http://www.teleservicesdirect.com Apple Vacations Ltd Westcom Jamaica Ltd Indusa Global Ltd Alliance One/Outsourcing Management International The Lewis Group Mona Informatix
http://www.monainformatix.com.jm/ |