Israeli-based Outsourcer Ness Technologies to Expand Indian Operations
Ness Technologies, which offers research and development services to clients around the world has said that it plans to extend its operations in India. This comes on the heels of reports that say the major outsourcing markets are showing optimistic signs toward demand for offshoring. Ness Technologies has about 3,000 employees in India at the present time. It has announced that it will add a new service center in Bangalore, which would allow a scale up from 300 to 600 IT staff by the end of the financial year 2009-2010.
According to executives at Ness, the company plans to cross the 5,000-figure mark for employees in India. The Israel-based IT firm caters primarily to clients in the U.S., Europe and Israel and India is one of the major offshore locations for the firm. Currently, operations in India comprise of about 35% of the company's global labor force.
Ness Tech CEO, Sachi Gertiz, said in a news report by Business Standard, that the firm's growth has been undermined by the economic turmoil. He underscored that some clients have consolidated projects, while others have opted toward in-sourcing. However, working with various geographic locations simultaneously and with promising results in the pipeline, Ness was able to get back on its feet.
He added that Ness was optimistic about growth of the company and suggested that worst was over for the outsourcing market. In addition, Ness plans to offer more options to clients and its traditional culture that invests in people are expected to drive Ness Technologies back to profits. Training its staff in soft skills as well as technical skills have proved to be an encouraging endeavor for the firm.
Gerlitz explained that 2009 revenues were affected by the macro economic situation. Nonetheless, 85% of the firm's new business is derived from previous clients. The president of Ness Tech's India segment, Satyajit Bahdyopadhyay, said that the outsourcer had made an investment of $1 million and the figure is supposed to be augmented gradually. Ness Tech India's software product labs are located in Chennai, Bangalore, Mumbai, Pune and Hyderabad. In aggregate, Ness Tech has approximately 60 labs.
Ness Technologies reportedly obtains approximately 16 to 20% of its revenue from the software product division located in India. The delivery requirements of European, Israeli, and U.S. clients are carried out via the Indian software product labs.