Dataquest : IT Gaints 07 : Engineering Design Services: Advantage, IT Players

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Engineering Design Services: Advantage, IT Players

Continued from page: 1

Shyamanuja Das

Friday, August 03, 2007

Major CategoriesComparative View
Category	Strengths	Weaknesses	Impact/Presence	Examples
Large IT services firms	Bring in the best global delivery practices to engineering services including world class metrics Better use of technology tools More efficient processes Capability to ramp up fast	Often lack deeper understanding of domain Too metrics-driven	By far the largest segment	TCS, Infosys, Wipro, Satyam, HCL, Patni, etc
Specialized IT services firms	Focused and consequently have deeper domain experience Operate like global IT services firms hence get the best practices from there too	Ability to ramp up is usually an issue Attracting employees is an issue in a highly competitive labor market	The second most dominant section	Infotech Enterprise, Rolta, Geometric, Neilsoft, Quest, L&T Infotech
Indian engineering company spin-offs	Have a good understanding of domain	Way behind in terms of global delivery practices	Limited impact	Hero, Mahindra, Harita, Ashley
Captives	More control and integration with onshore centers	Larger cost structure	Quite a sizeable chunk	GE, Caterpillar, Delphi, Ford, Daimler-Chrysler, GM, Siemens, Bosch
Non-Indian engineering firms	Usually focused	Lag in terms of global delivery practices	Mostly in the construction segment	Bechtel, Flour, Lurgi, Butler
It happens only in India: While pure play firms rule in engineering services globally, in India it is IT firms who dominate

That however does not mean that construction has no offshore players. Many of the smaller, niche players like Neilsoft have consciously targeted this space. Among the bigger players, TCS now intends to target construction far more seriously. This is in partnership with group company Tata Consulting Engineers, a major player in the construction engineering space in the country.

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