Satyam to scale China headcount to 3000

HYDERABAD: In yet another attempt to expand the definition of offshore-onsite model, Hyderabad-based Satyam Computer Services, an IT services and solutions company is charting out plans to further expand its operations in China.

Being the first to set up a facility in Shanghai Pudong Software Park, in early 2002, Satyam has around 150 associates (as of December 2004) with 98 percent local talent. The company has plans to increase the workforce to 3000 by 2007 and set up two more operations, one in Dalian and another in Beijing.

Satyam Computer Services, APAC director & senior VP and head Virender Aggarwal said, “While we have more or less run out of space in our fist 150-seater facility, we have already progresses towards setting up one more operation in Dalian and another one coming up soon in Beijing.”

“The very purpose of setting up China operations is to utilize the local Chinese Software talent. Today we have close to 98 percent of local talent and the remaining two percent would be our project managers from either India or Singapore. Going forward, though the ratios will not drastically change, we could blend in a few more highly mature India/global project management teams depending on the nature of projects from time to time,” informed Aggarwal.

Added Aggarwal, “The plans are to scale up operations in China to 500 numbers in the next two to three quarters and gradually move up to 3000 by year 2007. This is however subject to us not running into issues with reference to movement of people across countries. However, till date we have not encountered any major issues in terms of sending pilot teams to Japan, US or Europe. To ensure customer comfort while setting up ODCs(offshore development centers) it is crucial for pilot teams to be on the ground for extended periods of time to understand the scope and set the right expectations.”

Satyam has been pursuing China Strategy on the basis of ground realities. According to Aggarwal, a few highly critical broad level initiatives include addressing the needs of Japan operations with near shore centers from China, and rest of the company's Asia Pacific operations. Asserts Aggarwal, “The objective is not to split well established ODCs in India to execute from China, but to get our global MNC customers (both American and European) to establish pilot ODC projects out of China.”