Very correct.

17% will become 34% (or more) within a year or so!

By AD | March 23, 2010 11:58 AM

How many jobs have been shifted TO the Netherlands from other countries due to the current tax regime? Quite a few I say.... so you win some, you lose some

By James | March 23, 2010 12:48 PM

Dont make me laugh, poor productivity. Here the social model is killing your business. Everyone has a say, workers dont back their firms unless there is something init for them. I can assure you, the only resaon overseas ventures are failing is because Dutch managers are not doing the job right!. Instead of the jobs coming back you will end up with Brits, Americans and Irish managers running the overseas ops.

By jd | March 23, 2010 6:13 PM

In terms of quality and productivity, Netherlands is more competitive than countries with low skilled people. Furthermore sooner than later, high skilled people are demanding fair wages.
So suitable production to be moved there, is always intensive in labor but not in knowledge and skills. And realizing it, is a good reason to come back.

By zenplus | March 23, 2010 9:10 PM

If your company invests $2000 (for example ) in a month on you. it spends $200 in China and $100 in India.and get the same work done when profit margin is sooo high who cares other things.good luck guys

By Khan | March 23, 2010 11:04 PM

I believe the work should remain in Netherlands. The only reason companies want to go abroad for production is to cut labour cuts (cheaper labour) Give the local people the jobs so they in turn spend money. Soon China will be taking over the world in business if not already.

By Ronald Martens | March 24, 2010 12:12 AM

I disagree with Khan. Jobs done in India and China have very low quality. They are done in a quick and dirty way and need a lot of clean up later.

This has been already realized in the US. They do not outsource the most intelligent part of the job anymore.

Moreoever, I agree with JD. Unfortunately, in the Netherlands, managers are pampered a lot and giving a little. It is quiet normal for an uneducated but labled "manager" to lead some very intelligent people and the result is a mess.

By David | March 24, 2010 8:33 AM

David, indeed the outsourced jobs are the repetetive and non-high skilled ones... nt your managerial / R&D stuff (though expections are always there). Keeping that in mind, there is a substantial advantage in relocating jobs to these countries... and if one of your competitors does tfr and gets this advantage, you would most likely follow that as an industry (best??) practice...

also, when companies want to operate in India and China and want to be a part of their success story, they need to send jobs there as well... no matter how hard we try, we cannot have globalization without tfr of human capital and jobs... the usp of these countries is their large workforce compared to tech and capital being the usp of developed nations.

James has a very interesting point!!

By rd | March 24, 2010 9:57 AM

The Netherlands is too expensive to keep low skilled operations. For a business to succeed and to remain competitive, prevent competitors from taking their business, they have no choice but to move once a business becomes mature. They have to move or lose business.

Plus it is very difficult to maintain a profitable business with so many personal holidays...

By AD | March 24, 2010 12:05 PM

India does great job man. I have recently outsourced my jobs, I own 6 hedge funds and I think Indians are way too ahead of us. They are analytical and extremely smart. There IQ is almost 10 times than people from Netherlands, UK, US etc. They are amazing, thats why they are conquering this world.

By sizzleamerican | April 7, 2010 9:42 PM

I'm a Belgian manager running an Indian backoffice.
The outsourcing scene is too complex and varied to make general remarks on it. We have people in our offshore company which are surely as good as employees in Europe. They typically then cost only 1/5th of their Belgian colleagues. Hard to compete with!
But you need to find them of course. Education quality is far less in India than in Europe.
A big, really big problem nowadays is the infrastructure, which is a mess. And India seems to loose its grip on that. Power cuts, water shortage, traffic problems, bad maintenance of almost everything. And social inequality which makes employees think the higher their position/salary, the lesser they have to actually work.
Nevertheless, for specified jobs offshoring is worthwile, though certainly not as costeffective as the outsourcers initially think.
Read my blog for various impressions about outsourcing and India in general.
thanks

By Tony Vangelabbeek | August 10, 2010 6:33 AM

I dont agree that the indian work quality is below standard. Indian IT industry is highly fragmented and the top 25% have the best quality in the world (Wipro, Infosys, TATA, Satyam) These companies are atleast 70% cheaper than one in Netherlands and twice as hardworking. However, the things Tony mentioned are very significant problems.

By Rahul | August 10, 2010 2:54 PM