SPI | Media Kit | Feature Articles Archives | SPI expects rapid growth in India headcount

Software Paradigms (SPI), the decade-old information technology company from Atlanta, US, is planning a ten-fold growth in headcount of its Indian operations. SPI, unlike most of its peers, has chosen Mysore to locate its software development facility.

SPI’s employee strength now is 300. The plan is to increase it to 3,000 – 3,500 in three years, said company CEO Sid Mookerji. In an interview with ET, he said that a campus will be created at Mysore to accommodate the planned growth in staff strength.

Being in Mysore is not an impediment to hiring and retaining experienced talent which, in the present market, is commanding a premium, he said. In the highly competitive and low-priced software services game, being in Mysore helps as SPI is able to save on wage bills, he added. The cost of living in Mysore is significantly lower than in Bangalore, which tops the list of most preferred destination for software exporters.

SPI differentiation over its rivals is on two key counts. One, in having created a model in its US office, which hires very senior professionals based at the client’s location, for understanding the nature of the projects and ensuring timely delivery, he said adding that the other difference was in providing an internet-based information system which allows clients to see real-time the progress of their projects. “Customers sometimes have an unrealistic expectation from the offshore vendor, which is why it is important for them to understand the status of their projects,” said Mr.Mookerji.

In a maintenance project, for example, SPI’s client can see how many service requests are getting resolved. CEOs of large software service providers have often predicted the demise of small firms due to customers’ increasing preference to deal with big companies that have end-to-end offering and financial strength.

Dismissing this argument, Mr. Mookerji said that although the environment is harsh for a small player, there is enough of business for companies such as SPI, provided they are able to offer a differentiating strategy.

SPI hopes to close 2005 with revenues of around $15-20 million. Mr.Mookerji said that SPI is self funded and has not raised money from external sources. In tune with the current practice, SPI too is going to step up focus on BPO practice.