Satishkumar Agrawal - Leadership in commoditized industry

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Satishkumar Agrawal
Organization: Persistent Systems
Topic: Leadership in commoditized industry
Presented in vodQA - THE TESTING SPIRIT! on Oct 7, 2010 in ThoughtWorks, Pune

Published in: Technology
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Satishkumar Agrawal - Leadership in commoditized industry

  1. 1. Thursday, October 7, 2010
  2. 2. Leadership and Innovation in the commoditized industry  Satish Agrawal  Sr. Project Manager  Persistent Systems Ltd.
  3. 3. Commoditization  State of commoditization is reached  When the skills/services/products are available easily.  They are available with same rates over a wider geographical area.
  4. 4. Examples of commodities FMCG Metals like Gold Food Grains
  5. 5. Examples of commodities And Also, skills like Programming, Testing, Telemarketing, Driving etc.
  6. 6. Technology Commoditization Source: http://blogs.cetis.ac.uk/wilbert/category/cetis-standards/
  7. 7. Impact of commoditization  Products/Services/Skills are no more a differentiator.  Seller can’t ask for the premium rates for his/her services/products/skills.  Cut throat competition among sellers.  Low margins on sales.
  8. 8. Impact of commoditization  High volume sales transactions are must to be in business.  Very high investments are required in Sales and Marketing.  Huge sales force is must to reach customers first.  In short – its buyers’ market.
  9. 9. Who can sustain in the commoditized market?  Those who can provide better service/product/skill, faster with the same rates.  In short, those who can afford to sell their products/services/skills with better quality and less prices and can also afford to give some freebies.
  10. 10. Is there any other way? Leadership and Innovation
  11. 11. How leadership can help? Motivates  Motivated Employees  Strategic Partnership with Employees. Vision Partnership  Quality Oriented Leader Approach.  Investment in Innovation. Innovation Quality  Vision to create world class solutions.
  12. 12. How Innovation can help? Differentiate from others Ask for Premium Rates Get Increased Margin
  13. 13. Testing Industry today… Rates/Hr/Tester is the business language in IT Industry. Volume Business is the mantra to increased sales. Factory Model is the key to get more in less. Outsource Testing to Bangladesh in 2020?
  14. 14. You decide… The thought process begins now. right here @ ThoughtWorks…

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