"salespeople have increased"
https://gigazine.net/gsc_news/en/20250508-ibm-ceo-ai-replaced-workers
6 replies (most recent on top)
Same story initially posted here: @OP+1jtm9thmc
Dream on. If India was such a great place to do business in through cost savings, would you have had the Boeing crashes which were due to trying to achieve cost savings by using the cheapest Indian resources in HCL to develop code ? Where is Boeing these days ? Costs saving don't mean anything if you are get your money's worth and that is not happening in India - not yet anyway. Using H1B resources doesn't cut it either. Plenty of stories on line to show that the Fortune 500 companies make the $$$, not the H1B visa holders who are held hostage. McKinsey is in the toilet these days. So is Ginni. The dream of outsourcing is going the away with AI. It's about working smarter, not harder. The question is how how quickly is AI going to take over more jobs ? After all, AI is free or nearly free. Trying to muddy the water the water by mentioning security and research in the same sentence does not get good or clear answers. And the 1 competent American worker to 6 incompetent Indian workers holds when you check the work turnout and most importantly, results. Have you counted the number of holidays that Indian employees get at IBM and what the work turnout is ? Please produce actual measurements - apples to apples, not apples to oranges. Quality does not equal cost savings. And going forward, AI is going to leapfrog outsourcing any day of the week in the next year or three. As they say, talk is cheap.
@dj The truth of the matter is IBM decided 10 years ago to move the majority of their labor to India due to costs. McKinsey had convinced Ginni that labor was a commodity to be reduced. Once that decision was made, then a corollary came into play which was what labor moves. It was decided if you don’t have a face to face relationship in North America, Northern Europe, or any first world nation, your job would be moved. Like it or not, those are the facts on the ground over the last 10 years, and I don’t believe anyone would argue that that is not being implemented even up thru today. Indian employee populations have soared to approx 150k or 150/270 =0.556 %, while the rest of the world combined has decreased. Tim Ringo let the cat out of the bag in 2010 as to IBM’s ultimate goal (100k employees)
https://www.wral.com/story/7495424/
What Tim didn’t say was it turned out that IBM wanted 100k or there about worldwide employees doing face to face, with the rest of the IBM employees being outsourced to India. Why? Because their labor cost is approx 1/4 of the rest of the world all in, and their productivity is almost as good as the rest of the world (the difference being mostly communication issues) The 6-1 ratio that you keep spouting is total rubbish. If it was true, no company in the world would outsource to India, BUT exactly the opposite has happened. Almost every large enterprise firm is growing in India and shrinking around the rest of the world. Every CFO of the fortune 5000 for the most part has voted with their feet and moved their operations. Fact is face to face is the new job security in the first world economies with research being a close second (due to tax, trademark, and patent protections)
you are absolutely right about AI being FREE and it goes 24 hours a day. So why is the AK transferring jobs to India instead of to the AI bots ? It takes 6 Indians to do the job of one hardworking American. Using AI would also mean more money for the IBM shareholders.
So, please let us know why IBM is not replacing Indians with AI. Your silence and deleting this valid posting is not an appropriate response.
AK: “I’m replacing all these expensive lazy dinosaurs from North America with AI agents: the job gets done 24 hours a day, and it’s free”
Talk is cheap - why does Alvind not produce any numbers for his assertions about AI ? After all, numbers would help give credence to his claim in the article, particularly if it can be verified independently.
Or is he morphing into Ginni 2.0 in the pant suit ?
Or has Krabanaugh the lapdog got his tongue again ?