The Satyam scandal has been sending shockwaves through India’s outsourcing industry. Satyam is India’s fourth largest outsourcing company and caters to at least 1/3 of the Fortune 500 companies. The revelation has sent Satyam into a downward spiral with shares closing around Rs 40.
But I dont think the mess is gonna stop there. US companies are gonna closely scrutinize their relationships with other Indian outsourcing firms, especially considering that finance / accounting for several of these companies are done by the Indian firms. At the same time, the big 3 (Infy, TCS and Wipro) also stand to gain by Satyam’s fiasco — they can try and poach away Satyam’s clients.
This scandal has definitely raised concerns about accounting standards in India. People are already calling it the Enron of India.
Its wake up call for all of us.
Absolutely true, it is going to effect for all the companies dependent on outsourcing from different part of the world. It is the big lesson for the Indian corporate industry, SME’s and Employees that the name sake or brand sake people work definitely they will be forgetting the Moral values, even they wants to come out from that after some point of time circumstances won’t support.
Every Individual employee has to make themself ready for the most difficult situations ahead in this year. We Indians have realize and start working/ building products/services on our self for our market rather than looking for big salaries.
Really shame on us 54000 employees were under trouble due to 1or more peoples dependency.
Really its a very sad day out there.. Well the show has to continue.!!!