Non-Linear Models
IT services industry
| What precipitated the interest in Non-Linear Models? |
The IT industry used to growth rates of 30% and above is off late challenged with sluggish growth influenced by slow markets in developed economies.
The offshore industry is characterized by linear growth where revenue growth is directly linked to headcount. The outcomes of such a strategy include:
- Revenue per employee of Indian IT companies is significantly lower than global counterparts.
- Wage inflation, attrition.
- Vulnerable to pricing pressures and economic downturns.
Recognizing these trends, the Non-Linear Models angle is gaining momentum and the call now is for a more streamlined and efficient business model.
Non-Linear Models in the news
Read about the developments in Non-Linear Models and related topics in these articles.
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