HOUSTON: Up to 15 per cent of IT jobs required by US-based companies will be performed in India by 2010, helping the US economy to create investments worth $30 billion per year, according to a new study. The study by AMR Research said the cost savings from offshore outsourcing will create an additional $30 billion per year in new investments for US Companies. By then, the Indian IT labour force will be larger than three million, and half of the workers will be performing jobs for US Companies. Outsourcing to India will aid the US economy if the savings from outsourcing continue to be reinvested in new strategic projects. The impact of these new projects can be huge. According to the research into Demand-Driven Supply Networks (DDSNs), investments that allow companies to improve just 10 per cent of their ability to fulfill orders that are complete, accurate, on time, and in perfect condition can result in additional earnings of 50 cents per share, a result that stockholders will applaud.

Companies effectively outsourcing to India can slash by 40 per cent to 50 per cent the cost of application management and development, data center operations, help desk support, and other non-strategic activities. With the cost of average US IT 'fully loaded' labour approaching $80,000 per worker per year, a worker in India represents a $36,000 savings per year, and 1.5 million workers represent $54 billion in savings each year. The AMR research shows that companies reinvest 60 per cent of savings from outsourcing in IT or business unit projects that's $30 billion per year. Companies, on average, invest USD 2.5 million per year for a strategic project. Depending on the specific project category, average investments per year break down as follows: Supplier facing projects worth $1.8 million, Product lifecycle Management (PLM) projects worth $2.3 million, Customer-facing projects (the most expensive) worth $3.4 million. With the savings from outsourcing to India, US companies can fund and launch 12,000 new strategic projects.