Be Prepared For The Worst

DQC News Bureau
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It is unclear if India will echo the sounds of recession underway in the US.


But whichever way you look at it, there is no denying that there is a general

slowdown in the local market place.

Look around you. Businesses, which were growing in excess of 40 percent last

year, are readjusting their calculations to post in revenues of 20 percent this

time around. Sure there is growth, but it is not at par with those exhibited in

the past two years.

So are you geared up to deal with this slowdown? This is the time when you

ought to shore up your liquidity. This will help you invest into products and

technologies at the right time without having to worry about how it will affect

the fiscal health of your company.


But is that enough? If it is limited to your company then maybe it is. But

what will you do if your customers too start worrying about recession and then

decide that it is time they should put the stops on any IT deployments they had

planned at the start of the calendar year. And if this happens then irrespective

of whether the GDP goes up or down, you are going to be in a tight position.

And this is bound to happen as companies all over the world and in India are

trying to cut costs and reduce expenses to tide them through the rough phase

that economists are predicted. Maybe India will not have as turbulent a ride as

the US. But there is no denying that a lot of solution providers have branched

to the West seeking a global footprint for customers. They sure have to figure

out their contingent strategies, and pronto.

vinita bhatia


At times like these, you have to think like your customer is likely to. If he

thinks cost-cutting, then figure out how he can improve his network to get

better utilization of his IT resources. Has he got a lot of servers that are not

utilized? Why not suggest virtualization? Does his backend operations have

several desktops? Get him to shift to thin clients. And if he has been using

proprietary software till date, he might be open to deploying open source for

some not too critical applications.

Whatever you do, don't waive off the fears of recession because India has

been cushioned from it so far. Be prepared for the worst and then you will

always be safe. It might be a cynical approach to business, but then again there

is no harm done if it protects your interests.

Think about it.

Vinita Bhatia