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High costs force Siemens
development work out of Bombay

It is moving the software development activities of the city to its other development centres at Bangalore, NOIDA, Madras and Pune, where it is in the process of setting up a software development centre.

SISL's operations at Bombay will continue with its infotech consulting activities. "We are dismantling our software development activities in Bombay on account of increasing in costs and setting up a software development centre at Pune," Anil Laud, managing director, said.

The reason, he said, is lower costs and the availability of talent in Pune, he said. "In the first phase, to be completed by the end of this (calendar) year, we will have about 20 to 25 software professionals and will ramp up to a level of around 150 in the second phase by the end of 1998. This centre will be funded from our overall investment of about Rs 80 million every year," he added.

The company's software development units in Bangalore, the biggest with around 400 software professionals, spread over three locations are being moved to a location at Electronics City. It has around 170 software professionals working at NOIDA and about 40 in Madras.

SISL is expanding its solutions range for the domestic market by adding supply chain management solutions from the US-based 12 technologies Inc. The business solutions unit, one of its six strategic business units, will offer consulting services on the products of 12 technologies. "The alliance with 12 Technologies product Rhythm will supplement our portfolio of enterprise solutions currently consisting of SAP's R/3 software product" Laud said. 12 Technologies, a company promoted by non-resident Indians, is the largest and the fastest growing company in supply chain management solutions and optimisation solutions.

SISL is a company formed as a joint venture between Siemens Limited of India, holding 74 per cent of the equity and Siemens Nixdorf of Germany accounting for the balance.

- Compiled from the Indian media

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