The Consequences of Globalisation : India's Software Industry and Cross-Border Labour Mobility

The Indian software industry is a prime example of globalisation. The industry has been characterised by large cross-border mobility of its skilled labour force. Using a unique survey of Indian software firms, our paper quantifies the extent and impact of mobility on firm behaviour and performance....

Full description

Bibliographic Details
Main Authors: Commander, Simon, Chanda, Rupa, Kangasniemi, Mari, Winters, L. Alan
Format: Journal Article
Language:EN
Published: 2012
Subjects:
Online Access:http://hdl.handle.net/10986/5542
id okr-10986-5542
recordtype oai_dc
spelling okr-10986-55422021-04-23T14:02:22Z The Consequences of Globalisation : India's Software Industry and Cross-Border Labour Mobility Commander, Simon Chanda, Rupa Kangasniemi, Mari Winters, L. Alan Multinational Firms International Business F230 Geographic Labor Mobility Immigrant Workers J610 Information and Internet Services Computer Software L860 Industrialization Manufacturing and Service Industries Choice of Technology O140 The Indian software industry is a prime example of globalisation. The industry has been characterised by large cross-border mobility of its skilled labour force. Using a unique survey of Indian software firms, our paper quantifies the extent and impact of mobility on firm behaviour and performance. Cross-border labour mobility in the paper refers to both temporary and permanent labour flows by Indian software professionals. The picture that emerges is of a highly mobile world in which temporary mobility has been an important characteristic of the industry. A significant number of workers have work experience abroad in a developed country. Moreover, the share of skilled workers with such experience has been positively associated with the incidence of skilled migration from the firm. This suggests network effects are at work. In terms of the impact on performance--as measured by the change in turnover per worker and the change in the employment size of the firm--the paper finds little evidence of a robust adverse effect. Further, the evidence suggests that there have been important external effects at work, as through changes in the willingness of workers to acquire skills, as well as through increased provision of educational services. These have further abated the risk of a brain drain. However, the software industry may be rather different from other industries. Our results need to be interpreted as the outcome of a particular case of skilled migration and not one necessarily representative of all types of skilled migration and source sectors. 2012-03-30T07:33:20Z 2012-03-30T07:33:20Z 2008 Journal Article World Economy 03785920 http://hdl.handle.net/10986/5542 EN http://creativecommons.org/licenses/by-nc-nd/3.0/igo World Bank Journal Article India
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language EN
topic Multinational Firms
International Business F230
Geographic Labor Mobility
Immigrant Workers J610
Information and Internet Services
Computer Software L860
Industrialization
Manufacturing and Service Industries
Choice of Technology O140
spellingShingle Multinational Firms
International Business F230
Geographic Labor Mobility
Immigrant Workers J610
Information and Internet Services
Computer Software L860
Industrialization
Manufacturing and Service Industries
Choice of Technology O140
Commander, Simon
Chanda, Rupa
Kangasniemi, Mari
Winters, L. Alan
The Consequences of Globalisation : India's Software Industry and Cross-Border Labour Mobility
geographic_facet India
relation http://creativecommons.org/licenses/by-nc-nd/3.0/igo
description The Indian software industry is a prime example of globalisation. The industry has been characterised by large cross-border mobility of its skilled labour force. Using a unique survey of Indian software firms, our paper quantifies the extent and impact of mobility on firm behaviour and performance. Cross-border labour mobility in the paper refers to both temporary and permanent labour flows by Indian software professionals. The picture that emerges is of a highly mobile world in which temporary mobility has been an important characteristic of the industry. A significant number of workers have work experience abroad in a developed country. Moreover, the share of skilled workers with such experience has been positively associated with the incidence of skilled migration from the firm. This suggests network effects are at work. In terms of the impact on performance--as measured by the change in turnover per worker and the change in the employment size of the firm--the paper finds little evidence of a robust adverse effect. Further, the evidence suggests that there have been important external effects at work, as through changes in the willingness of workers to acquire skills, as well as through increased provision of educational services. These have further abated the risk of a brain drain. However, the software industry may be rather different from other industries. Our results need to be interpreted as the outcome of a particular case of skilled migration and not one necessarily representative of all types of skilled migration and source sectors.
format Journal Article
author Commander, Simon
Chanda, Rupa
Kangasniemi, Mari
Winters, L. Alan
author_facet Commander, Simon
Chanda, Rupa
Kangasniemi, Mari
Winters, L. Alan
author_sort Commander, Simon
title The Consequences of Globalisation : India's Software Industry and Cross-Border Labour Mobility
title_short The Consequences of Globalisation : India's Software Industry and Cross-Border Labour Mobility
title_full The Consequences of Globalisation : India's Software Industry and Cross-Border Labour Mobility
title_fullStr The Consequences of Globalisation : India's Software Industry and Cross-Border Labour Mobility
title_full_unstemmed The Consequences of Globalisation : India's Software Industry and Cross-Border Labour Mobility
title_sort consequences of globalisation : india's software industry and cross-border labour mobility
publishDate 2012
url http://hdl.handle.net/10986/5542
_version_ 1764395427079127040