ICT sector in The Netherlands faces dramatic reduction of attractiveness
The latest edition of the Incompany 500 survey in The Netherlands about attractiveness of companies as an employer, investment and business partner was presented on May 23 in Amsterdam. It shows a dramatic reduction of attractiveness of ICT companies such as Microsoft, HP, IBM, Getronics, LogicaCMG and Atos Origin. This is the second subsequent year that the ICT sector has lost much of its appeal to professionals in the Netherlands.
The 3300 business managers scored 500 companies, with no ICT brand reaching the top 20.
Actually the only five ICT brands in the top 20 (Microsoft, HP, IBM, Logica CMG, Atos origin) in 2006 dropped out in this years rankings.
Attractiveness of ICT companies as employer fell from 8% of the group of 3300 to 3%.
What is going on?
As a result of the collaps of listed stock in 2000, many companies, especially ICT firms, have reduced operational costs with layoffs and new cost saving systems and software. Some years ago the outsourcing of ICT services to countries like India and Romania, was and is also based on the reduction of costs model. Jobs and work at ICT services organisations is also outsourced to other countries, with its clients doing the same. Not innovation but cost reduction is the motive. That is an evident engine for reduction of attractiveness.
Another development is internet and open source technology; two low cost ict facilities that create the image of a commodity instead of highvalue added ict, where qualified labor is required.
And finally, ICT companies in The Netherlands evidently do not develop corporate presence due to their internal structures and sales office positions in the local market; initiatives like that of Google with Intel for green computers are rare.
What should happen?
ICT companies should increase their corporate presence with initiatives that fit in with concerns that people and target groups have about the environment, energy, privacy, identity, safety, development and education.
Communicate that properly, while taking the standpoint of the customer, not the standpoint of the product. And see that customers have concerns.
Finally, explain how outsourcing works and what is left over in the west. Show a vision on what should happen in the west.