Operations Cost Benchmarking : 2012

  • MNC R&D centers in India contributed to a net savings of over US$70 Bn for the headquarters in the last 5 years
  • While the average operating costs for MNC R&D centers in India declined in US$ terms, there was a marginal 3% increase in terms of INR
  • The average salary increments of 13% in Q4 for FY12 resulted in a slight increase in the overall operating cost in India in INR terms
  • Infrastructure costs are on the rise with real estate increments seeing a 5%-13% rise, and over 80% of organizations getting affected by STPI withdrawal
  • Organizations are starting to explore potential in tier-II cities where per-employee operating costs are 30% lower on average as compared to tier 1 cities
  • Demand for engineering/ embedded R&D related skills is increasing in India

Download the full report at http://zinnov.com/US/article.php?art_id=196&access=1

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