OpenText Expands While Canadian Productivity Is Low Overall
December 3, 2012
First the good news. Ontario-based data management firm OpenText is growing its overseas operations, we learn from their press release, “OpenText Expands in India Growing Customer Base, Expanded R&D Capacity.” The company notes that the expansion is supported by the Indian government, and its research and development center is located in Hyderabad’s Special Economic Zone. The write up announces:
“The company is adding more space [to its Hyderabad office] as it prepares to double the size of its workforce in India over the next few years. . . .
“In conjunction with the Hyderabad expansion, OpenText is opening a commercial hub in Mumbai to address customer demand for OpenText’s offerings and to support its technology and reseller partners.”
Good for OpenText! But while that company is continuing its Indian journey, other Canadian companies may be heading into stormier waters. A recent report highlights the declining productivity now faced by the Great White North, we learn in “Deloitte Report: The Future of Productivity in Canada 2012.” The very brief article tells us:
“*Productivity growth in Canadian manufacturing averaged 0.88% between 2000 and 2008, well below the 3.3% rate of growth for U.S. manufacturing.
*Only 2.66% of Canadian services firms five years or older are likely to maintain high-growth. In the United States that number is 4.5%. In Israel it’s 5.43%.
*Rising labour costs make Canadian exports more expensive. Yet between 2000 and 2007, Canadian per-worker investment in labour-saving machinery and equipment was only 52% of the U.S. investment.”
The report includes some common-sense, if not particularly specific, recommendations for improving these statistics. (See the blue, expandable headings at the bottom of the report.)
Founded in 1991 and based in Waterloo, Ontario, OpenText supplies its clients with enterprise content management, business process management, and customer experience management tools. Deliotte‘s founders began work in the newfangled field of professional standards back in 1848, and is now the largest professional services firm in Canada. It has many locations across the country.
Cynthia Murrell, December 03, 2012