"What India needs to do to survive as the world's back office boils down to this: It must first adjust its value system, and then it must broaden and strengthen its education programs to increase the supply of trained professionals."An incisive article on the changing IT outsourcing scene in India: click here.
On may argue that the back office work might move on to other developing countries as India will take on more research and development. But I doubt we are ready to fill in there yet. An internal re-alignment of current businesses is more likely (path of least resistance). This will leave a vacuum (in expectations as well as reality) that will therefore cause some turmoil and heart-burn. The question is - how does one prepare for this and what will be the best way to take advantage of the shifting forces.