Here’s a favorite debate of software professionals working in India. The IT Services company guy envies the Product Company guy because all the additional relaxation/benefits they get.

A typical IT Services company life Infy, Wipro etc…may not offer you free soda; cookies; work from home; Internet freedom and even a lower salary than a product company like Sun, M$ or G00gle which offers you immense freedom in terms of dress code; work from home policies; fun at work; food and beverage and of course better pay.

But people tend to ignore the fact that both these types of firms work differently. A services company thrives on process based best practices; large workforce (10,000+) and strict SLA linked time lines; and perhaps little innovation. On the other hand, a product company strives on Innovation, may go against processes and all this thrives under a free environment. Pay packages are higher because the rewards are too; an IT services firm may train and improve efficiency of employees and keeping costs low is what drives profits (atleast in an outsourcing destination like India).

Imagine me paying for softdrinks for 10,000 employees everyday and me paying for softdrinks for 1000 employees everyday!

The bottom line is that a conducive and relaxed environment is critical for employees to perform in innovation driven companies with much smaller workforce; while basic hygiene factors are more relevant to a Services firm.