Indian software industry has had a phenomenal growth for the last fifteen years and is expected to sustain its growth momentum at least in the near future. Abundant supply of low cost manpower has been one of the major factors contributing to the growth of Indian software industry. However, the high rate of growth has also been the cause of increase in manpower cost, high attrition and disturbed work-life balance. The study based on 27 case studies by practicing software professionals identifies thirteen clusters of problems and also the reasons for those problems. The paper makes recommendations to over come these problems to sustain the growth of Indian software industry.