OUR GROUP

MEMBERS

Shariq Afaq
Sachin Tyagi
Shefali Arora
Susheel Kumar
 What is BPO?
 The Evolution of Outsourcing.

 Capabilities in the Marketplace.

 Rule to Follow.

 Pros and Cons.

 Business process outsourcing (BPO) is
the contracting of a specific business
task, such as human resources and
customer service, to a third-party
service provider.
 This allows companies to focus on their
core business processes.
 BPO is implemented as a cost-saving
measure for tasks that a company
requires.
 It is often divided into two categories:
- Back Office Outsourcing which
includes internal business functions
such as billing or purchasing.
- Front Office Outsourcing which
includes customer-related services
such as marketing or tech support.
 Key Terms:
- Offshore Outsourcing is BPO that is
contracted outside a company's own
country.
- Nearshore Outsourcing is BPO that is
contracted to a company's neighboring
country.
- Onshore Outsourcing is BPO that is
contracted with the company's own
country.
 Indian revenues from BPO are estimated to
have grown 107% to $ 583 million.
 Leading Competitors :-
- Philippines, Mexico, Canada, China
and Ireland.
 67-72% of costs to call centers operating
in the US/UK is directly linked to man
power costs. India only spends 33-40% of
costs on man power. This includes training,
benefits and other incentives for labor.
 Language
 Major attraction for Multinationals
 Advantage over competitors

 Educated Employees
 Large number of qualified workers
 Proven to be the best in the IT and
computer software fields
 Strongtechnical skills
 Eagerness to engage clients

 Produce around 100,000 engineers

annually
 Infrastructure
 Improvements have led to increasing success
 Telecom facilities
 Power sector
 India as a whole

 Government
 Realize potential for economic development
 Favorable policies have turned India into a
BPO/IT hub.
 Examples: Investment promotion, telecom policy,
IT Act
 Processes that do not add value to a
product or service.
 Highly repeated tasks with little
variation.
 Labor intensive tasks that do not
require a companies intellectual
property nor core competencies.
 Processes that will tie up large
amounts of capital in assets.
 Processes that incorporate your core
competencies.
 Processes that require access to
intellectual property of your
company.
 Non-labor intensive tasks.

 Processes that are associated with

the image of your company.
 There are many BPO providers, so
research to find the one that best
suits your needs.
 Using one provider for multiple tasks
will help streamline your BPO.
 Have some measure to check and
control the output of your BPO.
 Communicate with your BPO.
 English Language Proficiency
 Skilled Workforce

 Lower Wages

 Flexibility in Working Hours

 Suitable Human Resources

 Large Number of Graduates

 As a manager!
 Allows company to focus on core
competencies.
 What the future lies.

 Attractiveness of India.
 BPO India: Business Process Outsourcing.
 http://www.bpoindia.org/
 Forbes Magazine: Business Process Outsourcing.
http://www.forbes.com/bow/b2b/industry.jhtml?id=38
 Why India?
 http://www.indobase.com/bpo/why-india/index.html
 InformationWeek: Indian Outsourcers Grow Fast, Gain Prominence. 

http://www.informationweek.com/story/showArticle.jhtml?articleID=53701
 CIO Definitions:
http://searchcio.techtarget.com/sDefinition/0,,sid19_gci928308,00.html
 BPO service India: Comparing India with other BPO destinations. 
 http://www.xicom.biz/bpo_swot_analysis.html
 THANK YOU