Exciting and challenging times lie ahead of the BPO industry in India, which will continue to evolve over the next few years. Some possible areas of evolution both, in India and globally, include:

  • Growth of the domestic BPO proposition, in line with the growth in the GDP, particularly in sectors such as financial services, telecom, retail and insurance
  • Consolidation amongst the generic BPO players, with buyouts both, within India and BPOs overseas. More of this will be seen among the small and medium BPOs who may not be able to deal effectively with the appreciating rupee and the supply side challenges
  • Conversion of captive BPOs into third party providers with rich domain expertise in their functional or business domains. Some of these will be through active participation of PE players and others will be through mergers and acquisitions
  • Focus on niche areas of BPO and KPO such as LPO and Analytics, Research, Risk management, Modeling, etc. in response to emerging market needs which cannot be addressed locally in a cost effective manner
  • Emergence of BPO relating to industries which may not have explored this option or have done so to a lesser extent e.g. media, advertising, education, etc.
  • Change in regulatory environment both, in the supplier countries and in the countries from where the work is being sourced, which may impact the current dynamics in this industry.
  • Emergence of new untested locations with smaller but cheaper labor force to break into the growing BPO business pie
  • Increase in capital market activities related to third party BPOs in the light of the high valuations of the recently concluded IPOs in the Indian and the European/US markets

Functionally, we have deep real-world experience across

  • Strategy around offshore outsourcing
  • Building the business case and establishing the economics around outsourcing
  • Evaluation and selection of the business model and location
  • Vendor due diligence and selection
  • Project planning & migration
  • Governance & risk management
  • Cross border mergers and integration
  • Regulatory
  • Organizational design and talent management.

We can work with corporate entities to deliver offshore solutions which minimize capital and managerial investment, reduce the transition timeframes and maximize the bottom line impact of offshore outsourcing.

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