m Outsourcing

m What is BPO?
m Constitutes of BPO
m Benefits of BPO
m Limitations of BPO
m Growth of BPO
m Case study
m Conclusion
V Outsourcing to put it in definition would
mean, shifting or delegating a company's day
to day operations or business processes to an
external service provider; of course done in
anticipation of better quality, lower rates and in
a sense getting an edge over one's competitors.
V It is often divided into two categories:
-Knowledge Process Outsourcing
-Business Process Outsourcing
V 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.
V This allows companies to focus on their core
business processes.
V BPO is implemented as a cost-saving
measure for tasks that a company requires.
V ïdministrative support
V Medical transcription
V Finance and accounting
V Payroll maintenance
V Research and analysis
V Customer relationship management
V þnglish Language Proficiency
V Skilled Workforce
V Lower Wages
V Flexibility in Working Hours
V Suitable Human Resources
V Large Number of Graduates
V No TCO based costs
V Poor Infrastructure
V Cultural Differences
V Internal competition for resources
V Rising labor costs
V Political and religious instability
India has an edge over other countries as we
consider the following:
V Tech savvy professionals

V Cost effectiveness

V Superior competency

V Business risk mitigation

V 24 hour service

V þconomy of scale
The trends in growth of the BPO sector in India
are as follows:
V 2003 - USD 2.8 billion

V 2004 - USD 3.9 billion

V 2005 - USD 5.7 billion

Indian revenues from BPO are estimated to

have grown 107 per cent to $ 583 million.
V Rising expenditure
V Multi polar world
V Customer control
V Transform 21st global economy
V Stiff competition
V ïs a manager!
ïllows company to focus on core competencies.
What the future lies.
ïttractiveness of India.