Академический Документы
Профессиональный Документы
Культура Документы
Submitted to
Bangalore University
In partial fulfillment of
the requirements for the award
of the degree of
Masters of Business Administration
Under the guidance of
External Guide Internal Guide
Mr. Prabhjinder Bedi Dr. N.S. Viswanath
Manager – BPO Professor
ITC-Infotech Ltd. M.P.B.I.M – B.V.B
Bangalore Bangalore
By
Varna U.A
(Reg no. 03XQCM6114)
1
M.P. Birla Institute of Management, Bangalore
STUDENT DECLARATION
Varna U.A
Reg No: 03XQCM6114
2
M.P. Birla Institute of Management, Bangalore
PRINCIPAL’S CERTIFICATE
Date: Principal
3
M.P. Birla Institute of Management, Bangalore
GUIDE’S CERTIFICATE
This is to certify that this report titled “Exploring BPO market for
advertising and finance industries-an exploratory study for
ITC InfoTech has been prepared by Miss. Varna U.A bearing
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M.P. Birla Institute of Management, Bangalore
ACKNOWLEDGEMENT
Viswanath for his expert advice, valuable guidance, sustained Interest and
criticism in the preparation of internship report.
I would like to express my profound gratitude to all those who have helped
me directly or indirectly in the course of this study.
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M.P. Birla Institute of Management, Bangalore
List of Graphs
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M.P. Birla Institute of Management, Bangalore
INTRODUCTION
ITC InfoTech is an SEI CMM Level 5 software services & solutions provider.
Supported by ITC’s strong business fundamentals, our corporate vision and
resources are totally aligned to deliver to our global clients the true essence
of “Business-friendly Solutions” innovatively and cost-effectively.
It is a part of the ITC Group, one of the world's most successfully
diversified companies. ITC is one of India’s foremost private sector
companies with a market capitalization of around US $ 6 billion and a
turnover of US $ 2.6 billion. Rated among the World's Leading Companies
by Forbes magazine, ITC ranks fourth in net profit among India's private
sector corporations. ITC has a diversified presence in Cigarettes, Hotels,
Paperboards & Specialty Papers, Packaging, Agri-Business, Branded
Apparel, Packaged Foods & Confectionery, Greeting Cards and other
FMCG products.
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M.P. Birla Institute of Management, Bangalore
be implemented into practice. This is done in order to sustain a WIN-WIN
situation for the company and oneself.
8
M.P. Birla Institute of Management, Bangalore
ITC Limited –Overview
ITC is one of India's foremost private sector companies with a market capitalization
of over US $ 8 billion and a turnover of US $ 2.6 billion. Rated among the World's
Leading Companies by Forbes magazine, ITC ranks third in pre-tax profit among
India's private sector corporations. ITC has a diversified presence in Cigarettes,
Hotels, Paperboards & Specialty Papers, Packaging, Agri-Business, Branded
Apparel, Packaged Foods & Confectionery, Greeting Cards and other FMCG
products. While ITC is an outstanding market leader in its traditional businesses of
Cigarettes, Hotels, Paperboards, Packaging and Agri-Exports, it is rapidly gaining
market share even in its nascent businesses of Branded Apparel, Greeting Cards and
Packaged Foods & Confectionery.
ITC employs over 15,000 people at more than 60 locations across India. Ranked
among India's most valuable companies by the 'Business Today' magazine, ITC
continuously endeavors to enhance its wealth generating capabilities in a
globalizing environment to consistently reward more than 1, 37, 544 shareholders,
fulfill the aspirations of its stakeholders and meet societal expectations. This over-
arching vision of the company is expressively captured in its corporate positioning
statement: "Enduring Value. For the nation. For the Shareholder."
Background
ITC was incorporated on August 24, 1910 under the name of 'Imperial Tobacco
Company of India Limited'. Its beginnings were humble. A leased office on Radha
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M.P. Birla Institute of Management, Bangalore
Bazar Lane, Kolkata, was the centre of the Company's existence. The Company
celebrated its 16th birthday on August 24, 1926, by purchasing the plot of land
situated at 37, Chowringhee, (now renamed J.L. Nehru Road) Kolkata, for the sum
of Rs 310,000. This decision of the Company was historic in more ways than one. It
was to mark the beginning of a long and eventful journey into India's future. The
Company's headquarter building, 'Virginia House', which came up on that plot of
land two years later, would go on to become one of Kolkata's most venerated
landmarks. The Company's ownership progressively Indianised, and the name of the
Company was changed to I.T.C. Limited in 1974. In recognition of the Company's
multi-business portfolio encompassing a wide range of businesses - Cigarettes &
Tobacco, Hotels, Information Technology, Packaging, Paperboards & Specialty
Papers, Agri-Exports, Foods, Lifestyle Retailing and Greeting Gifting & Stationery
- the full stops in the Company's name were removed effective eSptember 18, 2001.
The Company now stands rechristened '
ITC Limited'.
Though the first six decades of the Company's existence were primarily devoted to
the growth and consolidation of the Cigarettes and Leaf Tobacco businesses, the
Seventies witnessed the beginnings of a corporate transformation that would usher
in momentous changes in the life of the Company.
10
M.P. Birla Institute of Management, Bangalore
• ITC'sPackaging & Printing Business Division, was set up in 1925 as a
strategic backward integration for ITC's Cigarettes business. It is today
India's most sophisticated packaging house.
• In 1975 the Company launched its Hotels business with the acquisition of a
hotel in Chennai which was rechristened 'ITC-Welcomgroup Hotel Chola'.
The objective of ITC's entry into the hotels business was rooted in the
concept of creating value for the nation. ITC chose the hotels business for its
potential to earn high levels of foreign exchange, create tourism infrastructure
and generate large scale direct and indirect employment. Since then ITC's
Hotels business has grown to occupy a position of leadership, with 66 owned
and managed properties spread across India. It also has a marketing and
reservation arrangement with the Sheraton Corporation, the reputed
international hotel chain.
• In 1979, ITC entered the Paperboards business by promoting ITC
Bhadrachalam Paperboards Limited, which today has become the market
leader in India. Bhadrachalam Paperboards amalgamated with the Company
effective March 13, 2002 and became a Division of the Company,
Bhadrachalam Paperboards Division. In November 2002, this division
merged with the Company's Tribeni Tissues Division to form the Paperboards
& Specialty Papers Division. ITC's pape
rboards' technology, productivity,
quality and manufacturing processes are comparable to the best in the world.
It has also made an immense contribution to the development of Sarapaka, an
economically backward area in the state of Andhra Pradesh. It is directly
involved in education, environmental protection and community
development. In 2004, ITC acquired the paperboard manufacturing facility of
BILT Industrial Packaging Co. Ltd (BIPCO), near Coimbatore, Tamil Nadu.
11
M.P. Birla Institute of Management, Bangalore
This KOVAI Unit allows ITC to improve customer service with reduced lead
time and a wider product range.
• In 1985, ITC set up Surya Tobacco Co. in Nepal as a joint venture with the
reputed Soaltee group. In August 2002, Surya Tobacco became a subsidiary
of ITC Limited and its name was changed to Surya Nepal Private Limited
(Surya Nepal).
• In 1990, ITC acquired Tribeni Tissues Limited, a Specialty paper
manufacturing company and a major supplier of tissue paper to the cigarette
industry. The merged entity was named the Tribeni Tissues Division (TTD).
To harness strategic and operational synergies, TTD was merged with the
Bhadrachalam Paperboards Division to form the Paperboards & Specialty
Papers Division in November 2002.
• Also in 1990, leveraging its agri-sourcing competency, ITC set up the
International Business Division (IBD) for export of agri-commodities. The
Division is today one of India's largest exporters. ITC's unique and now
widely acknowledged e-Choupal initiative began in 2000 with soya farmers
in Madhya Pradesh. Now it extends to 6 states covering over two million
farmers.
• In 2000, ITC's Packaging & Printing business launched a line of high quality
greeting cards under the brand name 'Expressions'. In 2002, the product
range was enlarged with the introduction of Gift wrappers, Autograph
books and Slam books. In the same year, ITC also launched ‘Expressions
Matrubhasha’, a vernacular range of greeting cards in eight languages and
‘Expressions Paperkraft’, a range of premium stationery products. In 2003,
the company rolled out ‘Classmates’, a range of notebooks in the school
stationery segment.
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M.P. Birla Institute of Management, Bangalore
• ITC also entered the Lifestyle Retailing business with the Wills Sport range
of international quality relaxed wear for men and women in 2000. The Wills
Lifestyle chain of exclusive stores later expanded its range to include Wills
Classic formal wear (2002) and Wills Clublife evening wear (2003). ITC
also initiated a foray into the popular segment with its men's wear brand,
John Players, in 2002.
• In 2000, ITC spun off its information technology business into a wholly
owned subsidiary, ITC Infotech India Limited, to more aggressively pursue
emerging opportunities in this area.
• ITC made its entry into the branded & packaged Foods business in August
2001 with the launch of the Kitchens of India brand. A more broad-based
entry has been made since June 2002 with brand launches in the
Confectionery, Staples and Snack Foods segments. In 2002, the 'mint-o’
trade mark was acquired and relaunched in orange and mint flavours. In the
same year ‘Candyman’ was added to the confectionery range and
‘Aashirvaad’ atta was rolled out. The 'Aashirvaad’brand now extends to
ready-to-eat foods, ready-to-cook pastes and salt. In 2003 the ‘Candyman’
range was expanded to include deposited candies and éclairs. In 2003
‘Sunfeast’ biscuits were launched and ‘mint-o’ lemon mint flavour was
introduced. In 2004 the ‘Kitchens of India’ brand was extended to cooking
pastes.
• In 2002, ITC's philosophy of contributing to enhancing the competitiveness
of the entire value chain found yet another expression in the Safety Matches
initiative. ITC now markets popular safety matches brands like iKno,
Mangal Deep, VaxLit, Delite and Aim.
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M.P. Birla Institute of Management, Bangalore
• ITC's foray into the marketing ofAgarbattis (incense sticks) in 2003 marked
the manifestation of its partnership with the cottage sector. ITC's popular
agarbattis brands include Spriha and Mangal Deep across a range of
fragrances like Rose, Jasmine, Bouquet, Sandalwood, Madhur, Sambrani and
Nagchampa.
ITC-INFOTECH LIMITED
ITC Infotech is an SEI CMM Level 5 software services & solutions provider.
Supported by ITC’s strong business fundamentals, its corporate vision and
resources are totally aligned to deliver to global clients the true essence of
“Business-friendly Solutions” innovatively and cost-effectively.
Welcome to ITC Infotech India Ltd.: Its a reputed Business Process Solutions
company with over 2600 employees servicing leading Fortune 500 firms with BPO
& Offshore Outsourcing in a single integrated service platform.
Based in the sprawling 36 acre ITC InfoTech park (in Bangalore, India), BPO
business commenced in September 2002 with one end-client. Today, they have
extended their services to multiple Fortune class clients in Americas and Europe
working 24X7.
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M.P. Birla Institute of Management, Bangalore
“ITC Limited” their parent company is a USD 2.6 Billion business conglomerate
with diversified knowledge in businesses that span the
likes of Hospitality & Travel and CPG. Parentage's experience of over a century in
these businesses has helped them understand and create practices that meet world-
class outsourcing solution needs in areas like Finance & Administration, Human
Resource Management and other Knowledge Enhanced service requirements of our
outsourcing partners.
Presently they are positioned to offer knowledge and process enriched competency
business solutions in the Travel & Hospitality and CPG domains. Creating distinct
value for their business outsourcing partners in these domains had developed core
competencies coupled with best in industry processes. Expertise has translated into
robust and scalable, yet flexible business offshore methodologies .Travel and
Entertainment has become the second largest sales and general administrative
expense line item on the income statement for most organizations. They offer end-
to-end travel management solutions that can help organizations cut their T&E cost
by around 30-40%.
15
M.P. Birla Institute of Management, Bangalore
COMPANY VISION
COMPANY MISSION
Deliver THE BEST in class business solutions to our customers and enhance value
for all stakeholders - always
The big picture: Travel has always been an important part of how
companies achieve business goals. The practice of strategic travel
management grew over last 25 years to most effectively meet those
objectives. As the economy took a downturn beginning in 2000, the
importance of effective travel management became even clearer. Since then,
the growing corporate emphasis on accountability, safety, and security has
reshaped the role of travel managers and re-emphasized the importance of
travel management.
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M.P. Birla Institute of Management, Bangalore
Business travel volumes and expenditures fluctuate with the economy, but
even in lean times, corporations send people on the road. The 2004 Business
Travelers Survey is one in of several indicators showing that business travel
is on the rise.
Business travel is integral to the travel industry, and the American
economy. 38.3 million Americans generated 210.5 million domestic business
person trips in 2003. They spent $153.2 billion – nearly one-third of the
domestic travel market.
Corporate approach to travel policy. Just over four in ten (44%) business
travelers report they must use the telephone or websites to book business
trips on their own. On the other hand, nearly that many (37%) report they
book travel in one of four ways, classified as managed travel programs:
• A central travel management department or on-site travel agency (17%)
• An off-site travel agency (9%)
• A central travel management department plus company-wide booking
Software (6%)
• An Internet-based travel agency, such as Orbitz for Business, Expedia
Corporate Travel or Travelocity Business) (5%)
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M.P. Birla Institute of Management, Bangalore
• Globally, outsourcing spending is increasing by 11 percent per year.
• Two thirds of the outsourcing spend is in large Fortune 500 companies.
• Two-thirds of outsourcing spending is in the US.
• Shrinking margins will force more companies to break with tradition and
consider BPO to reduce operating cost.
• A lot of demand is expected to be generated by HR processes especially
payroll Management
• In India , ITES-BPO segment registered a growth of 59% to reach Rs.
113bn (US $2.3 billion)
• According to current industry estimates, India commands more than 90%
of all offshore outsourcing in IT services
• ITeS contributed 25% to the total IT Software and Service exports from
India during FY03
• Captive ITES-BPO players have almost doubled their share in Indian
software exports, growing by a phenomenal 90% in last financial year
• ITES-BPO segment is projected to register a growth of 54% to clock
revenues of US$ 3.6 billion during FY2003-04
• The ITeS industry is expected to grow to Rs. 810bn in 2008.
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M.P. Birla Institute of Management, Bangalore
downturns, this one seems likely to accelerate broad changes now under
way. The global car industry that emerges in several years could look quite
different from the recent balance of competitors, executives believe.
Highlights of the survey findings include:
• In the past 12 months, expectations of a return to healthy profit levels
have moved sharply outward, from next year to mid-decade.
• No part of the North American –based industry, with the possible
exception of dealers, is doing well. This is readjusting the balance among
industry players.
• North American –based makers will likely continue to lose global
market share to Asian companies, while European makers should hold
their own or slightly advance.
• To regain momentum, North American –based makers need to focus on
consumer needs and more compelling new-model design and
technology.
• Consumer loyalty to brands and dealers will continue to decline.
• There is, nevertheless, considerable confidence that North American
makers and suppliers can overcome their difficulties.
20
M.P. Birla Institute of Management, Bangalore
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RESEARCH PARADIGM:
PROBLEM
METHOD SOLUTION
STAGE 1
STAGE 2 STAGE 3
24
M.P. Birla Institute of Management, Bangalore
DEVELOPING A RESEARCH DESIGN:
The marketing researcher develops research design, which
basically indicates the procedure and cost of conducting the
research study.
It contains:
Information type
Sources of data
Research methods
Sampling Plan
Methods of contacts
Data collection methods (i.e. Research Instruments)
PROBLEM STATEMENT:
“Exploring BPO market for advertising and finance
industries-an exploratory study for ITC InfoTech”
25
M.P. Birla Institute of Management, Bangalore
Objectives
TYPE OF RESEARCH:
The research process adopted for the study is a typical Customer
Research process which is ideally exploratory and conclusive in
nature.
SAMPLING TECHNIQUE:-
Non-Probability Samples:
It isn't always possible to undertake a probability method of
sampling, such as in random sampling. For example, there is not
a complete sampling frame available for certain groups of the
population e.g. the elderly; people who are attending a football
match; people who shop in a particular part of town. Another
factor to bear in mind is that many of the probability sampling
methods described above may mean that researchers would
26
M.P. Birla Institute of Management, Bangalore
have to undertake a postal or telephone survey delivery or
might be expected to go from house to house.
SAMPLE DESCRIPTION:
The target population includes two parts namely:
Finance industry and advertising industry that fall under
fortune list of USA
27
M.P. Birla Institute of Management, Bangalore
people you meet whether they will answer your questions. In
other words, the sample comprises subjects who are simply
available in a convenient way to the researcher. There is no
randomness and the likelihood of bias is high. You can't draw
any meaningful conclusions from the results you obtain.
However, this method is often the only feasible one, particularly
for students or others with restricted time and resources, and
can legitimately be used provided its limitations are clearly
understood and stated.
Because it is an extremely haphazard approach, students are
often tempted to use the word "random" when describing their
sample where they have stopped people in the street, as they see
it "at random". You should avoid using the word "random"
when describing anything to do with sampling unless you are
absolutely certain that you selected respondents from a
sampling frame using truly random methods.
SAMPLE SIZE:-
The sample size is restricted to:
40 fortune US companies, which includes 20 companies from
finance sector and 20 companies from advertising sector
28
M.P. Birla Institute of Management, Bangalore
INSTRUMENTATION TECHNIQUE:
Structured Questionnaires and Telephonic interview sessions
have been used as instrumentation techniques to carry out the
work-assignment.
Since our research investigation is highly quantitative, we could
not Subject the data to rigorous statistical treatment. In
overview, the Qualitative research is as significant as
quantitative.
29
M.P. Birla Institute of Management, Bangalore
1. The study is limited to fortune companies, and also it is
limited to US country only.
2. Language accent of U.S respondent was a barrier for in-
depth discussion.
3. Opinions of the findings may be biased because many
doubted that the study is done for ITC-InfoTech,
Bangalore.
4. Getting an appointment with the corporate travel manager
was a problem.
5. Some Corporate travel manager could not give out the
required information as it was thought confidential.
6. Mental framework of the respondents is a factor, which
can bias the results.
7. Research investigations are beset with Time and Resource
and constraints.
8. Research investigations are based on company information
and Information generated through companies response
and travel department responses.
30
M.P. Birla Institute of Management, Bangalore
Analysis
31
M.P. Birla Institute of Management, Bangalore
• Use and satisfaction with Internet portals
• Spending on international business trips
• Spending on domestic business trips
AIR TRAVEL-FINANCE
100
PERCENTAGE
80
60 Internal%
40 External%
20
0
Alabam a
Allm erica
Fiserv, Inc.
H&R Block,
Toll Brothers,
total
The Mutual of
Am South
Nationw ide
Citizens
M&T Bank
COMPANY
100
80
Internal%
60
40 External%
20
0
JELD-WEN,
Group Inc.
Viacom Inc.
Channel
Channel
Enterprises,
Enterprises,
Inform ation
Corporation
Reader's
Om nicom
Experian
Clear
Clear
Cendant
The
Insight
inc.
Cox
C O M PA N Y
32
M.P. Birla Institute of Management, Bangalore
Inferences: From the above graphs we can infer that only 32.5%
of external air travel takes place in the finance industry where as
48.5% of external air travel takes place in advertising industry
Therefore ITC InfoTech can consider advertising industry as a
better target as percentage of external travel is more in this
industry as compared that of finance industry
35%
Centralised
Decentralised
65%
33
M.P. Birla Institute of Management, Bangalore
TRAVEL BOOKING OCCURS- ADS
10%
Centralised
Decentralised
90%
Inferences: As centralized the department is easier to tap the business thus about
90% advertising industries have a centralized booking solution as compared to a
finance industry, which is only 65%.There fore advertising industry is a potential
target market.
34
M.P. Birla Institute of Management, Bangalore
TRAVEL DEPARTMENT - FINANCE
35%
yes
no
65%
Yes
10%
no
90%
35
M.P. Birla Institute of Management, Bangalore
4. In-house, agency or online
30% 57%
19% 19%
agency
Inhouse
online
62%
36
M.P. Birla Institute of Management, Bangalore
5. Do you have ARC code
ARC code
35%
yes
no
65%
23%
YES
no
77%
37
M.P. Birla Institute of Management, Bangalore
CURRENT GDS-FINANCE
13%
AMADUS
APPOLO
49%
CYBER
38%
38
M.P. Birla Institute of Management, Bangalore
TYPES OF TRAVEL MODE-FINANCE
19%
DRIVE
TRAIN
51% RENTAL CARS
30%
27%
DRIVE
TRAIN
55% RENTAL CARS
18%
Inferences: ITC is opting to tap the market for car rentals and
lemos also thus from the above graph its clear that advertising
industry is a better target.
39
M.P. Birla Institute of Management, Bangalore
8. How long associated with current travel solution
provider
20
15 agency
YEARS
10 inhouse
5 ONLINE
0
Allmerica
Fiserv, Inc.
The Mutual
Toll
Alabama
Nationwide
AmSouth
Citizens
H&R Block,
M&T Bank
COMPANY
ASSOCIATED YEARS-ADS
15
YEARS
10
5
0 agency
Cendan
Cox
Insight
JELD-
Omnico
The
Viacom
Clear
Clear
Experia
inhouse
ONLINE
COMPANY
40
M.P. Birla Institute of Management, Bangalore
9. Inclusive package inclination
INCLUSIVE PACKAGE-FINANCE
30%
yes
no
70%
28%
yes
no
72%
41
M.P. Birla Institute of Management, Bangalore
10.How many international business trips do you take
annually
NO OF TRIPS ANNUALLY
2500
2000
1500
international
1000
500
0
Nationwide Life
The Mutual of
Fiserv, Inc.
Toll Brothers,
Alabama Power
M&T Bank
Allmerica
AmSouth
Citizens
H&R Block,
COMPANY
2500
BUSINESS VISITS
2000
1500
international
1000
500
0
The Reader's
Clear Channel
Clear Channel
Cendant
JELD-WEN,
Insight
Experian
Cox
Omnicom
Viacom Inc.
COMPANY
42
M.P. Birla Institute of Management, Bangalore
11.How many domestic business trips do you take annually
NO OF TRIPS 1200
1000
800
600 domestic
400
200
0
Nationwide Life
The Mutual of
Fiserv, Inc.
Toll Brothers,
Alabama Power
M&T Bank
Allmerica
AmSouth
Citizens
H&R Block,
COMPANY
2500
ANNUAL VISITS
2000
1500
domestic
1000
500
0
The Reader's
Clear Channel
Clear Channel
Cendant
JELD-WEN,
Insight
Experian
Cox
Omnicom
Viacom Inc.
COMPANY
16
MILLION $ 14
12
10
8 total
6
4
2
0
Nationwide Life
The Mutual of
Fiserv, Inc.
Toll Brothers,
Alabama Power
M&T Bank
Allmerica
AmSouth
Citizens
H&R Block,
COMPANY
20
MILLION $
15
10 Total
5
0
The Reader's
Clear Channel
Clear Channel
Cendant
JELD-WEN,
Insight
Experian
Cox
Omnicom
Viacom Inc.
COMPANY
44
M.P. Birla Institute of Management, Bangalore
13.Class of travel
CLASS OF TRAVEL-ADS
33%
business
coach
67%
CLASS OF TRAVEL-FINANCE
40%
coach
business
60%
45
M.P. Birla Institute of Management, Bangalore
14.Factor concerned while traveling
21%
cost
connect
14%
time
65%
18%
cost
connectivity
21% time
61%
46
M.P. Birla Institute of Management, Bangalore
15.Turnaround time
30
25
HOURS
20
15 time
10
5
0
Allmerica
Fiserv, Inc.
Alabama
The Mutual
Toll
Nationwide
AmSouth
Citizens
M&T Bank
H&R Block,
COMPANY
60
50
HOURS
40
30 time
20
10
0
The Reader's
Clear Channel
Clear Channel
Cendant
JELD-WEN,
Insight
Experian
Cox
Omnicom
Viacom Inc.
COMPANY
47
M.P. Birla Institute of Management, Bangalore
16.How hotel booking takes place
15% 20%
AGENCY
DIRECT
ONLINE
65%
25%
AGENCY
DIRECT
ONLINE
10%
65%
48
M.P. Birla Institute of Management, Bangalore
17.Annual spent hotel
MILLION DOLLORS
5
4
3
CAR(m$)
2
1
0
Nationwide Life
The Mutual of
Fiserv, Inc.
Toll Brothers,
Alabama Power
M&T Bank
Allmerica
AmSouth
Citizens
H&R Block,
COMPANY
10
8
MILLION $
6
HOTEL (m$)
4
2
0
The Reader's
Clear Channel
Clear Channel
Cendant
JELD-WEN,
Insight
Experian
Cox
Omnicom
Viacom Inc.
COMPANY
49
M.P. Birla Institute of Management, Bangalore
18.Annual car spent
6
5
MILLION $
4
3 CAR(m$)
2
1
0
Nationwide Life
The Mutual of
Fiserv, Inc.
Toll Brothers,
Alabama Power
M&T Bank
Allmerica
AmSouth
Citizens
H&R Block,
COMPANY
6
5
MILLION $
4
3 CAR(m$)
2
1
0
The Reader's
Clear Channel
Clear Channel
Cendant
JELD-WEN,
Insight
Experian
Cox
Omnicom
Viacom Inc.
COMPANY
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M.P. Birla Institute of Management, Bangalore
19.Travelers choice of stay in Hotel
32%
Bread & breakfast
47%
Full service
Executive class
21%
17%
44%
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M.P. Birla Institute of Management, Bangalore
20.Satisfaction level w.r.t current travel solution
6
5
LEVELS
4
3 LEVEL
2
1
0
The Mutual of
Nationwide Life
Fiserv, Inc.
Toll Brothers,
Alabama Power
M&T Bank
Allmerica
AmSouth
Citizens
H&R Block,
COMPANY
SATISFACTION LEVEL
SATISFACTION LEVEL
6
5
4
3 Series1
2
1
0
The Reader's
Clear Channel
Clear Channel
Cendant
JELD-WEN,
Insight
Experian
Cox
Omnicom
Viacom Inc.
COMPANY
14%
internet
46% 20% connectivity
quality
unplanned
delay/time
9%
11%
28%
33%
internet
connectivity
quality
39%
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M.P. Birla Institute of Management, Bangalore
Hypothesis testing
Four hypotheses has been tested based on the variable noted
below
¾
Annual Air Spent
¾
Annual Car spent
¾
Annual hotel Spent
¾
Turnaround time
¾
Satisfaction level
This has been calculated and assessed for Automotive & CPG
industry. Result indicate a strange sequence, while the amount
spent on Air, hotel & car are not significantly different by its
mode. At the same time satisfaction level derived and the
turnaround time are relatively low & high respectively.
This result cause for special effort to increase the
satisfaction level making an assessment of end user requirement.
This interest turn around time to be reduced by half (our
assessment) to make the customer satisfaction level higher then
what is today!! The organization has to adopt twin strategy to
reduce turnaround time and increase satisfaction level to make
proposition viable.
How far this viable remains is a matter of speculation. Given the
changing scenario the company has to restore to expansion
mode in deriving service value and in providing in-depth level
of customer satisfaction
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M.P. Birla Institute of Management, Bangalore
Travel Industry Supply Chain Evolution
¾
Traditional Data center model and systems
Consumers
&
Airlines Corporations
¾
Traditional Data center model and systems with
additional complexity
Travel Consumers
Airlines Agents &
Corporations
¾
Traditional Data center model and systems with
additional complexity
Computer
Travel Consumers
Reservati
Airlines Agents &
on system
Corporation
(CRS)
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M.P. Birla Institute of Management, Bangalore
¾
Traditional Data center model and systems with
additional complexity –Multi-host
¾
Entrance of Distributed technologies!
Supplier
s Call
Center
Supplier
Website
Orbitz
Travel
Agents
Global Consumers
Travel Distributi &
Suppliers on system Corporation
(GDS) Internet
Travel
Agents
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M.P. Birla Institute of Management, Bangalore
¾
Proliferation of Open Systems!
Supplier
s Call
Center
Supplier
Website
Orbitz
Travel
Agents
Global Consumers
Travel Distributi &
Suppliers on system Corporation
(GDS) Internet
Travel
Agents
¾
Entrance of GDS “substitution” technology!
Supplier
s Call
Center
Supplier
Website
Orbitz
Travel
• Direct Connect Agents
Global Consumers
Travel Distributi &
Suppliers on system Corporation
(GDS) Internet
Travel
• Direct Connect Agents
• Corporate tr
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M.P. Birla Institute of Management, Bangalore
SWOT ANALYSIS
STRENGTHS WEAKNESS
& '
BRAND NAME METHOD OF ACCESS
¾ TECHNICAL TO US CLIENTS
'
SUPERIORITY PROCEDURES
'
¾ ITH ASSOCIATION REGULATIONS
OPPORTUNITIES THREATS
' ¾ ETHOCENTRIC
COUNTRY NAME
' BEHAVIOUR OF
LARGE UNTAPPED
MARKET AMERICAN
' COMPANIES
OUTLOOK OF
FORTUNE ¾ FINANCIAL RISK
' ¾ PHYCOLOGICAL RISK
COMPANIES
CHANGING OF CLIENT
'
COST CUTTING BY
FORTUNE
COMPANIES
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M.P. Birla Institute of Management, Bangalore
CONCLUSION
After understanding advertising and finance industries. We can
conclude that ITC InfoTech can Target the advertising sector.
From the analysis we can infer that advertising industry is more
profitable as compared to that of Finance industries.
Thus ITC InfoTech can grab advertising sector as their target
segment towards launching their travel BPO.
RECOMMENDATIONS
• Organize a corporate meet and inform about off shoring
benefits
• Companies other than US can also be targeted
BIBLIOGRAPHY
Book:
¾
Kotler Philip, Principles of Management …………… PHI
2001
¾
Marketing of Services by SN Jha, Himalaya Publication
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M.P. Birla Institute of Management, Bangalore
Journals:
¾
IBM survey on Travel & GDS 2003
¾
Journal for Corporate industry
¾
Forbes 2003 edition
Websites:
www.itcinfotech.com
www.itcportal.com
www.indiainfoline.com
www.google.co.in
www.hoovers.com
www.fortune500.com
www.orbitz.com
www.btitravel.com
SAMPLE DATABASE
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M.P. Birla Institute of Management, Bangalore
SAMPLE QUESTIONNAIRE
1. Percentage of travel monthly?
• Internal company business (visit offices/plant/company
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M.P. Birla Institute of Management, Bangalore
7. Number of travel agencies used?
• One
• Two
• Three
• None
8. Type of travel used/mode alternatives?
• Drive
• Train
• Car rental
9. Since how long are you associated with your travel solution
provider?
1 2 3 4 5
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M.P. Birla Institute of Management, Bangalore
• Issues with e-ticketing & automated check-in
• In-flight business facilities
• Connectivity
• Quality of service delivery
• Unplanned Schedule
• Delays
• Time/boredom
• Others
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M.P. Birla Institute of Management, Bangalore