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Business  Process  Outsourcing AN INDUSTRY OVERVIEW BY  M.VANI PRASUNA
Overview <ul><ul><li>Outsourcing </li></ul></ul><ul><ul><li>BPO/Types of BPO </li></ul></ul><ul><ul><li>Different types of...
  What is Outsourcing? <ul><li>Outsourcing  is defined as an organization entering into a contract with another organizati...
  Outsourcing to India <ul><li>BPO : Business Process Outsourcing </li></ul><ul><li>CRM, Medical Transcription, Call Cente...
OUTSOURCING  TO INDIA
  What is BPO? <ul><li>Business process.  </li></ul><ul><li>BPO is the contracting of a specific business task, such as hu...
  Business process   outsourcing (BPO) - Types <ul><li>There are three types of BPO. </li></ul><ul><li>Offshore Outsourcin...
Two Categories of BPO <ul><li>Back Office Outsourcing: It includes internal business functions, such as billing or purchas...
Why BPO is gaining    ground? <ul><li>Few of the motivation factors are: </li></ul><ul><li>Factor Cost Advantage  </li></u...
  India's BPO Market in 2008     Indian revenues from BPO are estimated to have  grown 107 per cent to $ 583 million.
  Comparison of India Vs US    BPO operating costs
  Different Types of services    being offered by BPO   <ul><li>Customer Support Services </li></ul><ul><li>Technical Supp...
  Current Top Indian    Rankers <ul><li>Genpact </li></ul><ul><li>WNS </li></ul><ul><li>Wipro BPO </li></ul><ul><li>HCL Te...
  Employee Benefits Provided by    Majority Of the BPO Companies   <ul><li>Provident Fund  </li></ul><ul><li>Gratuity  </l...
  Disadvantages of BPO <ul><li>Odd working hours  </li></ul><ul><li>Health issues </li></ul><ul><li>Abusive clients  </li>...
Why people <ul><li>Prefer BPO … </li></ul><ul><li>Did not get a better job  </li></ul><ul><li>Find nothing better to do  <...
  Reference  The Basics of Business Process Outsourcing: http://www.sourcingmag.com/content/c06045a.asp Article Source:  B...
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BPO

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BPO basics, types of bpo, BPO today

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  1. 1. Business Process Outsourcing AN INDUSTRY OVERVIEW BY M.VANI PRASUNA
  2. 2. Overview <ul><ul><li>Outsourcing </li></ul></ul><ul><ul><li>BPO/Types of BPO </li></ul></ul><ul><ul><li>Different types of services offered by BPO </li></ul></ul><ul><ul><li>Challenges for a HR professional in BPO </li></ul></ul><ul><ul><li>Employee Benefits/Disadvantages in BPO </li></ul></ul>
  3. 3. What is Outsourcing? <ul><li>Outsourcing is defined as an organization entering into a contract with another organization to operate and manage one or more of its business processes </li></ul><ul><li>Companies began employing the outsourcing to carry out narrow functions, such as payroll, billing and data entry </li></ul><ul><li>some organizations outsource whole operations. The most common forms are </li></ul><ul><li> ITO- Information technology outsourcing </li></ul><ul><li> BPO- Business process outsourcing </li></ul>
  4. 4. Outsourcing to India <ul><li>BPO : Business Process Outsourcing </li></ul><ul><li>CRM, Medical Transcription, Call Centers </li></ul><ul><li>ITES : Information Technology Enabled Services </li></ul><ul><li>Software development, Data entry, Programming, </li></ul><ul><li>Web development services </li></ul><ul><li>KPO : Knowledge Process Outsourcing </li></ul><ul><li>Financial Analysis, Legal Services </li></ul>
  5. 5. OUTSOURCING TO INDIA
  6. 6. What is BPO? <ul><li>Business process. </li></ul><ul><li>BPO is the contracting of a specific business task, such as human resources and customer service, to a third-party service provider. </li></ul><ul><li>It is one of the fastest growing segments of the Information Technology Enabled Services (ITES) industry. </li></ul>
  7. 7. Business process outsourcing (BPO) - Types <ul><li>There are three types of BPO. </li></ul><ul><li>Offshore Outsourcing : BPO that is contracted outside a company's own country </li></ul><ul><li>Onshore Outsourcing : BPO that is contracted with the company's own country. </li></ul><ul><li>Nearshore Outsourcing : BPO that is contracted to a company's neighboring country </li></ul>
  8. 8. Two Categories of BPO <ul><li>Back Office Outsourcing: It includes internal business functions, such as billing or purchasing. </li></ul><ul><li>Front Office Outsourcing: It includes customer-related services such as marketing or tech-support. </li></ul>
  9. 9. Why BPO is gaining ground? <ul><li>Few of the motivation factors are: </li></ul><ul><li>Factor Cost Advantage </li></ul><ul><li>Economy of Scale </li></ul><ul><li>Business Risk Mitigation </li></ul><ul><li>Superior Competency </li></ul><ul><li>Utilization Improvement </li></ul>
  10. 10. India's BPO Market in 2008 Indian revenues from BPO are estimated to have grown 107 per cent to $ 583 million.
  11. 11. Comparison of India Vs US BPO operating costs
  12. 12. Different Types of services being offered by BPO <ul><li>Customer Support Services </li></ul><ul><li>Technical Support Services </li></ul><ul><li>Telemarketing Services </li></ul><ul><li>Employee IT Help-desk Services </li></ul><ul><li>Insurance Processing </li></ul><ul><li>Policy Maintenance / Management: </li></ul><ul><li>Data Entry Services / Data Processing Services </li></ul><ul><li>Scanning, OCR with Editing & Indexing Services </li></ul><ul><li>Internet / Online / Web Research </li></ul>
  13. 13. Current Top Indian Rankers <ul><li>Genpact </li></ul><ul><li>WNS </li></ul><ul><li>Wipro BPO </li></ul><ul><li>HCL Technologies BPO Services </li></ul><ul><li>ICICI OneSource </li></ul><ul><li>IBM Daksh </li></ul><ul><li>Progeon (Infosys) </li></ul><ul><li>Aegis BPO Services </li></ul><ul><li>EXL Service Holdings </li></ul><ul><li>Convergys </li></ul><ul><li>Zenta </li></ul><ul><li>Mphasis </li></ul><ul><li>Tracmail </li></ul><ul><li>GTL Ltd. </li></ul><ul><li>VCustomer </li></ul><ul><li>HTMT </li></ul><ul><li>24/7 Customer </li></ul><ul><li>Sutherland Technologies </li></ul>
  14. 14. Employee Benefits Provided by Majority Of the BPO Companies <ul><li>Provident Fund </li></ul><ul><li>Gratuity </li></ul><ul><li>Corporate Credit Card </li></ul><ul><li>Cellular Phone/ Laptop </li></ul><ul><li>Loans </li></ul><ul><li>Personal Health Care </li></ul><ul><li>incentives </li></ul><ul><li>Educational Benefits </li></ul><ul><li>Performance based </li></ul><ul><li>Flexible Salary Benefits </li></ul><ul><li>Wedding Day Gift </li></ul><ul><li>Transportation facility </li></ul><ul><li>Recreation, Cafeteria, ATM and Concierge facilities </li></ul>
  15. 15. Disadvantages of BPO <ul><li>Odd working hours </li></ul><ul><li>Health issues </li></ul><ul><li>Abusive clients </li></ul><ul><li>Age factor </li></ul><ul><li>Social issues / alcohol consumption / sex issues </li></ul><ul><li>Future trend of call center jobs </li></ul>
  16. 16. Why people <ul><li>Prefer BPO … </li></ul><ul><li>Did not get a better job </li></ul><ul><li>Find nothing better to do </li></ul><ul><li>Education level doesn't matter </li></ul><ul><li>Good work environment </li></ul><ul><li>Good Benefits </li></ul><ul><li>Flexibility of time </li></ul><ul><li>Attractive life style </li></ul><ul><li>Transport facility </li></ul><ul><li>Leave BPO … </li></ul><ul><li>No growth opportunity/lack of promotion </li></ul><ul><li>For higher Salary </li></ul><ul><li>For Higher education </li></ul><ul><li>Misguidance by the company </li></ul><ul><li>Policies and procedures are not conducive </li></ul><ul><li>Physical strains </li></ul><ul><li>Uneasy relationship with peers or managers </li></ul>
  17. 17. Reference The Basics of Business Process Outsourcing: http://www.sourcingmag.com/content/c06045a.asp Article Source: Benefits/ Disadvantages of BPO http://www.saching.com Article Source: BPO Industry in India http://www.bpoindia.org
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