Unit 4 Emerging Strategic Trends a) Reasons for growing BPO and KPO businesses in India, Reengineering Business Processes, contribution of IT sector in Indian Business, Concept, Problems and Consequences of Disasters, Strategies for Managing and Preventing disasters and Cope up Strategies b) Process of business startups and its Challenges, Growth Prospects and government initiatives in Make in India Model with reference to National manufacturing, Contribution of Make in India Policy

1. Unit 4
Emerging
Strategic
Trends
MCOM I SEM I
Dr Vijay Vishwakarma

2. Unit 4 Emerging
Strategic Trends
• a) Reasons for growing BPO and KPO
businesses in India, Reengineering Business
Processes, contribution of IT sector in Indian
Business, Concept, Problems and
Consequences of Disasters, Strategies for
Managing and Preventing disasters and Cope
up Strategies
• b) Process of business startups and its
Challenges, Growth Prospects and government
initiatives in Make in India Model with reference
to National manufacturing, Contribution of
Make in India Policy
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Dr Vijay Vishwakarma

3. Reasons for
growing
BPO
businesses
in India
• A BPO service provider typically handles and manages
another company’s unique business operation.
• Business process outsourcing (BPO) is the fastest-
growing segment in the ITS (ITES) industry in India.
• Different industries have initiated outsourcing, such as IT,
engineering, business, etc.
• According to the NASSCOM, the key reasons behind the
success of India in the ITES/BPO industry are abundantly
skilled and English — the unique localization of India and
an investor-friendly tax structure have also made the BPO
industry in India more successful.
• India has become the world’s leading competition for an
attractive salary margin with numerous outsourcing firms.
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Dr Vijay Vishwakarma

4. • More than 82 percent of US
companies classify India as their
first choice for outsourcing
apps.
• Many multinational corporations
outsource their corporate
processes to Indian BPO firms.
India’s share of the global
software and back-office
outsourcing industry is 46%.
• Low education costs for
professionals in India allow them
to continuously upgrade
emerging technologies, which
are a critical factor for success.
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Dr Vijay Vishwakarma

5. For the
following
factors, India is
the world’s
favorite
outsourcing
destination:
• Networks for telecommunications.
• Innovation, imagination and smart solutions
• Professional and highly trained workers
• Consistency cost-effectiveness
• The market climate of India
• India is the largest pool of IT brains introduced early
to the industry, including 120,000 qualified IT
professionals
• About 2.1 million graduates leave Indian universities
annually.
• The largest population of India speaks English
• Cultural compatibility and friendly interactions with
customers
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Dr Vijay Vishwakarma

6. The BPO industry has risen nearly nine
times over the past decade, from 1.6
billion dollars to 14.7 million dollars.
The estimated annual growth rate for
this period is 25 per cent.
The BPO sector currently employs 1
million workers and has indirect jobs of
3.5 million.
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Dr Vijay Vishwakarma

7. https://indiarep.co/why-bpo-is-the-fastest-growing-industry-in-india/
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Dr Vijay Vishwakarma

8. Reasons
for
growing
KPO
businesses
in
India
The KPO industry has served companies with top-notch computational
solutions and contributed greatly to the process of business
expansion.
It is also a kind of business process outsourcing service yet it is more
focused on information-related business operations.
As we are slowly progressing deep into the digital era, every business
is hugely dependent on large chunks of data.
Data and information form the basis of all business, and for processing
colossal size of data and information on a daily basis, you are going to
need a group of IT resources like cloud, integrated systems, software
packages, and human resources.
The KPO industry in India has been continually in high demand since
the beginning of its inception. And these demands seem to surge at
every moment in time. 8
Dr Vijay Vishwakarma

9. The KPO industry in India has always been on the edge over other
industries as most of the industries are now dependent on them.
The industries related to finance, medicine, logistics, education,
etc., are among the few that are closely tied to the KPO industry.
The operations of the KPO industry in India are simple.
It involves processing, parsing, collating, and analyzing the critical
information shared by the client companies who hold strong
expertise in a certain area of business.
KPO services in India provide insightful information to client
companies so they can improve their decision-making and impose
new strategies based on the information provided. 9
Dr Vijay Vishwakarma

10. The KPO industries in India have helped many offshore companies to build their empire by simply sharing
actionable insights with them.
Be mindful of the fact that the KPO industry is a lot different from the BPO industry. KPO is just a subset of
BPO service.
The BPO services in India are rendered to a greater extent though, but the KPO industry in India has always
been an undeniable requirement for companies.
In fact, KPO services in India have become an integral part of the IT industry today.
The BPO services in India provide operational assistance. They provide a labor force and operation
resources to the companies for handling a special area of work, for example, customer support service.
Less complicated, tedious, mundane, and time-consuming business operations are handled by BPO
agencies so that companies can focus more on core business operations.
On the other hand, KPO industries in India are devoted to providing specialized knowledge-based work.
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11. KPO services are extremely analytical jobs that require the collection of
information from all departments and drawing actionable insights. These
insights will be used in the process of decision-making. The core business
activities will depend on the knowledge and suggestions shared by the KPO
agencies.
The work detail or project maneuvers handled at the client end are mostly
one-offs i.e, the project executions will be a one-time gig and therefore,
there won’t be a requirement for continued or recurring activities.
For these types of pet projects, acquiring and allocating new resources,
training the employees, and allocating dedicated time would lead to
productivity. All of these activities can be carried out by a practiced group of
people that we know as the KPO industry in India.
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Dr Vijay Vishwakarma

12. India is a country where resources can be found in excess amounts.
The KPO industry in India is so diverse that one can find high-level expertise and knowledge
here.
The KPO industry in India provides services in all the significant domains of business such as
Finance, R&D, Business Processing, Data Analysis and Interpretation, Legalities, Medicine &
Healthcare, Investments, and Technical Analysis.
The KPO industry in India is one of the most sort-after in the whole world. That is because
only in India, companies can find a high level of expertise in IT and other technical areas at
quite an affordable rate. The skilled laborers in India are scalable and flexible.
Tech giants from all over the world seek the KPO industry in India whenever they are in need
of knowledge-based technical work. These types of work are formidable and couldn’t be
taken for granted.
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Dr Vijay Vishwakarma

13. If a client company is seeking a BPO service in India, that is going to cost that company capital.
However, it would invest in a BPO service only when the company is absolutely sure that they are going
to get good investment returns from doing so.
Similarly, the case is with a KPO service; KPO services in India focus on a special area of expertise and
they provide that expertise as a service basically.
For example, if a manufacturer holds expertise in a special type of raw material but they are planning to
process the raw material by adding some additional materials. The procedure might require a series of
steps with extensive vigilance. They would be taking help from a KPO that holds specialization in that
area. They can process the raw material much faster, providing the maximum value in the most cost-
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Dr Vijay Vishwakarma

14. Reengineering
Business
Processes
Business Process Reengineering is the radical redesign of
business processes to achieve dramatic improvements in
productivity, cycle times, quality, and employee and
customer satisfaction.
Companies start by assessing what work needs to be
done to deliver customer value. Techniques such as
process mining (the analysis of information systems event
logs) can help discover, monitor, and improve processes.
Then they decide how to do the work—or if it should be
done at all. Rethinking the roles of third parties or
outsourcing is also a crucial component of Business
Process Reengineering.
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Dr Vijay Vishwakarma

15. How Is
Business
Process
Reengineering
Implemented?
• Refocusing company values on customer needs and
eliminating low-value work
• Simplifying and standardizing overly complex work, and
automating repetitive work
• Enabling processes with modern systems and data
• Locating work in the most efficient and effective
environment
• Reorganizing a business into cross-functional teams
with end-to-end responsibility for a process
• Rethinking basic organizational and people issues
• Determining appropriate roles for third parties or
outsourcers, focusing on where they truly add value
• https://www.bain.com/insights/m
anagement-tools-business-process-
reengineering/
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Dr Vijay Vishwakarma

16. Contribution
of IT sector in
Indian
Business
• https://www.ibef.org/industry/information-
technology-india
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Dr Vijay Vishwakarma

17. • Problems and Consequences of
Disasters, Strategies for Managing
and Preventing disasters and Cope up
Strategies
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Dr Vijay Vishwakarma

18. Process of
business
startups and
its
Challenges
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Dr Vijay Vishwakarma

19. Process of business startups
Determine Your Business Concept
Research Your Competitors and Market
Create Your Business Plan
Choose Your Business Structure
Register Your Business and Get Licenses
Get Your Finances in Order
Fund Your Business
Apply for Business Insurance
Get the Right Business Tools
Market Your Business
Scale Your Business
https://www.forbes.com/advisor/in/business/how-to-start-a-business/
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Dr Vijay Vishwakarma

20. Challenges of Startup
Finding the right team
Developing a product or service that people want
Raising capital
Getting customers
Scaling your business
Lack of capital
Lack of experience
High competition
Slow growth
The Challenge of Financing
The Challenge of Hiring
The Challenge of Marketing
The Challenge of Sales
The Challenge of Productivity
https://www.linkedin.com/pulse/all-startups-face-major-business-challenges-heres-what-do/ 20
Dr Vijay Vishwakarma

21. Contribution of Make in India Policy
The Make in India movement is
an initiative that seeks to
promote and encourage
companies to manufacture their
products within the boundaries
of India.
It was launched by Prime
Minister Narendra Modi in
September 2014 as a part of his
vision to accelerate economic
growth and establish India as a
manufacturing powerhouse.
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Dr Vijay Vishwakarma

22. Growth Prospects and government initiatives in Make in
India Model with reference to National manufacturing
• https://www.pmindia.gov.in/en/major_initiatives/make-in-india/
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Dr Vijay Vishwakarma

23. The Make in India movement holds immense significance for India's
economic development.
By attracting Foreign Direct Investment (FDI) and encouraging domestic
companies to increase their manufacturing capabilities, the movement
aims to boost industrial growth, create job opportunities, and reduce
dependency on imports.
This initiative aligns with the government's broader objective of
achieving sustainable economic development and improving the
standard of living for the Indian population.
https://www.acko.com/health-insurance/make-in-india/
Dr Vijay Vishwakarma 23