Date: Thursday , May 31, 2007
BPO boom in India is now in its 8th year starting from 1999. In that year, voice related services contributed more then 85 percent to nascent industry’s business. In 2006, voice accounted for less then 35 percent, according to NASSCOM. Now growth area’s are insurance claim processing, finance and accounting, equity research, news writing, radiology and so on. Almost every other week, the Wall Street Journal does a story on new kind of BPO being done from India. BPO industry seems to have used voice related services to get a foothold in corporations in the U.S. and rest of the developed world, just like Indian IT services providers did with Y2K work. Now the industry is on a path to leverage its access to and build up trust by global corporations to add high-end services to its staple and keep its growth trajectory on the steep curve. BPO industry in India really got it start when large corporations like G.E. set up their own captive centers in India to leverage low cost and local talent. Even today more then 60 percent of BPO capacity in India is provided by captives.
In this issue, we bring you growth stories of three BPO companies all with different heritage.
Satyam’s BPO arm Nipuna Services is on a high growth phase. Satyam’s heritage of consulting, positions Nipuna uniquely. It is strategically using the integrated IT-BPO offering and focused on high-end business processes. For a relatively young organization, the “extremely vibrant” and a “highly energized” environment that its leaders have created gives it the impetus to march ahead.
Having gone public in October last year, EXL Service is scaling up rapidly—$122 million in revenues and more than 9000 employees on board. What excites EXL is the prospect of capturing the opportunity driven by the waning of the BPO captive trend in India and being a star BPO player who can expand its pure play status. EXL has gone through acquisitions, buy backs and recently gone public. The founders Vikram Talwar and Rohit Kapoor have withstood the test of fire and emerged successful.
Kishore Mirchandani has demonstrated what it takes to be focused. His company Outsource Partners International (OPI) has seen a phenomenal growth in the finance and accounting segment of BPO. OPI’s ability to handle finance and accounting pro-grams of varying complexities up to end-to-end engagements makes it a new frontier in global outsourcing.
Do send us your thoughts on what could be the next wave of BPO in India.