Indian Cos need to hone delivery skills in specific BPO verticals
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Indian Cos need to hone delivery skills in specific BPO verticals

By agencies   |   Wednesday, 31 August 2005, 07:00 Hrs
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MUMBAI: Leading research and analysis firm Gartner today emphasized that the Indian IT companies should increase their delivery skills in industry specific Business Process Outsourcing (BPO).

''Indian companies have proven themselves to be world leaders in generic BPO based around customer retention and support via call centers. Now they need to seriously increase their delivery skills in the areas of industry specific BPO skills and processes'', Gartner Group Vice President and Chief of Research Craig Baty said while speaking at the Gartner Summit India 2005.

Baty said Indian companies should build competencies for emerging verticals including retail, transportation and healthcare.

Emerging vertical industries such as government, retail and utilities may in fact prefer to outsource locally. Indian companies wishing to keep on the growth curve via penetration of these markets need to establish local delivery capabilities in each market, especially when targeting governments, he said.

Though there would still be robust growth in the traditional areas of manufacturing and financial services industries, this would slow down as it nears saturation towards 2008, Baty observed.

Organizations that are currently considering BPOs are looking for more than just initial cost cutting. ''They are looking to outsource in areas where improved processes and skills can assist in the creation of a competitive advantage, and realize rapid business results'', he said.

''Although many other verticals remain relatively untapped in terms of outsourcing, this does not necessarily mean that the offshore model for outsourcing delivery will be the preferred means'', he said.

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