BPO hubs: Delhi, Mumbai better than Manila, Moscow

[leifbooger]

India continues to rein as the favourite off-shoring destination of the world and is most likely to keep the companies interested with its large talent pool for the next decade, according to a report.

Cities like Delhi, Hyderabad and Mumbai topped the list of favoured outsourcing destinations and did much better than their global counterparts Manila, Shanghai and Moscow, the report by management consulting firm, neoIT said.

The company analyzed 24 cities across the world in terms of their current and future attractiveness for service globalisation and ranked the cities according to generic factors such as human capital, costs, infrastructure, environment and risks involved.

"The global offshoring business is over 250 billion dollars and a chunk of it can be earned by India, if the country improves its infrastructure and business environment, besides setting up a single window clearance for all the sector," neoIT Senior Director S Sabyasachi said.

Though, Delhi scored lower than Mumbai, Bangalore and Pune, because of its perceived lack of infrastructure, geo-political risk and expectation of it becoming expensive, there is a likelihood of it catching up and surpassing these destinations in the next five years, Sabyasachi said.

India is expected to out shine other offshoring destinations in areas of application development management, lifesciences, knowledge-based outsourcing, provided it maintains its low costs, labour pool and service maturity, he said.

[leifbooger]

India now exporting jobs to US

IT professionals in the US may soon stop complaining about their jobs being 'Bangalored' as the latest trend shows that India has also started exporting jobs to the US to meet the demand generated by widespread growth in the technology space.

With the global technology trade expanding further, countries like India and China are no longer just the recipients of foreign investments and outsourced jobs, they are now exporting jobs to the US as well by opening R&D and manufacturing facilities there, a new study shows.

In a reversal of trends, Indian and Chinese companies are now exporting jobs to America by expanding their presence on the US soil -- hence proving that the global tech trade can create win-win opportunities for all nations involved, global IT research major Forrester said in a report.

As the domestic firms from two Asian countries - such as India's Tata Group and Infosys and China's Lenovo and Haier - started expanding abroad, they were creating new investment projects and were hiring sales and service staff worldwide including the US, Forrester Research's Navi Radjou said.

According to the data compiled by IBM-Plant Location International, India moved up to the seventh position in the league of FDI origin countries in terms of the number of projects in 2005, from its 10th position in the previous year with as many as 218 projects.

While the US was the biggest recipient of Chinese FDI in 2005, the United Kingdom received the highest number of FDI projects from India. The US was the fourth biggest FDI recipient from India in 2005 with a total of 17 projects, as against 45 received by the UK.

[bradwilliam]

India - BPO

India’s BPO industry has evolved and matured to present higher-end services that require judgment-based analysis and domain expertise, rather than function-specific, rules-based performance parameters alone. As service providers strive to offer end-to-end services, we see BPO falling into different segments. At one end of the spectrum is the traditional rules-based transactional outsourcing; while at the other end is judgment-based transaction processing and full-service business process outsourcing.
India has won its spurs as the world’s outsourcing destination of choice. Currently the country has a commanding share of the global outsourcing market.

India is undoubtedly the most favored IT/BPO destination of the world. This raises the question why most of the big MNCs are interested in outsourcing their operations to BPOs in India. The answer is very simple- India is home to large and skilled human resources. India has inherent strengths, which have made it a major success as an outsourcing destination. India produces the largest number of graduates in the world. The name of India has become synonymous with that of BPOs and IT industry hence the name BPO India.
Besides being technically sound, the work force is proficient in English and work at lower wages in comparison to other developed countries of the world. India also has a distinct advantage of being in a different time zone that gives it flexibility in working hours. All these factors make the Indian BPOs more efficient and cost effective. In order to meet the growing international demand for lucrative, customer-interaction centers, many organizations worldwide are looking to BPO India.

A subset of outsourcing, Business Process Outsourcing (BPO) involves contracting the operations and responsibilities through a third party service provider. From the last couple of years, the BPO industry has evolved as the most substantial sector in the Indian market. India has emerged as the most favored location for all Bpo services across the globe. This has accelerated the Indian economy to the heights, progressively boosting the statistics depicting the growth in the years to come and it has been however forecasted that by 2020, more than 80% of the world of business process outsourcing services will be served by the Indian companies. Marked as the best place to attain superior quality services globally, the BPO industry is strengthening its foundation in India.