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BPO Service In India

Business Process Outsourcing (BPO) is one of the rapidly growing segments of the ITES (Information Technology Enabled Services) industry in India. The growth of the Indian BPO industry was lead by factors such as economy of scale, business risk mitigation, cost advantage, utilization improvement and superior competency. Business process outsourcing has now grown by leaps and bounds in India after the mid-90s. India is now one of the world's favoured market for BPO companies, among other competitors, such as Australia, China, Philippines, and Ireland.

The BPO boom in India is credited to cheap labour costs and India's huge talent pool of skilled, English-speaking professionals. Research by the National Association of Software Services and Companies (NASSCOM) has revealed that quality orientation among leading BPO companies, 24/7 services, India's unique geographic location and the investor-friendly tax structure in India have all made the BPO industry in India very popular.




What is Business Process Outsourcing?
The term BPO stands for Business Process Outsourcing as it is popularly known and refers to outsourcing in all fields. A BPO service provider usually administers and manages a particular business process for another company. For improving a particular business process, BPOs either use new technology or apply an existing technology in a new way. Currently, India is the most preferred destination for business process outsourcing, as most companies in the US and UK outsource IT-related business processes to Indian service providers.




What’s new about BPO?
BPO is as old as commercial enterprise itself. Businesses have outsourced their distribution or promoting to 3rd parties for hundreds of years. It's the gap of the world economy that has catalyzed the expansion of BPO to its gift stature as a key driver of business aggressiveness.

The roadmap for outsourcing fulfillment has been laid with:

• Quality processes

• Scalability

• Integration of worldwide markets

• Seamless world delivery of labor across borders through the web


BPO by the other name
Today Business method Outsourcing is understood by several different names, among the popular promoting terms being: sourcing, world outsourcing, right sourcing, rightshoring, nearshoring, bestshoring, offshoring. Whatever the business world chooses to call it, business process outsourcing is a proven management strategy helping businesses survive and thrive in the boundary-less global economy.


India - The world's most popular BPO destination
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.

Services outsourced to India include the functions within administrative support, inbound call center services, technical support, document processing, financial and accounting Services, intellectual property research and documentation, supply chain management, legal process outsourcing, regulatory compliance documentation, medical transcription, payroll processing services, sales and marketing, publishing, research and analysis, infrastructure and facilities management, human resource management and training, the list goes on.


Evolution of the BPO trade in India
India's BPO enterprise has evolved and matured to offer higher-stop offerings that require judgment-based analysis and domain experience, instead of function-specific, rules-based performance parameters alone. As service suppliers try to supply end-to-end services, we tend to see BPO falling into completely 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 capabilities in all the segments. Some BPO service suppliers have developed vendor-centric business models wherever they provide specialized services beneath one roof by way of representing the services of multiple that specialize in extraordinary verticals. Others are the area of interest players which have adopted vertical-specific fashions to cope with the needs of a selected enterprise.


BPO horizontals and verticals
BPO horizontals are function-unique and could unfold across unique enterprise domains. Payroll processing services, records processing services, and tax solutions are examples of horizontal BPO.

Vertical BPO concentrates on functional offerings in precise industry domain names such as manufacturing, retail, finance, and accounting services and healthcare.


Captive and third-party players
Captive Offshore delivery facilities or CODCs in India were pioneered by way of large multinational agencies (MNCs) like GE Capital and British Airways, Dell and American specific among others to preserve control and possession over core or project-critical outsourced commercial enterprise technique in addition to over proprietary or aggressive understanding.

Third-party outsourcing service suppliers offer captives a endure their cash as they provide the benefits of lower prices, flexibility, and competitive valuation whereas maintaining quality standards.


BPO business models
The BPO business options 5 business models:

1. The Global shipping models
also called combined outsourcing, it combines onsite, offsite, onshore, and offshore assets. Huge multinational outsourcing provider vendors provide this version wherein paintings may be "bestshored" or "multishored" to the vicinity in which top of the line value and exertions efficiencies are met to predetermine overall performance standards. In case of a disaster in a specific location, work can be immediately transferred to every other area to make certain on-going, interruption-unfastened business strategies.


2. The Hybrid version or Dual-shore model
Leverages onsite-offshore efficiencies to promises consequences to customers at decreased expenses. customers are worried in the procedure as the worldwide group of the offshore dealer works onsite along the consumer's team to carry out around 20% of the work while the neighborhood group executes 80% of the work offshore to leverage the value, labor and time-area blessings of outsourcing.


3. The Offshore Multi-sourcing model or Hub-and-spoke version
Uses multiple offshore providers to offset the danger of one monopoly supplier. Users of this model generally have their own offshore operations, plus 3 or additional partner outsourcing vendors with whom they collaborate. The partners get first-hand coaching on however the outsourcing company operates its hub center, then apply their learning at the spoke centers.


4. The Build-operate-transfer or BOT Model
The customer companions with an offshore company to set up and operate an overseas outsourcing subsidiary with the option to transfer possession returned to the patron employer after a precise term. The dangers of setting up an outsourcing subsidiary out of the country are completely borne by means of the associated organization which takes care of the fees and ownership of the new task until such time as the consumer chooses to take it over.


5. The Global Shared Services Model
Worldwide shared offerings facilities, also referred to as offshore insourcing or captive centers create large service enters from the company's inner provider operations sources. They even have assured markets for his or her services. These centers are run as freelance businesses and have the benefits of the same company culture, with less of the management problems that third-party BPOs face.


Strategic BPO
Forward-looking global companies are using BPO in India as a business strategy to effectively meet critical business challenges. Moving beyond commodity BPO services and support functions such as voice-based services and F&A support, BPO providers in India are offering a slew of high-end business services to accelerate innovation and provide sustained value. These include complex functions such as engineering design, equity research support, and pharma research.

Indian BPOs now assume full process management responsibility in processes like revenue cycle management, to provide greater value in business verticals like healthcare and BFSI (banking, finance & accounting services and insurance). This results in Business Transformation Outsourcing or BTO - a strategic partnership between the customer and the outsourcing service provider with sophisticated financing methods in place. The customer's firm acquires strategic stakes in the outsourced operations, thus sharing risks and gains with the outsourcing service provider and creating an increased business worth for both partners.

Read more about strategic outsourcing that enables companies to achieve their enterprise-wide strategic goals and focus on core competencies.

BPO vendors are using Business Intelligence (BI) to add value and achieve sustainable business process improvement - to track and analyze trends and changes, to trigger appropriate management action through alerts, to deliver targeted, on-time information, to increase revenues, to retain customers, to reduce risks, to improve employee efficiency and productivity, to exceed SLAs, to optimize processes, uncover new opportunities and help the business grow.


Goals of Business Process Outsourcing
Organizations that offshore their enterprise procedures to India are no longer looking at fee reduction alone. They usually want to attain:

1. Process development and efficiency - faster turnaround and greater productiveness

2. Value financial savings

3. Decreased headcount number

4. progressed first-rate - less mistakes/rework

5. Constructing/strengthening presence in a new market/foreign united states

6. Extended focus on middle abilities - e.g. developing new services or products

7. Building business price and strategic differentiation

All the above add as much as help these groups achieve elevated competitiveness via BPO.


Services offered by Indian BPO companies

Indian BPO companies offer varied services, such as customer support, technical support, telemarketing, insurance processing, data processing, forms processing, and internet / online / web research.

Customer support services:
24/7 inbound/outbound call center services that address customer queries and concerns through phone, email and live chat.

Technical support services:
Installation, product support, running support, troubleshooting, usage support and problem resolution for computer software, hardware, peripherals and internet infrastructure.

Telemarketing services:
Interacting with potential customers and creating interest in the customer's services/ products. Up-selling, promoting and cross-selling to existing customers and completing online sales processes.

IT help desk services:
Level 1 and 2 multi-channel support, system problem resolutions, technical problem resolution, office productivity tools support, answering product usage queries and performing remote diagnostics.

Insurance processing:
New business acquisition and promotion, claims processing, policy maintenance, and policy management.

Data entry and data processing:
Data entry from paper, books, images, e-books, yellow pages, websites, business cards, printed documents, software applications, receipts, bills, catalogs and mailing lists.

Data conversion services:
Data conversion for databases, word processors, spreadsheets and software applications. Data conversion of raw data into PDF, HTML, Word or Acrobat formats.

Form processing services:
Online form processing, payroll processing, medical billing, insurance claim forms processing and medical forms processing.

Online research:
Internet search, product research, market research, surveys, analysis, web research and mailing list research.




Interesting facts about the Indian BPO industry

• The BPO sector in India is estimated to have reached a 54 percent growth in revenue.

• The demand for Indian BPO services has been growing at an annual growth rate of 50%.

• Over 74,400 Indians received the jobs through BPO industry in India and this figure is continuously growing on a yearly basis. The Indian BPO sector is soon to employ over 1.1 million Indians.

• This number is continuing to grow on a yearly basis70% of India's BPO industry's revenue is from contact centers, 20% from data entry work and the remaining 10% from information technology related work.

• About 56% of the world's business process outsourcing was handling by Indian BPOs.




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