The concept of outsourcing has provided the best opportunity for the Asian countries to establish themselves on the world map as economic giants. The question is interesting and intriguing: the century of Asian giants is coming? Yes, we are talking about China and India. What you think made them become one of the strongest economies of the world? It was the strength of their workforce that could withstand the demands of almost the whole world.
From the beginning of summer 2008 there has been a slew of bad news in US that caused ripple effects across the globe. It all started with the housing subprime mortgage and now it trickled into the entire financial market. The US unemployment rate hits 6.1% and the industrial production fell to 1.1%, its largest decline in the past three years. The Indian IT and BPO companies get more than 60% business from US and 20% from UK, the rest comes from other European countries, Australia etc. With US already in recession and European economy edging towards recession, all these will affect the global economy.
After the success of Business Process Outsourcing (BPO) in big corporations, BPO trend is slowly picking up in mid-sized and small businesses. Nelson Hall, BPO research firm predicts the global BPO market will reach by $450 Billion over the next four years. However, the BPO adoption in mid-sized and small businesses is very low compared to big corporations due to following reasons: Read more
BPO industry all over the world is struggling to sustain the demand of quality workforce both in executive and managerial sector. BPO giants like India and Philippines are struggling to produce the managers that can give a sustainable lead to this industry and can also withstand the demands of the growth. In this issue, a report published by a firm, Development Dimensions International (DDI), gives an insight as to what Philippines is feeling: the report states that local BPO industry in Philippines has leadership issues.
Have you ever imagined that salary could be the most important reason for such a high attrition rate in Indian BPO sector? Yes, it is—as per the report published by BPO Special Survey, 2008 (more details), the attrition rate of business process outsourcing in India stands 7.8% higher than other industries. What is the reason behind this?
In what could turn out to be a real blessing for the state of Rajasthan, Infosys has opened its second BPO campus in the special Economic Zone (SEZ) in Jaipur, Rajasthan. This would help Rajasthan a long way in providing opportunities to young people in outsourcing industry.
BPO Research firm NelsonHall predicts Business Process Outsourcing market will grow to $450 Billion by the year 2012. Current economic conditions, organization’s focus in emerging markets like China and India are quoted as the main reasons for the growth of global BPO market.
For more details on the research report visit