Feb 222013
 

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Spanco BpO Misses Paying Salaries to Employees

Some time back we have posted about PC Care 247 in Gurgaon not paying salary of employees. Now if newspaper reports are to be believed another BpO company has not paid the salaries for its employees and this is for last 4 month. Unlike the one we talked about last time which was a rather unknown name like PC Care 247 this time it is a well known BpO company Spanco with thousands of employees in more than one city.

—As per the management of the company they are facing working capital issues due to which salaries are on hold. If the news reports are to be believed the company says they are facing payment issues from the government projects they are working on especially in the power sector.  So it appears that the rot in power sector is slowly spreading to other industries also including the vendors that Power companies owned by government have hired. This kind of reminds me what Warren Buffet the legendary investor once said ” There is never only one cockroach in the kitchen”. If the power sector is in trouble it is spreading its problems to other sectors including BpO

The troubling part in this case is that Spanco is not a small company it employs thousands of people in many cities. Spanco is also listed on Mumbai and National Stock Exchange.  Now if these thousands of people are not being paid salaries it will not be very long when a lot of them will be in job market to look for jobs. That will put a lot of pressure on the job market and may depress the wages in the short term. We all know similar thing happened when Satyam employees were leaving in hordes during time of the Satyam financial scam. It is in everybody’s interest that the issue is resolved and employees are paid ASAP.

The other big problem with a large company like Spanco not paying salaries of employees creates bad reputation for the whole BpO sector both for potential clients outside of India and potential bright employees in India. If more companies start missing salaries of employees one wonders how BpO will fare as career choice for future employees.

Learn more about Spanco power here and Spanco  here.

Please check the link here to read more about the issue in Times of India online by clicking here

We are planning to do a series on some of these things and would love to hear from you. Please use Contact CafeBpoform to get in touch with us if you would like to contribute content for CafeBpO do check our guest post guidelines before sending your post.

If you have liked this article feel free to share with your friends, and colleagues on your social networks like Facebook LinkedIn , Twitter etc. If you would like to receive regular updates from CafeBpO please use the subscribe by email option on this page (We do not sell, rent or donate your email address to anybody)

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 February 22, 2013  Posted by at 10:21 PM Business of BpO, Career In a BPO, Money Matters Tagged with: , ,  Comments Off on Another BpO Misses Paying Salaries To Employees
Feb 042013
 

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Human Aspect of Information Security Policy in Service Industry

In my 14 years of experience in the service sector industry where we have served almost all the markets globally as a country, I have observed that there has been tremendous focus on tools and technologies in which we try to fix the security loopholes by implementing various detective/ corrective/ preventive tools. But organizations usually miss that these tools don’t have any artificial intelligence to take subjective decisions as to who is right and who is wrong.

If any employee has  intention to do some malicious activity then one usually finds a way to do so by bypassing various automated controls by means of social engineering. Wikipedia defines Social Engineering as: “the act of manipulating people into performing actions or divulging confidential information. While similar to a confidence trick or simple fraud, the term typically applies to trickery or deception for the purpose of information gathering, fraud, or computer system access; in most cases the attacker never comes face-to-face with the victim.”

Hence it doesn’t mean that tools are useless, but the only thing which we miss is that these tools are operated by humans. It is very important for an organization/ senior management to strategize and keep into consideration that how to motivate their employees to avoid having any disgruntled employees within the organization.

Losses occurred by insiders is more as compared to outsiders. We have to make appropriate plans to educate the employees on an ongoing basis to tell them as to what is right v/s what is wrong. The consequences of getting into the wrong behavior has to be properly communicated with examples.

Following 5 steps can be taken to ensure coverage of human aspect:

1.Proper awareness plan
There has to be proper plan in place as to what to do prior to employment, during employment and post employment. Employees must know their rights as to what are they supposed to do and what their boundaries.

2.Drafting appropriate disciplinary policy and educating employees on that
Disciplinary action is very good example of perfect governance within an organization. It should be drafted in such a manner that without any bias any employee gets a clear message that by indulging into following activities these are the consequences that one may have to face.

3.Appropriate detective controls in place to send a clear message to employees that each and every act of there is under surveillance
Here organizations should have appropriate detective controls in place to make sure that the management is aware of what is happening where or in other word we can say that we should know who is doing what and where. This should be communicated to all employees as part of our awareness plan so that they know that every act of theirs is being monitored. Tools like SIEM, log management tools and now a day’s NAC and DLP tools are few examples which security teams within the organization would like to strategize in their annual budget if they do not have one.

4.Setting up the right tone by taking appropriate action if any non compliance is found
While monitoring, if any employee is found in any malicious activity then appropriate action need to be initiated without looking into the respective employees band or position within the organization. This has been mostly seen that mostly organization have wonderful drafted policies and procedures but the differentiator is how it has been implemented at the ground level. This gives a straight message within the organization from bottom to top that no one will be spared irrespective of any position they hold and in the interest of the organization’s reputation any non compliance will be dealt with seriously.

5.Rewarding employees found adhering to such policies to motivate others following these steps
This is one of the key aspects of human nature. Employees must be motivated/ rewarded based on their act or adherence to organization’s policy which should be measurable in a SMART way. Ideally within the KRA there must be one area which should be linked to adherence to organization’s information security policy and efforts to improve the overall Info Sec culture. With this we can straight away differentiate employees who are keen on improving the culture within the organization whom we can reward appropriately.

Views mentioned here are solely author’s independent and are not related or linked to any organizations or to CafeBpO

Brief Author Profile: 

cafebpo expert authorSurinder Singh Rait a seasoned information security professional currently is working with Birlasoft India Limited as Information Security and Data Privacy Leader. With about 14 years of experience in various roles where he has implemented Enterprise Information Security Framework and did consulting for many fortune customers in implementing ISMS, Enterprise Risk Services and various IS related technologies and solutions. As part of his past experience, he have worked very closely with senior management and CXO teams to ensure clean implementation of IT Governance framework meeting client and various global regulations and framework in a very cost-effective manner.

 

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We would like to thank Surinder Singh Rait to contribute to CafeBpO, he is the first independent expert author to contribute to CafeBpO, if you would also like to contribute as an expert author then please Contact CafeBpO  form to get in touch with us if you would like to contribute content for CafeBpO

If you have liked this article feel free to share with your friends, and colleagues on your social networks like Facebook LinkedIn , Twitter etc. If you would like to receive regular updates from CafeBpO please use the subscribe by email option on this page (We do not sell, rent or donate your email address to spammers)

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 February 4, 2013  Posted by at 10:08 AM Business of BpO Tagged with:  Comments Off on Human Aspect of Information Security Policy in Service Industry
Jan 142013
 
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Get News About BpO From CafeBpO Online Paper

Dear Readers now getting news about BpO is very easy. As part of continuing improvement and enhanced reader experience we are happy to announce that we will be circulating a weekly online 100% FREE paper from CafeBpO. This paper will not only be from authors of CafeBpO but also from other sources from the internet like

  • New York Times
  • Economic Times
  • CNN
  • Newsweek
  • Reuters

and many other online resources.

There are many benefits for our readers of the same e.g.

  • You get a single source to gather all the news  happening in the world of BpO at a single place
  • All latest trends, news, deals would be available to you at a click of mouse
  • As this is a weekly paper even if  you have missed something you know where to go to get all the information you are looking for
  • We will be collecting  news from sources across the globe you can be assured to get diverse point of views about the business of BpO
  • It is 100%  free with no obligation to purchase anything.

The paper will be available online every week on Tuesday around 4 pm India time (+5:30 GMT). In order to not miss it you can subscribe to the same by clicking the subscribe button on the paper or you can also subscribe to CafeBpo blog to receive it as we will be inserting it in posts on regular basis.  Here is the link to the Online Paper of CafeBpO.  Below is the screen shot of the first edition of the Free Online Paper giving you news about BpO.

CafeBpo Life career and business of Bpo

Subscribe to CafeBpO Online Paper

If you have liked this article feel free to share with your friends, and colleagues on your social networks like Facebook LinkedIn , Twitter etc. If you would like to receive regular updates from CafeBpO please use the subscribe by email option on this page (We do not sell, rent or donate your email address to spammers). You can also get in touch with us using the Contact CafeBpO form in case you have any suggestions or would like to contribute to the CafeBpO blog.

 January 14, 2013  Posted by at 11:26 AM Business of BpO Tagged with: , ,  Comments Off on News about BpO-Free Online Paper from CafeBpO
Dec 112012
 

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The Next Wave of Consolidation in BpO Business

—A few weeks ago we have talked about the sale of Firstsource to RPG group and tried to understand what may work in the favor of the deal. The next  wave of consolidation in the BpO business continues with the acquisition of Apollo Healthstreet by Sutherland Global. If we look at the history of consolidation in the BpO business this is the third wave. Let us look at some of the earlier wave in the consolidation in the BpO business. It all started when the early start-ups were struggling to grow and needed financial muscle to scale up. They prooved that the third-party model works and the big boys of business were willing to put money behind the concept now.
  1. The First wave  of consolidation in BpO was when the early entrepreneurs started selling their companies to big business this included sales of Spectramind to Wipro, Daksh to IBM, Transworks to Aditya Birla group and so on. The sellers were first generation Indian entrepreneurs who were cashing out by selling to both MNCs as well as Indian companies.
  2. The second wave of consolidation in BpO  can be considered when the MNC  companies started selling their captive centers in India to pure play third-party BpO companies, this would be deals like TCS buying eServe  from Citi, Cognizant buying the captive of UBS, HCL buying the captive of Deutsche bank etc. There were two reasons for these sales a) the MNC parents were in bad shape financially ( citi, UBS) and wanted to cash out as many assets as possible to invest in core business. The other reason with more long-term strategic impact is the realization that the cost advantage you get by outsourcing gets blunt due to higher cost of operating the captive center. In this phase the buyers were both Indian and US companies but seller was in almost all cases a large captive of a MNC.
  3. What we are seeing now is the third major phase of consolidation. In this case the large diversified Indian companies are getting out of non core business. The sale of Firstsource by ICICI and Apollo Healthstreet by Apollo Hospitals group is in our opinion first of such deals and we expect many more are in the pipeline. What appears is that either due to regulatory reasons like in case of ICICI or due to financial and strategic reasons like in case of Apollo, a lot of deals are being negotiated behind the curtains and we will keep on hearing about them in the media as and when some thing closes.

Coming back to the Apollo and Sutherland deal given below are the details taken from media reports

 

The enterprise value of the deal is around Rs 1,000 crore, of which around Rs 210-220 crore will come to Apollo Hospitals Enterprises Ltd (AHEL), which is holding around 39.4%, while Promoters and promoters family are holding around 35-40%and One Equity Partners holding around 10-15%, said Apollo Hospitals sources.

The other major investors are PE funds including Temasek Holdings, One Equity Partners and Schroder Cap, which are holding the rest of the shareholding

The AHEL official said that the proceedings will be used for company’s Rs 2,000-crore expansion plan. At present the company has a cash balance of around Rs 300 crore.
“This acquisition will position the combined organisation as a leading Healthcare service provider with comprehensive information technology and business process integrated solutions and consolidate its presence as a dominant player in the $38 billion US Healthcare BPO market,” according to Sutherland’s statement.

Apollo Health Street provides customized strategic support services to more than 150 healthcare partners throughout the US from 10 global operational centers of excellence.

Prathap C Reddy, Founder Chairman of Apollo Hospitals, one of Asia’s Premier Healthcare Groups said, “In order to drive Apollo Health Street’s growth to the next stage, it was essential to find the right Strategic partner.

“In Sutherland, we found the ideal partner with a proven track-record of excellence in services, technology, and leadership. The combined capabilities of both companies will create a compelling value proposition for our clients,” said the Hospital Chain’s founder.

It is clear that the Apollo group will be using some of this money to reinvest in the hospitals business while some members of the family and PE companies have multiplied their investment.

As always there will be some job loss in the acquired company in the coming months, though both the companies will deny that in the media. Expect more such deals in the coming  months.

 

 Please use Contact CafeBpo form to get in touch with us if you would like to contribute content for CafeBpO

If you have liked this article feel free to share with your friends, and colleagues on your social networks like Facebook LinkedIn , Twitter etc. If you would like to receive regular updates from CafeBpO please use the subscribe by email option on this page (We do not sell, rent or donate your email address to spammers)

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 December 11, 2012  Posted by at 11:39 AM Business of BpO Tagged with: , , ,  Comments Off on Consolidation in BpO- Sutherland Acquires Apollo Hospital’s BpO Business
Nov 212012
 
 

  What is Best time for Call Center Training?

—We received a good response on our post “A Perfect Candidate for Call Center”

We have mentioned that some of the freshers join a call center or BpO and leave the same after completion of training when the time to go to production comes.  This is a trend most of the companies have been observing and some of them have devised ways and means to overcome the same.

One of the suggestion that come from our reader Shoeb Ansari was why the companies are not conducting training in night shift?

He has a valid point and some companies have actually tried this with better result as the absconders vanish in week one rather than vanishing after completion of training.The point to note here is that people abscond early when you start the training in night shift. So it saves the salaries paid to them. It is still not overcoming the problem of trainees absconding. Which brings us to another problem is the filtration process for selection of candidates robust enough? It is obvious that short-term players are getting selected only to leave at some stage in next few months.

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We will talk about this issue in a later post; let us focus on the pros and cons of conducting training in night shift in this post

Pros

  1. One can filter the non serious players at early stage
  2. Better utilization of infrastructure 7*24
  3. Employees get acclimatized to the client timings early one
  4. Real practice calls with clients as well as side jacking to live calls early on

The above factors make sense to start the night shift as early on as possible for the employees who will work in the night shift eventually.

Let us look at the cons now the challenges of training in night shift. The biggest bottleneck is point number 2 in the pros.

The primary objective of any BPO center is to do live transactions and they are designed in a way that maximum space is used for live production work that brings in the revenue.  A typical center will not have more than 2-3 training rooms and they are booked well in advance.

So while one would like to conduct all trainings in night shift for any contact center of even 1000 employees with a low attrition rate of even 20% per annum at any given time you will have on a lower side 100 trainees at different stages of training varying from

  1. Voice and accent
  2. Process training
  3. QC
  4. Management development programs for supervisors
  5. Rooms occupied for client visits etc.

All this makes the training rooms a very scarce resource for any company. Not just training rooms the trainers also need to be available.  We need to remember that trainers are a cost to the company and while they add a lot of value by training the future revenue generators they themselves do not directly contribute to the revenue of the center. This creates a very peculiar situation and no cost center head wants to have trainers beyond a particular ratio.

This brings us back to the earlier input by Shoeb Ansari, while it will  help to  identify potential attrition cases much earlier it still does not solve the problem of hiring non serious players in the first place. This is where the HR team can play a critical role.

But still as they say something is better than nothing; it makes more sense to conduct training to the live process time an employee will work in.

We would love to hear your inputs about the same. If you have liked this article feel free to share with your friends, and colleagues on your social networks like Facebook LinkedIn etc. If you would like to receive regular updates from CafeBpO please use the subscribe by email option on this page ( We do not sell, rent or donate your email address to spammers)

If you would like to contribute  for CafeBpO please use the Contact CafeBpO form to get in touch with us.

 November 21, 2012  Posted by at 7:16 PM Business of BpO Tagged with: ,  Comments Off on Call Center Training in Night Shift-Two sides of the coin
Nov 162012
 

CESC Buys Firstsource-A Contrarian view

Those of you who have been following the stock market in general and BpO business in particular would have noticed the headlines that RPG group company CESC buys Firstsource (Controlled and managed by Sanjiv Goenka). As of now CESC  has agreed to buy 49% of Firstsource Limited and also make an open offer for another 25%. This will bring down stake of ICICI which has been trying to find a buyer for some time due to RBI guidelines.The stock markets have not looked at the deal in a benign way and CESC stock went down by 15% and Firstsource also not responding in a positive way. So most people think it is a lose- lose situation for both the companies.We would like to be contrarian here and actually think that this deal may work out in the next 2-3 years.

Disclaimer: We do not own stocks in any of the mentioned company as of today and this post is not a recommendation to buy or sell the stock.

In our post about the Winners and Laggards of the BPO business we mentioned that we will analyze Firstsource once the results are out and now is the right time to look at their numbers.

Headcount wise Firstsource has 32365 employees of which 10188 are outside of India, the data disclosed does not mentions the breakup of countries where these 10K employees are. These 32365 employees add an annual revenue of around 500 million USD, making it second largest BPO company out of India after Genpact, both employee strength wise and annual revenue wise.  The per employee revenue comes out to be USD 8.38, slightly better than WNS. But the difference is that Firstsource still has 10K employees outside of India and if it can change that mix even by 10% its profitability should change. Though it has an uphill task to increase the revenue per employee, but let us not forget it h as a lot of domestic business also where the realization is less but so are the salaries of employees.

The other difference will come in form of stable parent, it has been in news for 2 years now that ICICI is planning to sell its stake in Firstsource due to RBI guidelines and this has led to slow but steady ouster of top management in last few years, right from Ananda Mukerji, to other senior people.  Every time a senior person leaves it leads to continuity issues and loss of focus in the junior employees. Now with a stable parent in form of Sanjiv Goenka controlled CESC, the employees as well as customers should take a sigh of relief and get back to the business.

Impact on Employees: We agree there is no synergy between CESC and Firstsource but let us not forget CESC will not manage Firstsource but remain a holding company taking financial decisions while the day-to-day management will be with Firstsource management current or future that remains to be seen. The management  definitely will have to get used to work with an Indian business house and cost cutting will be in focus ( share holders should be happy about it and the employees respect the same if they want to prosper in long run).

Long term positives: So we will stick our neck out and say that in next 2-3 years this deal will work out well for both Firstsource and CESC till then it will be a lot of focus on cost and revenue and employee mix from different geographies and increasing the $ revenue realized per employee. The  bench mark set by Genpact is pretty high and all the other BPO companies have a tough climb ahead.

Note: We have not contacted any of the companies mentioned in the post and data is taken from Firstsource website.

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 November 16, 2012  Posted by at 11:25 AM Business of BpO, Case Study Tagged with:  Comments Off on CESC Buys Firstsource-Why the deal may work out
Nov 142012
 

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We started CafeBpO a month back and as the aim is to grow it into a community where all those associated with the business of  BpO can participate. We thought we will give some highlights of last one month over here so that our readers know which direction we are heading.

Below is some technical mumbo jumbo:

  • We are using WordPress platform with Suffusion theme developed by Sayontan Sinha . We would like to acknowledge and thank him for creating this wonderful theme which is free to use.
  • We are present on Facebook and at the CafeBpO page. If you want regular updates you will need to like the Facebook page of CafeBpO
  • A total of 26 posts not including this one  has been written.
  • 35 Facebook likes, presence on Twitter and Google + and Pinterest
  • More authors have agreed to contribute for articles and we are confident you will see there work in next one month.
  • We are working on new sections based on inputs received and would be looking forward to more ideas. Feel free to  use Contact CafeBpO form to get in touch with us.
  • We have achieved Alexa rank of  7,96,207 globally and 34,106 in India, thanks to all our readers.
  • A lot of our posts are being actively shared on internet on Facebook, twitter, LinkedIn and other social media platforms. We would encourage you to share posts on CafeBpO to spread the community far and wide.

We would request our readers to actively contribute

  • Content
  • Comment on the posts. You actually don’ t need your own website to comment, you can leave that blank, or you can also use your Facebook or Twitter account also to comment. Your comments will help us to make this community useful to more people.

So friend please go ahead and spread the message of CafeBpO and feel free to  Contact CafeBpO if you would like to contribute, stories, articles or just would like to get in touch with us.

 November 14, 2012  Posted by at 7:19 PM Business of BpO, Trivia Tagged with: ,  2 Responses »
Nov 082012
 

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What Obama Victory means for business of BPO

The results of the one of the greatest shows on earth the US presidential elections are out and the US and the rest of the world is celebrating the return of President Obama for next 4 years. We are also happy about the same and hope that in this term he will bring the change that he promised in his first term.

Why do we say that let us read on.

When President Obama was elected the first time he was looked as the breath of fresh air some body with great ideas and potential who will not only revive the US economy but also work towards world peace. The highly respected Nobel prize was awarded to him before even completing one year in office. Most of the people were surprised about the same including President Obama himself. But soon the pressure of day-to-day politics and the need to keep the average Joe engaged took over and on more than one occasion President Obama acted as a politician rather than a statesman he truly is.
As this is not a political blog but one that restricts its scope to the business of BPO we will talk about the impact of this victory on the business of BPO.

Now this is no secret that many a times President Obama has openly talked about his dislike for outsourcing jobs to countries like India. While the people in outsourcing may not like it, this is the most natural thing he was supposed to say, after all no matter what he is elected by people of
USA and not of India. He may have more fans in India by sheer numbers than in any other country in the world but the fact is we do not have a vote for his election the US citizens have this right and they have shown the second time that they believe his is the man they believe who will give them a better life.

Ok I digress again. Coming back.

We sincerely believe that a lot of rhetoric against outsourcing could be an outcome of political compulsions to counter the challenger Romney and the very fact that he had to face the electoral again for his second term. Now with no third term in place there is a high chance that President Obama will focus on some of the more important issues that he may want tackle than to worry about the business of BPO. Let us not forget while it remains a sensitive issue it may not be on a very high priority list of President Obama as he worries about more pressing issues like healthcare reforms, the war on terror, a widening fiscal deficit and now with no reason to go back to public for a third term he no longer have to give populist slogans and can focus on actions where he can deliver.

Does this mean he will forget outsourcing… well we don’t think so, but we do feel it may not be on a very high priority must do today kind of list. But what he really wants to do will emerge in next few weeks when he announces his real action items. He will definitely create more jobs for US citizens in the US government but that should not impact the business of BPO. One thing we should keep in mind is that big business in US is not a fan of President Obama and a 250 point fall in the NYSE on announcement of his getting a second term is a clear indication that big business does not considers him to be an ally.

Let us keep our fingers crossed and celebrate at this time return of a truly Charismatic leader whom not just America but the rest of the world also looks up to.

 November 8, 2012  Posted by at 1:15 AM Business of BpO Tagged with: ,  Comments Off on Obama victory the road ahead for business of BPO
Nov 072012
 

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Let us continue discussing which Outsourcing company in India has most valuable employees.

In last post we identified 3 companies

  • EXL
  • Genpact
  • WNS
as they are 3 biggest players in BPO space from India, majority of headcount is in India but all of them are listed in US, so their numbers are avaialble to anybody on their website and on the respective stock exchange.

One very interesting fact that emerges after comparing the revenue of the top 3 players is that the average revenue per employee for Genpact is around 35K US per annum that is far ahead of EXL and WNS. Om quick reverse calculation the average revenue per employee per hour for Genpact is $16.75 taking in consideration 22 working days and 8 hours a day month. The revenue per employee of WNS and EXL pales at 8.33 and 10.62 respectively.

Also point to note is that WNS is the only company in last quarter where income growth is slipping. While EXL and Genpact are growing at appx 30% per annum WNS had shown an income growth of negative 30%!

Maximum revenue per employee for BPO companies

Highest Dollars per employee for Top BPO companies

No wonder the investors in WNS are looking to sell heir stake. The other challenge that WNS is facing is that it has highest attrition rate of 33% as per their financial disclosures. Which basically means every third person in the company will probably leave within a year. That is finding a replacement for almost 8000 employees, that itself is a big drain on the resources. No wonder there margin is the lowest in the group at 3.46%. ( The FD rates now days are close to 7% depending on tenure).  The challenge with such thin margins is that with even a minor exchange rate fluctuation the company can go into losses.

What also appears from the  highest revenue per employee from Genpact is that the company has added more complex processes and is moving in a direction where it is able to charge a premium for its services compared to a few years ago. We think all the investment that Genpact is known for in making its employees in form of training seems to be paying well now.

The only saving grace here is that Convergys one of the largest US listed outsourcing company has margins of 2.21%, but please remember Convergys still does not have 75% of its workforce in India  compared to the Indian players.

Well we  hope this post has been able to help you understand how employees add value to the company and how companies can add long-term value to their top line by investing in their employees, and attrition remains the joker in the pack that can tilt the scale from profits to losses.

Feel free to share this post with your friends and leave some comments. If  you would like to contribute to CafeBpO please use the contact CafeBpO form to get in touch with us.

Coming soon: A post on Captives or GICs as NASSCOM calls them.

 November 7, 2012  Posted by at 3:21 PM Business of BpO, Case Study Tagged with: , , ,  5 Responses »
Nov 062012
 

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Q: Which outsourcing company in India has most Valuable employees?

Mr. Narayanmurthy the legendary founder of Infosys once mentioned that his employees are his biggest asset. This is very true in the IT and BPO business as the maximum investment and the only revenue source an IT or a BPO company has it are its employees. Even product companies need employees to develop and market products. For any outsourcing company in India or anywhere the success depends on how much revenue each employee is generating and  how many of them are revenue generating as a ratio of total employees.

In this post we will examine which BPO companies have the best assets i.e. employees by virtue of producing highest income for their company. The three companies that we will compare in alphabetical order are

  • EXL
  • Genpact
  • WNS

Genpact, WNS and EXL are 3 of the top 3rd party BPO companies that are based out of India but listed in US. While Genpact and WNS are listed on NYSE, EXL is listed on NASDAQ. The three companies are bell weather of outsourcing business and pioneers in the outsourcing business. We are not including Convergys in the same as though listed; India is still not its largest location headcount wise. While the other three have more than 75% of their workforce out of India and are led by people of Indian origin.

We compared the financial result of the top 3 listed BPO companies from India. Please note we are saying from India and not in India, due to which we have excluded Firstsource. Also the results of Firstsource for the last quarter are yet to be declared so we are excluding it, but may update this article at a future date.

We working on the data of these three companies and will present the same to you tomorrow. In the mean time would you like to guess which companies employees have highest revenue per annum? Per hour? Let me give some revenue numbers to you to start the comparisons

Annual revenue of Genpact is 1.8 billion dollars and both EXL and WNS are in the range of 420 million dollars. But revenue is only the begining point we will go a little deep and analyse the numbers with respect to employee contribution. This will be our starting point and in the next post we will examine following

  • No of employees
  • $/hr achieved by doing some reverse calculations
  • Attrition and its impact

Find out which companies employees have maximum revenue on an annual as well as per hour basis and what it means for others. In the mean time how about doing some research on your own. All data that we are  using has been taken from publicly available information from the respective website or press release of the three companies.

 November 6, 2012  Posted by at 11:04 AM Business of BpO, Case Study Tagged with: , , , ,  Comments Off on Which Outsourcing company in India has most Valuable Employees?