Genpact Inc. Case Solution And Analysis, HBR Case Study Solution & Analysis of Harvard Case Studies

Rapid Rise of BPO Business:

BPO (Business Process Outsourcing), certainly, is an operational form that is attracting so many businesses as a means of efficient international business. The increasing interest in BPO services are because of the technological advancements in various fields of business, which includes communication, technology and invention of the internet.

The Internet has contracted the world and gave it primed access to data. Telecom innovations have changed the way information is exchanged. Likewise, fiber optic lines that are more slender than customary copper wires involve less space and convey higher telecom capacity limit, which have been driving down expenses of information exchange. Moreover, satellites have circumvented traditional phone landlines and improved communication transmission capacity. In addition to that, digitization has been a significant improvement in ICT. Digitization is a procedure by which any medium such as pictures, words, movies, records, music and information might be transformed into bits and bytes for capacity in microchips, transmission crosswise and show on workstation screens. Anything that might be digitized could be outsourced to either the most astute or the least expensive merchant, which are similar. In addition to that, other reasons for the increasing popularity of BPO services are the inclining interest of companies towards consistency in terms of standardization in the production of a product. Now, each process involves the value chain process that has consistent steps and thus gets divided into modules that are aligned in sequence. Outsourcing such activities is getting much easier because of the standardization of the procedure.

In addition to that, another major reason of the increasing popularity of BPO is the support from the government of the country as they have been so much supportive in the BPO related activities. BPO services are in the favor of the government because it increases imports and exports of a country that is why today's government in many countries are looking forward to promoting BPO related services in their respective countries. Governments have become very upbeat in providing necessities to initiate BPO services that lead towards the economic growth.

Competitive Advantage of India as Off-shoring destination:

India is known to be a country with strong legal system as perceived by foreign investors. Moreover, the country is also famous for its potential market and an enormous number of people with great technical skills. India is attracting so many international investors for providing BPO services for several reasons. The BPO services were initially started by GE, who made a huge amount of investments in India in July 1991. In addition to that, India has got an enormous amount of talent in terms of its educational sector. The country has the expertise in IT sector along with engineering and medical disciplines, as well. The country is producing three million intelligent graduates every year with good English speaking skills. Further, with the help of skilled graduates BPO companies in India are providing a higher level in terms of efficiency along with providing immediate and effective solutions to clients.

Further, according to AT Kearney's Offshore Attractiveness Index, India has been ranked on a very high position as BPO services provider. The country is ranked even much higher than the standard benchmark made by AT Kearney. The parameters used in the evaluation have been categorized in three broad categories which include financial structure, business environment people skills and ability. These categories have been further sub-divided to form final metrics. Sub-categories of financial structure involve compensation cost, infrastructure costs, tax and regulatory costs. Sub-divisions of people skills and availability include labor force availability, cumulative process skills, education and language. The last one of sub-categories involves IP security, cultural adaptability country environment and infrastructure of the country.

In addition to that, it has been mentioned in the case that arbitration of labor in India is found to be the most attractive thing for BPO service provider. The facility in India is long-term and sustainable as well because the country is full of skilled labor and workforce. The majority of the workforce in India is skilled and professionally qualified.................................

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