Indian Outsourcing :Opinions on–Why Bad Experiences

some of the recent reasons are-

1) Inadequate transition times – Transition is done faster and faster due to keeping less bench strength , while prices and competitions seem quite competitive.

2) Cost vs Quality tradeoff – Cost tradeoffs will lead to quality tradeoffs. The expectation on client side is we negotiated a hard mean deal , but we still should get the quality had we been prepared to pay more. Not true.

3) Scale and Type of process- India will offer huge scale for time to come as rural Indians get call center opportunities. This is a recent trend to cut costs and yes rural Indians will have worse accents. Complex processes will still come India’s way but here the Chinese will be more formidable competitors as they can’t master the english accent but do just fine on the spreadsheets and maths.

4) Global delivery — Most big Indian BPOs now deliver from India AND Europe, AND Asia (including Indian BPOs with Philippines and China centers, and South American. Like Baskin Robbins , you will choose among the 31 flavors of delivery centers and expect to pay accordingly from same  company.

5) Pragmatic expectations – After millions of hours of interaction, people of different cultures have realized the difference in communication, and assertive behaviour .eg Please do this immediately is different In India and US.

6) I am more worried about the outsourcing (value creation actual vs expected, political sensitivities, long term exchange rate and inflation mechanisms ) and voice industry (with better automated voice recognizability ) than about India in particular.

7) And yes attrition is a concern , but actual reality is attrition helps keep costs low by churning out experienced voice agents with newer boys who stretch more than the shift (Indian outsourcing remains unregulated and labor is non organized ).

I wont take the name but as a Manager I was told to encourage attrition in the name of performance just to keep the Operating margin up.

8) A case study is attached for Indian BPO IPOS (which are mostly owned by Western Investors) and another article written by me on Indian call centres.This should give you more insights than you expected to happen

Author: Ajay Ohri

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