Is BPO rise innevitable as businessess reshape post recession?

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BPO deals have been won this week by Accenture and HP Enterprise Services.

Could the number and size of BPO deals be on the up?

Businesses will be looking long and hard at BPO following the recession. If they outsource standard processess they can free up resources that can in turn focus on more strategic activities.

Following the recession businesesses have the opportunity to re-shape their businesses to meet new targets.

HP Enterprise Services has won a seven year BPO deal with medical technology giant Smith & Nephew, which will see the service provider provide finance and administration support to European operations. Through standardised services sourced from India and Poland thee multi-national company wants to streamline processes and cut the costs of its operations.

Meanwhile Accenture has bagged a five year BPO deal with Norwegian energy firm Statoil. Accenture will run its accounts payable functions.

The agreement aims to improve the efficiency and effectiveness of Statoil's accounts payable operations by re-engineering processes and increasing automation via Accenture's global network which links datacentres in Norway, the Czech Republic and India.

2 Comments

The fact that a major pie of businesses in the US are tailored to the service industry, there is no stopping the rise of BPO now ( and in the future ). This announcement from Accenture and HP is indeed a great news for people who are looking for new jobs in the service industry. The only question now is employee retention, as call center jobs have the highest attrition rate ( 2 months, estimate ). Overall, in this consumer-centric age, there will surely be a high demand for quality customer care as businesses try to sell their brand to discerning consumers out there.

Businesses will be looking long and hard at BPO following the recession. If they outsource standard processess they can free up resources that can in turn focus on more strategic activities.

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This page contains a single entry by Karl Flinders published on July 2, 2010 10:17 AM.

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