Career in Information Technology Enabled Services (BPO)

Presentation by Malcolm Wagget, Chief Operating Officer HSBC Global Resourcing, South Asia

ITES / BPO Industry in India

ITES / BPO Industry in India

Growth of Indian ITES - BPO
6 5 4 3 2 1 0 1999 2000 2000 2001 2001 2002 2002 2003 Year 2003 2004 2004 - 05 E

The industry has grown and is maturing Global sourcing..not just a passing fad.but a business imperative
Global demand for ITES /BPO grew by 10.5 %, to reach USD 447.7 billion in 2004

USD Billion

2004Turning point
Indian ITES / BPO fastest growing segment
Forecasted to reach USD 5.7 billion in FY 2005 Domestic revenues are expected to double in FY 2005 Industry employee strength of over 250,000 and expected to grow by 40 percent in 05 Employment in sector to exceed one Million by FY 07-08

India remains the most widely used off-shore location and is expected to see maximum increase in spending in 2005.Morgan Stanley source: NASSCOM

Drivers of Growth
Competitive pressure
Impact on profitability Focus on more cost efficient business model

Sustained cost advantage Delivery process enhancement and improvement Resource flexibility Large pool of technically qualified, English speaking resource

Ability of Indian vendors to ramp up operations rapidly Expanding service offerings Shift towards high value services

Global BPO Demand by Key Service Line

Service Line HR 2003 9.0 2004 10.8 YOY Growth 2005 Est 19.3% 13.2

Procurement
Fin & Acc Customer Care

1.3
13.9 40.4

1.7
15.1 44.9

24.9%
8.5% 11.2%

2.2
16.5 50.5

Logistics
Eng R&D Sales & Mktng Facility ops & Mngt Training

166.7
7.7 136.6 27.5 2.0

182.4
12.5 147.2 29.6 3.6

9.4
61.6% 7.7% 7.8% 76.3%

201
19.6 158.1 31.5 5.3
Source: IDC

Global ITES / BPO spending over 04-08 to be buoyed by significant spending

Potential High Growth Areas

Customer Analytics and CRM HR Outsourcing Legal transcript support Knowledge process outsourcing
Market research Equity research Engineering design Animation and simulation R & D ( non IT areas)

Potential High Growth Areas

Financial Services outsourcing ..already witnessing explosive growth
Insurance underwriting

Fund management
Risk assessment and actuarial analytics Commodities processing services

Debt collection and recovery

Equity research Financial data mining and modelling Corporate & Market research
Banking & Financial Services Industry continues to be the largest vertical market for Indian ITES / BPO

Impact of this growth on Employment

Impact of this growth will be on the general population.
Sector can employ ordinary graduates or even non-graduates

Most importantly, this growth will open avenues to a wide range of specialist skill sets
From basic customer service to analytics, underwriting and even Engineering R & D.
Employment in sector to exceed one Million by FY 07-08

Basic Skill Requirements

Basic Computer knowledge (For general processes)

Excellent Communication Skills (Neutral Accent, clear speech,

good grammar & language etc.)

Customer Interaction Skills (Customer handling skills,

telephone etiquette, empathy and listening skills etc.)

Understand the target groups and their cultures

Basic Skill Requirements

Positive attitudes like:
commitment to understanding customers
solving their problems motivation to work hard.

The process training is given in-house by the ITES companies

but the base skills like communication; interactive skills and attitudes etc are expected prior to hiring and form the criteria of screening for ITES jobs.

Skills Requirement by Vertical

SEGMENTS Call center Remote customer interaction Date search, Integration Human Resource Services Remote education SKILLS REQUIRED Good communication and language skills, accent understanding team leadership, basic computing skills Language and accent understanding Computing, language and analytical skills Country specific HR policies, rules and regulations Subject knowledge, computing and language skills

Engineering and design

Translation, medical transcription and Localisation Animation Finance and accounting Market Research Network Consultancy and management

Technical and engineering design and computing skills

Language understanding, basic computing (word processing knowledge) and understanding of various medical terminologies Drawing and creative skills, computer graphic skills International/ country specific accounting rules Understanding statistical sales and marketing concepts Understanding different network configurations and support equipment, technical/ computing skills

India .global players

Career vs. Job Opportunity

HSBC Global Resourcing a career opportunity.

The HSBC Group

One of the largest banking & financial services organisations in

the world
Top 5 brands worldwide Over 9,800 offices worldwide

253,000 employees in 77 countries and territories

Over 110 million customers worldwide with a total e-customer base of almost 20 million

Global Resourcing
Global function of HSBC, with direct reporting relationship with GHQ

Global Resourcing
Is an essential element of HSBC Group and contributes to the Group Strategy of Managing for Growth which is based on a strong coherent management of costs and investments Consists of 11 Group Service Centres located across 5 countries in Asia Partners with other HSBC business areas to provide world-class customer service, contributing to HSBCs business success

Customer Service

Customers

Branch

Group Service Centre

Group Service Centres

Bangalore Colombo Guangzhou Guangzhou

Hyderabad

Hyderabad

Kolkata

Malaysia Shanghai The Philippines Vizag

Group Service Centres - Centres of Excellence

Payments Consumer Finance Customer Care Mortgage Finance

Trade

Credit

HR

IT Operations

CIBM

Insurance

Analytics

Securities/ Investments

Brings together a set of functions, expertise or skills, performed to a world class standard

Group Service Centre, Vizag Established June 2004

Working with HSBC Global Resourcing

Opportunity to be a part of one the worlds fastest growing industries Work in a secure world class environment

Rewarding growth opportunities

Training and development to handle global challenges

Competitive compensation and benefits

Growth in HSBC Global Resourcing

RADHIKA DHARANIKOTA
Processing Executive in Oct 2000 Manager Project & Planning in Nov 2003

SRIDHAR REDDY
System Admn Executive in Jan 2001 Manager Data Centre in Jan 2004

Growth in HSBC Global Resourcing

MONA SAXENA
Processing Executive in May 2001

VIJI VARGHESE
Asst Manager Training in May 2000

Asst Vice President Compliance in Jan 2005

Asst Vice President Planning in Feb 2004

MANISH MANDHYAN
Asst Manager Training in May 2000 Vice President Operations in Dec 2004

SUNIL BINGI
Processing Executive in April 2002 Manager Compliance in Jan 2005

In Summary
ITES / BPO
One of the fastest growing industries in India Dynamic, challenging environment Competitive compensation and benefits package Vast range of verticals to choose from
caters to almost every industry opportunity to develop specialist skills

Unmatched learning, development and growth opportunities Global exposure Caring and empathetic employers Compelling Career Proposition

Questions