Business Process Outsourcingto India

Submitted by : Riri Kusumarani (20124309)Strategy for Innovative Business, Prof. JayYoung Ohm

Global ITTP, School of InnovationFall 2013

BPO Industry Analysis

Bargaining Power of Buyer

Threat of New Entrants

Threat of Substitutes

Rivalry Competition

Bargaining Power of Supplier

•Big competitors on the Industry• Sticky cooperation between BPO and clients.

High Entry BarriersNew entrants will have Difficulties to compete with existing companies

• High Purchasing Power, easy to juggle between options.

•Medium Bargaining Power•India provides many people to hire•India provide supporting environment for BPO companies

•No clear substitutes threat at this time• Clients are reluctant to outsource and prefer to do the function themselves. The clients is the substitute!

Competitive Advantage

Superior Efficiency

Superior Quality

Superior Innovation

Competitive Advantage

Superior Customer

Responsiveness

Lean Six Sigma, By far the most credible techniques in Quality Management.

Utilized HR from India, Cheap and abundance availability

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5P Analysis

Product* Lean Six Sigma* More than 700 Process specialization

Place* India Location* Lots of Center Of Excellence located across the continent

PriceNo

Information

People* Cheap and Skilled Labor in India.

Promotion* Benefit from Being Under GE name.

Future Strategy RecommendationLeverage Services• Invest in Infrastructure type outsourcing.

Develop the Lean Six Sigma

Cooperate With GE to access GE’s Clients

Invest in Employees and Future Employees• Invest in India’s People Education to secure HR

Resources• Invest in Current Employee and specialized their skill.• Hire Retired People!