The coming wave of Knowledge Process Outsourcing
Outsourcing high skills
Whenever we think of ‘outsourcing’ one thing coming in to our mind is- ‘a technical job’.But the Outsourcing has evolved beyond that, perhaps the next big wave is going to involve, the outsourcing of high-skill or'knowledge'jobs such as -Accountants, lawyers, engineers and doctors to foreign countries.
What is KPO?
In BPO or Business Process Outsourcing, clients provide the busines process requirements and the outsourcing service provider in India follow the needs of the client. But in Knowledge Process Outsourcing Indian companies will be asked to provide vertical business segment driven specialized knowledgebase. It needs vertical business alignment and strong networking with specialized consulting firms.
Steps in KPO Outsourcing Process
Step 1 Response to customer’s enquiry by making a customized presentation
either personally or telephonically.
Steps 2 Understand requirements.
Step 3 A limited pilot project undertaken, and finalized after mutual
discussions.
Step 4 Contract finalized and operations started.
Step 5 Reference checks and any further clarifications addressed.
Step 6 Proposal sent with time and cost estimates.
Why India, a most favourable destination for KPO?
India has been preferred as the most favorable destination for KPO, India has a large pool of knowledge workers in various sectors ranging from Law Pharmacy, Medicine, Biotechnology, Engineering, Education& Training, Analytics, Design & Animation, Research & Development, Paralegal Content and even intelligence services, Moreover, the availability of sufficient talent pool, neutral accent English speaking capability, friendly government policies, low labour costs, quality of IT training give further advantage.
This talent is soon being discovered and tapped by leading businesses across the globe resulting in the outsourcing of high-end processes to low-wage destinations. Hence Knowledge Process Outsourcing involves off shoring of knowledge intensive business processes that require specialized domain expertise.
What is ahead?
According to a report by GlobalSourcingNow, the Global Knowledge Process
Outsourcing industry (KPO) is expected to reach USD 17 billion by 2010, of which 12 billion US dollars would be outsourced to India.
In addition, the Indian KPO sector is also expected to employ more than 250,000 KPO professionals by 2010, compared with the current figure of 25,000 employees.
A report by Evalueserve predicts that India will capture more than 70 percent of the KPO sector by 2010. Apart from India, countries such as Russia, China, the Czech Republic, Ireland, and Israel are also expected to join the KPO industry.
Challenges in Knowledge Process Outsourcing
Generally it face more challenges than BPO
-KPO offers high value to organizations by providing
domain-based processes and business expertise rather than
just process expertise.
-KPO requires advanced analytical and specialized skill
of knowledge workers that have domain experience to their credit .
- Further challenges involved in KPO: Maintaining higher quality
standards Investments, infrastructure, the lack of talent pool,
requirement of higher level of control, confidentiality and
enhanced risk management.
Please post u r comments and your feed back to improve further..
Outsourcing high skills
Whenever we think of ‘outsourcing’ one thing coming in to our mind is- ‘a technical job’.But the Outsourcing has evolved beyond that, perhaps the next big wave is going to involve, the outsourcing of high-skill or'knowledge'jobs such as -Accountants, lawyers, engineers and doctors to foreign countries.
What is KPO?
In BPO or Business Process Outsourcing, clients provide the busines process requirements and the outsourcing service provider in India follow the needs of the client. But in Knowledge Process Outsourcing Indian companies will be asked to provide vertical business segment driven specialized knowledgebase. It needs vertical business alignment and strong networking with specialized consulting firms.
Steps in KPO Outsourcing Process
Step 1 Response to customer’s enquiry by making a customized presentation
either personally or telephonically.
Steps 2 Understand requirements.
Step 3 A limited pilot project undertaken, and finalized after mutual
discussions.
Step 4 Contract finalized and operations started.
Step 5 Reference checks and any further clarifications addressed.
Step 6 Proposal sent with time and cost estimates.
Why India, a most favourable destination for KPO?
India has been preferred as the most favorable destination for KPO, India has a large pool of knowledge workers in various sectors ranging from Law Pharmacy, Medicine, Biotechnology, Engineering, Education& Training, Analytics, Design & Animation, Research & Development, Paralegal Content and even intelligence services, Moreover, the availability of sufficient talent pool, neutral accent English speaking capability, friendly government policies, low labour costs, quality of IT training give further advantage.
This talent is soon being discovered and tapped by leading businesses across the globe resulting in the outsourcing of high-end processes to low-wage destinations. Hence Knowledge Process Outsourcing involves off shoring of knowledge intensive business processes that require specialized domain expertise.
What is ahead?
According to a report by GlobalSourcingNow, the Global Knowledge Process
Outsourcing industry (KPO) is expected to reach USD 17 billion by 2010, of which 12 billion US dollars would be outsourced to India.
In addition, the Indian KPO sector is also expected to employ more than 250,000 KPO professionals by 2010, compared with the current figure of 25,000 employees.
A report by Evalueserve predicts that India will capture more than 70 percent of the KPO sector by 2010. Apart from India, countries such as Russia, China, the Czech Republic, Ireland, and Israel are also expected to join the KPO industry.
Challenges in Knowledge Process Outsourcing
Generally it face more challenges than BPO
-KPO offers high value to organizations by providing
domain-based processes and business expertise rather than
just process expertise.
-KPO requires advanced analytical and specialized skill
of knowledge workers that have domain experience to their credit .
- Further challenges involved in KPO: Maintaining higher quality
standards Investments, infrastructure, the lack of talent pool,
requirement of higher level of control, confidentiality and
enhanced risk management.
Please post u r comments and your feed back to improve further..
posted by ndev at
7:01 PM
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