| Knowledge Process Outsourcing |
| The evolution and maturity of the Indian BPO sector
has given birth to yet another wave in the global outsourcing
scene: KPO or Knowledge Process Outsourcing.
The success in outsourcing business process operations
to India has encouraged many firms to start outsourcing
their high-end knowledge work as well. Cost savings, operational
efficiencies, access to a highly talented workforce and
improved quality are all underlying expectations in offshoring
high-end processes to India . |
| The future of KPO |
| According to a report by GlobalSourcingNow,
the Global Knowledge Process Outsourcing industry (KPO)
is expected to reach USD 17 billion by 2010, of which
USD 12 billion 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. |
| Comparison of Opportunity in BPO and
KPO markets |
| Low-end outsourcing services have an expected Cumulative
Annual Growth Rate (CAGR) of 26% by 2010. In contrast,
the global KPO market is poised for an expected CAGR of
46% by 2010. The following figure demonstrates the expected
growth in the BPO and KPO markets over the next seven
years. |
| What high-end services can be outsourced to the Indian
KPO sector? Here are some KPO services that can be outsourced
to India : |
- Research & Development
- Business and Technical Analysis
- Learning Solutions
- Animation & Design
- Business & Market Research
- Pharmaceuticals and Biotechnology
- Medical Services
- Writing & Content Development
- Legal Process Outsourcing
- Intellectual Property (IP) Research
- Data Analytics
- Network Management
- Training & Consultancy
|
| The challenges in KPO |
| KPO delivers high value to organizations
by providing domain-based processes and business expertise
rather than just process expertise. These processes demand
advanced analytical and specialized skill of knowledge
workers that have domain experience to their credit. Therefore
outsourcing of knowledge processes face more challenges
than BPO (Business Process Outsourcing). Some of the challenges
involved in KPO will be maintaining higher quality standards,
investment in KPO infrastructure, the lack of talent pool,
requirement of higher level of control, confidentiality
and enhanced risk management. |
| Comparing these challenges with the Indian IT and ITES
service providers, it is not surprising that India has
been ranked the most preferred KPO destination owing to
the country's large talent pool, quality IT training,
friendly government policies and low labor costs. |
| India is well equipped to meet this emerging sector's
challenges and all set to be the global KPO hub! Outsource
your Knowledge Processing Requirements to India If you
are considering outsourcing your knowledge processing
needs, or would just like to know more about the various
KPO services that can be outsourced to India, check out
O2I's Knowledge Process Outsourcing Services. |
| We have specialized departments that focus on various
areas of Knowledge Processing Outsourcing. Please contact us for your knowledge process outsourcing
services. |
