Indian BPM companies are seizing the global information technology partnering opportunities not any more with sheer cost dimension but more knowledge intensive innovative bundled offerings in a competitive indisputable standards of delivery speed and value partnering with clients assimilating and reassuring as a value chain outcome contribution based on increasingly into competitive newer revenue models. It is yet again witnessed largely in the last few years that the overall total global outsourcing spending by leading spenders have undoubtedly been largely cut down or so to affirm that no more happening whereas the high end value addition integrated models are continuously gaining more attraction by global clients and consequently Indian BPMs are ostensibly reorienting themselves with ever increasing emergent competencies and virtual capabilities gained by disruptive developments like block chain edge computing and robotic process automation to name a few whether self-destructive or new means of sound strength . This paper probes the very core of these value imbibed transformational designs are how meticulously maneuvered by the top notch service providers in the Indian BPM Industry who set the standards and paradigm design for others players to fall in line. In this scenario the uncertainty and ambiguity are narrowed down to machine learning methodologies by BPM companies to iterate and assimilate the discernible futuristic patterns.
Keywords: BPM, Internet of Things, Robotic process automation, Deeplearning, Blockchain, Edge computing
The report by the India Brand Equity Foundation prophesied that the information technology (IT)-business process management (BPM) sector in India has been expanding at a compound annual growth rate (CAGR) of 11.14% to reach close to $154 billion in the fiscal year 2017-18 from what it was in 2010-11 that is $74 billion. It is also estimated that the anticipated size of this industry may grow to $360-$400 billion by 2025. Total exports in the IT-BPM sector (including hardware) were also estimated to be $117 billion in 2017-18. Obviously exports of IT services were the major contributor, accounting for 56.41% of total IT exports in FY17. BPM accounted for 22.22% of total IT exports in the period contributed by BFSI which is a determinant and most popular business vertical for the IT-BPM industry was around $62.4 billion, accounting for 53% of the total IT-BPM exports from India. As always our dependence on the US has been little over 62% of Indian BPM exports were targeted or earmarked for US during FY17 whereas the other growing component implying Non-US,Europe-UK segment accounted for just 21% .This unassailable onslaught of Indian BPM companies necessarily attempted to be understood and analysed whether this newer close to two decade trends marked by newer innovative solution based offering will eventually result in more competitive growth and leads over their global counterparts also inturn to help our outsourcing earnings to leapfrog into the upcoming 3-5 years’ timeframe where we have huge dreams of US$200billion in export revenues.
II Significance of the study
Indian BPM the erstwhile BPO industry was riding high at a phenomenal 50% and above tumultuous growth beginning during early 2000s has come down considerably, a global phenomenon as such limiting itself around 12-14 % CAGR recently. Obvious as well as conscientious reasons being our growing inability to stick to volume based transactions and not value based transactions. Alarmingly in the faltering growth rates and losing competition to new markets that to niche segments are worrisome factors for the pet industry of our country Burdening on top of this retooling and reskilling investments are is the non-relenting employee higher attrition rates of 25-30% which is yet again a gruesome debilitating factor given the cost of training and those talent redesigning budgets involved enmasse in this sector unequivocally traded off in shoe string costing may ultimately result in reduced or fairly lower than forecasted earnings in the respective Q to Q. This realm of unperturbed challenges threw Indian BPO/BPM Companies to pragmatically shift their burgeoning focus from wide and shallow approach to an innocuously deep partnering approaches with those clientele and trying for an end to end design attempting to address all the possible verticals for more value driven assertive preprogrammed growth forecast are the emerging competitive strategies to usher in and yet again reestablish in the BPM marketspace when the competition has reached on a preferential mode in the advent of top notch technologies unfolded grew more intense than ever and as a reply and response the niche players started offering ‘ bpo-as-a –service’ model during the recent past where one needs to master as well as singularly articulate as well as understand the deeper business domains, technology interfaces to mine and manage value of course to transfer and transform the skillsets too are hitherto very well added by an in depth obsessed culture of innovation.
III Review of Literature
In this research analysis, BPO is unassumingly treated as an outsourcing activity of any knowledge based business process or management ostensibly excluding basic hard core IT processes. Gartner Research in the every beginning during early 90s have defined BPO as the delegation of one or more IT-intensive business processes to an external service provider, using a multiyear contract. Gartner’s definition of BPO includes SCM,CRM, ERP back-office processes of finance, accounting HR claim and mortaging and logistics and design processes besides few chosen vertical industry-specific activities like compliance and advisory. BPO is defined in terms of various “back office processing ” functions(non- core and non- critical), such as banking insurance and financial services ,information technology services, human capital services operational services (Feeny, Lacity and Willcocks, 2005). As Greene (2006) agreed that the transition economies around the globe are involved in BPO services in a most comple; and interestingly more developing countries astutely aiming to become the desired destinations of BPO. India largely has been a top destination for these services (Kang, 2008).
Also it been clearly despicted that the degree of overlap between ITO and BPO is particularly more evident and purposive when the research subject is invariably offshore BPO (Rouse and Corbitt, 2004).
It all started in the beginning phase as plain offshore captive centers what have been established by the principals in various countries and regions, although India still remains to be one of the predominant locations (Oshri, Kotlarsky and Liew, 2008) which is very true to see the changes took place. All top players like Banks, Automotive and electric companies who had their captive centers sold them to other Indian BPOs say 54% by volume citing the non core and right competence factors like productivity and FTE then since 2015 the trend started reversing where the captive centers are onceagain revived by these MNCs The very nature of BPO business is that it places a special premium on customer validation, operational stability and process expertise. BPO is invariably cost effective when the external service is offshored which has been rightfully manifested in the recent times (Taylor and Bain, 2008:132); almost 55 per cent of Fortune 1000 companies are outsourcing some part of their business operations to other countries (Chanda, 2008:420) vindicated by Kumar and Joseph (2005) who cited that India has a vibrant national innovation system, and a liberal trade and investment policy regime during this trend changing period to put itself in the forefront of skillcountry status notched up all the attention with its ever increasing knowledge pool aptly supported by the best education system especially the tertiary one. India grew past compared to contemporary economies in the world (Chanda, 2008:423) even then the overall contribution has not been more than 1% to our GDP in dollar terms a point to note rather it spells the path to trace in future to make it more contributing and dominating one. BPM as a transformation management approach started from various focused disciplines like Kaizen (Masaaki,1986), Process reengineering (Davenport and Stoddard,1994; Hammer, 1996; Hammer and Champy, 1993) as well as from the ambit of Total Quality Management (Deming Edward 1990) and Process Innovation (Davenport, 1993) also the underlying assumption of BPM could be assumingly referred as a field of progression in organisations (Rosemann et al. 2006) though it is arguably lack solid foundation theory inits research (Seidel and Recker, 2009) and most interestingly Recker (2008) identifies a process modeling of standard adoption to depict BPM as emerging area consequently Bandara et al. (2005) supports a basic theoretical model involving critical success factors.The Strategic viewpoint still holds the key result areas and criticial success factors aligned with rising appetite of growth and unnerving sustainability which been by and large passed to the BPM players too.
IV Need and Objectives of the Study
The Indian business process management (BPM) industry has set a realizable rathr unassailable target of US $50 billion in revenues by the year 2020, taking into account both export and domestic markets probably 90%-10% ratio, from the current level of US$26 billion as the sector expects the demand momentum to remain strong during the years to come even the Trumpinisation of external curbs and control by US Immigration since 2017 cannot harm these value added offerings .As rightly observed by Nasscom President R Chandrasekhar said, “Automation, digitalised processes and new business models are enabling the BPM sector to take a step forward in adopting a more strategic role as compared to being just another outsourcing platform which clearly gave a room to make a daring study to find out where do we stand.
V Research Methodology
This section describes the sampling plan, data collection, attempted with statistical procedures used to analyze the captured and compiled data and finally the limitations of the study. In order to satisfy both objectives a questionnaire was prepared to interview the consumers of durable goods. Research is a systematic and continuous method of defining a problem, collecting the facts and analyzing them, reaching conclusion forming generalizations. Research methodology is a way to systematically solve the problem. It is also closely assumed as a normative science of studying how research work is done in a scientifical perspective. In that all we study are the various steps and processes that is unusually adopted by any researcher in studying his research objective along with the logic behind those assumptions heneceforth. The research methodology adopted for the present investigation here is well described in the following headings for the sake of elaboration say beginning with Research design then followed by Population , Sample Design and Data Collection methods and strategies
Research design: Richey proposed that(2007) a good Research design obviously handles the matters pertaining like selecting participants for the proposed Research study or issue and thereafter aptly ending with data collection which are the primary activities that comprise the research design process. In the view of Burns and Bush (2006) exploratory research design is often referred as gathering relevant information in an informal and an unstructured manner. In this case the exploratory research design is believed to be proper under the assumption that the researcher knows small about the opportunity or an issue and trying to identify the tip of an iceberg to constitute an overall larger understanding As we aware any exploratory research design is invariably nevertheless should not be limited to one and only specific paradigm or a chosen model rather than the assumed predictors but may also use either qualitative or quantitative approaches as the nature and observation of the variable/s in study .Here the research design was formulated which guided the collection analysis and interpretation of data. Here the exploratory research design was followed and survey was done with the help of a structured non-disguised questionnaire illustrating the factors with expected knowledge and awareness and must have been widely discussed in the organizational hierarchies in house.