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Chapter 1 Introduction to the Industry

Payroll Outsourcing: An Evolving Market Small organizations are more likely to outsource payroll, but larger firms are catching on. By Lisa Rowan

Growth in spending for stand-alone payroll outsourcingalthough less dramatic than growth in the overall HR BPO spacehas remained steady in the 6-to-8 percent range in India. Its noteworthy, given the size and maturity of the market. The results of HR outsourcing decisions studies show that payroll outsourcing inclination is changing. Read on to see how. Automatic Data Processing (ADP) first institutionalized the automated payroll outsourcing process in 1949, shortly after the introduction of the ENIAC computer made it possible. Even prior to the emergence of automation, smaller companies often looked externally to thirdparty accountants to perform this function for them. In the 1960s and 1970s when larger firms began investing in mainframes, they found themselves with the excess capacity needed to run their own transaction-heavy processes and sought to justify their hardware investments. The transaction processes they turned to were largely financial in nature and frequently included the company payroll. Pioneering software firms such as McCormack & Dodge and MSA made this possible by offering packaged solutions for general ledger, accounts payable and receivable, and payroll. Surprisingly enough, there are still such systems in place today, despite the fact that the originators of the software have been out of business for many years. This sets the historical context for payroll transaction outsourcing adoption as it exists today. Despite the maturity and robust nature of the market, many larger firms still pursue a strategy of managing payroll in-house, harking back to their mainframe days. As client/server emerged and ERP solutions matured, they replaced the older systems. The result is that the propensity to outsource payroll continues to be tied to organization size. The smaller the firm, the more

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likely it is to outsource. This situation is not a surprise because smaller organizations have fewer IT resources than those at the higher end of the market. The Indian payroll market is dominated by three major players with a 44-percent share. In order, they are: Hewitt, ADP, and Ascent Consulting Services. The rest of the market is shared by mostly small, regional players that cater to employers at the very local level. Sage, formerly Best Software, entered the market in 2005 through its offer of payroll outsourcing based on the Abra platform, but we see few new nationwide entrants in an already mature market. Although the propensity to outsource payroll declines for larger organizations, many of these same firms report that they are outsourcing some payroll processes. In this case, 38 percent of firms with more than 10,000 employees reported outsourcing payroll check and deposit advice printing and distribution even though only 21 percent of them claimed to outsource the payroll process itself. This is an indicator that larger organizations will outsource more of the payroll process over time and likely account for the larger payroll deals we see in the market. There are a number of alternatives to stand-alone payroll outsourcing as we know it today. First, companies may look to broaden the use of HRO. Market leaders are well positioned with HR BPO offerings at the ready. Secondly, newer delivery models such as software-as-aservice may have an effect on the market. Software-as-a-service has emerged as a popular delivery model in a number of other areas of HR, notably recruiting and applicant tracking. It will likely be more widely deployed in HR, with payroll being among the potentials for future adoption. Payroll outsourcing suppliers will need to take heed and position themselves with delivery flexibility as the future unfolds.

The Global BPO opportunity in the HR Services segment is the highest when compared to others like Customer Services, Financial Services, and Network Consulting & Management. HR BPO is one of the most commonly outsourced segments in the US. But very little of this work has come to India or has been off shored. It includes a wide spectrum of services that combine HR Outsourcing, HR Consulting and HR Automation.

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Looking at the HR BPO trends, there is a huge percentage of spend for Payroll & Benefits Outsourcing. The propensity to outsource Payroll is the highest, resulting in a huge opportunity for Chartered Accountants to tap. Other than Payroll, organizations also spend on outsourcing other HR BPO functions like on- boarding, recruiting, hiring, training, organization development, compensation planning & strategy and exiting.

According to a PricewaterhouseCoopers Study, Outsourcing payroll functions is cheaper than handling them in-house. Most organizations outsource payroll for reasons which include; reducing and controlling costs, focusing on core competencies, accessing domain experts, skills and technologies and getting regular updates on latest payroll/tax laws. The top global payroll service providers are Automatic Data Processing (ADP), Ceridian Centerfile, Hewitt, Paychex, Gevity HR and Administaff. Some of the leading Indian Payroll service providers are Ma Foi Consulting Solutions (MCSL), Hewitt, Cross Domain and Tata Share Registry. The Indian market is fragmented and it is estimated that there are at least 1,000 firms that offer payroll outsourcing services. Many of these are accounting or small IT firms who operate from a localized area.

It is interesting to note the payroll outsourcing maturity model. In the first stage, when the size of an organization is small, accounting firms are the preferred service providers. When the organization is mid-sized, payroll is normally processed by their in-house team. In the third stage, as the organization grows larger they either look at an onsite processing option or outsource to a payroll service provider. Ultimately organizations not only outsource payroll, but also consider options of outsourcing other HR transactions to the same service provider. For overseas opportunities, Payroll service providers can either offer their services directly to clients or tie up with local payroll experts in specific countries. Tier 1 service providers are known as domain experts. They have local presence and good understanding of the complexities in payroll and statutory/tax, thereby being easily able to offer their services directly to clients. Service providers who have limited or no local presence / domain expertise tie up with Tier 1 providers and come lower down in the value chain. But it is a good way to get started.

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The GDM (Global Delivery Model) is a four-tier model starting with Onsite, Offsite, Nearshore and Offshore options. Onsite is a low risk option but the client does not benefit from high cost savings. Offsite model brings in more cost savings. It is most suitable when the client and service provider are in the same location. In the near shore and off shore model, the cost savings are highest and the provider offers services from a low cost location.

Some of the key trends that are taking place in the global payroll market are - (i) Payroll services are getting integrated with HRMS platforms and consulting solutions (ii) Contracts are long-term, often over 5-7 years in duration (iii) Payroll is also getting lumped with other HR transactions that were rarely outsourced in isolation (iv) Payroll services across countries are getting aggregated with a single vendor with international presence and scale.

Over a period of time, technology has emerged as a key enabler and has become an increasingly important factor to consider while outsourcing. Traditionally, Payroll has been outsourced as a plain vanilla function; but over a period of time Technology enabled services, like Employee Self Service, HR Information Systems and HR Management Systems have been bundled with Payroll. Technology has led to improvement in HR productivity, avoidance of overhead costs and fast and accurate responses to employee queries.

Other than reputation and experience, organizations today are also considering factors like customer satisfaction and the ability to provide IT & Consulting Services while choosing the service provider. The service provider needs to have a clear vision and commitment to improving on a continuous basis.

Some of the key success factors in any payroll agreement are Technology, Security, Business Continuity and Web-enabled query handling capabilities. The ability of a service provider to offer end-to-end solutions and provide last mile compliance is an extremely critical success factor. Organizations must give high priority to documents like Service Level Agreements (SLAs) that measure the performance efficiency of the service provider. Factors like issues in ownership of payroll between the HR & Finance function, fear of losing jobs leading to lack

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of cooperation by the internal team, lack of infrastructure & systems, non adherence to service level agreements & lack of quality metrics can lead to failure of payroll outsourcing.

The presentation covered a case study on a leading telecom services provider in India for whom MCSL is handling payroll processing. In the initial scenario there were a lot of errors in payroll processing. The organization had a presence in different locations & there were non-uniform HR processes and MIS formats leading to a lot of integration issues centralized control & lack of coordination. Due to the multi-location presence there were also lots of complexities in complying with state specific statutory laws. MCSL came up with a solution, where the inputs from the organization were received through a web based HRMS from the various locations. After the inputs were captured with strict deadlines to be adhered to by the organization, MCSL processed payroll though its advanced payroll engine. The payroll reports were available on the HRMS and employees could individually access their pay slips and get their queries answered online. This resulted in streamlining the payroll processes and other related activities for the organization.

Another case study on a leading logistics company in Dubai where MCSL processed payroll for about 175 employees based in Dubai was discussed. The monthly payroll was processed from Chennai, the employees could access their individual pay slips through a web-based HRIS. The HR managers could access the payroll reports online through a separate log in id. The entire project was handled smoothly. During the transition phase the MCSL team manager went onsite to the client location to migrate data and run the payroll live within the same month.

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COMPANY INTRODUCTION ASCENT

OVERVIEW
At Ascent, they seek out and arrive at, the optimum combination of skill and knowledge for an effective and elegant outsourcing solution. While the solution must result in cost reduction, greater efficiencies and improved quality, their effort is towards improving organizational efficiency, not just creating incremental change. Their solutions employ a matrix of technology, domain expertise, streamlined business workflow and highly skilled people to create tangible, measurable performance improvements throughout a client's organization. This approach would be impossible to implement without a team that is passionate and zealous about growing a clients' business efficiencies. They are fully aware of the trust their clients place in them and they reflect that in everything they do. Ascent is designed to be a trusted, expert extension of a client's business. The design rests on four pillars.

Expertise
Close to 10 years industry experience since inception. Vast domain knowledge of HR, Payroll Management, Finance, Benefits Administration and Labour Law Compliances. Ability to translate business requirements into actionable solutions. Technology-driven solutions, with a special focus on data security. A system of user-friendly processes that deliver high-quality results.

Technology
Custom solutions built on leading industry platforms like Open Source and Microsoft technologies. Flexible, accessible, efficient and secure infrastructure and processes. Proprietary Ascent products include PowerPay, a multi-country Payroll and Benefits Processing engine; PowerHR, a real time HR information system with role-based
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usage; HRBerry, an Employee/ Manager self-service system with multilingual and multicurrency models; PowerDox, a web-based document repository, and information / data exchange tool and PowerFly, a Benefits and Labor Law Compliances Management Solution for India.

Flexibility
Streamlining of processes to adapt to changes of content or scale quickly. In-house applications that can be customized to specific client needs. In-house Research and Training to ensure changes in legislation and industry practices are adopted quickly.

Accreditations / Certifications
ISMS (ISO 27001:2005) certified for Information Security Management QMS (ISO 9001:2008) certified for Quality Management Processes SSAE 16 Type II certified (formerly SAS 70 Type II)

I T Infrastructure
Robust Data Center with Redundancies in AC, UPS, Connectivity, Generator with adequate Power Security Systems with surveillance for Fire, Water Leakage, Humidity and Temperature Highly secure and Available Infrastructure with 24*7 monitoring Disaster recovery center and alternate emergent Practice Center at Bangalore Business Continuity Center at Chennai with all identical I T Infra

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Purpose of existence
VISION Be a Global Leader in powering HR Delivery Systems, associated Mission-Critical and Information-Sensitive Processes. MISSION It is our mission at Ascent to enable an Enterprise to serve it's People Assets, to enhance their potential to Create Value. It is our conviction that People Assets power a successful enterprise. It is our belief that an efficient and effective People Practice within a successful enterprise enables its People Assets to perform better and create ever-increasing social, strategic and business value. At the core of our Vision & Mission, we have a comprehensive understanding of the People Practice domain. Understanding that every enterprise has a unique and a differentiated People Process, we customize solutions (allowed within the limits of technology) that best serve our Customers needs. We continuously develop proprietary intellectual property, cutting edge applications and a robust IT infrastructure platform to help Enterprises enable its People Processes. We deliver cutting edge information technology products, solutions and services that enable the business process in the People Practice area of an enterprise. We are an Indian Company, with a Global Presence defining Standards of Best Practices in the field of Enabling People Processes delivered through technology.

Ascent Edge
Ascent believes that People Practice is an ongoing voyage of discovery, learning and development. The challenges and evolutions that confront Human Resource professionals and organizations are ones that rise and fall with the changing tides of business and people needs. No single solution can address all challenges or meet the needs of H R professionals across several industries. They therefore set upon a mission to devise a hybrid framework of
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solutions supported by a competent set of professionals rendering all and any of the services that may be needed as an integrated solution or utilized individually based on business needs.

ADVANTAGE At Ascent, they believe their competitive advantage arises from powering HR Service Delivery expertly and efficiently.

Service Partner Approach Consulting Expertise Delivery Excellence Strong Technology Backbone Project Migration Expertise Tested Quality Processes Focus on Information Security All-Encompassing Services Regional Solutions Cost-Effectiveness

Geography
Ascent has a pan-Indian presence, with their Head Office and Processing Centre situated in Bangalore. You will find Ascent centers nationwide in Mumbai, Delhi, Chennai, Hyderabad, Pune, Ahmedabad and Kolkata. They also offer international services and you can work with Ascent in South-East Asia, the Middle East and Latin America.

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Introduction to the SBU

PAYROLL AND BENEFITS Payroll Processing is a resource draining, complicated task and if not handled by properly trained resources exposes businesses to risks. Ascent Payroll Services improves and streamlines your payroll processes, whether your business is small, medium or large. Ascent manages intricate and time-consuming tasks of payroll processing and related compliance requirements and powers you to focus on your business. By using their experts to do payroll processing, their clients will have the convenience and peace of mind that once the data / hours are reported, Ascent takes care of everything else. All of the vital payroll information, reports, and advises are made available within the agreed time frame through a secure web delivery system. Their services can work either as a stand alone support or seamlessly integrate with any other legacy system the client may have making it a unique proposition in solving one of the mission critical administrative task while ensuring employee satisfaction. Ascent rates amongst the top payroll service providers in India today, with Payroll outsourcing services designed to suit complex needs of clients. Their experts can advise you or handle Compensation Structuring, Benefits Administration, Tax processing, Year end activity or reports, Flexi pay packages and a very time bound Query management.

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Key benefits: Ease of Use / Process Confidentiality of Data Enhanced process delivery Compliance with applicable laws Scalable solution Process perpetuity

LABOUR COMPLIANCES Ascent, an enabling partner for your compliance with law, offers Compliance Management related to labour laws that enable the corporate partners to focus on their core business while ensuring them to be law abiding entities. Ascent takes care of all aspects of statutory compliances from obtaining the license to handling inspections by government officials. Maintaining the registers, records and filing returns along with due payments will be taken care of by Ascent. They also facilitate the client to obtain the necessary exemptions for uninterrupted and hassle-free operations. They will apprise the client of any changes in the legislations for appropriate and timely actions to ensure complete compliance

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Key Benefits: - One point Solution to manage national spread - Improve focus on core business - Hassle free Liaison with the peripheral stake holders - Minimized external irritants - Stay Compliant at all times - Cost saving on manpower & administrative overheads - To maintain or enhance the organization's reputation in a community.

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PAYROLL COMPLIANCES

Safe guard your company from financial liability arising out of compliance lapse with regard to the statutory benefits entitled for the employees. Employee Provident Fund, Employee State Insurance Corporation and Employee Professional Tax forms part of the Payroll Compliance services. The ultimate responsibility of the management is to ensure the interest of both the employee and the company. Apart from the other legislations, Payroll Compliance Services calls for cumbersome, voluminous activity with the understanding of the legislations, accuracy and continuity. Interaction with the authorities in all regions becomes essential to ensure compliance. As the above legislations form part of the employee benefits, the adherence to this becomes mandatory and the consequences of non-compliance /negligence amounts to Financial and IR issues. Ascent, with the expertise in Labor Laws offers Payroll Compliance Services as a separate module. Ascent takes care of all the aspects including Registration, processing of data, coordinating with the various government departments / authorities, Maintaining the registers, records and filing returns along with due payments and consulting. We also facilitate the client to obtain the necessary exemptions for un-interrupted and hasslefree operations. We will apprise the client of any changes in the legislations for appropriate and timely actions to ensure complete compliance.

Ascent Payroll Compliance services broadly cover: - Devising & developing suitable compliance processes - Devising Manuals & Systems for statutory compliances - Monitoring regulatory compliances & filing of necessary returns / records with appropriate authorities - Inspections & representations - Auditing finance / accounts processes for internal control / SOX - Devising and implementation of suitable MIS / Budgets for effective control Tax Planning & Compliance. - Statutory Management

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- Provident Fund - Employee State Insurance - Profession Tax - Labor Welfare Fund - Trust Administration - Gratuity - Superannuation

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Introduction to the Project Project 1 Lead Generation for B2B Sales

B2B Marketing: This is a transaction between two businesses, whether its manufacturer to wholesaler or wholesaler to retailer. Other transactions might be services such as consulting where a company offers its expertise to another company. In basic terms B2B Marketing is where one company sells its products to another company.

In my case it was B2B in service sector where we were providing HR cum IT solutions to other corporate with 100+ employee strength

Lead Generation: Lead generation is the use of a computer program, a database, the Internet, or a specialized service to obtain or receive information for the purpose of expanding the scope of a business, increasing sales revenues, looking for a job or for new clients, or conducting specialized research. Leads can consist of the names and addresses (or e-mail addresses) of individuals, corporations, institutions, or agencies. Lists of leads can be gathered or filtered from targeted databases such as telephone and Internet directories.

We were give a data base with the name of the company and with the help of telephone, emails and personal meeting we were suppose to generate leads for Ascent.

Process
Project 1 done by me can be summarized in 5 main steps. Set objectives Get visitors Convert to leads Follow up Analyze and Report
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Process Diagram

1. Set Objectives

5. Analysis & Report

2. Get Visitors

4. Follow up

3. Convert to leads

This diagram shows where each of these components fits, and how they work together. Note how component 5 flows back into component one, providing useful information to the next lead generation campaign.

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Project 2: Comprehensive Market Study for Payroll and Payroll Related Compliances in Mumbai
Objective: To know the potential for payroll and related compliances market in Mumbai and to find the right medium to reach the right audience. Process: Have visited most of the corporate park and covered the companies which have an employee size of more than 100. Four sectors were targeted namely BFSI, FMCG, IT and Hospitality. The questionnaire consists of all the questions which are necessary to generate the desired result. Benefits: As a student got maximum exposure as I visited several companies and understood the consumer behavior in the sector of HR services. For ascent: Will come to know its position in the market, target audience, reasons for not to outsource the services as well as to outsource the services. Will get an insight of consumer behavior.

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Players in market Osource

Osource is one of the leading providers of end-to-end outsourcing solutions in the areas of Finance & Accounts, Human Resources & IT Solutions that embarked upon its journey in the year 2004. Osource focuses on the domestic outsourcing space encompassing groundbreaking technology, leading-edge infrastructure and in-depth domain know-how. Osource applies its advanced ISO 9001: 2008 certified process frameworks to improve quality, reduce costs and cycle time of business processes, thus setting a new benchmark in the industry. Osources enormous proficiency is evident through its smooth voyage of over 450 processes across industry verticals as diverse as Banking & Finance, Insurance, Hospitality, HealthCare, Manufacturing, Pharmaceutical, Telecom, Print Media and many more.

Payroll Management With over 15 years' of experience in delivering payroll solutions and current monthly processing capability of 1,00,000 pay-slips across more than 100 customers, Osource is clearly one of the leaders in the payroll outsourcing industry. Osource uses its home-grown technology application as the payroll processing system. The payroll system is customized to suit the peculiar requirements of each customer & industry. Osource also provides an optional service of employee self service (ESS) system which can be used by the employees to view their personal details, leave balances, pay-slips and tax sheets. The ESS can also be used to enter investment declarations and perform tax simulation based on the investment amounts declared in the system. The client coordinator can use the ESS to download the standard reports or create adhoc reports using the query builder facility

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Talent Maximus
COMPANY OVERVIEW Leadership Talent Maximus derives its leadership strengths from some of the finest professionals in the Human Resources Outsourcing Domain. They have been the path-breakers in the areas of Human Resources Services, Process Excellence and Technology Innovations. Their Focus At Talent Maximus they help you to maximize your return on talent. Towards this, they undertake all your support services related to HR Management, thus facilitating you to focus on what is most important to you the core of your business. Team Talent Maximus has a team of dedicated service professionals on a mission to serve. They work with the purpose of providing Customer delight. All team members have relevant domain expertise. Dedicated client managers will ensure efficient implementation and control. A dedicated Compliance team across all regions ensures 100% statutory Compliance in all client and TMI locations. The Center in Chennai has the Functional and Operations teams working diligently on processes to ensure strict adherence to TAT and SLAs. The regional teams are structured in order to facilitate Client and Employee coordination.

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Paysquare
Paysquare is a specialist in the area of payroll outsourcing and is the preferred partner for a large number of clients. With an exclusive focus on payroll outsourcing and led by a highly qualified team of chartered accountants, Paysquare has consistently ensured over 99% accuracy in payroll processing across its engagements. Paysquare offers end-to-end services in payroll processing, from basic payroll calculations, meeting statutory compliances, facilitating transparent employee communication, while ensuring complete confidentiality. Paysquare - Payroll Services | Vision, Mission & Values Vision

To be one of the most trusted and recognized vendors in the managed payroll services business, both in India as well as internationally.

Mission

To provide unmatched value to customers, while offering managed payroll services and build strong & dependable long-lasting partnership

Values Team work : To work together in meeting customer requirements consistently

Integrity & Transparency : To be ethical, sincere and open in all our transactions

Passion :

To

innovate

and

provide

the

finest

value

to

customers

Trust : To ensure confidentiality through our engagements and build trust

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TeamLease
TeamLease Services Private Ltd is Indias largest and foremost people supply chain and HR Services Company. Established in 2002, TeamLease provides corporate clients a one stop solution for all their staffing and HR requirements; offering a gamut of services. Over the last decade, we have emerged as a preferred service partner to a majority of leading Indian and multi-national companies. Our three legged service offering has been designed keeping in mind three most critical needs in todays context; needs both of Corporate India as well as India as a whole. Hiring: Temp Staffing as well as on rolls hiring; non technical as well as technical hiring. Hygiene: Managing Payroll, Compliances and HR Administration for temp employees; Payroll Process Outsourcing; and comprehensive Regulatory and Labor Law support services Productivity: A well crafted platform for Assessments, Training and certification to ensure a productive workforce. With our corporate office in Bangalore and other fully fledged offices in Mumbai, Delhi, Chennai, Hyderabad, Kolkata, Ahmadabad and Pune, TeamLease has a national footprint with 75,000 deputed employees across more than 800 locations. We engage with more than 1400 Corporate Clients and work across industry verticals catering to requirements of leading names in BFSI, FMCG and Consumer Durables, Retail, Telecom, IT, BPO and ITES, Automobiles, Services, Manufacturing, Engineering and several other sectors. Offering a gamut of services that include Temporary Staffing, Permanent Recruitments,

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Payroll Process Outsourcing, Regulatory Compliance Services, Training and Assessments; TeamLease is probably the only integrated HR services provider, offering corporate customers an end to end solution.

Aon-Hewitt
Human Resources Aon Hewitt is the worlds pre-eminent human resources consulting and outsourcing firm with the resources, expertise, and global reach to solve the most pressing and complex people challenges that organizations face today. They employ the strongest team of professionals in the industry, who have access to the widest breadth and depth of research, platforms, and services in more locations and for more industry segments than any other human capital firm. Their singular focus is on their clients: They deliver distinctive value, top-rated customer service, and measurable business impact. Consulting Services The importance of people to the global economy has never been greater. CEOs increasingly rate human resources issues among their top challenges and business priorities. To compete effectively, businesses need strategies for attracting, rewarding, retaining and motivating the best talent in their industry. Aon Hewitt consultants are helping companies solve some of their most complex people challenges. They work with clients to design incentive programs, manage pension risk, develop investment strategies, optimize organizational structures to improve business results and guide clients through retirement, pension and health care reform. No team is better equipped with industry-leading talent, proactive thought leadership and innovative solutions than Aon Hewitt. HR Business Process Outsourcing They are pioneers in the HR business process outsourcing (HR BPO) industry and were one of the first providers to offer multi-process services. Today they serve more clients than any

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provider, and their client satisfaction is the best in the industry. The 2010 Black Book of Outsourcing, an independent research firm that surveys the buyers of HR BPO services, reports that Aon Hewitt is ranked #1 in client satisfaction among all providers.

As the largest benefits and broad HR BPO provider in the world, Aon Hewitt handles more than 240 million HR-related customer interactions a year for more than 21 million employees and retirees. Whether your organization is a complex global enterprise, a growing mid-sized business, or somewhere in between, they can help you:

Lower and control costs Improve delivery Reduce compliance risk Free up time to focus on strategic HR Improve the ROI of your HR investments Their Administrative Services Their administrative services leverage best-practice processes and innovative technology solutions that enable employees, managers and HR professionals to acquire, develop, reward and manage their workforce effectively. Their administrative solution is comprehensive and includes the following services:

Workforce Administration Payroll Total Rewards Learning and Development Services Performance Management Services Recruitment Process and Staffing Outsourcing Absence Management Flexible Spending Account Administration Dependent Verification Services

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Advocacy Services Compliance Services Supplier Management Executive Workforce Analytics Specialized HR Solutions Retirement and Financial Services

Chapter 2 METHODOLOGY: Prime Objective

To study the current market scenario. To understand the buying behavior of the corporate. Client acquisition through Tele Calls, Client Visits To know the potential for payroll and related compliances market in Mumbai and to find the right medium to reach the right audience. To study the general awareness among corporate.

Sampling Design & Sample Size

Selected 4 Sectors, namely IT, BFSI, FMCG & Hospitality. Covered 100 corporate, 25 from each sector.

Method used:
A survey is any activity that collects information in an organized and methodical manner about characteristics of interest from some or all units of a population using well-defined concepts, methods and procedures, and compiles such information into a useful summary form. A survey usually begins with the need for information where no data or insufficient data exist. A survey can be thought to consist of several interconnected steps which include: defining the objectives, selecting a survey frame, determining the sample design,
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designing the questionnaire, collecting and processing the data, analyzing and disseminating the data and documenting the survey. After the Identification of Objectives and Purpose of the Research Project, the secondary data was analyzed first followed by collection of primary data.

Steps of a Survey
It may appear that conducting a survey is a simple procedure of asking questions and then compiling the answers to produce statistics. However, a survey must be carried out step by step, following precise procedures and formulas, if the results are to yield accurate and meaningful information. In order to understand the entire process it is necessary to understand the individual tasks and how they are interconnected and related. The steps of a survey are: Formulation of the Statement of Objectives Selection of a survey frame Determination of the sample design Questionnaire design Data collection Data capture and coding Editing and imputation Estimation Data analysis Data dissemination Documentation.

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Primary Data:
Research methodology specifies two types of approaches for primary research which are Quantitative approach and Qualitative approach. Quantitative research is based on the measurement of quantity or amount. In depth interview was the method chosen for this project since the main objective of the research is to understand potential Of Training Markets. The interviews were either telephonic, personal interviews & Emails. The details of these methods are as follows -

Questionnaire
Questionnaire are a popular means of collecting data, but are difficult to design and often require many rewrites before an acceptable questionnaire is produced. The Reason why I went with questionnaire was Understanding of the underlying objectives for Companies attitudes, preferences or behavior. The interview was done by asking general questions. I encourage the respondent to talk freely

One to One Interaction: The investigator follows a rigid procedure and seeks answers
to a set of pre-conceived questions through personal interactions. This method of collecting data is usually carried out in a structured way where output depends upon the ability of the interviewer to a large extent. I collect supplementary information about the companies environment which is often of great value in interpreting results Interacting one to one helped enhancing the type of data collected as well as my
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confidence. More information was collected apart from the questions in the questionnaire

Emails:An online questionnaire was made to send the companies who could respond through emails. It helped me gaining the following insights: Making an formal and well organised questionnaire in an online format Accessing the page and obtaining information through the spread sheets It helped me to improve the understanding of the problems.

Telephonic interviews: This method of collecting information involves contacting the

respondents on telephone itself. This is not a very widely used method but it plays an important role in industrial surveys in developed regions, particularly, when the survey has to be accomplished in a very limited time. Wide sector was covered by me through this because it was easy to do Recall, Call backs to collect economical data. With the help of this method I could quickly obtain the information.

Secondary Data:
Secondary data is the data that have been already collected by and readily available from other sources. Such data are cheaper and more quickly obtainable than the primary data and also may be available when primary data cannot be obtained at all. The data was collected from secondary sources like company brochures, newspapers, internet, reports, etc.

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Benefits

They were relatively easy to administer. This was developed in less time compared with other data-collection methods. It was cost-effective. Useful in describing the characteristics of a large population. Efficiently collected information from a large number of respondents. Statistical techniques were applied to the survey data to determine validity, reliability, and statistical significance even when analyzing multiple variables.

Many questions were asked about a given topic giving considerable flexibility to the analysis.

Limitations Respondents' motivation, honesty, memory, and ability to respond: Respondents may not be motivated to give accurate answers. Respondents may be motivated to give answers that present themselves in a
favorable light.

Respondents may not be fully aware of their reasons for any given action. Limited amount of secondary data. Sample size of corporate.
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Structured surveys, particularly those with closed ended questions, may have
low validity when researching affective variables.

Time constraint. Length of the questionnaires for corporate.

Chapter 3 Project 1 Lead Generation for B2B Sales

Objective: To generate hot prospects for Ascent, understand the problem area and provide solutions for the same. Nurture the accounts and find out interested clients. Process: Calling corporate and introducing Ascent to it. Fixing up meetings with them and try to get a closure. A sample of lead generated table is given below along with the findings.

Sector

Date

Companies Interested

Interaction time (Approx.)

Findings

Manufacturing

May 17th 2012

Welspun Corp Ltd

50 Mins

Really interested has also agreed for a second round of meeting. High chances of conversion.
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May 21st 2012 Sempertrans Nirlon Ltd.

25 Mins

A small organization hence convinced for a webX. Sounded interested, will take matter further

May 25th 2012

KEC International

60 Mins

Big account needs nurturing and can get converted.

June 4th 2012

Kokuyo Camlin

60 Mins

Problem area was management does not outsource, recently collaborated with a Japanese company so now can look forward for outsourcing.

May 30th 2012

Rallis India Ltd.

50 Mins

Have convinced them and are on the final stage of outsourcing to Ascent.

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June 12th 2012

Advance Tech control

30 Mins

Not really interested in outsourcing.

June 21st 2012 National Organic Chemical Industries

50 Mins

Very big organization will take time to decide regarding outsourcing; will revert back in near future.

June 25th 2012

RMC Readymix

70 Mins

Were more interested in Labor Law compliances. Payroll is done internally.

Sector

Date

Companies Interested

Interaction time (Approx.)

Findings

Others

May 10th 2012 News wire 18

60 Mins

Were really interested have outsourced to Ascent a small account.

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May 17th 2012 Krystal Integrated Services Pvt. Ltd.

40 Mins

Currently processing it internally. Convinced them on the cost part and fixed up a meeting.

May 18th 2012 NucSoft

60 Mins

A small organization but willing agreed to outsource. Meeting took place.

May 17th 2012 You Broadband

50 Mins

Agreed to meet but not looking for outsourcing in near future.

May 18th 2012 Centre for Development of Advance Computing June 1st 2012

50 Mins

Looking for outsourcing firm but will take decision in next fiscal year.

Kores India Ltd.

40 Mins

More interested in Labor law Compliances, agreed to meet & can be converted in near future.

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June 5th 2012

Carwale

60 Mins

Looking forward for Payroll & HRIS outsourcing.

June 6th 2012

SISPL

30 Mins

Big organization is interested but management needs time to decide on outsourcing.

June 21st 2012

Travel & Worldwide Money

40 Mins

Had a meeting but not keen on outsourcing

June 20th 2012 Cheers Interactive

30 Mins

Meeting took place but requirement is of tax filing hence transferred the lead to sister concern Invest Ascent.

June 23rd 2012 Arrow Coated Production

40 Mins

Manufacturing organization looking for labor law compliances.

June 02nd 2012

Bisleri

90 Mins

Convinced on compensation

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benchmarking. Agreed to meet and take matters further. June 26th 2012 Karvel Travel Services Pvt. Ltd June 28th 2012 Ambit Holdings Pvt. Ltd. 50 Mins 60 Mins More interested in Payroll. A good meeting, chances of outsourcing are high. Will have to nurture the account. June 30th 2012 Skypack 100 Mins Was really interested in Ascents deliverables. As of now outsourced. But interested to meet in near future.

Sector

Date

Companies Interested

Interaction time (Approx.)

Findings

Hospitality

May 24th 2012 SK Gourmet Catering Pvt.

30 Mins

Had a meeting as of now no

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Ltd. May 23rd 2012 Breach Candy Hospital

plans to outsource. 60 Mins Was really interested will most probably go for outsourcing.

May 29th 2012 Lilavati Hospital & Research centre

50 Mins

Were doing it internally as they were not sure if outsourcing firms can handle payroll of hospitals. Eventually convinced.

June 15th 2012 Wockhardt

60 Mins

A meeting will take place in September. Spoke to them and they are convinced to change service provider. As of now outsourced.

June 20th 2012 Ginger Hotels

30 Mins

As of now not really convinced for

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outsourcing but a good company to target in future. June 25th 2012 Graviss Group 80 Mins A tentative meeting fixed for next month as they are really interested in outsourcing payroll.

Sector

Date

Companies Interested

Interaction time (Approx.)

Findings

Logistics

June 19th 2012 Express Global Logistic Pvt. Ltd.

40 Mins

They are really interested. As of now outsourced to local vendor but are looking for a change as they are facing a problem in compliances.

June 1st 2012

Maersk Logistics 50 Mins India Pvt. Ltd.

They are looking for outsourcing

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partner. Hot prospect.

Sector

Date

Companies Interested

Interaction time (Approx.)

Findings

Infrastructure

May 18th 2012

RNA Builders

30 Mins

More interested in Payroll. Almost convinced, need to nurture the account.

May 22st 2012

Spanco Ltd.

45 Mins

Problem area was, as they are doing it internally they were worried about the existing team. Agreed to meet as an effective solution was given.

May 28th 2012 Tecnimont ICB Pvt. Ltd.

50 Mins

Had a good meeting, decide on outsourcing and will get back to Ascent later.
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June 13th 2012 Asia Powercom Pvt. Ltd.

30 Mins

not really interested in outsourcing as of now.

Sector

Date

Companies Interested

Interaction time (Approx.)

Findings

Consumer Goods

July 7th 2012

Godrej & Boyce

70 Mins

Meeting will take place sounded really interested. High probability of getting converted.

July 10th 2012

Dodsal

90 Mins

Ascent is in talks with two SBUs of Dodsal probability is high of getting converted.

Sector

Date

Companies Interested

Interaction time

Findings

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(Approx.) Real Estate July 10th 2012 Cushman & Wakefield 90 Mins They are impressed with Ascents offerings convinced them for a meeting.

Project 2: Comprehensive Market Study for Payroll and Payroll Related Compliances in Mumbai
Objective: To know the potential for payroll and related compliances market in Mumbai and to find the right medium to reach the right audience. Process: Have visited most of the corporate park and covered the companies which have an employee size of more than 100. Four sectors were targeted namely BFSI, FMCG, IT and Hospitality. The questionnaire consists of all the questions which are necessary to generate the desired result. Benefits: As a student got maximum exposure as I visited several companies and understood the consumer behavior in the sector of HR services. For ascent: Will come to know its position in the market, target audience, reasons for not to outsource the services as well as to outsource the services. Will get an insight of consumer behavior.

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Analysis and Findings BFSI Sector

Question: How is the payroll function managed? Findings: Payroll Managed Valid Frequency Percent Valid Outsourced Internally Total 21 4 25 84.0 16.0 100.0 Percent 84.0 16.0 100.0 Cumulative Percent 84.0 100.0 Internally Outsourced

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Payroll managed (%)

90 80 70 60 50 40 30 20 10 0 Outsourced Internally 16 84

Analysis: Under BFSI sector 84% corporate have outsourced their payroll and payroll compliances services. From this we can conclude that there is a huge scope, as BFSI sector is open for outsourcing these services. HCCA is the major player in this sector (ref. Table ). The remaining 16% is not open for outsourcing as they have their internal team of CAs who does this job for them. Compliances are managed by local players.

Internal
Question: Do you process your payroll with Findings: Payroll Process Valid Frequency Percent Percent Cumulative Percent Software which one? Excel ERP which one? Other _________________

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Valid

Excel software Total

3 1 4 21 25

12.0 4.0 16.0 84.0 100.0

75.0 25.0 100.0

75.0 100.0

Missing System Total

Payroll Process (%)

80 70 60 50 40 30 20 10 0 Excel software 25 75

Analysis: From the above graph we can conclude that 75% are using excel sheets to process payroll and 25% use software. Excel sheet users bare minimum cost on the processing part but the salary of employee handling is there. Plus the time allotted to this process for inspection by senior managers carry cost. For software users the costs are high as the software are costly plus every year up gradation charges are included.

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Question: Do you think outsourcing is a good option? Findings: Outsourcing Good Option Valid Frequency Percent Valid no yes Total Missing System Total 1 3 4 21 25 4.0 12.0 16.0 84.0 100.0 Percent 25.0 75.0 100.0 Cumulative Percent 25.0 100.0 Yes No

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Outsourcing Good Option (%)

80 70 60 50 40 30 20 10 0 No

75

25

Yes

Analysis: As mentioned in the first analysis BFSI is a good sector to enter in as they are open to outsourcing. Analysis done on the corporate who do payroll and payroll compliances internally showed that they are open to outsourcing. 75% of corporate who do it internally think outsourcing as a good option. BFSI is a good sector to bank upon. These corporate just need a good deal and they will outsource these services.

Outsourced
Question: Name the players you know in this domain. Findings: Players(TOMA) _________________________ _________________________ _________________________ _________________________ _________________________

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Valid Frequency Percent Valid Local Players Talent Maximus HCCA ADP-Mafoi Aon-Hewitt Total Missing System Total 2 2 13 1 3 21 4 25 8.0 8.0 52.0 4.0 12.0 84.0 16.0 100.0 Percent 9.5 9.5 61.9 4.8 14.3 100.0

Cumulative Percent 9.5 19.0 81.0 85.7 100.0

TOMA (%)
70 60 50 40 30 20 10 0 Local Players Talent Maximus HCCA ADP-Mafoi Aon-Hewitt 9.5 9.5 4.7 14.2 61.9

Analysis: Graph shows that HCCA dominates BFSI sector. Main competitor in this sector for Ascent is HCCA as others have a nominal presence. As while interacting with corporate I came to know that HCCA is really good at managing relations and managing contacts are the real reason for its dominance in this sector.
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Total Awareness in BFSI Sector Findings: Valid Percent Valid Talent Maximus Top Source HCCA Team lease Paysquare Osource Ascent 47.5 38.2 76.2 52.3 47.6 47.6 19.1
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ADP-Mafoi Aon-Hewitt

76.2 80.9

Total Awareness %
90 80 70 60 50 40 30 20 10 0 76.2 47.5 52.3 47.6 47.6 19.1 76.2 80.9

38.2

Analysis: Although HCCA dominates the sector. HCCAs Top of Mind Awareness is highest but Total Awareness is highest of Aon-Hewitt. Ascent has a low awareness in BFSI sector. Very few corporate know about Ascent. Question: Are there better players in the market? Findings: Better Players in Market Yes No

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Valid Frequency Percent Valid No yes Total Missing System Total 7 14 21 4 25 28.0 56.0 84.0 16.0 100.0 Percent 33.3 66.7 100.0

Cumulative Percent 33.3 100.0

Better Players in the Market %

100 33.33 50 0 No Yes 66.66

Analysis: 66.66% of outsourced corporate agree to the fact that there are better players in the market. Ascent can capitalize on this fact and try to find out the pain areas of such corporate.

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FMCG Sector
Question: How is the payroll function managed? Findings: Payroll Managed Valid Frequency Percent Valid Outsourced Internally Total 11 14 25 44.0 56.0 100.0 Percent 44.0 56.0 100.0 Cumulative Percent 44.0 100.0 Internally Outsourced

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Payroll Managed %
60 40 20 0 Outsourced Internally 44 56

Analysis: FMCG is not open for outsourcing such services. Due to high competition and cost cutting this sector does not outsource such services. On interacting with these corporate, came to know that they are apprehensive of sharing their sacred information with some other organization.

Internal
Question: Do you process your payroll with Findings: Payroll Process Software which one? Excel ERP which one? Other _________________

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Valid Frequency Percent Valid Excel software Total Missing System Total 5 9 14 11 25 20.0 36.0 56.0 44.0 100.0 Percent 35.7 64.3 100.0

Cumulative Percent 35.7 100.0

Payroll Process %

35.7 Excel software 64.2

Analysis: Here majority of corporate process their payroll using software. As these companies are cost oriented, they can be convinced on the cost area and can be converted, as software charges are generally high. Question: Do you think outsourcing is a good option? Findings:
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Outsourcing Good Option Valid Frequency Percent Valid no yes Total Missing System Total 10 4 14 11 25 40.0 16.0 56.0 44.0 100.0 Percent 71.4 28.6 100.0 Cumulative Percent 71.4 100.0

Outsourcing Good Option %

100 50 0 no yes 71.4 28.5

Analysis: Majority of corporate who does payroll internally i.e. 71.4% does not feel like outsourcing. They are happy doing it internally and do not wish to experiment with outsourcing. FMCG is a tough sector to crack as 64.2% does payroll internally and out of that 71.4% do not wish to outsource.

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Outsourced
Question: Name the players you know in this domain Findings: Players(TOMA) Valid Frequency Percent Valid Team lease Paysquare Osource ADP-Mafoi Aon-Hewitt Total Missing System Total 1 2 1 3 4 11 14 25 4.0 8.0 4.0 12.0 16.0 44.0 56.0 100.0 Percent 9.1 18.2 9.1 27.3 36.4 100.0 Cumulative Percent 9.1 27.3 36.4 63.6 100.0

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TOMA %
Aon-Hewitt ADP-Mafoi Osource Paysquare Team lease 0 9.09 10 20 30 40 9.09 18.18 27.27 36.36

Analysis: No dominant player can be seen under this sector. The leading players are AonHewitt and ADP-Mafoi.

Total Awareness in FMCG Sector Findings:

Total Awareness %
80 70 60 50 40 30 20 10 0 72.8 54.6 54.6 63.7 36.36 66.8 52.7 36.4 39.9 27.3

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Analysis: As there are no dominant players in this sector the total awareness graph also indicates de same thing. Ascent is at 2nd position in this sector. Although total awareness is high it does not have a TOMA.

Question: Are there better players in the market? Findings: Yes No

Better Players in Market Valid Frequency Percent Valid No yes Total Missing System Total 3 8 11 14 25 12.0 32.0 44.0 56.0 100.0 Percent 27.3 72.7 100.0 Cumulative Percent 27.3 100.0

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Better Players in the Market %

27.27 No 72.72 yes

Analysis: Although this sector is a hard to penetrate but a good scope. As majority of market is untapped and the ones who have outsourced are not happy with their current service provider/ they agree there are better players.

IT Sector
Question: How is the payroll function managed? Findings: Payroll Managed Valid Frequency Percent Valid Outsourced Internally Total 6 19 25 24.0 76.0 100.0 Percent 24.0 76.0 100.0 Cumulative Percent 24.0 100.0 Internally Outsourced

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Payroll Managed %
24

Outsourced

Internally

76

20

40

60

80

Analysis: Finings show that IT sector does not outsource payroll, on interacting with corporate came to know that most of them have their own software to handle payroll. 76% does it internally. Although they are open to outsource payroll compliances part.

Internal
Question: Do you process your payroll with Findings: Payroll Process Valid Frequency Percent Valid ERP software 3 16 12.0 64.0 Percent 15.8 84.2 Cumulative Percent 15.8 100.0 Software which one? Excel ERP which one? Other _________________

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Total Missing System Total

19 6 25

76.0 24.0 100.0

100.0

Payroll Process %
100 50 0 ERP software

84.21 15.78

Analysis: As previously mentioned majority of corporate are doing it via software designed internally. So the cost for handling payroll is really low for them hence would not go for outsourcing. Outsourcing companies can pitch here for only compliances. Question: Do you think outsourcing is a good option? Findings: Outsourcing Good Option Valid Frequency Percent Valid no 7 28.0 Percent 36.8 Cumulative Percent 36.8
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yes Total Missing System Total

12 19 6 25

48.0 76.0 24.0 100.0

63.2 100.0

100.0

Outsourcing Good Option %

36.84 no yes

63.15

Analysis: IT Sector considers outsourcing of Payroll Compliances as a good option. So Ascent can target this sector only for compliances part and not for payroll.

Outsourced
Question: Name the players you know in this domain. _________________________ _________________________ _________________________ _________________________ _________________________
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Findings: TOMA1 Players(TOMA) Valid Frequency Percent Valid ADPMafoi AonHewitt Total Missing System Total 2 8.0 Percent 33.3 Cumulative Percent 33.3

4 6 19 25

16.0 24.0 76.0 100.0

66.7 100.0

100.0

TOMA %

33.33 ADP-Mafoi 66.67 Aon-Hewitt

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Analysis: TOMA in IT Sector is of Aon-Hewitt with 66.67%. Only two players are dominant in this sector, as outsourcing corporate is less.

Total Awareness in IT Sector Findings: Valid Percentage Team lease Paysquare Osource ADP-Mafoi Aon-Hewitt Ascent HCCA Top Source Talent Maximus Local Players 0 50% 66.8% 83.4% 66.7% 83.4% 50% 0 33.7% 44.9%

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Total Awareness in IT Sector %

100% 50% 0% 0 0 50% 66.80% 83.40% 66.70% 50% 33.70% 44.90% 83.40%

Analysis: Total Awareness in It sector is highest of Osource & Aon-Hewitt with 83.40%, while Ascent is at 4th position with 50%. There is a tough competition for Ascent with Osource, Aon-Hewitt, Paysquare, ADP-Mafoi & Team lease.

Question: Are there better players in the market? Findings: Better Players in Market Valid Frequency Percent Valid No yes 2 4 8.0 16.0 Percent 33.3 66.7 Cumulative Percent 33.3 100.0
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Total Missing System Total

6 19 25

24.0 76.0 100.0

100.0

Better Players in Market %

33.33

66.66

No yes

Analysis: 66.66% of corporate believes that there are better players in the market as compared to their own service partner. Its a positive indication for Ascent to bank upon.

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Hospitality Sector
Question: How is the payroll function managed? Findings: Payroll Managed Valid Frequency Percent Valid Outsourced Internally Total Missing System Total 16 9 25 1 26 61.5 34.6 96.2 3.8 100.0 Percent 64.0 36.0 100.0 Cumulative Percent 64.0 100.0 Internally Outsourced

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Payroll Managed %
70 60 50 40 30 20 10 0 Outsourced Internally 64 36

Analysis: Hospitality looks a good sector to target as they are open for outsourcing. It gives a confidence among the payroll industry experts to put a strong trend analysis of increasing reliability on the outsourcing. As the Sector is not explored fully and the benefits are not conveyed among the corporate sector, 64% looks attractive share and it would be increasing with time.

Internal
Question: Do you process your payroll with Findings: Payroll Process Valid Frequency Percent Percent Cumulative Percent Software which one? Excel ERP which one? Other _________________

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Valid

ERP Excel software Total

4 2 3 9 17 26

15.4 7.7 11.5 34.6 65.4 100.0

44.4 22.2 33.3 100.0

44.4 66.7 100.0

Missing System Total

Payroll Process %
60 40 20 0 ERP Excel software 44.44 22.22 33.33

Analysis: Research shows that Hospitality sector spends a huge chunk of money in installing ERP & Software. These corporate can be converted as they are ready to spend, outsourcing costs are relatively low than an ERP. Moreover ERP doesnt take care of Compliances, whereas under outsourcing compliances are also taken care of. Question: Do you think outsourcing is a good option? Findings: Outsourcing Good Option Yes No

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Valid Frequency Percent Valid no yes Total Missing System Total 3 6 9 17 26 11.5 23.1 34.6 65.4 100.0 Percent 33.3 66.7 100.0

Cumulative Percent 33.3 100.0

Outsourcing Good Option %

33.33

no 66.66 yes

Analysis: Hospitality sector is open for spending plus they also agree that outsourcing is a good option. Ascent has a good opportunity in this sector.

Outsourced
Question: Name the players you know in this domain.

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_________________________ _________________________ _________________________ _________________________ _________________________

Findings: Players(TOMA) Valid Frequency Percent Valid Talent Maximus Top Source Team lease Osource ADP-Mafoi Aon-Hewitt Total Missing System Total 1 1 3 2 3 6 16 10 26 3.8 3.8 11.5 7.7 11.5 23.1 61.5 38.5 100.0 Percent 6.2 6.2 18.8 12.5 18.8 37.5 100.0 Cumulative Percent 6.2 12.5 31.2 43.8 62.5 100.0

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TOMA %
40 30 20 10 0 37.5 6.25 6.25 18.75 12.5 18.75

Analysis: TOMA of Aon-Hewitt is highest under Hospitality sector followed by ADP-Mafoi & Team Lease. Ascent has a competition with Aon-Hewitt in this sector. Total Awareness in Hospitality Sector Valid Percent Valid Local Players Talent Maximus Top Source HCCA Team lease Paysquare Osource Ascent ADP-Mafoi 24.9% 43.6% 62.4% 31.2% 62.6% 56.2% 47.3% 56.2% 56.3%
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Aon-Hewitt

49.9%

Total Awareness in Hospitality Sector %

62.40% 70.00% 60.00% 50.00% 40.00% 30.00% 20.00% 10.00% 0.00% 43.60% 24.90% 31.20% 62.60% 56.20% 49.90% 56.20% 56.30% 47.30%

Analysis: Although Ascent doesnt have TOMA, its Total Awareness is good. This shows that under Hospitality sector corporate are aware of Ascent. Ascent can focus on this sector as corporate are aware of Ascent as well as they are open for outsourcing. Hospitality is a good sector to bank upon for Ascent. Question: Are there better players in the market? Findings: Better Players in Market Valid Frequency Percent Percent Cumulative Percent Yes No Eg: ___________________

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Valid

No yes Total

6 10 16 10 26

23.1 38.5 61.5 38.5 100.0

37.5 62.5 100.0

37.5 100.0

Missing System Total

Better Players in Market %

37.5 No yes

62.5

Analysis: The above graph shows that corporate who have outsourced agree that there are better players in the market. This indicates if given a good deal they can switch. Ascent can try and find pain areas of these corporate and capitalize on it.

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Combined Analysis
Under this all the four sectors are combined into one and analysis is drawn. Question: How is the payroll function managed? Findings: Payroll Managed Valid Frequency Percent Valid Outsourced Internally Total 54 46 100 54.0 46.0 100.0 Percent 54.0 46.0 100.0 Cumulative Percent 54.0 100.0 Internally Outsourced

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Payroll Managed %

46 54 Outsourced Internally

Analysis: The above graph indicates that the market is equally divided there are corporate who are open for outsourcing along with the ones who does not wish to outsource. There is a huge scope to tap the untouched market along with focusing on the corporate that are open for outsourcing.

Internal
Question: Do you process your payroll with Findings: Payroll Process Software which one? Excel ERP which one? Other _________________

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Valid Frequency Percent Valid ERP Excel software Total Missing System Total 7 10 29 46 54 100 7.0 10.0 29.0 46.0 54.0 100.0 Percent 15.2 21.7 63.0 100.0

Cumulative Percent 15.2 37.0 100.0

Payroll Process %
80 60 40 20 0 ERP Excel software 15.21 21.73 63.04

Analysis: Research shows that 63% companies do their payroll via software. This is a really good segment to tap, as software charges are usually high when compared to outsourcing.

Question: Do you think outsourcing is a good option? Findings: Yes No

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Outsourcing Good Option Valid Frequency Percent Valid no yes Total Missing System Total 21 25 46 54 100 21.0 25.0 46.0 54.0 100.0 Percent 45.7 54.3 100.0 Cumulative Percent 45.7 100.0

Outsourcing Good Option %

45.65 54.34 no yes

Analysis: As already seen most of the companies do payroll via software. Over here we can say that more than 50% agree that outsourcing is a good option. As they ready to spend and ready to experiment with outsourcing all Ascent need to do is convince them on security and accuracy part.

Outsourced
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Question: Name the players you know in this domain. _________________________ _________________________ _________________________ _________________________ _________________________

Findings: Players(TOMA) Valid Frequency Percent Valid Local Players Talent Maximus Top Source HCCA Team lease Paysquare Osource ADP-Mafoi Aon-Hewitt Total 2 3 1 13 4 2 3 9 17 54 2.0 3.0 1.0 13.0 4.0 2.0 3.0 9.0 17.0 54.0 Percent 3.7 5.6 1.9 24.1 7.4 3.7 5.6 16.7 31.5 100.0
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Cumulative Percent 3.7 9.3 11.1 35.2 42.6 46.3 51.9 68.5 100.0

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Missing System Total

46 100

46.0 100.0

TOMA1
40.00% 30.00% 20.00% 10.00% 0.00% 24.07% 3.70% 5.55% 1.85% 7.40% 3.70% 5.55% 16.66% 31.48%

Analysis: TOMA is highest of Aon-Hewitt with 31.48%. Ascent doesnt have a TOMA. This is one area in which Ascent needs to really work upon. It needs to market itself to gain a position in the minds of corporate.

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Total Awareness Valid Percent Valid Local Players Talent Maximus Top Source HCCA Team lease Paysquare Osource Ascent ADP-Mafoi Aon-Hewitt Total Missing System Total 18.6% 44.6% 50.1% 46.4% 55.6% 57.5% 55.7% 37.1% 66.8% 68.6% 100.0%

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Total Awareness %
100.00% 50.00% 0.00% 50.10% 44.60% 18.60% 55.60% 55.70% 66.80% 68.60% 46.40% 57.50% 37.10%

Analysis: Total Awareness of Aon-Hewitt and ADP-Mafoi is the highest. Ascents Total awareness is really low. Only 37% companies know about Ascent which is a really poor score. Ascent doesnt have a TOMA plus Total Awareness is also very low. Ascent have to work really hard to market itself and acquire a place in the market. Question: Are there better players in the market? Findings: Better Players in Market Valid Frequency Percent Valid No yes Total Missing System Total 18 36 54 46 100 18.0 36.0 54.0 46.0 100.0 Percent 33.3 66.7 100.0 Cumulative Percent 33.3 100.0 Yes No

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Better Players in Market %

33.33

No 66.66 yes

Analysis: Majority of companies arent happy with their current service provider.

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Chapter 4 Conclusion
Conclusions are given sector wise.

BFSI Sector
Majority of corporate has outsourced their payroll services. HCCA is a dominant player in this market They believe Outsourcing is a good option. Majority of them choose outsourcing partner via references. Total awareness in this sector is highest of HCCA, ADP-Mafoi & Aon-Hewitt. BFSI Sector wants their service partner to have an expertise in Domain Knowledge, Processing Accuracy, National Presence, and Processing Time & Employee Satisfaction. More than half are not happy with their current service partner. They are mainly interested in Payroll & Payroll Compliances.

IT Sector
Majority of corporate are managing their payroll services internally. 85% of them are managing it with the help of internally designed Software. 64% agree that outsourcing is a good option but only on the Compliances part. Aon-Hewitt & ADP-Mafoi are two main players in this market. Total awareness is highest of Aon-Hewitt & Osource, followed by ADP-Mafoi & Paysquare. IT Sector expects the service partner to be good at Processing Accuracy, National Presence, and Processing Time & Employee Satisfaction. Majority of them are not happy with their current service partner. They are mainly interested in Payroll & HIRS. More than 50% search for service partner via internet.
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FMCG Sector
FMCG Sector is almost equally divided between Outsourced & Internal. Majority of them do it via software. Hence spend more on Payroll. 72% believe outsourcing as a good option. Hence can be converted. Total awareness in this sector is highest of Paysquare followed by Ascent % ADPMafoi. This sector is almost equally dominated by four players namely, Aon-Hewitt, ADPMafoi, Paysquare & Top Source. FMCG sector want its service partner to be good at, Scalability, Data Security, Domain Knowledge, Processing Accuracy, National Presence, Handling of Compliances & IT Support. More than 70% are not happy with their current service partner. They are majorly interested in HIRS & Others(Recruitment, Temp Staffing, Software. etc) They search for service partner majorly via internet.

Hospitality Sector
Hospitality Sector is open for outsourcing. They majorly use ERP for managing Payroll. Hence already invested heavily. More than 65% agree that outsourcing is a good option. No dominant player can be seen in this sector. Total Awareness in this sector is highest of Team lease & Top Source. Hospitality sectors expectations from its service partner are Efficient Handling of Compliances, Processing Time & Overall Cost. More than 60% are not happy with their current service partner. This sector is majorly interested in Payroll & HRIS. They majorly search for service partner via Internet.
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Recommendations Target Sector:

According to research conducted I would suggest Ascent to Target FMCG & Hospitality sector.

Reasons:
These sectors are open for outsourcing. No dominant players are there, all stand equal. Ascent has a good Total Awareness in these sectors i.e. Corporate know about Ascent. Companies under these sectors who have already outsourced are not happy with their current service provider. These sectors are ready to spend.

Flanking Method:
According to research conducted we concluded that BFSI Sector is Highly Dominated by HCCA. BFSI is an influential and profitable sector to be into. Making an entry into BFSI sector with a normal approach is not possible. As HCCA has an amazing contact and relations.

Solution: Ascent can use Flanking Method for BFSI Sector. i.e. try and make entry into BFSI
sector via Foreign Market. As Ascent has his presence in other parts of world as well. Make an entry from there and regional corporate will automatically fall.

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General Recommendations: Ascent should become an Affinity Partner or Co-Brand with Insurance Companies as
LIC, Equipment Insurance etc is mandatory in most of the corporate. So Ascent can leverage on the affinity of these companies.

The smaller the firm, the more likely it is to outsource. This situation is not a surprise
because smaller organizations have fewer IT resources than those at the higher end of the market.

Other than Payroll, organizations also spend on outsourcing other HR BPO functions
like on- boarding, recruiting, hiring, training, organization development, compensation planning & strategy and exiting.

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