University of York The York Management School Working Paper No.

64 ISSN Number: 1743-4041 December 2011

Is Ghana an Emerging Destination for Business Process Outsourcing (BPO)? A Comparative Analysis between Ghana and India

Guggisberg Dowouna Masters Dissertation

This paper is circulated for discussion purposes only and its contents should be considered preliminary and use of any of its contents prohibited.

Acknowledge
This study could not have been possible without the full support of my family.

Next, I wish to express my appreciation and gratitude to all of my tutors at York University management school. Their devotion and sacrifice in sharing knowledge and academic experiences is really appreciated.

Most importantly, I want to say a big thanks to my supervisor Dr. David Taylor for his guidance and valuable suggestion throughout this dissertation.

Finally, I wish to thank my research respondents, interviewees and everyone who has contributed to the successful completion this dissertation.

Abstract
Purpose: The present study was designed to investigate Ghana as an emerging destination for business process outsourcing (BPO). The aim was to undertake a comparative analysis with India, a well-established BPO destination. Methodology: Indias data was collected from Taylor and Bain (2003b, 2004, and 2005). In Ghanas case, data from semi-structured interviews and self- completed questionnaires emailed to 25 BPO firms in Ghana were analysed. However, all data collected was guided by Terdiman and Bergs (2001) country selection model.

Findings: Analysis showed that, the wildest differences between Ghana and India were in the areas of quality initiative, regulatory environment, technological infrastructure, industry association, education system, working pattern and political stability. Overall, the analysis demonstrated that Ghana is not an emerging destination for BPO because with the exception of political stability and working pattern; Ghana failed to meet the most important factors that determine country competitiveness as BPO destination.

Limitation: Limited sample size and the generalisation of results to all BPO providers in Ghana and India; ignoring possible regional differences in each context.

Implication and Originality: This dissertation provides BPO providers who are considering West Africa as a potential market, a comprehensive analysis of the current situation in Ghana.

Table of Content
Acknowledge ................................................................................................................. 2 Abstract .......................................................................................................................... 3 Chapter 1: Introduction .................................................................................................. 8 1.1. Background of Dissertation ............................................................................. 8 1.2. Overview of BPO in India ............................................................................. 10 1.3. Overview of BPO in Ghana .............................................................................. 12 1.4. Research Aims and Research Questions ........................................................... 16 1.5. Overview of this Dissertation ........................................................................... 17 Chapter 2: Literature Review ....................................................................................... 19 2.1. Introduction ....................................................................................................... 19 2.2. Definitions......................................................................................................... 19 2.3. Review of Studies on BPO in India .................................................................. 20 2.4. Review of BPO Literature in Ghana ................................................................. 23 2.5. Theoretical framework ...................................................................................... 25 2.5.1. Review of Theories of BPO ....................................................................... 25 2.5.2. Relevant Theoretical Framework ............................................................... 28 2.6. Conclusion ........................................................................................................ 30 Chapter 3: Research Methodology and Data Collection.............................................. 31 3.1. Introduction ....................................................................................................... 31 3.2. Research Design................................................................................................ 31 3.3. Data Collection ................................................................................................. 32 3.4. Sampling Design ............................................................................................... 34 3.5. Data Analysis Design ........................................................................................ 35 3.6. Limitations of Data Collection.......................................................................... 36 3.7. Conclusion ........................................................................................................ 37 Chapter 4: Analysis of Findings .................................................................................. 38 4.1. Introduction ....................................................................................................... 38 4.1.1. Similarities between Ghana and India BPO Service Providers ................. 38 4.1.2. Differences between Ghana and India BPO Services Providers ............... 40 4.1.3. Key factors that motivate MNCs in offshoring BPO in Ghana or India .... 42 4.1.4. Strength and Weakness of India and Ghana BPO Service Providers ........ 47 4.1.5. Ghana is viable as BPO in the future not the present ................................ 52 4.1.6. Current maturity of Ghana as BPO destination ......................................... 53 4.1.7. Challenges and Suggestions on BPO in Ghana ......................................... 54 4.2. Conclusion ........................................................................................................ 55 Chapter 5: Discussion .................................................................................................. 56 Chapter 6: Conclusion and Recommendations ............................................................ 60 6.1. Recommendation for Ghana Government ........................................................ 61 6.1.1. Industry Association .................................................................................. 61 6.2. Recommendations to BPO providers in Ghana ................................................ 62 6.2.1. Strong Collaboration .................................................................................. 62 6.2.2. Practical BPO Training .............................................................................. 62 6.2.3. Strategic Alliances with Well-Established International BPO Firms ........ 62 References .................................................................................................................... 63 Appendix 1: Interview Questions Guide...................................................................... 74 Appendix 2 : Modified version of Jefferson (1984) transcription notation ................. 77 Appendix 3: Transcription of interview (Avansant Respondent) with modified version of Jefferson (1984) transcription notation.................................................................... 78 4

Appendix 4: Transcription of interview ( GASSCOM Respondent) with modified version of Jefferson (1984) transcription notation. ...................................................... 84 Appendix 5: Transcription of World Bank (2007) video interview on BPO in Ghana with modified version of Jefferson (1984) transcription notation. .............................. 90 Appendix 6: Taylor and Bain (2003b) Report- Data Evidence from India ................. 94 Appendix 7: Dissertation Questionnaires .................................................................... 95 Appendix 8: Dissertation Proposal ............................................................................ 103 Glossary (List of Abbreviations) ............................................................................... 117

List of Tables
Table 1.Size of global BPO market (US $ Bn) .............................................................. 8 Table 2. Ghana respondents and Taylor and Bains India respondents market orientation (in percentages).......................................................................................... 38 Table 3. Segment of business processes outsourced to Ghana and India respondentsTaylor and Bain (2003b) .............................................................................................. 39 Table 4. Size of Ghana and Taylor and Bains India respondents (firms) based on the number of employees ................................................................................................... 40 Table 5. Ownership of BPO firms in Ghana and India ................................................ 40 Table 6. Key government support activities cited by respondents from India (Taylor and Bain, 2003b) and Ghana. ....................................................................................... 44 Table 7. Responses on quality initiative by Ghanas respondents (in percentages) .... 45 Table 8. Responses on Ghanas respondents industry association (in percentage) .... 48 Table 9. Responses on Ghanas viability as a BPO in the future or present (in percentages) ................................................................................................................. 52 Table 10. Summary of responses to Ghanas current maturity as a BPO destination . 53 Table 11. Summary on challenges and improvement suggestions for Ghanas BPO Industry. ....................................................................................................................... 54

List of Figures
Figure 1: Review of Theoretical Perspectives on BPO ............................................... 26 Figure 2: Terdiman and Berg (2001) Country Selection Model .................................. 28

Chapter 1: Introduction
1.1. Background of Dissertation

In recent years, business process outsourcing (BPO) has become a critical part of service industries worldwide. They are on the increase not only in size but also in numbers (Barnes, 2001; Deery and Kinnie, 2004; Kotabe et al., 2008; McCormick, 2011). As the Information Technology Association of America 2004 report indicated, BPO increased at an annual compounded rate of 32 per cent between1998 and 2003; which created over a million service jobs worldwide (Forrester Research, 2002). In addition, it has been suggested that; the global demand for BPO was estimated at $847bn (billion) USD (United States of America Dollar) in 2004 and $1,082bn in 2007 (Chanda, 2008:420). The size of the global BPO segment realized and projected between 2000 and 2008 has increased immensely (see Table 1). All of these suggest that BPO has become a very important industry globally.

Table 1.Size of global BPO market (US $ Bn) Year 2000 2003 2008 (est) Size (US $ Bn) 119 234 310

Source: adapted from Chanda (2008) cited at 1 Business_process_outsourcing_in_India.

According to Duening and Click (2005), BPO is the movement of business processes (BP) from inside the organization to an external service provider. Correspondingly, Budhwar et al. (2006:881) argues that BPO is cost effective when the external service is offshored. This has been manifested in recent times (Taylor and Bain, 2008:132); with 55 per cent of Fortune 1000 companies outsourcing some part of their business operations to other countries (Chanda, 2008:420). What this point to, is that offshored service providers can be cost effective to organisations.

As Greene (2006) indicates, transition economies around the globe are involved in this BPO services; and interestingly more developing countries are aiming to become the destination for BPO. India has been a top destination for these services (Kang, 2008). As a result, this has played a vital role in Indias emergence as one of the fastest growing economies in the world (Chanda, 2008:423). Owing to this status; several studies have examined the role of BPO in India (Taylor and Bain, 2005; Budhwar et al., 2006; Richardson and Belt, 2001; Malik and Nilakant, 2011). Given Indias BPO role, comparative analysis to other countries have also been undertaken by other studies (Mehta et al., 2006; Chanda, 2008; Asaf et al., 2011). There has been limited research however; on BPO in African countries. For example, Kuada et al. (2009); and Mainsah and Mia (2004) have investigated BPO in Ghana from a multitheoretical perspective, and investment perspective respectively. Yet, neither of these studies was a comparative study. This dissertation is an attempt to fill that gap. Ghana will be analysed as a BPO case of an African country. The next section will give the current overview of BPO in India and Ghana as derived from existion literature.

1.2.

Overview of BPO in India

As AT Kearney 2009 report indicates, India is the leading country for offshore outsourcing; with a current BPO sector growth value of $47bn (Sourcingline, 2011). Hence, Indias BPO sector has become one of the notable growth catalysts for the Indian economy (National Association of Software and Services Companies (NASSCOM), 2011). Moreover Indias BPO sector has made direct and indirect contributions to varying socio-economic parameters: employment and standard of living (NASSCOM, 2011). Furthermore, it has been suggested that, America and Europe are the largest customers for the Indian outsourcing industry and account for 60 per cent and 31 per cent respectively of BPO exports (Sourcingline, 2011). All of these suggest the BPO industry has positively influenced the lives of Indians. In terms of the countrys overview, Central Intelligent Agency (CIA) factbook (2009) indicates that India has a population with 1.1 billion citizens. According to the World Bank 2004 quarterly report, the share of Indias BPO sector gross domestic product (GDP) has risen steadily over the years, with an average share of 52 per cent between 2000-2001 and 2005-2006. Besides the GDP, there is evidence to suggest that Indias BPO industry and information technology (IT) has been the backbone for the growth of a new entrepreneurial class; and attracting foreign direct investment (FDI) (Kumar and Joseph, 2005). What this points to; is that, Indias population, GDP, and IT have raised its BPO brand equity. However, Sourcingline report (2011) suggests that a countrys cost competitiveness, and its resources determine if a country is suitable for BPO. With cost competitiveness; employee compensation in India is significantly low compared to United States of America (USA). By way of illustration, junior voice and non-voice resources are about 10 per cent to 17 per cent of their USA counterparts. At the more senior levels, high skilled BPO employees and operations managers command about 21 per cent to 27 per cent of their American colleagues (Sourcingline, 2011). However, according to Klynveld Peat Marwick Goerdeler (KPMG) annual corporate and indirect tax survey (2009); taxes in India are high. This demonstrates that low employee remuneration compensates for high taxes in Indias BPO industry. 10

In evaluating Indias resources, CIA factbook (2009) suggests the countrys workforce as close to half a billion people. Arguably, this has been built on the availability of skilled and educated workers (Sourcingline, 2011). United Nations Educational, Scientific and Cultural Organization (UNESCO) in their 2009 Global Education Digest illustrates this point; indicating that 3 million new graduates are produced by Indias universities each year with about 16 per cent focusing on science and technology. Also, evidence from the International Telecommunications Union (ITU) 2009 report suggests that Indias technological readiness is relatively good. In sum, Indias workforce and technological readiness are vital resources to its BPO industry.

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1.3. Overview of BPO in Ghana

Ghana has been suggested as one of the rapidly developing nations for BPO (Peace FM Online, 2011). By way of illustration, Ghana was ranked as number one in subSaharan Africa (AT Kearney, 2009), thirteenth in the Top Outsourcing Countries in 2010 (Sourcingline, 2011) and a 25 per cent growth of its BPO sector (Sourcingline, 2011). Furthermore, Hallard (2011) argues that Ghana is attractive to European and American BPO firms because of its strategic position on the equator; sharing the same time zone with the United Kingdom. All of these suggest why Ghana is a rapidly developing nation for BPO. Ghanas country profile, tax cost competitiveness, resources, and business environment for BPO is examined as follows: In a review of Ghanas country profile, Babou (2010) notes Ghana as the first subSaharan colony in Africa to gain its independence. According to Ghana Statistical Service bulletin (2010), Ghana has a population of approximately 25 million with over 100 varying ethnic groups. As CIA factbook (2011) indicates, English is the official language used in business, government and educational institutions. Although, it has been suggested that Ghana is rich in natural resources; it is dependent on financial assistance from the World Bank and International Monetary Fund (IMF) (CIA factbook, 2011). For instance, it went under the Heavily Indebted Poor Country Program in 2002 and the Debt Relief Initiative in 2006 (Sourcingline, 2011). Also, there is evidence from World Bank report (2011), to suggest that 30 per cent of the population of Ghana lives below the international poverty line of $1.25 USD per day; with low GDP, just $18bn USD. However, a report by EconomyWatch (2011) indicated that agriculture (gold and cocoa) is mostly relied on by Ghanas domestic economy. The aforementioned difficulties notwisthanding, Ghana has been democratically stable for 19 years (CIA factbook, 2011). Similarly, Kaufmann et al. (2008) ranked Ghana as politically stable with the absence of violence and terrorism in the World Banks Governance Indicators 2008. Equally, the United States Department of Commerce report (2009:42) makes clear that, with a solid democratic tradition, Ghana offers a relatively stable and predictable political environment for investors. Correspondingly, it has been suggested that Ghana is the eleventh friendliest country in the world (Forbes Magazine, 2011). 12

On cost competitiveness, a report by the Consolidated Analysis Centre Incorporated (CACI) in 2010 demonstrates that, the main element in BPOs expense is corporate tax rates. According to a KPMG 2009 tax survey, Ghanas corporate tax rate is relatively low compared to China (25%) and India (34%). To illustrate this point, the government of Ghana has created tax free-zone (zero-tax) areas in the country for offshore businesses undertakings. Companies are then required to pay a tax rate of 8 per cent after the period ends (Sourcingline, 2011). This demonstrates Ghanas tax cost competitiveness.

Carmel and Tjia (2005) however, argues that the effectiveness and the size of a nations workforce also determine its competitiveness in the BPO industry. As CIA factbook (2009) posits, Ghana has a total workforce of around 11 million. In terms of education and skills, Sourcingline 2011 report reveals that, only 10,000 IT students graduate from Ghanaian universities annually. However, it has been suggested the country is developing BPO programs focusing on skills: customer service, typing and accent neutralization (Sourcingline, 2011).Yet a survey by Ghana Statistical Service (2010) shows that only 65 per cent of the total population are formally educated and only 14 per cent can speak English. Parveez (2009) noted however that, Ghana has an educated French speaking population. The evidence considered so far suggests that; with a small national workforce, Ghanas educated French speaking population can be inducted into its BPO industry. This could compensate for the low educated English speaking population.

Regarding technological readiness; Africanomics world press (2010) indicates that Africa has been plagued by poor telecommunication and internet infrastructure in the past. However, there is evidence showing Ghana among a few countries that had internet connection in the 1990s (Osiakwan and Foster, 2004). This was facilitated by the Accelerated Development Programme 1994-2000 (Alemna and Sam, 2006). This was part of the Structural Adjustment Programme of the World Bank (World Bank, 1999). Similarly, it has been suggested that, a fibre optic initiative (South Africa/West Africa Submarine Cable/South Africa Far East cable system) has enhanced access to information and communication technology (ICT) services in Ghana (Malcom, 2006). A classic example is the increased access to broadband internet bandwidth. This has heightened not only data and voice transmission speed 13

but also interactive multimedia applications in Ghana (Malcalm, 2006). A research by International Financial Corporation (cited in Jensen and Soderberg, 2003:8) indicated that this initiative has also created a favourable environment in Ghana; allowing for achievement in network consulting, system administration and data processing just to mention a few. Correspondingly, Jensen and Soderberg (2003:17) argue that the optic fibre hubs in Ghana have attracted foreign BPO firms: Affiliated Computer Services Incorporated and Rising Data Solutions to operate in Ghana. On the contrary, ITU (2009) report illustrated that, Ghana has the lowest number of internet users with just 4.2 internet users per 100 inhabitants. In sum, though Ghana has some technological infrastructures in place, it lags in terms of technological readiness for BPO. In evaluating Ghanas business environment: infrastructure and regulatory environment is explored as follows. It is a known fact that, electric power grid forms part of the metric for evaluating a countrys infrastructure for offshore outsourcing (Sourcingline, 2011). According to the Resource Centre for Energy Economics and Regulation (RCEER) report in 2005, the widespread usage of electric power in Africa including Ghana has significant implications for productivity. The electric power grid stability in Ghana is a major issue (Ghana Statistical Service, 2010). However, Obour (2010) argues that electrical power is very cheap in Ghana. The average tariff for electricity is a well-known example. It is just above 8 US cents per unit (Energy Commission, 2005). In terms of power failure, Electric Company of Ghana (ECG) 2004 annual report indicates that, the cost of fuel for powering generators and plants is quite less. This suggests that though Ghana has issues with electric power grid stability, it is less costly to find alternative to ensure uninterrupted supply. However, in evaluating Ghanas regulations: there is evidence from Sourcingline report (2011) to suggest, the overall ease of doing business is vital to a nations competitiveness. This includes: tax payments, worker employment, construction permit processing, contract enforcement and property registration. A survey by World Bank (2010) ranked Ghana below average. Thus, it takes 33 days on average to register a start-up in Ghana. However, the survey demonstrated that, it is only cheaper to pursue commercial cases for outsourcing activities in Ghana, with costs below 30 per cent. This suggests that, the overall ease of doing business in Ghana may have issues that need addressing. 14

Following an in-depth overview of BPO in Ghana, the next section presents the aims and the research questions of this dissertation.

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1.4. Research Aims and Research Questions

Based on the above overview of BPO in Ghana, this study attempts to investigate whether Ghana is an emerging destination for BPO in comparison to India, an established and market leader in BPO (Financial Times, 2010; McCormick, 2011). Thus, Ghanas competitiveness as a suitable destination for offshore outsourcing will be examined. Differences and similarities between Ghana and Indias BPO industries are also identified in this study.

The study uses data collected by Taylor and Bain in their empirical research; as evidence for activities in Indias BPO industry (Taylor and Bain, 2003b, 2004, 2005). On the other hand, data from Ghana was obtained from self-completed questionnaires and telephone interviewing. Moreover, secondary sources of data were also used to complement the data obtained on each country. The overall analysis of the data gathered fulfilled the aim of comparing BPO in India and Ghana; by addressing the following research questions:

What are the key factors that motivated multi-national corporations (MNCs) in off shoring BPO in Ghana or in India?

What are the similarities and differences of Ghana and India BPO service providers?

What are the strengths and weaknesses of Ghana and India BPO service providers?

Is Ghana capable of competing with India in BPO?

Is Ghana viable as a BPO in the present or future?

How matured is Ghana currently as a BPO destination? What are the implications of Ghanas emergence in the BPO market? 16

1.5. Overview of this Dissertation

This dissertation contains six chapters. In the introduction, it examines the background of BPO and the current state of BPO in India and Ghana. The purpose of this chapter is to briefly introduce the present study and provide an outline of the dissertation structure.

Chapter 2 (Literature Review) presents an overview of BPO studies in India and Ghana. It also discusses arguments relating to prominent theories of BPO. It then provides a theoretical framework for the study. The aim of Chapter 2 is to review literature, theories and arguments about BPO, and to link existing studies to the present study.

In Chapter 3 (Methodology), the research design, methods, and process for the current study is described and explained. The chapter also outlines the rational for each of the research tools in this dissertation. In addition, it elaborates the methods in analysing the data. The focus of Chapter 3 is to illustrate the research design of the study and to report the research process of the dissertation.

Chapter 4 (Analysis of Findings) presents the findings of the study collected with different research instruments. First, the chapter describes the findings of data related to India; collected from Taylor and Bains report, and other secondary sources. Next, it presents the findings collected by semi-structured interviews and self-completed questionnaires from Ghana. The findings from these two countries are then compared. Chapter 4 aims to present all the findings along with a preliminary analysis.

The discussion section of this dissertation contained in Chapter 5 begins with a summary of findings. It then compares and contrasts the present study with existing studies mentioned in Chapter 2, and in BPO discipline. The chapter also attempts to identify factors underlying and contributing to the research findings. There is an attempt to address the main research questions directly; and to discuss the findings on BPO in Ghana and India.

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The last chapter concludes the study and reviews the significance of its findings. It also speculates upon the implications for future research, and support some recommendations, in particular BPO in Ghana.

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Chapter 2: Literature Review

2.1. Introduction
This chapter begins by providing an inclusive definition of BPO considered in this study. Secondly, some of the studies on BPO in India will be examined. Next, a short research review on BPO in Ghana will be presented. Finally, it will review some of the prominent theories of BPO before presenting the theoretical framework adapted for this dissertation.

2.2. Definitions
According to Duening and Click (2005), BPO is the movement of BP from inside the organization to an external service provider; which arguably tend to be cost effective when the external service is offshored (Budhwar et al., 2006:881). These BP includes: recruitment and human resource management, fleet management, facilities, maintenance, legal services, invoicing and payroll. However, it has been suggested that, there are specific countries that specialize in these BP (Kang, 2008:17). For instance, there is evidence to suggest that, the following BP are outsourced to India: customer care, health care, finance, human resources, payment services, administration and IT (Barthelemy and Adsit, 2003; Feeny et al., 2005; Baldry et al., 2007; Chanda, 2008; Kang, 2008; Mcivor, 2011). With India, the model for comparison, the definition of BP in this dissertation includes all the BP outsourced to India. The next section reviews studies on BPO in India.

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2.3. Review of Studies on BPO in India

Research has been done on labour turnover (rate at which employer loses or gains employee), employee commitment, service quality, staff training, trade union; and stress management and control in Indias BPO industry (Fernie and Metcalf, 1998; Taylor and Bain, 2000; Taylor and Bain, 2000; Hutchinson et al., 2001; Batt and Moynihan, 2002; Taylor and Bain, 2003b; Taylor and Bain, 2004; Carton et al., 2004; Malik and Nilakant, 2011). By way of illustration: Ritzer (2004) studied new forms of knowledge work in Indias BPO industry. Bain et al. (2001) and Burgess and Connell (2004) looked into the organization of work within a taylorist paradigm (mass production), monotonous work, and excessive monitoring and control in Indias BPO sector. Moreover, a study by Vanden Broek (2002) and Taylor and Bain (2006) examines employee voice, resistance, and other coping mechanisms in Indias BPO sector.

Indeed, some of the literature highlighted the opportunities in India as a favourable destination for BPO. Batt and Appelbaum (1995) and Batt (1999) argued that, Indias BPO firms have empowered workers. Thus, they are more productive than routine workers. Also, it has been suggested that, India accounted for 75 per cent of the total BPO offshore delivery value in 2003; a value which increased by 55 per cent annually in the last three years (Neale, 2004). In the same vein, the Deutsche Bank paper (2005) makes clear that, there is a large labour cost savings of 20% - 40% from offshoring to India irrespective of other cost (infrastructure cost, management costs, and local adaptation cost). As Kumar and Joseph (2005) and Asher and Nandy (2006) posit, India has a vibrant national innovation system, and a liberal trade and investment policy regime. In addition, Indias outsourcing industry has shifted in revenue composition to a more sophisticated and higher end services, called knowledge process outsourcing (KPO) activities. This includes: risk analysis, business research, clinical research trials, medical image processing and diagnostics, and editorial selection and publishing, to name a few (Chanda, 2008). In addition, Indias robust and proven technology has been suggested as the key to its global success in BPO (Financial Times, 2010; McCormick, 2011).

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Most of the literatures above have examined the opportunities in Indias BPO industry. Yet, there has been several criticism and scrutiny of BPO in India due to a number of challenges. The McKinsey report (2003) illustrates this point; in India, there is a need to set up ofce space equivalent to several existing outsourcing hubs. This is at a rate of 25 million square feet per year which put cost pressures on the BPO industry (McKinsey, 2003). Elsewhere, it has been proposed that Indias cost advantage is offset partly by greater proportional expenditure equipment and telephony; and the requirement to provide alternative supplies of telecoms connectivity and power (McKinsey, 2003). In another vein, Taylor and Bain (2003b: 57) argues that, firms who have offshored in India cited accent, cultural difference and mistakes through misunderstanding as the greatest disadvantage they have experienced. Also, labour costs are rising, as rapid growth has produced hot spots marked by high and growing labour turnover, and inflating salaries (Taylor and Bain, 2004: 27-30). Deery and Kinnie (2004); and Houlihan (2004) postulate the reasons behind the high labour turnover in Indias BPO industry: the pressures of the job, lack of promotion opportunities, working time, phone rage, work-life balance, and the repetitive nature of work. Taylor and Bain (2005) critical review of BPO literature in India concluded that Indias industry reproduces a labour process that has proved problematical for UK and other countries employers and employees. Moreover, Budhwar et al. (2006) put forward that, there is a bureaucratic nature of the work settings of Indias BPO industry. This image has been referred to as the electronic sweatshop or panoptical wired cage (Budhwar et al., 2006). Thus, with few career prospects, work is de-skilled and monotonous, allocated automatically, and strictly monitored and controlled by management. Finally, recent events in India hint that, the countrys BPO industry is vulnerable. This includes: currency movements, terrorism, and major corporate scandals. According to AT Kearney 2009 report, Indias rupee (currency) per dollar was stronger in the late 2006 as compared to the early 2006. For instance, in 2007; it traded at 37 rupees per dollar as opposed to 47 rupees in early 2006 (AT Kearney, 2009). The 30 per cent cost increase in dollars raised questions about the sustainability of Indias BPO industry. Despite the rupee returning to normality in 2008 (AT Kearney, 2009), its development in 2007 shows how cost advantage can erode without warning. A cheaper destination can therefore be an alternative option. 21

In terms of terrorism, the Mumbai attack in November 2008 (Financial Times, 2008), the fatal cricketers attack (BBC, 2009) and Indias cross border tensions with Pakistan (Financial Times, 2010) indicate the risk of operations in India. With western interest being targeted in the Mumbai attack, other foreign interest could be next. Moreover, the reputation of India took a massive blow following the revelation of a large scale accountancy fraud at Satyam in India (BBC, 2011). This scandal has put Indias corporate governance practices and its regulatory environment under the spotlight.

Last but not the least, there has been examples of firms returning BPO to domestic destinations as they desert their location in India. This can be exemplified by Dell rerouting its corporate customer calls from Bangalore (India) to exiting US facilities (Graf and Mudambi, 2005). Customer complaints were the reason cited by Dell for its decision. Another typical example is United Airlines relocating its customer services from India to Chicago (Kundu, 2009). Similarly, Delta Airlines also moved its customer service from India to US in April 2009 (Perkon, 2011). Delta Airlines cited improvement and unacceptable customer service in India as the reasons behind its decision.

The search for alternative locations for BPO has accelerated because of the various challenges faced by India. Thus, several studies have examined other countries as a possible destination for BPO (AT Kearney, 2005b; Infocomm Development Authority of Singapore (IDA), 2006; Chanda, 2008; AT Kearney, 2009; McCormick, 2011; Asaf et al., 2011). However, there has been few research conducted in West Africa especially Ghana as a possible destination for BPO. The next section will present an overview of some of the research conducted on BPO in Ghana.

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2.4. Review of BPO Literature in Ghana

There is a paucity of BPO research in the West African region. However, BPO research in West Africa, and especially Ghana has begun to appear in the literature (Mainsah and Mia, 2004; Kuada et al., 2009). Mainsah and Mia (2004) examined Ghanas success in its attempt to grow investment in ICT and BPO sectors. These authors carried out an analysis of Ghanas investment environment in conjunction with a research survey of potential entrepreneurs; to inform their study. They however, concluded that Ghana is not competitive in comparison to other BPO countries, but competitive in such low-skill and low-margin areas: transcription services, account activation, surveys and basic customer care. In addition, they concluded that, a positive economic impact will justify Ghanas government efforts in investing in BPO. However, this study suffers from a number of problems. First, no theoretical framework was adopted in testing Ghanas success or otherwise in growing investment in ICT and BPO. Secondly, Ghanas investment environment was the only factor tested for ICT and BPO. The methodology for their research is also questionable. Their survey was conducted on Ghanaians living abroad; with the assumption that, they were potential investors and entrepreneurs. Arguably, the reliability of their source is questionable because it was part of a course work at Columbia University; thus not authoritative enough. These limitations make the conclusions from their study less convincing.

Kuada et al. (2009) on the other hand, used multiple-theoretical perspective to investigate BPO in Ghana. They examined the impact of onshore activities in Ghana based on selected Ghanaian firms as follows. First, the impact of foreign and local firms onshore outsourcing activities was highlighted. Secondly, an insight into challenges faced by firms and their suppliers in Ghana was considered. Third, the authors carried out a comparison of the outsourcing strategies between local (Ghanaian-owned) and foreign owned firms. In terms of enterprise development in Ghana, the authors concluded that, outsourcing is beneficial to organisations in Ghana. Moreover, they argued that, Ghanaian business organisations should reevaluate their BP. Thus, they should use internal business resources to exploit only 23

the core activities of their business. Conversely, this study was limited to onshore outsourcing. Also in terms of methodology, randomly selected firms were used in the research instead of BPO firms. Hence, there is a gap in this study that needs to be filled.

The above studies certainly contribute to our understanding of BPO in Ghana and perhaps the West African region. It must however be noted that, the first study (Mainsah and Mia, 2004) suffers from a number of problems which this dissertation will attempt to address. In addition, this research will aim to fill the gap mentioned in the second study (Kuada et al., 2009). Moreover, neither of these studies was a comparative analysis from a BPO firm perception in Ghana. This is another gap, which this dissertation will attempt to fill. The next section reviews some of the theoretical framework for BPO, followed by the relevant theoretical framework adopted for this study.

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2.5. Theoretical framework

Over the years, the study of BPO has been influenced by a number of theories (Kuada et al., 2009; Khan et al., 2010; McCormick, 2011). This section first reviews some of these theories. Next the justification for the theoretical framework adopted for this dissertation is discussed and outlined. 2.5.1. Review of Theories of BPO A review of some of the prominent theories of BPO is presented as follows: First, is the transaction-cost theory (TCT). According to this theory, the transaction and production cost associated with a service determines outsourcing decision (Williamson, 1975). This view has been equally supported by a number of scholars (Shelanski and Klein, 1995; Clark et al., 1995; Khan et al., 2010). Similarly, Lacity and Willcocks (1998); and Poppo and Zenger (2002) have also suggested that; to avoid opportunism, a detailed and formal contract between clients and vendors (sellers) is accentuated by this theory. Equally, Mahnke et al. (2005) argues that a firm will outsource its BP when transaction dimensions are low.

However, there is evidence to suggest that findings of TCT in BPO are less conclusive (Harrigan, 1986; Walker and Weber, 1987; Rindfleisch and Heide, 1997). As Ghoshal and Moran (1996) indicates, the formal and detailed contract advocated by TCT may rather result in opportunism and distrust. Thus, there will be no effort at maintaining a fairness reputation due to the presence of a contract (Baker et al., 2002). Mehta et al. (2006:327) has therefore criticized TCT for being over-specific thereby fostering distrust and rigidity among vendors.

Another classic theory that has influenced BPO is the resource based theory (RBT). Resource-based theorists (Prahalad and Hamel, 1990; Barney and Hesterly, 2010; Parayitam and Guru-Gharana, 2010) view firms as a unique bundle of assets and resources which can create competitive advantage if exploited to the maximum. Thus, a firm may outsource processes other than its core competencies (unique capabilities) or processes (Quinn, 1992; Dekkers, 2000; Fine, 2002; Wu et al. 2005; McIvor, 2010). For instance, Gilley and Rasheed (2000); and Steensma and Corley (2002) 25

argued that a rm should outsource its information technology activities (ITA), if it is not included in its core competences. In recent times, outsourcing critical resources and processes is essential for firms performance. Thus, in order to be competitive, firms have started outsourcing their core processes and activities (Mehta et al., 2006). For this reason, the RBT on BPO is unsatisfactory.

Relational view theory is another theory that has influenced BPO. Partnership is the main focus of this theory. Thus, relational rents (superior profit) are created when partners share, combine, or invest their assets, knowledge, or capabilities (Dyer and Singh, 1998). Interestingly, Mahnke et al. (2005) argues that, this may be relevant; where the BPO rms and vendors are mutually interdependent. Correspondingly, there is evidence from Mehta et al. (2006:328) to suggest that, a rm will only outsource if the vendor-client relationship offers relational rents generated through inter-firm exchange or sharing of knowledge, capabilities, and assets. Figure 1 below demonstrates the three theories reviewed above.

TransactionCost theory

Lower costs and focus on core competences

Lower costs and share resources

Resource-Based Theory Develop competences and share resources

Relational View Theory

Figure 1: Review of Theoretical Perspectives on BPO Source: adapted from Mehta et al. (2006)

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Although, BPO decisions may be driven by any one or a combination of these theories, the destination for BPO is arguably equally or more significant (Terdiman and Berg, 2001).The next section will state clearly the theoretical framework chosen for this study and the justification for this framework.

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2.5.2. Relevant Theoretical Framework Despite several theories informing studies on BPO; Terdiman and Bergs (2001) country selection model hinted earlier, is adapted as a relevant theoretical framework for this dissertation. This is because; there is evidence from Zatolyuk and Allgood (2004) and Kang (2008) to suggest that country selection model is an effective theoretical framework for comparative analysis studies of BPO. In addition, to the authors knowledge; there is limited research in BPO based on this theoretical framework. An adaption of this theoretical framework is an attempt to fill that gap. Figure 2 below makes clear this theoretical framework:

. Human expertise and resources Availability of skilled resources Educational system English proficiency Marketing skills

Country infrastructure Political stability Government support Regulatory environment Infrastructure

Cultural issues Work style Communication techniques Revere hierarchy

Figure 2: Terdiman and Berg (2001) Country Selection Model Source: adapted from Terdiman and Berg (2001)

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2.5.2.1. Country Infrastructure (adapted from Terdiman and Berg, 2001)

Government support Political and economic stability of the country. Countrys regulatory environment and its impact on business activities. Communication infrastructure and facilities available for business.

2.5.2.2. Human Expertise and Resources (adapted from Terdiman and Berg, 2001)

Use of quality certification. Availability of skilled labour resources. Competence of IT graduates. Foreign language proficiency. Knowledge of global business practices.

2.5.2.3. Cultural Issues (adapted from Terdiman and Berg, 2001)

Cultural difficulties Work style (shift pattern) Communication techniques

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2.6. Conclusion
In this chapter, the terminologies BPO and BP have clearly been defined. Literatures on BPO in India and Ghana have also been reviewed. In addition, a review of BPO theories has led to a relevant theoretical framework adapted for this research. Overall, these reviews have given an overview of BPO. Moreover, research gaps have been identified. Therefore, the purpose of this chapter is to give an intellectual rationale for the arguments in this dissertation. In the next chapter however, the methodology employed to investigate the research questions in Chapter 1, and to test the theoretical framework in this chapter will be explained.

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Chapter 3: Research Methodology and Data Collection

3.1. Introduction
As Jankowicz (2005) indicates, research methodology is the analysis of, and rational for, the particular method or methods used in a given study, and in that type of study in general. This chapter describes the research design, data collection, sampling design, data analysis, limitations of data collection as well as the rational for each design, and method employed in this study.

3.2. Research Design

Bryman and Bells (2007: 66) suggest a comparative research design as suitable for a cross-national research where the researcher(s) is particularly interested in issues in two or more countries. Hence, a comparative qualitative research design was adopted for this study. Data was therefore required from both India and Ghana.

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3.3. Data Collection

First, data evidence from India was based on secondary sources collected from empirical research by Phil Taylor and Peter Bain. This is because, both authors together carried out an extensive BPO research in India which lasted for three years. By way of illustration, these authors first undertook fieldwork in Delhi, Mumbai and Bangalore (BPO destination cities in India) in January-February and June 2003. Also they conducted a semi-structured interview with senior NASSCOM personnel, industry leaders, senior management of seven call centres, and trade union officials. Also, they provided a complementary perspective from their group discussion with workers from Mumbai. They further recorded and transcribed the proceedings of three major industry conferences in India. Moreover, they gathered extensive documentation on Indias development and published their research findings in a report form (Taylor and Bain, 2003b) and in subsequent journals (Taylor and Bain, 2004; 2005). This demonstrates that, this data from India was rich enough to be drawn upon. Ghanas data was collected from a primary and secondary source. Semi structured telephone interviews and self-completed questionnaires were the two research tools employed to collect primary data from Ghana. As Gubrium and Holstein (1997) indicates, a research where the primary objective is to gather data which gives authentic insight into peoples perception will favour semi- structured interviews. With data to be drawn from BPO firms perceptions, a semi-structured interviewing format was deemed appropriate. Similarly, there is evidence from Taylor and Bain using this technique in their collection of data from India. To this end, a semistructured telephone interview was conducted with a key personnel of Ghana Association of Software and IT Services Companies (GASSCOM) and Avasant separately. GASSCOM is Ghanas premier trade association for service industries with member companies involved in BPO services (GASSCOM, 2008). It was set up to be a strong advocate in soliciting government and other public sector support, and encourage the advancement of the BPO industry; as a strategic sector for the growth of the Ghanaian economy in the next millennium (GASSCOM, 2008). Avasant however, is a US-based BPO advisory company hired by the Government of Ghana in 2009 to re-brand and market Ghana as a preferred BPO destination (Ghana News 32

Agency (GNA), 2009). Possibly, authentic insight into BPO in Ghana could be gained from these respondents due to their background in BPO.

Prior to the interview, the whole process was planned: making appointment with respondents, informing the respondents about the context of the interview, and preparing an interview guide (see Appendix 1). This compares well with Spender (1989:79) argument that semi-structured interviewing combines unstructured interviews with a loose pattern of agreement with the interviewee about the context of enquiry. With the respondents already agreeing with the interviewing context, the telephone interview was conducted on 29th June 2011 for the Avasant respondent, with the GASSCOM respondent interview on the 11th of July 2011. Each interview lasted for 30 minutes. Despite the schedules including an interview guide, it was not the aim of the interviewing procedure to read these out verbatim (word for word). This is because there is evidence to suggest that there is no specific sequence of issues raised in semi-structured interviewing (Prasad, 1993:1409). Throughout the interviewing process, an in-depth conversational interviewing technique was aimed at encouraging the respondents to speak personally and at length about BPO, at the same time covering the main issues of interest. Thus a constant balance was struck between impersonality and rapport. The audio of the telephone interview was recorded with a digital recorder which guaranteed a good sound quality. Good sound quality is essential because what the respondents say is not the only thing of interest, but how they say it enhanced transcription. Transcription of both interviews is explained in the data analysis section of this chapter.

Upon reflection, it appears that, the respondents answers to the questions were honest but the Avasant respondent was however hesitant to some of the interview questions. This could be that, the telephone interview was conducted while he was in office, in the presence of other workers; arguably, this setting could have an effect on the responses given. This proves Whyte (1953:22) claims that, the use of more than one interview has meaning to a researcher due to the benefit of comparison and analysis. This was therefore addressed in this dissertation by interviewing more than one respondent.

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The second research tool for primary data collection in Ghana was self-completed questionnaires. Terdiman and Berg (2001) suggests self-completed questionnaire as effective in gathering data to test their model. Hence, self- completed questionnaires derived from Terdiman and Bergs (2001) model (see Appendix 6) was emailed to the sample drawn for the study. Also it has been suggested that the cheapness of selfcompleted questionnaires is especially advantageous if samples are geographically dispersed (Bryman and Bell, 2007:241). This is evidenced in the sampling section as follows.

3.4. Sampling Design

With this research aimed at exploring BPO in Ghana in comparison with India, a research across all BPO firms in Ghana could be appropriate to provide a good overview. Yet a research of that size would be more expensive and time consuming. Equally, Sekana (2003) makes it clear that, a good sample selection can eliminate data processing errors. Keeping the above caveats in mind, a sample of 25 BPO firms was randomly selected from GASSCOM using a simple random sampling. GASSCOM is made up of member BPO companies with diverse specialities operating at different geographical locations in Ghana (GASSCOM, 2008). Based on this sampling technique, arguably, the sample drawn indicates a fair representation of BPO firms in Ghana. Although, the number of sample size is relatively small, the sample covered leading BPO firms in Ghana.

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3.5. Data Analysis Design

Bryman and Bells (2007: 326) points out that, secondary analysis is the analysis of data by researchers who will probably not have been involved in the collection of those data. Thus, secondary analysis was used to analyse the India data collected by Taylor and Bain (2003b, 2004, 2005).

However, a verbatim transcription was made of the telephone interview from Ghana. This was transcribed using a revised version of the notation by Jefferson (1984) (see Appendix 2) for conversation analysis (Silverman, 2010). This system captured not only what the respondents said about their experience, but how they said it (see Appendix 3 and 4). The system includes notation to represent paralinguistic features of spoken interactions, such as interruptions, pauses, and so forth. Attention to fine details is thus an essential ingredient of conversational analysis (Bryman and Bell, 2007:534). Indeed, features in the data were linked together from detailed analysis of the transcript. This resulted in particular extracts chosen to analyse findings in the next chapter. By examining how elements in your data are linked together, you can bring out the active work of both interviewer and interviewee and, like them, say something lively (Silverman, 2010:49). To ensure confidentiality, extracts from each interviewee was labelled with the respondent job title.

Content analysis was deemed appropriate as an objective and systematic analytical tool for analysing both the research questionnaires and secondary data from Ghana (Holsti, 1969:14). However, all the above analysis was guided by Terdiman and Bergs (2001) country selection model.

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3.6. Limitations of Data Collection

First, to avoid personal bias and to make up for recent updates; data evidence from recent research on BPO in India together with recent India government statistical updates was used to compare the India data evidence from Phil Taylor and Peter Bain. Thus, data was collected from recent studies by Winkler et al. (2008); Atesci et al. (2010); Bhasin (2011); and other current sources. Equally, data was also drawn from the government of India Ministry of Statistics and Implementation documents (2011) which include updates on BPO in India. With regards to Ghanas data evidence, there were some problems with a third respondent from Ghanas Ministry of Communication a governmental department which has been promoting BPO (GNA, 2009). Although the respondent was proposed in the dissertation proposal (see Appendix 8) as a third interviewee, this failed to materialise. Tight schedules on the respondents part and numerous cancellation of interviewing appointment made the interviewing impossible. However, a video interview on BPO from Ghanas Ministry of Communication and key personnel of BPO firms in Ghana was accessed from 2007 World Bank survey. This was then transcribed and analysed using a revised version of the notation by Jefferson (1984) (see Appendix 5). To ensure confidentially the respondents in the video interview were labelled according to their job titles in their firm.

For the self-completed questionnaires, 18 out of the 25 questionnaires (72 per cent) sent to the BPO firms in Ghana were returned. There was a high responses rate because there is evidence from Bryman and Bell (2007:242) to suggest that, selfcompletion questionnaires are more convenient for respondents; because they can complete a questionnaire when they want, and at the speed that they want to go. However, with subsequent follow up and reminders, seven firms failed to return the questionnaires citing tight schedules and dealing with their own internal (firm) issues.

With the possibility of a generalized point of view because of self-completed questionnaires, secondary data on GASSOM and Ghana from different sources (journals and Ghana government official statistics) was also used. Arguably, this complements the primary data gathered from Ghana. 36

3.7. Conclusion

The above methodology aided in the collection and analysis of data in this study. Findings are however, presented in the next chapter.

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Chapter 4: Analysis of Findings

4.1. Introduction
This chapter presents the research findings organized by research questions. However, each presentation contains common themes derived from the responses of respondents; which were guided by the theoretical framework of this study. This is organized as follows: 4.1.1. Similarities between Ghana and India BPO Service Providers There were some similarities between the samples collected from Ghana and that collected by Taylor and Bain (2003b) from India. This was evidenced in the market orientation and the BP outsourced by Ghana and India BPO service providers: 4.1.1.1. Market Orientation Although the surveyed respondents all had offshore BPO, Table 2 proves that majority of the BPO firms had an international market orientation. This trend was similar in both Ghana and India. Table 2. Ghana respondents and Taylor and Bains India respondents market orientation (in percentages) Countries Ghana India Domestic 28% 28% International 72% 72%

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4.1.1.2. Business Processes Outsourced

Equally, similar BP was outsourced to Ghana and India BPO service providers. Table 3 illustrates that with the exception of language services, all the BP outsourced to Ghana was also outsourced to India.

Table 3. Segment of business processes outsourced to Ghana and India respondentsTaylor and Bain (2003b) Country Ghana Business Process Segment Customer Care, Health Care, Finance, Human Resources, Language Services, Payment Services, Content Development and Administration. India Customer Care, Health Care, Finance, Human Resources, Payment Services, Content Development and Administration.

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4.1.2. Differences between Ghana and India BPO Services Providers Sizes of firms based on employee numbers and firms ownership were the differences noted in the respondents from Ghana and India:

4.1.2.1. Size of Firms Based on Employee Numbers

Table 4 shows that respondents (firms) from India in total, employed more people than the respondents from Ghana. This compared well with secondary data from Chanda (2008). Table 4. Size of Ghana and Taylor and Bains India respondents (firms) based on the number of employees Countries Ghana India Total number of employees 6000-7000 75000-115000

4.1.2.2. Firms Ownership

Table 5 demonstrates that there was difference between BPO firms owned in Ghana and that in India. Sampled firms collected by Taylor and Bain (2003b) from India were owned locally, foreign or a joint venture. However, the sample collected from Ghana indicated the firms were either locally (72%) or foreign (28%) owned.

Table 5. Ownership of BPO firms in Ghana and India Country Ghana India Ownership Local (72%) or Foreign (28%) Local, Foreign or Joint Ventures

The Avasant Ghana Manager confirmed this finding:

International BPO firms is not really popular in Ghana:: ( see Appendix 3). 40

Equally, the Chief Executive Officer of Novel Solution added:

Currently most people including foreign BPO firms see Africa especially Ghana as a more of a Safari [sightseeing] destination:: rather than a hhh[outbreath] business destination ( see Appendix 5).

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4.1.3. Key factors that motivate MNCs in offshoring BPO in Ghana or India

Country stability, government support, quality initiative and regulatory environment by BPO firms has been cited by Zatolyuk and Allgood (2004) as key factors that motivates MNCs - to offshore BP to a given country. This sub section outlines the findings on these factors:

4.1.3.1. Stability

Political and economic stability was the first criteria cited in choosing a destination for BPO by MNCs and foreign BPO firms. According to Taylor and Bain (2003b), respondents from India cited economic stability in their country as vital for BPO. For instance, Navi Manager commented:

There is growing interest from foreign based firms because the recession made a difference and the threshold for convincing people about cost savings has come down (see Appendix 6.1). However, 94 per cent of surveyed respondents from Ghana cited Ghanas politically stability as key to attracting MNCs and foreign BPO firms. Correspondingly, GASSCOM Executive Officer noted:

YES= Ghana .hhh has been politically stable since 1992 constitution which::: has attracted a lot of [.3] investors. So I think Ghana is stable not only politically but also economically for offshoring businesses (see Appendix 4).

Similarly, Avasant Ghana Manager commented:

Yes .hhh Ghana is politically and economically stable:::which is good. Security is very good in Ghana. [.] its good for outsourcing [operations] (see Appendix 3).

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4.1.3.2. Government Support

In terms of government support in India, policies stemming from successive India governments facilitated the migration of BPO to India. For instance, at a session at NASSCOMs information technology enabled services (ITES)-BPO Conference as stated by Taylor and Bain (2003b), a participant commented:

Government policies in the past like the software policies of 1986 have benefited our [[India]] BPO industry (see Appendix 6.2). Conversely, 67 per cent of the survey respondents responses from Ghana stated that the government of Ghana provides support for BPO in Ghana. 11 per cent disagreed while 22 per cent were unsure. The Director of Ghanas ITES Secretariat confirmed this point:

The government has .hhh decided or recognise the need to focus on BPO area as a country. [.3] Because we believe that we can use IT [[Information Technology]] and BPO to leap frog in our developmental process (see Appendix 5).

In the same vein, the Chief Executive Officer of Novel Solution commented:

The government of Ghana has really taken some bold steps to get .hhh business process outsourcing establish in Ghana [.2] especially the ministry of communications =There is a long way to go though (see Appendix 5).

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Interestingly, respondents from India according to Taylor and Bain (2003b) cited tax incentives, telecom deregulation and labour market deregulation as vital to their BPO businesses. Ghanas respondents however, cited not only tax relief but also improvement in infrastructure, legal and regulatory environment, and creation of specialized economic zones as essential to their BPO business. This is demonstrated in table 6 below.

Table 6. Key government support activities cited by respondents from India (Taylor and Bain, 2003b) and Ghana. Indias Respondents Tax incentives Telecom deregulation Labour market deregulation Ghana Respondents Tax relief for offshore companies Country infrastructure improvement Improving legal and regulatory environment Creation of specialized economic zones

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4.1.3.3. Quality Initiative

In the case of India, proceedings from the NASSCOM Conference (2003) revealed that almost all the major India BPO service providers have obtained the International Standards Organization 9000 (ISO 9000) certification; which adheres to global best practices ( Taylor and Bain, 2003b).

In comparison to Ghana, Table 7 makes clear that, majority of the BPO firms (72%) used in this dissertation had no quality certificate. However, there was a majority (70%) agreement that quality certificate is important and will be acquired in the next five years. Table 7. Responses on quality initiative by Ghanas respondents (in percentages) Quality Initiatives by respondents (BPO firms) Possess quality certificate Does not possess quality certificate Quality certificate is vital and will acquire in the next 5 years Quality certificate is vital and will not acquire in the next 5 years Neutral on quality certificate 10% 20% 28% 72% 70% Percentages

Likewise, the Avasant Ghana Manager confirmed the importance of quality certificates to Ghanaian BPO firms and the reason behind the lack of the certificate in Ghana.

[Yes quality certificate is very important to BPO firms in Ghana but: [ the application fee is very expensive. It is not cheap at [all] (see Appendix 3).

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4.1.3.4. Regulatory Environment

Taylor and Bain (2003b) reported no regulatory environment responses from India. In the case of Ghana however, majority (97%) of the foreign owned BPO firms ranked Visa regulations as the most important regulatory issue that has a negative impact on their businesses. To support this finding, Avasant Ghana Manager commented:

There are .hhh [.3] issues with visa regulations= it cost about ten thousand dollars for only visa::::::( see Appendix 3).

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4.1.4. Strength and Weakness of India and Ghana BPO Service Providers

It has been suggested that communication infrastructure, industry association, education system and training, English language proficiency and communication style, and working style is very important for BPO (Kumar and Joseph, 2005; Kang, 2008; Overby, 2010). This section presents the finding on these factors as strengths or a weakness of Ghana and India BPO service providers.

4.1.4.1. Industry Association

Taylor and Bain (2003b) research responses from Indias respondents demonstrated that industry association (NASSCOM) was vital to Indias BPO industry. By way of illustration, a representative from the ITES conference in India added:

the Labour Department of Maharashtra relaxed regulations forbidding women working at night after a lobby by NASSCOM, benefiting Indias BPO industry as a whole (see Appendix 6.2). In the case of Ghana, GASSCOM (Ghanas Industry Association) Executive Officer commented:

Industry association is important=we are [.3] a typical example. There is lot of benefit from an association= we learn from each other any new technology enhancement; new challenges of BPO, etc. (see Appendix 4).

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However, only 39 per cent of Ghanas respondents were members of GASSCOM. This is illustrated in Table 8 below. Table 8. Responses on Ghanas respondents industry association (in percentage) Ghanas Respondents Member of Industry Association (GASSCOM) Not a member of Industry Association (GASSCOM) 61% Percentage 39%

4.1.4.2. Communication and Technological Infrastructure

Taylor and Bain (2003b) reported that facilities and technological aspects of work organization in Indias BPO industry were essentially the same as those in advanced countries. Contrary, Ghana had some few issues with communication and technological infrastructure. The Chief Executive Officer of Novel Solutions confirmed this issue and commented as follows:

In order to get Ghana to reach that potential as the number one in the world .= there are three things I .hhh believe the government of Ghana and the BPO firms should concentrate on. Ah::::First ensure the infrastructures are there for companies when they needed them. Right now rent is a cost, most company cannot bare. [.3] Our rents are comparable to New York or Los Angeles. The second one is connectivity:::Right, the prices for connectivity should come down. In the U. S. [[United States]], they will pay about 70 to 100 dollars a month for bandwidth connectivity but in Ghana we PAY about 5000 to 7000 dollars per month (see Appendix 5).

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4.1.4.2. Education System and Training

Despite Taylor and Bain (2003b) reporting that India produced a large pool of computer-literate, undergraduates, and post graduates each year; they were given effective training before commencing careers in BPO. As a classic example, the Manager of Powai added:

During training in how to relate to Canadian customers, there was a lack of empathy in the voice of trainees. Your speech can tell us that you want to get off the phone as soon as you can you have to spend time with the customer and concentrate on the softness of the sounds (see Appendix 6.1).

In comparison to Ghana, although there was limited skilled labour; respondents ranked undergraduate and post graduate staff competence level as Good. However, Staff Training was ranked as the most important for retaining staffs and improving competence levels. The Executive Officer of GASSCOM affirmed this finding:

Competences level of graduates is good but = they lack practical BPO experience. Some firms have advocated for further training and education abroad in order for staffs to [.3] gain experience (see Appendix 4).

4.1.4.3. English Language Proficiency and Communication Style

The signicance of linguistic capability is evidenced by the fact that over 90 per cent of Indias [ITES-BPOs] revenues come from English-speaking geographies (NASSCOM, 2003: 56). However, India BPO staffs have problems with accents. From Taylor and Bain (2003b) findings, one India manager from Noida (India BPO firm) noted:

Most applicants failed because of thick accents: For some people it would be impossible to speak with the neutral accent we require. More applicants fail this hurdle than any other, as it is a very important issue for us and our clients (see Appendix 6.1). 49

Equally, an India Manager of Powai commented: At the language training, the r sounds are not coming out clearly and neither are the v sounds (see Appendix 6.1). Ghanas respondents in comparison ranked Ghanas English language proficiency level as Very Good. In terms of English language accent, Avasant Ghana Manager noted:

Although we have not employed any Ghanaian, from our marketing experience = I know their English language proficiency is [.4] quite very good and their accent is very impressive (see Appendix 3).

4.1.4.4. Working Style

The working life of Indias BPO staffs is significantly affected by Indias time zone (Kikuchi and Long, 2010). Call-handling for overseas customers in India takes place at night or during the evening as reported by Taylor and Bain (2003b). One agent at a BPO group discussion conrmed the prevalence of ill-health as a result of night calls by commenting: Many cases have arisen where people have lost weight usually because the cycle of eating and sleeping is disrupted. Symptoms include dark circles under the eyes in most of the people (see Appendix 6.2).

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In the same way, the General Manager of Hughes BPO (India) was emphatic in his identication with the problem: Working the night shift is not something that you can willingly adjust to easily. It does lead to a high level of stress.... It isolates you from your family, friends, social life. When there are birthday celebrations in the evening, you nd you cant go because you have to work. This is a very big area of concern, and why you see a lot of people getting out of the industry. Stress is accentuated by bad eating habits eating food at all hours. At least one in two people is a smoker, which is not healthy. I think, as this industry grows, we need to ask questions, what are the effects of this working routine at a physiological level, psychological level, social level, and family level? (see Appendix 6.2).

Ghana however has a strategic position on the equator sharing the same time zone with the United Kingdom (Sourcingline, 2011). Hence, the respondents from Ghana reported no issues with shift patterns. The Chief Officer of exZeed confirmed this finding:

Personally i think Ghana is positioned to take advantage of the BPO land scape =We are in the GMT, same as Europe so we can take businesses while people are sleeping, and take businesses while people are [awake] (see Appendix 5).

The finding goes to shows that, although India seems to have advantages over Ghana in some areas; Ghana has got advantages in other areas. As such the research question on Ghanas ability to compete with India in BPO will be fully explored in the Discussion Chapter.

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4.1.5. Ghana is viable as BPO in the future not the present

Table 9 illustrates that; majority of the respondents (80%) from Ghana were very optimistic about Ghanas viability as BPO in the near future not the present. Although 2 per cent were sceptical, 18 per cent were unsure. Table 9. Responses on Ghanas viability as a BPO in the future or present (in percentages) Reponses Very optimistic in the future Very optimistic in the present Not sure Sceptical Percentage 80% 0% 18% 2%

Similarly, the GASSCOM Executive Officer noted:

Hmmm [.2] I will say I am very optimistic Ghana can lead BPO in West Africa in the near future (see Appendix 4).

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4.1.6. Current maturity of Ghana as BPO destination

Table 10 shows Ghana is still at the fundamental stage for BPO. Table 10. Summary of responses to Ghanas current maturity as a BPO destination Beginning stage Early stage Foundation stage Initial stage Premature stage Still a long way to go Still under construction

Equally, the chief Executive Officer of Novel solution affirmed this finding and noted:

Ghana is in its early stage in BPO::Looking forward in ten years, I believe hh BPO will be very influencial in Ghana:::: Not only economically but socially (see Appendix 5).

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4.1.7. Challenges and Suggestions on BPO in Ghana

Table 11 summarises the challenges and suggestions on BPO in Ghana; outlined by Ghanaian respondents. Table 11. Summary on challenges and improvement suggestions for Ghanas BPO Industry. Challenges Inadequate infrastructures (power grids) by Ghana government High internet connectivity and broadband prices Visa regulatory barriers Legal regulatory barriers Lack of skilled BPO labour More focus on clients request Localization of businesses and services Availability of BPO skilled human resources Lack of strong industry association Ineffective marketing of Ghana as BPO destination Lack of BPO staff training Strong industry association More marketing promotions of Ghana as BPO destination Practical training of staff More useable hardware requirement Suggestions Provision of adequate infrastructure by Ghana government Accessibility to internet connectivity

Ghanas Ministry of Communications acknowledges that these challenges need to be addressed:

There is so:: much potential in the BPO system. That is good reason why we are .hh [.2] working in that area to close these challenges and gaps::: so that we can push BPO as a major contributor of building the [economy] (see Appendix 5)

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4.2. Conclusion

In concluding this section, other common themes discovered from the research questionnaires and interviews were noted but not reported. This is because it was not relevant to this dissertation.

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Chapter 5: Discussion
This section will attempt to highlight the meaning and significance of the dissertation results in the context of current knowledge; not only in the literature review but also in the field of BPO study. First, the results will be related to each other. Then previous findings in literature will be related to the findings. Third, the findings will be related to existing theory. Next, evaluation and speculations will be made about what the result means, which will eventually lead to a conclusion.

The study results answered all the research questions in the findings section with the exception of Ghanas capability to compete with India in BPO, and the implications of Ghanas emergence in the BPO market. This is because; the findings have to be related before those two research questions could be answered. This section will therefore make that possible.

In relating results, the findings indicate that Ghana and India are both similar in terms of their international market orientation and type of BP outsourced. Thus the findings suggested that the percentage of BPO firms in Ghana which had international market orientation was similar to that reported in India by Taylor and Bain (2003b). The common BP outsourced by both countries is stated as follows: customer care, health care, finance, human resources, payment services, content development and administration.

However, India and Ghana differ in terms of firm ownership, and BPO firm size; based on the number of employees. Thus, in Ghana, BPO firms are either foreign or locally owned. In India, BPO firms are owned locally, foreign or joint ownership. Also BPO firms in India recruit more employees as compared to the BPO firms in Ghana. This compares well with findings from Neal (2004), Kumar and Joseph (2005), Mehta et al. (2006) and Chanda (2008); who indicated that the India BPO industry employs more employees than most BPO destination countries.

Conversely, the findings also revealed that country stability, government support, quality initiatives and regulatory environment are key factors that will motivate 56

MNCs in offshoring BPO in Ghana or India. Despite India been economically stable, there was no report on political stability at the time of Taylor and Bains (2003b) research. However, the Mumbai attack in November 2008 (Financial Times, 2008), the fatal cricketers attack (BBC, 2009), cross border tensions with Pakistan (Financial Times, 2010) and recent bus attack by India Maoist rebels (BBC, 2011) suggests that India has its fair share of politically instability. Even with Indias economic stability, the currency (rupee) movement in 2007 (AT Kearney, 2009) posits that, its economy can be unpredictable. Ghana on the other hand has been stable, especially politically, for nearly 20 years. Respondents from Ghana confirm that Ghanas political stability will motivate MNCs in offshoring BP to Ghana. Similarly, responses from Ghana indicate no issues on economic instability. This finding is largely in agreement with Kaufmann et al. (2008) findings that Ghana is politically stable with the absence of violence and terrorism.

Although findings indicate that Ghana has recently being receiving BPO support from their government, they lag in terms of quality initiatives which adhere to global best practices. In another vein, Ghanas regulatory environment has some challenges: visa issues for foreign BPO owned firms. This is largely in agreement with World Bank 2010 survey: Ghana is below average in terms of regulations. Arguably, this can affect decisions made by MNCs to offshore BP to Ghana. On the contrary, Indias BPO industry seems to have tremendous support from their government with no known regulatory issues. Furthermore, results suggest that India adhere to global best practice as in their quality initiative. This result also follows similar findings from Kumar and Joseph (2005). Moreover, Indias BPO industry seems to have adequate technological infrastructure, strong BPO industry association, and an effective education system that produce skilled BPO labour. Yet India tends to have problems with English language communication and working shift patterns. This view is however in agreement with Taylor and Bains (2005) findings and Kantak (2007) SWOT (strength, weakness, opportunities and threats) analysis on Indias BPO industry. Ghana in comparison has no issues with BPO working pattern, and English language communication (accent) irrespective of its low educated Engish speaking population (Ghana Statistical

57

Service, 2010). The finding on Ghanas language proficiency follows the work of Lacey (2005), which emphasises that Ghanaians English accent is beneficial in BPO.

In sum, the wildest differences between Ghana and India are in the areas of quality initiative, regulatory environment, adequate technological infrastructure, industry association, education system, working pattern and English language proficiency. On this study evidence, the factors most important to BPO outsourcers are: quality initiative, regulatory environment, adequate technological infrastructure, industry association, education system, working pattern and political stability. While Ghana was stronger in working pattern and possibly political stability, India was stronger in all these vital factors. In addressing the research question: Ghanas capability to compete with India in BPO, results of this study has to be related. Overall, Ghanas BPO industry is stronger in only two of the most important factors for BPO outsourcers: working pattern and possibly political stability. Arguably, that is not enough for Ghanas BPO industry to compete with the demands of a matured BPO industry like India. This argument is along the lines of the findings on the current maturity of Ghanas BPO industry. The result postulates that, Ghana is still at the fundamental stage of BPO, and as such has a long way to go. However, there could be a mutual gain for Ghana and India in a joint venture or a strategic alliance. This is because similar BP are offshored to each country. In this speculative venture however, India BPO firms can off shore some of their BP to Ghana in order to make use of Ghanas BPO capabilities. The implications for Ghanas emergence on the BPO market suggest; small scale BP can be offshored to Ghana. However, by addressing its challenges stated in the findings, Ghana is likely to be an emerging destination for BPO in the near future.

Finally, before drawing any conclusion, Williamson (1975) transaction cost theory and Prahalad and Hamel (1990) resource base theory did not find adequate support in this context. Rather Terdiman and Bergs (2001) country selection model provided so many factors that help in comparing Ghana and Indias BPO industry. For example, both Ghana and India have a cost effective transaction cost (Kuada et al. 2009). So it will take the analysis of other factors to determine which destination is better for 58

BPO. Fortunately, the country selection model proves to be effective and reliable in this case.

59

Chapter 6: Conclusion and Recommendations

Results reported in this study indicate that there are some similarities between Ghana and India BPO service providers: market orientation and BP outsourced.

On the other hand, on the overall evidence, there are many noticeable differences between the two countries in terms of the factors most important to BPO outsourcers. Of particular interest is education system. While respondents from India reported of large pool of BPO trained graduate, respondents from Ghana reported of limited BPO trained graduates and staffs. On the issue on quality initiative and regulatory environment, responses from the two countries have varied. Indian respondents indicated no issues with regulatory environment and adherences to global best practice, in contrast to the responses from Ghanas respondents, which reported issues with visa regulations and quality certificate.

Another interesting difference that was identified in this research was that Indian BPO firms get enough support from their industry association while Ghanaian BPO firms have reported weak support from their industry association.

Overall, the analysis of findings demonstrates that Ghana is not yet an emerging destination for BPO. With the exception of political stability and working pattern, Ghana fails to meet the most important factors that determine country competitiveness as BPO destination.

However, Ghanaian BPO service providers are optimistic about the future of their Industry. With the country showing progress in some of its weaker factors, small BP can be outsourced in Ghana. This dissertation reinforced and extended the limited existing empirical research regarding small BPO in Ghana (Kuada et al., 2009). This study provides BPO service providers who are considering West Africa as a potential market, a comprehensive analysis of the current situation in Ghana.

Two limitations of this dissertation need to be highlighted. First, the study generalises and compares results for the entire Ghana and India BPO service providers ignoring 60

possible regional differences in each context. For instance, there are ten culturally diverse regions in Ghana. In the northern regions, it is not acceptable to work on Fridays because of Islamic religion. Likewise, other regions which practice tradition religion do not work on specific sacred (special) days. The second limitation is the sample size of this dissertation. Further studies with larger, more representative samples are suggested.

This research is however, the first comprehensive crack at understanding outsourcing activities in Ghana from a comparative perspective. Future studies might focus on replicating this study in other developing countries especially in Africa. However, this dissertation supports the following recommendations:

6.1. Recommendation for Ghana Government

6.1.1. Industry Association This dissertation indicated that the BPO industry association in Ghana is not supportive enough. Similarly, its lobbying is very weak as compared to a successful India BPOs industry association (NASSCOM). Equally, Ghanas industry association (GASSCOM) is considered a non-profit organisation which is self-funded. The main recommendation to Ghanas government is that GASSCOM should be supported fully; financial support and favourable governmental policies could empower the industry. This will eventually aid GASSCOM to work with international bodies such as International Association of Outsourcing Profession (IOAP); thereby creating a competitive and stimulating environment for Ghanas BPO industry. The rest of the recommendations to Ghanas government are stated as follows:

Availability of BPO skilled and trained human resources. Provision of adequate infrastructure. Accessibility to internet connectivity. Market promotions of Ghana as BPO destination. 61

However, there could be some difficulties on the part of Ghana government in implementing these recommendations. Thus, Ghana is a middle income economy and might not have abundance resources to implement these recommendations.

6.2. Recommendations to BPO providers in Ghana

This is organised as follows: 6.2.1. Strong Collaboration By working together, a strong industry association can be developed to lobby Ghanas government in passing policy that will favour the industry. Moreover, sharing experience and expertise will make the industry competitive like other international industry associations. However, with industry competition, Ghanaian BPO providers are less likely to share all their experiences and expertise.

6.2.2. Practical BPO Training The dissertation also discovers that, staffs and graduates from Ghana exhibited more of BPO theoretical knowledge instead of practical BPO knowledge. Through in house training or training from trade associations, this issue could be addressed by BPO providers. However, BPO firms are less likely to invest in such training because of the possibility of brain drain.

6.2.3. Strategic Alliances with Well-Established International BPO Firms

Forming strategic alliances such as joint ventures and partnerships should benefit local BPO providers to leverage some of the core competences and resources of internationally established BPO firms. However, the different firm culture of local and international BPO providers could be a barrier.

62

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Appendix 1: Interview Questions Guide

Date: Time: Setting: Respondent: Introduce self: Permission to record: Purpose of study: Interview Questions 1. Do you consider political instability has a negative impact on outsourcing? 2. Do you regard Ghana as a stable country for offshoring business? 3. Does Ghana government provide enough support for Business Process Outsourcing (BPO)? 4. Do your firm (or BPO firms) rely on government support? 5. Rank in order of importance (1-6) to the following support activities by Ghanas government; giving 6 as the most important? A. Improving legal and regulatory environment B. Tax relief for offshore companies C. Providing promotional marketing D. Software association support E. Creation of specialized economic zones F. Country infrastructure improvement

74

Appendix 1 (continued)
6. Rank in order of importance (1-7) to the following regulatory environment in relation to its negative impact on BPO; giving 7 as the most important? A. Tax issues B. Visa regulations C. Import/export regulations D. Intellectual property laws E. Labour laws F. Data privacy laws G. Encryption laws 7. Do you rate BPO firms facilities in Ghana? 8. Do you think the quality certification by international bodies (ISO/SEI) is important for BPO in Ghana? 9. Are there any difficulties in companies acquiring quality certificates? 10. Do you see industry association as vital? 11. Is there a shortage of skilled labour in Ghana? 12. How do BPO firms retain staffs in Ghana? 13. What do you think of the competence level of undergraduates from Ghanaian universities? 14. What do you think of post graduate competence level in Ghana? 15. What do you think of your employees (employees) English language proficiency in Ghana? 16. Do you think culture is important to BPO in Ghana? 17. How well do BPO firms deal with foreign clients? 75

Appendix 1 (continued)
18. How well do BPO firms deal with cultural issues? 19. What is your expectation of Ghanas BPO industry development in the near future? 20. How matured (develop) is Ghana currently as a BPO destination? 21. What are some of the challenges of BPO in Ghana? 22. Do you have any suggestion for Ghanas BPO industry development in the near future?

(Thanks for your precious time and have a good day)!

76

Appendix 2 : Modified version of Jefferson (1984) transcription notation

The researcher has provided only the notations used in the transcript of the interview.

Left bracket indicates onset of overlapping speech

Colon indicates that the preceding sound is lengthened or drawn out

(more colons indicate greater prolongation, e.g. Ah:::::)

[.] second

A dot in parentheses indicates a tiny gap, probably no more than one-tenth of a

[0.3] Numbers in parenthesis indicates elapsed time in silence in tenth of a second

Equal signs, one at the end of a line and one at the beginning, indicates no

gap between the two lines

WORD Capitals, except at the beginning of lines, indicates especially loud sounds relative to the surrounding talk. [] .hhh Empty parentheses indicate the transcibers inability to hear what was said. A row of hs prefixed by a dot indicates an inbreath; without a dot (hhh)

indicates an out breath. The length of the prefix hs indicates the length of inbreath or outbreath.

[word] [[ ]] .,?

Parenthesized words are possible hearings. Double parentheses contain authors descriptions rather than transcriptions.

Indicates speakers intonation (.= falling intonation; ,= flat or slightly rising

intonation). Source: adapted from Silverman (2010) 77

Appendix 3: Transcription of interview (Avansant Respondent) with modified version of Jefferson (1984) transcription notation.
Date: 29/06/2011 Time: 17:01 to 17.31 Setting: Respondent was in office at the time of telephone interview Respondent: Gurmeet (Avasant Ghana Manager) Interviewer: Int

Unstructured Telephone Interviewing

Int: Good afternoon once again Gurmet and thanks for agreeing to participate in this research [.2] and allowing me to record this [interview Sam: [you are welcome

Int: [.] Before we continue, any information you provide me today will be held in confidence. Gurmeet: Okay?

Int: How was your day at work [today? Gurmeet: [ not too bad hhh thanks

Int: [.] .hhh this interview will be based on BPO [[business process outsourcing]] in Ghana = Gurmeet: = Okay

Int: Do you consider political [ ] instability has a negative impact on [outsourcing? Gurmeet: Yes

Int: In what way Gurmeet: Because stable hh political environment can enhance productivity of outsourcing. Likewise::: [.2] instability, I mean political instability with affect outsourcing:: 78

Appendix 3 (continued)
Int: Do you regard Ghana as a stable:: [.2] country for offshoring business? Gurmeet: Yes .hhh Ghan is politically and economically stable:::which is good= security is very good in Ghana. [.] its good for outsourcing [operations].

Int: Does Ghana government provide enough support for Business Process Outsourcing (BPO)?:::: Gurmeet: hmm::: [.3] they have some policies but I dont think there is enough support.= there is still a huge GAP

Int: Do your firm rely on government .hhhh support? Gurmeet: No:: we are just advisers on BPO to the Ghana government. Int: Do you rate hmm::BPO firms facilities in Ghana? Gurmeet:No:: ,= there is facilities and infrastructure gap as compared to other sucessful BPO destinations like India and China.

Int: Do you think the quality certification by international bodies (ISO/SEI) is important for BPO in [Ghana? Gurmeet: [ Yes quality certificate is very important to BPO firms in Ghana

Int:Okay?::: Gurmeet:= Ghanaian firms need training

Int: .hhh Is there any difficulties in companies acquiring [.4] quality certificates? Gurmeet:YES

Int: [Why? Gurmeet: [ but the application fee is very expensive. It is not cheap at [all]

Int: Do you see industry association as vital? Gurmeet: Yes 79

Appendix 3 (continued)
Int:Okay?.= Gurmeet: for both private and government sectors BPO firms

Int: Is there [.4] hhh shortage of skilled labour in Ghana? Gurmeet: Yes I think there is::: as compared to other [ ]COUNTRIES

Int: How do [.3] BPO firms:: retain staffs in Ghana? Gurmeet: staffs have no choice to move on hhhh be::cause, there:: is limited BPO firms in [.2] Ghana.

Int: What do you [.2] think::: of undergraduates from Ghanaian universities .hhh competence level in [.3] Ghana? Gurmeet: They lack BPO training:: = they still need some finishing to be down.

Int: What do you [.2] think of Postgraduates from Ghanaian universities competence level in [.3] [Ghana? Gurmeet:[ same as the undergraduates:::::::: finishing is definitely [needed] Int: What do you think:: of your employees English language [.3] proficiency in Ghana:::? Gurmeet: Although we have not employed any Ghanaian = from our marketing experience I know their English language proficiency is [.4] quite very good and their accent is very impressive.

Int: Do you think culture [ ] is important to BPO in [Ghana? Gurmeet:[ Yes, it is

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Appendix 3 (continued)
Int: Rank in order of importance (1-6) to the following::: support activities by Ghanas government; giving 6 as the most [.3] important? A. Improving legal and regulatory environment B. Tax relief for offshore companies C. Providing promotional marketing D. Software association support E. Creation of specialized economic zones F. Country infrastructure improvement Gurmeet: Hmm [.5] just a minute

Int: okay? [.15] Gurmeet: I will assign a score of 6 to Tax relief for offshore companies then ahh [.3] then 5 to Country infrastructure improvement, [.2] 4 to Software association support, 3 to Improving legal and regulatory environment .hhh 2 to Creation of specialized economic zones and 1 to Providing promotional marketing.

Int:Sorry another question on ranking Gurmeet:Okay? Go on:::

Int: Rank in order of importance (1-7) to the following [.3] regulatory environment in relation to its negative impact on BPO; .hhh giving 7 as the most important? A. Tax issues B. Visa regulations C. Import/export regulations D. Intellectual property laws E. Labour laws F. Data privacy laws G. Encryption laws Gurmeet: Hold on a second[17]

81

Appendix 3 (continued)
Int:Okay? Gurmeet: I will give 7 to Tax issues, [.2] then assign ahhh 6 to Import and export regulations::, then 5 to Labour laws, 4 to Visa regulations hhh [.3] 3 to Data privacy laws, 2 to intellectual property law hmmm:: finally 1 to Encryption laws.

Int:Right? Gurmeet:.=hmm

Int: How well do BPO firms hmm:: deal with foreign clients? Gurmeet: International BPO firms is not really popular in Ghana:::

Int: How well do BPO firms .hhh deal with cultural [issues? Gurmeet: As I said internationaly BPO is not popular here. However I think Ghanaians have to do a bit of work on their English language ACCENT. Int: What is your expectation [.4] of Ghanas BPO industry development .hhh in the near future?= Gurmeet:= To lead BPO may be in the near future.

Int: Okay? Not long to finish with the questions::: Gurmeet:Okay?

Int: How matured:: is Ghana [.3] currently as a BPO [destination? Gurmeet:[ still a long way to go:::

Int: What are some of the .hhh challenges of [.4] BPO in Ghana? Gurmeet: There are .hhh [.3] issues with Visa regulations= it cost about ten thousand dollars for only Visa::::::, lack of infrastructures, problems with internet connectivity, .hhh electric Power issues and lack of BPO [ ] training.

82

Appendix 3 (continued)
Int: Do you have any suggestion for Ghanas BPO industry development in the near future? Gurmeet: BPO firms needs basic training from government, special training, [.3] customer training. Also government [.3] government needs to provide adequate insfrasture and accessibility to internet connectivity. Int: Okay, thats fine hmmmm that was my last question:: > do you have anything to add to this conversation interview. Gurmeet: when will I receive [[laughter]] my check for this interview [[laughter]] [.] am joking [[Laughter]]

Int: [[laughter]] Gurmeet: [[ laughter]]

Int: Thanks very much for the interview..hhh and have you got any thing else to clarify or say? Gurmeet: .=No.. not really

Int: Thanks for your participation today and your have really being help = Gurmeet: =you welcome, hmmm [.] I case you need any more clarification on this interview , I am happy to be contacted again and explain further.

Int: Thank You= Gurmeet: = Good luck in your research.

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Appendix 4: Transcription of interview ( GASSCOM Respondent) with modified version of Jefferson (1984) transcription notation.
Date: 11/07/2011 Time: 18:30 to 19:00 Setting: Respondent was at home at the time of telephone interview Respondent: Kelvin (Executive Officer) Interviewer: Int

Unstructured Telephone Interviewing

Int: Good evening once again Kelvin:: and thanks for agreeing to participate in this research and allowing me to record this interview= Kelvin: = no problem::

Int: Before I continue, any information you provide me today:: will be held in confidence. Kelvin: [.2] Okay?

Int: How was your day at work [today?] Kelvin: .hhh Good

Int: this interview will be based on BPO [[business process outsourcing]] in Ghana = Kelvin:hmm:: business process outsourcing?

Int: [.2] Do you consider political instability has a negative impact on outsourcing?= Kelvin: Yes

Int: Okay::= Kelvin: = this is because a political stable country will always attract foreign investors

84

Appendix 4 (continued)

Int: Do you [.2] regard Ghana as a stable country for offshoring business? Kelvin: YES= Ghana .hhh has been politically stable since 1992 constitution which::: has attracted a lot of [.3] investors. So I think Ghana is stable not only politically but also economically for offshoring business

Int: Does Ghana government [.] provide enough support for Business Process Outsourcing (BPO)? Kelvin: From my opinion, the government has made some recent attempt to attract BPO firms[.4] however they need to make and implement policies on BPO and also give enough support to upcoming .hhh BPO firms in [Ghana].

Int: Do you rely on government [support? Kelvin: [No [.2] we are just an association for the IT software and services industry..hh and we are non profit organisation advocating for BPO in Ghana as an effective [.3]way of improving Ghanas economy. Int: Do you rate BPO firms facilities in [Ghana? Kelvin: [ In general firms facilities are not up to date hence we keep advising government and BPO firms [.3] to invest in particular facilities that can eploit BPO to the maximum.

Int: Do you think the quality certification by international bodies (ISO/SEI) is important for BPO in Ghana? Kelvin: Yes it will guarantee .hhh efficiency

Int:Is there any difficulties in companies acquiring .hhh quality [certificates? Kelvin:YES, I think

Int: Okay:: Kelvin: Some BPO firms complain hhh about the application process [.3] and fees involve. 85

Appendix 4 (continued)

Int: Do you see industry association as [vital? Kelvin: [Yes

Int:WHY?= Kelvin: Industry association is important =we are [.3] a typical example. There is lot of benefit from an association= we learn from each other, any new technology enhancement, new challenges of BPO, etc.

Int: Is there shortage of skilled [.2] labour in Ghana? Kelvin: Yes unfortunately::

Int: How do .hhh BPO firms retain staffs in Ghana? Kelvin: some firms have adocated for further training and education abroad in other for staffs to [.3] gain experience.

Int: What do you think of undergraduates from Ghanaian universities:: [.3] competence level in Ghana? Kelvin: competences level of graduates is good but = they lack practical BPO experience.

Int: What do you think of Postgraduates from [Ghanaian] universities competence level in Ghana? Kelvin: they seems to lack the theoretical knowledge of BPO but lack::: the experience of outsourcing.

Int: What do you think of English language .hh proficiency in Ghana? Kelvin: Very GOOD.

Int: Do you hmm .hh think culture is important to BPO in Ghana?= Kelvin:=Yes, because BPO clients will come from different cultural [.2] backgrounds

86

Appendix 4 (continued)
Int: Rank in order of importance (1-6) to the following support activities by Ghanas government; giving 6 as the most important?= A. Improving legal and regulatory environment B. Tax relief for offshore companies C. Providing promotional marketing D. Software association support E. Creation of specialized economic zones F. Country infrastructure improvement Kelvin: Okay

Int: hmm::[.17] Kelvin: I give a score of 6 to Creation of specialized economic zones [ ], 5 to Providing promotional marketing, 4 to Improving legal and regulatory environment hmm .hh 3 to Tax relief for offshore companies, 2 to Software association support and 1 to Country infrastructure improvement.

Int: Also can you please rank in .hh order of importance (1-7) to the following regulatory environment in relation to its negative impact on BPO; [ ] giving 7 as the most important? A. Tax issues B. Visa regulations C. Import/export regulations D. Intellectual property laws E. Labour laws F. Data privacy laws G. Encryption laws Kelvin: Alright [.15]

87

Appendix 4 (continued)
Int:Okay? Kelvin: I will give 7 to Tax issues, .= 6 to Labour laws, .hh 5 to Data privacy laws, 4 to Encryption laws [ ] .hh, 3 to intellectual property law, 2 to Import and export regulations and 1 to Visa regulations::

Int:Okay:: Kelvin:[ahh]

Int: How well do BPO firms deal with foreign [clients? Kelvin: the few foreign BPO firms have experience and tend to be better than the local BPO firms in dealing with foreign [.2] clients.

Int: How well do BPO [.2] firms deal with cultural issues? Kelvin: Some firms gives training to their staffs on the different cultures but staff may be more experience if they get [.2] the chance to work in different culture .hhhenvironment as compared to Ghana. Int: What is your expectation of Ghanas BPO industry development in the near future? Kelvin:hmmm [.2] I will say I am very optimistic Ghana can lead BPO in West Africa in the near future.

Int: How matured is Ghana currently:: as a BPO [destination? Kelvin: still under construction.

Int: What are some of the challenges of .hh BPO in Ghana? Kelvin: Lack of proper infrastructure, [.2] such as reliable Internet connection and power grids, affect BPO firms in Ghana endeavours on a daily basis.

88

Appendix 4 (continued)
Int: Do you have any suggestion [ ] for Ghanas BPO industry development in the near future? Kelvin: More focused on clients requests and localize their businesses/ services.

Int: That is the last question=thanks very much for the interview [.2]. have you got any thing else to clarify or say? Kelvin: NO

Int: Thanks for your precious time= Kelvin: no problem [.3] and all the best to you young man.

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Appendix 5: Transcription of World Bank (2007) video interview on BPO in Ghana with modified version of Jefferson (1984) transcription notation.
Respondents are from key BPO firms and Government departments in Ghana.

Chief Executive Officer of Novel Solution

Currently most people including foreign BPO firms see Africa especially Ghana as a more of a Safari[sight seeing] destination:: rather than a hhh business destination.

The government of Ghana has really taken some bold steps to get .hhh business process outsourcing establish in Ghana [.2]especiall the ministry of communications =There is a long way to go though.

In order to get Ghana to reach that potential as the number one in the world .= there are three things I .hhh believe the government of Ghana and the BPO firms should concentrate on. Ah::::First ensure the infrastructures are there for the companies when they needed them. Right now rent is a cost most company can not bare. [.3] Our rents are very comparable to New York or Los Angeles.

The second one is connectivity:::Right now the prices for connectivity should come down. In the U. S. [[United States]], they will pay about 70 to 100 dollars a month for bandwidth connectivity but in Ghana we PAY about 5000 to 7000 per month.

The [ third] one is to ensure that we have hmmm::::enough human resources. That is the skills should be available to accommodate the businesses when they COME in.

90

Appendix 5 (continued)
Ghana is in its early stage in BPO::looking forward in ten years, I believe hhh BPO will be very very influencial in Ghana:::: Not only economically but socially. Eservice Manager

If am taking calls from the United States, its very likely someone from vietnam is a backup on us = And if we dont perform, .hhh [.2] its just a switch away.

This is a [ ] major opportunity for [us]. Our strategy is to align ourself little bit more::: to the customer. =So is not just taking the calls but trying to add value. We want to be in a position where we are an extension .hhh literally extension of our customers business. Where we can be innovative and creative in coming [.4] out with solutions for revenue generations and not just as a COST CENTRE.

Hmmm I think is very clear that the government of Ghana::: [.3] there is no doubt of the fact that since::BPO has a huge opportunity [ ] I mean things have been said that it can hmm supercede what cocoa and Gold has done and [quadruple] that.

We are all CUSTOMERS to someone else business ,=We all know how we get treated when we go for service hhh [.3]And for our clients to become the provider of choice we have to go the extra mile::

Chief Officer of exZeed I dont think we have any time to wait at all:::: If we dont do something now ahhh [.4] and I mean like yesterday. [.4] we will miss out.

91

Appendix 5 (continued)
Personally i think Ghana is positioned to take advantage of the BPO land scape =We are in the GMT same as europe so we can take less businesses while people are sleeping, and take more businesses while people are [awake]. Our education levels are hhh very very high:::: For example I have over 400 agents and 70 percent are graduates, University graduates. =That is the type of labour you get when you come to GHANA. A lot of people talk about off shoring .hhh outsourcing and the like. But I think that prior to us going that further:::: we can do something locally, [.2] domestic. Since the government is the biggest employer, we can start with the government Business::::: Personally, [.4] from where I sit, this is the best poverty alleviation strategy. If all this challenges can be hmm:: solved then Ghana will be better [off].

Minister of Communication

The first BPO firm to arrive in the Country was ACS. [.3] At the time it was like a revolution in this Country. =Because this was a company [.2] within a short time develop employment to the tune of nearly two thousand::

There is so:: much potential in the BPO system. That is good reason that we are .hh [.2] working in that area to close these callenges and gaps::: so that we can push BPO as a major contributer of building the [economy]

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Appendix 5 (continued)

Director of Information Technology Enabled Services (ITES) Secretariat of Ghana

The government has .hhh decided or recognise the need to focus on BPO area as a country. [.3] Because we believe that we can use IT [[Information Technology]] and BPO to leap frog in our developmental process.

93

Appendix 6: Taylor and Bain (2003b) Report- Data Evidence from India
This includes only Indias data evidence used in this Dissertation

6.1. Indian Manager Interviews

Navi, Mumbai, 27 January 2003. Powai, 30 January 2003. Noida, 24 January 2003.

6.2. Conferences
ITES (Information Technology Enabled Services) Conference, Mumbai, 27 30 January 2003. Nasscom (National Association of Software and Services Companies) ITESBPO Conference, 13 June 2003. Group discussions of call centre and BPO employees, Mumbai, 2 February 2003. Goyal speech, 13 June 2003- General Manager from Hugo BPO.

Source: adapted from Taylor and Bain (2003)

94

Appendix 7: Dissertation Questionnaires

(Please complete the questions by ranking or filling in the gap with the options provided)

1. Have you had offshore outsourcing experience before? _______________

Yes No

2. Which of these markets does your firm operates in? _______________

International market Domestic market Similar percentage in both markets

3. What is the size of your company in terms of number of employees? ______________

1-50 50-100 100-500 Above 500

4. Do you consider political instability has a negative impact on outsourcing? _________

Strongly agree Agree Neutral Disagree Strongly disagree

95

Appendix 7 (continued)

5. Do you regard Ghana as a stable country for offshoring business? _________________

Yes No Not sure

6. Does Ghana government provide support for your business? ______________

Yes No Not sure

7. Does your business rely on government support? __________________

Yes No Not sure

8. Rank in order of importance (1-6) to the following government support activities, giving 6 to the most important?

A. Improving legal and regulatory environment _____ B. Tax relief for offshore companies_____ C. Providing promotional marketing______ D. Software association support_____ E. Creation of specialized economic zones_____ F. Country infrastructure improvement ______

96

Appendix 7 (continued)

9. Rank in order of importance (1-7) to the following regulatory environment, in terms of its negative impact on your outsourcing; with a score of 7 as the most important.

A. Tax issues_____ B. Visa regulations ______ C. Import/export regulations_______ D. Intellectual property laws________ E. Labour laws________ F. Data privacy laws________ G. Encryption laws __________

10. Which of the following facilities does your company possess? ________________

Fax facilities Multilingual website Groupware platforms Audio-conferencing Satellite communication Video-conferencing None

11. Do you think quality certification by international bodies (ISO/SEI) is important to your business? _______________

Strongly agree Agree Neutral Disagree Strongly disagree

97

Appendix 7 (continued)
12. Does your company possess any certificates, if yes, what is it? ____________

Yes No

13. Does your company intend to acquire any quality certificates in the next 5 years? _________

Yes No

14. Has your company faced any difficulties in acquiring quality certificates, if yes, what was the experience? ________________

Yes No

15. Do you accept that industry association is vital to your business? ________________

Strongly agree Agree Neutral Disagree Strongly disagree

16. Is your company a member of any industry association, if yes, what is it? _______________

Yes No 98

Appendix 7 (continued)

17. Rank in order of importance (1-5) to the following reasons for loss of skilled staff/labour; giving 5 to the most important.

A. Salary issues__________ B. Experience abroad __________ C. Professional growth ____________ D. Work conditions _______________ E. Other _____________

18. Does the time (shift pattern) of work have any effect on your employees?

A. Yes B. No 19. What do you think of Ghanaian university undergraduates competence level in Ghana? __________

Very good Good Average Low Very low

20. Do you have post graduates working in your firm? Yes No

99

Appendix 7 (continued)
21. What do you think of your employees English language proficiency? _______________

Very good Good Average Low Very low

22. Rank in order of importance (1-5) to the following solution to staff shortage; giving 5 to the most important?

A. Employ western specialist _______________ B. Train staff abroad __________________ C. Hire external consultant ___________________ D. Do nothing _______________ E. Other __________________

23. Is culture important to your business? _______________

Yes No Sometimes

100

Appendix 7 (continued)

24. Rank in order of importance (1-5) to the following cultural issues in terms of dealing with foreign clients; giving 5 as the most important?

A. Work styles __________________ B. Verbal communication _________________ C. Resolving problems ____________________ D. Written communication __________________ E. Other ______________

25. Rank in the order of importance (1-5) to the following methods in addressing cultural issues, giving 5 to the most important?

A. Learn from experience __________________ B. Staff training ____________________ C. Not an issue _____________________ D. Clients training _____________________ E. Other __________________

26. What is your expectation of Ghana BPO industry development in the present or near future? __________________

Optimistic at present Optimistic in future Do not know Very optimistic at present Very optimistic in future Sceptical

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27. How matured is Ghana currently as a BPO destination?

_________________________________________________

28. What are the challenges to BPO in Ghana?

___________________________________________________________________

29. Do you have any suggestion for BPO industry development in the near future?

____________________________________________________________________

(Thanks for your precious time and have a good day)!

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Appendix 8: Dissertation Proposal

The York Management School MASTERS PROGRAMMES

Proposed title: Is Ghana the Next Business Processing Outsourcing (BPO) Destination? A Comparative Analysis between Ghana and India.

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Appendix 8 (continued)

Table of Content

1. Title105 2. Aims and Research Questions...105 3. Theoretical Basis106 4. Research Methodology..108 5. Research Plan.111 6. Bibliography...114

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Appendix 8 (continued)

1. Title

Is Ghana the next Business Processing Outsourcing (BPO) Destination? A Comparative Analysis between Ghana and India. Dissertation proposal for Masters (MA) in Management.

2. Aims and Research Questions 2.1. Introduction

In recent years, Business Process Outsourcing (BPO) has become a critical part of service industries worldwide. They are on the increase not only in size but also in numbers (Deery and Kinnie, 2004; Barnes, 2001).

According to Duening and Click (2005), BPO is the movement of business processes from inside the organization to an external service provider. Conversely, Budhwar et al (2006:881) argues that BPO is cost effective when the external service is off shored. India and China have been top two destinations for these services (Kang, 2008).

Hence, several studies have examined BPO in these countries (Taylor and Bain, 2005; Budhwar et al, 2006; Richardson and Belt, 2001; Malik and Nilakant, 2011). To my knowledge, however, there has been limited research on BPO in Africa including Ghana. For example, Kuada et al (2009) and Mainsah and Mia (2004) have investigated BPO in Ghana from a multi-theoretical perspective and technology investment perspective respectively. Yet, neither of these studies was a comparative analysis from a BPO firm perception in Ghana. The proceeding dissertation is an attempt to fill that gap.

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Appendix 8 (continued)
2.2. Research Questions

Based on the above research aim, the following research questions shall be addressed when the study proceeds accordingly:

What are the key factors that motivated Multi-National Companies (MNCs) in off shoring BPO in Ghana or in India?

What are the strength and weakness of Ghana and India BPO services providers?

Is Ghana capable of fulfilling the weakness of India BPO services providers?

Is Ghana viable as BPO in the present or future? What are the implications of Ghanas emergence in the BPO market?

3.

Theoretical Basis

3.1. Introduction

Several theories have informed studies in BPO (Kuada et al, 2009; Khan et al, 2010; McCormick, 2011). However, Terdiman and Berg (2001) country selection model is posited as a relevant theoretical framework for the proceeding study. This is because; there is evidence to suggest that Terdiman and Berg (2001) Country selection model is an effective theoretical framework for comparative analysis (Kang, 2008; Zatolyuk and Allgood, 2004).

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Appendix 8 (continued)
3.2. Country Selection Theoretical Framework

As Terdiman and Berg (2001) indicate, countrys factors are more important for BPO than offshore outsourcing vendors expertise. The diagram below gives an overview of this framework.

Human expertise and resources Availability of skilled resources Educational system English proficiency Marketing skills

Country infrastructure Political stability Government support Regulatory environment Infrastructure

Cultural issues Work style Communication techniques Revere hierarchy

Source: adapted from Terdiman and Berg (2001) 3.2.1. Country Infrastructure

Government support, political and economic stability of the country. Countrys regulatory environment and whether factors: intellectual property law and export regulations have negatively impacted on business activities. Communication infrastructure and facilities available for business.

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Appendix 8 (continued)
3.2.2. Human Expertise and Resources

Use of quality certification. Availability of skilled labour resources. Competence of IT graduates. Foreign language proficiency. Knowledge of global business practices.

3.2.3. Cultural Issues

Cultural difficulties and issues in offshore projects.

3.3.

Conclusion

Possibly, this theoretical framework is relevant for the intended study.

4. Research Methodology 4.1. Introduction

This section proposes the methodology for the proceeding dissertation. 4.2. Research Design and Data Collection

Bryman and Bells (2007: 66) postulates that, a comparative research design is suitable for a cross-national research where the researcher(s) is particularly interested in issues in two or more countries. Hence, a comparative qualitative research design is proposed for the proceeding study. Data will therefore be required from India and Ghana.

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Appendix 8 (continued)
Firstly, data evidence from India will be based on secondary sources collected from empirical research by Phil Taylor and Peter Bain. This is because, both authors carried out extensive BPO research in India. This includes a three-year long project into off shoring to India, semi-structured interviews and transcription of three major industry conferences in India. Moreover, they gathered extensive documentation on Indian developments and published research findings in a report form (Taylor and Bain, 2003b; 2004). This demonstrates that, this data from India is rich enough to be drawn upon. Ghanas evidence secondly, will come from a primary and secondary source. As Gubrium and Holstein (1997) indicates, a research where primary objective is to gather data which gives authentic insight into peoples perceptions will favour semistructured interviews. With data to be drawn from BPO firms perceptions, a semistructured interviewing is proposed. Similarly, there is evidence from Taylor and Bain using this technique in their collection of data from India. A semi-structured telephone interviews will thus be conducted with key personnel of Ghana Association of Software and IT Services Companies (GASSCOM), Avasant and Ghanas Ministry of Communication-governmental department which has been promoting BPO (GNA, 2009). GASSCOM is Ghanas premier trade association for services industry with member companies into the business of BPO services. Avasant however, is a USbased BPO advisory company hired by Government of Ghana in 2009 to re-brand and market Ghana as a preferred BPO destination (GNA, 2009). Possibly, authentic insight into BPO in Ghana could be gained from these respondents due to their background. Terdiman and Berg (2001) suggest that self-completed questionnaire is effective in gathering data to test his model. Henceforth, self-completed questionnaires derived from Terdiman and Berg (2001) model will be emailed to the intended dissertation samples.

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Appendix 8 (continued)
4.3. Sampling Design

With the proceeding research aimed at exploring BPO in Ghana in comparison with India, a research across all BPO firms in Ghana could be appropriate to provide a good overview. Yet a research of that size would be more expensive and time consuming. Equally, Sekana (2003) makes clear that good sample selection can eliminate data processing errors. Keeping the above caveats in mind, a sample of 20 BPO firms will be randomly selected from GASSCOM. GASSCOM is made up of member BPO companies with diverse specialities (GASSCOM, 2008). Arguably, this will represent a fair representation of BPO firms in Ghana. Although, the number of sample size is relatively small, however, the sample will cover the leading BPO firms in Ghana. 4.4. Limitations of Data Collection

Conversely, with the possibility of a generalized point of view because of selfcompleted questionnaire, secondary data on GASSOM and Ghana from different sources (Journals, official statistics) is offered. This could supplement the primary data gathered or address problems with primary data access, when the study proceeds. 4.5. Analysis

Bryman and Bells (2007: 326) points out that, secondary analysis is the analysis of data by researchers who will probably not have been involved in the collection of those data. Thus, secondary analysis will be used to analysis the India data collected by Taylor and Bain (2003, 2004, 2005). Also telephone interviews from Ghana will be transcribed using a revise version of Jefferson (1984) notation for conversation analysis (Silverman, 2010). Furthermore, content analysis is offered as an objective and systematic analytical tool for analyzing both research questionnaires and secondary data from Ghana (Holsti, 1969:14). However, all these analysis will be guided by Terdiman and Berg (2001) country selection model.

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Appendix 8 (continued)
4.6. Evaluation

If the intended dissertation is successful, it will be able to answer the research questions, fill the gap of related research and present future implications for BPO.

4.7. Conclusion

This section posits a conclusive methodology for the intended study.

5. Research Plan 5.1. Introduction This section discusses the time scale and resources needed for the proposed study. The aim is to have the dissertation submitted by 23RD September, 2011. On this basis, it is anticipated that the work will start from 6TH June, 2011 and finished by 22ND September, 2011. This is outlined in the timetable below: 5.2. Timetable for the Proposed Work The proposed study can be divided up into the following phases: Phase 1: Preparation of questionnaires/Interview questions Phase 2: Dispatch of questionnaires/Conducting interviews Phase 3: Theoretical review Phase 4: Collating interviews and questionnaires Phase 5: Contextualising original data Phase 6: Analysis Phase 7: Writing up Phase 8: Draft dissertation to supervisor Phase 9: Feedback corrections and proof reading Phase 10: Report binding Phase 11: Potential problems

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Appendix 8 (continued)
Phase 12: Submission of dissertation

Summary of estimated time for each phase: Phases Start Date Duration (Days) Preparation Questionnaires/Interview Questions Dispatch of 13/06/11 7 20/06/11 of 06/06/11 7 13/06/11 End Date

Questionnaires/Conducting interviews Theoretical Review 20/06/11 14 6 04/07/11 10/07/11

Collating Interviews and 04/07/11 Questionnaires Contextualising data Analysis Writing up Draft dissertation 13/07/11 21/07/11 to 25/08/11 original 10/07/11

13/07/11

8 35 4

21/07/11 25/08/11 29/08/11

Supervisor Feedback corrections and 29/08/11 Proof reading Report Binding Potential Problem Submission of dissertation 12/09/11 14/09/11 22/09/11 2 7 1 14/09/11 22/09/11 23/09/11 14 12/09/11

5.3. Resources

Possibly, printing facilities and international phone card (telephone interviewing) are the main resources required. Both are affordable and should not be hindrance to the dissertation. 112

Appendix 8 (continued)
5.4. Conclusion

Based on the time table and resources proposed above, the expected time for the dissertation to finish is the 22ND September, 2011.

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Appendix 8 (continued)
Bibliography

Barnes, P.C., 2001. People Problem in Call Centres. Management Service, 45(7), pp.30-31. Barthelemy, J., 2001. The Hidden Costs of IT Outsourcing and MIT Sloan. Management Review, 42(3), pp.60-69. Bryman, A. & Bell, E., 2007. Business Research Methods. 2nd ed. London: Oxford University Press. Budhwar, P.S., Varma, A., Singh, V. & Dha, R., 2006. HRM Systems of Indian Call Centres: An Exploratory Study. International Journal of Human Resources Management, 17(5), pp.881-97. Deery, S. & Kinnie, N., 2004. Introduction: The Nature and Management of Call Centre Work. In Deery, S. and Kinnie, N. (eds) Call Centres and Human Resource Management: A Cross National Perspective. Basingstoke: Palgrave Macmillan. pp.1-22. Duening, T.N. & Click, R.L., 2005. Essentials of Business Process Outsourcing. [Online] Available at: http://www.wiley.com/WileyCDA/WileyTitle/productCd-0471655775.html [Accessed 13 May 2011]. Eisenhardt, K.M., 1989. Building Theories from Case Study Research. Academy of Management Review, 14(4), pp.532-50. Ghana Association of Software and IT Services Companies (GASSCOM), 2008. GASSCOM. [Online] Available at: http://www.Gasscom.org.gh/about.html [Accessed 14 May 2011]. Ghana News Agency, 2009. Ghana to be Re-Branded Business Outsourcing. [Online] Available at: http://www.ghanaweb.com/GhanaHomePage/NewsArchive/artikel.php?ID=170 977 [Accessed 12 May 2011]. Gubrium, J. & Holstein, J., 1997. The New Language of Qualitative Methods. New York: Oxford University Press. Holsti, O.R., 1969. Content Analysis for the Social Sciences and Humanities. Reading, Mass: Addison Wesley. Jankowicz, A.D., 2005. Business Research Projects. 4th ed. London: Thomson Learning. 114

Appendix 8 (continued)
Jefferson, G., 1984. On Stepwise Transition from Talk About a Problem to Inappropriately Next Positioned Matters. In In Silverman, D., 2010. Doing Qualitative Research. 3rd ed. London: Sage. Kang, X., 2008. Offshore Business Process Outsourcing Economies: Comparative Analysis between China and Malaysia. London South Bank University: Dissertation. Khan, S.U., Niazi, M. & Ahmad, R., 2011. Barriers in the Selection of Offshore Software Development Outsourcing Vendors: An Exploratory Study Using A Systematic Literature Review. Information and Software Technology, 53, pp.693-703. Kuada, J., Hinson, R. & Ofori, D., 2009. Outsourcing Strategies of Organization in Ghana. Working Paper:47. Mainsah, E. & MIA, E.I., 2004. Is Ghana an Attractive Proposition for IT Services and Business Process Outsourcing? [Online] Available at:http:// www.gsb.columbia.edu/chazenjournal[Accessed 12 May 2011]. Malik, A. & Nilakant, V., 2011. Extending the Size Matters Debate Drivers of Training In Three Business Process Outsourcing SMEs in India. Management Research Review, 34(1), pp.111-32. McCormick, T., 2011. Outsourcing Onshore Or Offshore? Accountancy Ireland, 43(2), pp.74-82. O'Connell, D.C. & Kowal, S., 2010. Some Current Transcription System for Spoken Discourse: A Critical Analysis. International Pragmatics Association, 4(1), pp.81-107. Richardson, R. & Belt, V., 2001. Saved by the Bell? Call Centres and Economic Development in Less Favoured Regions. Economics And Industrial Democracy, 22(1), pp.67-98. Sekaran, U., 2003. Research Methods for Business: A Skill Building Approach. 4th ed. New York: Wiley. Silverman, D., 2010. Doing Qualitative Research. 3rd ed. London: Sage. Taylor, P. & Bain, P., 2003. Call Centres in Scotland and Outsourced Competition from India. Stirling, 2003. Scotecon. Taylor, P. & Bain, P., 2004. Call Centre Off shoring to India: The Revenge of History? Labour and Industry, 14(3), pp.15-38.

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Taylor, P. & Bain, P., 2005. India Calling to the Far Away Towns: the Call Centre Labour Process and Globalisation. Work, Employment and Society, 19(2), pp.261-82. Terdiman, R. & Berg, T., 2001. Offshore Application Outsourcing. Stamford, CT : Gartner Group. Zatolyuk, S. & Allgood, B., 2004. Evaluating a Country for Offshore. Information System Management Outsourcing: Software Development Providers in the Ukraine, 21(3), pp.28-33.

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Glossary (List of Abbreviations)

$ USD - United States of America Dollar Bn Billion BP- Business Processes BPO-Business Process Outsourcing CACI - Consolidated Analysis Centre Incorporated CIA - Central Intelligent Agency CIA -Central Intelligent Agency ECG - Electric Company of Ghana EST- Estimate FDI- Foreign Direct Investment GASSCOM - Ghana Association of Software and IT Services Companies GDP - Gross Domestic Product GNA - Ghana News Agency ICT - Information and Communication Technology IOAP - International Association of Outsourcing Profession IT- Information Technology ITA - Information Technology Processes Activities ITES - Information Technology Enabled Services ITU - International Telecommunications Union KPMG- Klynveld Peat Marwick Goerdeler KPO - Knowledge Process Outsourcing MNCs - Multi-National Corporations NASSCOM - National Association of Software and Services Companies RBT - Resource Based Theory RCEER - Resource Centre for Energy Economics and Regulation SWOT - Strength, Weakness, Opportunities and Threats TCT- Transaction-Cost Theory UNESCO - United Nations Educational, Scientific, and Cultural Organization

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