HR the fulcrum of Business Process Outsourcing

Group Member :

Viraj Bagwe (03) Prajkta Bhoite(06) Shalaka Chavan(12) Dhvani Desai (15) Henna Jaferi(24) Atish Kamble (27)

Human Resource Management

What is BPO

Business process outsourcing (BPO) is a form of outsourcing that involves the contracting of the operations and responsibilities of a specific business functions (or processes) to a third-party service provider.

BPO is typically categorized into back office outsourcing - and front office outsourcing.

Back office outsourcing- internal business functions such as human resource or finance and accounting. front office includes- customer-related services.

BPO that is contracted outside a company's country is called offshore outsourcing. BPO that is contracted to a company's neighboring (or nearby) country is called nearshore outsourcing.

Different Segments in BPO

Different services provided by BPO

Services

Segments

Customer support services

Technical support services Telemarketing

Employee IT desk services

Insurance processing.

Provident fund loans Medical allowances Insurance schemes Transportation Companies leased accommodation Cafeteria.

Employee Benefits Provided By Majority of the BPO Companies

Provident Fund Gratuity Group Mediclaim Insurance Scheme Personal Accident Insurance Scheme Subsidized Food and Transportation Company Leased Accommodation Recreation, Cafeteria, ATM and Concierge facilities Corporate Credit Card Cellular Phone / Laptop Personal Health Care (Regular medical check-ups): Loans:

Educational Benefits: Performance based incentives Flexi-time Flexible Salary Benefits Regular Get together and other cultural programs Employee Referral Scheme Paid Days Off Maternity Leave Employee Stock Option Plan

BPO to India

Indian revenues from BPO are estimated to have grown 107% to $ 583 million.

Leading Competitors: Philippines, Mexico, Canada, China and Ireland.

67-72% of costs to call centers operating in the US/UK is directly linked to man power costs. India only spends 33-40% of costs on man power. This includes training, benefits and other incentives for labor.

Pros & Cons in BPO

Pros

Cons

English Language Proficiency Skilled Workforce Lower Wages Flexibility in Working Hours Suitable Human Resources Large Number of Graduates

No TCO based costs Poor Infrastructure Cultural Differences Internal competition for resources Rising labor costs Political and religious instability

Role of HRM in BPO

Planning and organizing for work, peoples. People acquisition and development. Staffing the organization. Training & development.

Career management.
Performance management. Industrial relations.

Compensation management.
Information management.

Challenges for a HR Professional in BPO

Brand equity. Standard pre-job training Benchmarks Performance appraisal Promotions. Lack of focused training and certifications.

Case Study
On Human Resource Management Implementing best practices in BPO The Business Process Outsourcing industry is one of the fastest growing industries in India presents an excellent employment opportunity , but also brings its unique set of challenges. challenges are: 1.Recruiting the right talent huge demand supply imbalance 2.Retaining employees due to 3.monotonous nature of the work 4.odd working hours 5.competition poaching trained talent within the industry 6.Rising cost of labor and employee expectations

Cont

About MotifMotif, Inc. is a specialized business process outsourcing company serving Fortune 500 clients Motifs services include Financial, HR - Benefits administration and Retirement services, ecommerce and Mortgage

Motifs HR practices1. an open and transparent work culture 2. open door policy 3. constructive debates 4. Work hard Party hard culture 5. monthly performance awards 6. encourages every employee to think out of the box

Motif has incorporated HR best practices in

Practices

Result

Recruitment Training Performance Management Continuous Learning Wealth Creation Giving Back to the Community

Motif being ranked amongst the Top 10 BPO Companies to work for in India two years in a row (2004 & 2005) 5 Preferred BPO employer in India 11 Dream Company to work for in India