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Business Process Outsourcing: Issues, Implications - Dissertation Example

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The project "Business Process Outsourcing: Issues, Implications" was undertaken in order to understand what was meant by Outsourcing, its types, the way it functions, its economic implications, the positive and negative issues it faced and its various other aspects. …
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Business Process Outsourcing: Issues, Implications
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BPO is the act of transferring some of an organization's repeated non-core and core business processes to an outside provider to achieve cost reductions while improving and maintaining service quality. Because the processes are repeated and a long-term contract is used, outsourcing goes far beyond the use of consultants. If done well, BPO results in increasing shareholder value. The main difference between BPO and more traditional IT outsourcing is that BPO offers companies a way of achieving transformational outcomes much more quickly.

In a typical BPO contract, a service provider takes over a specific corporate function. Effective BPO covers much more than just changing who is responsible for performing the process. In BPO, the outside provider not only takes on the responsibility to manage the function or business process, but also re-engineers the way the process has been traditionally done. Aims: • To study the positive and negative issues relating to BPO industries in India: This will cover the advantages and disadvantages that India face for being a hub for the BPO.

• To study the trends of the BPO industry and recommend the strategies which can be opted by India. • To study the future prospects of the BPO industry in the Indian economy. Objectives: 1. To study the role of Business Process Outsourcing (BPO) in the Indian economy: It will mainly describe about the BPO evolution and the consequent revolution that it had brought about. BPO is revolutionary as an emergent phenomenon. . In BPO, the outside provider not only takes on the responsibility to manage the function or business process, but also re-engineers the way the process has been traditionally done.

Aims:To study the positive and negative issues relating to BPO industries in India: This will cover the advantages and disadvantages that India face for being a hub for the BPO.To study the trends of the BPO industry and recommend the strategies which can be opted by India.To study the future prospects of the BPO industry in the Indian economy.Objectives:1. To study the role of Business Process Outsourcing (BPO) in the Indian economy: It will mainly describe about the BPO evolution and the consequent revolution that it had brought about.

BPO is revolutionary because it is such an emergent phenomenon. It grew from a set of driving factors that have unintentionally converged at this particular time to enable the shifting of work to its lowest cost / highest quality provider regardless of its physical location. BPO is a business innovation that leverages these driving factors and applies then to practical business problems.2. To study the economics of BPO with special reference to microeconomics in India: This will cover various issues as to why India is chosen as the most ideal destination for setting up of BPO.

It will also speak about the various impacts of the emerging BPO on the Indian economy. The former will include factors such as cheap high quality personnel, widely spoken English thus facilitating better communication between the user and the supplier, historical links between UK and India. The later will include salary comparisons, cost savings, globalization due to setting up of BPO's and demand supply equilibrium.3. To study the

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