Previous
Page - 20
Though the growth is phenomenal, the margins of the industry are low primarily due to the fact that most of the companies are in the nascent stage. It is expected that the entire BPO industry would plateau at net profit margin figures at around 20%.
FY '03 Overview |
|
Spectramind |
e-Serve |
Msource |
HCL BPO |
Progeon |
Net Sales |
165 |
256 |
72 |
133@ |
21 |
Net Profit |
NA |
28 |
-2 |
-18 |
-3 |
OPM (%) |
24* |
25 |
4 |
0.4 |
NA |
Employees |
5106 |
3500 |
2587 |
1466 |
539 |
* PBIT / Revenue @ Gross Revenues Rs. Cr. |
Table: Financials of Listed BPO Companies in India in FY'03
9. ADVANTAGES OF BPOs TO DEVELOPING NATIONS
The opportunities in software services and the BPO-ITeS areas in developing countries like India is riding the wave of outsourcing and garnering large increases in revenues, employment and foreign exchange earnings.
The pressure to outsource non-core operations and concentrate on core business functions has always been characteristic of large companies. Initially, this resulted in the hiving off of certain operations to be undertaken by specialized, local firms in the developed countries themselves.
The change now is that, with the increasing availability of cheap and better or larger network technology, communications infrastructure and bandwidth, many of these services can be managed and provided from developing nations.
Next
* Contributed by: -
Priyanka Ghosh & Alvika Derhgawen,
PGDIM, IM-11,
NITIE, Mumbai.
|