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Operations Article | Key Operational Challenges in the BPO-ITES Industry

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Key Operational Challenges in the BPO-ITES Industry

- by Ankur Pawa & Nishant Choudhary *

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Facility Location selection Process - Analysis and Recommendations

The facility location is done on the basis of strategic factors and other factors like infrastructure, and human resources. Strategic factors drive the initial short-listing of a facility's location. Other factors help in finalizing on the most preferred location. We have broken down the facility location selection process into 2 steps as explained below.

Level 1 Factors

  • Is it the first center or an add-on?

  • What are the kinds of processes that will be executed at the facility?

    Level 2 Factors

  • Human resources (number of graduates, average salary for ITES, attrition rate, etc.)

  • Infrastructure (availability and cost of facilities / utilities, quality of life)

  • ITES focus (number of companies and nature of ITES work, policy support and positioning), Support group presence (local industry associations, knowledge forums, etc.)

  • Physical features (geographic location).

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    * Contributed by -
    Ankur Pawa & Nishant Choudhary,
    Indian Institute of Management,
    Lucknow.

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