Essar Unit Aegis on Acquisition Trail

Indian conglomerate Essar Group's BPO unit Aegis Ltd. is in talks with seven companies for a potential acquisition, as it aims to touch $1 billion in revenue by March 2012.

Aegis in the Indian BPO sector as it has acquired as many as 18 companies in five years. The company also recently received a record eight-year contract worth about $2 billion from phone services operator Saudi Telecom Company to provide customer care services.

Source:http://online.wsj.com/article/SB10001424052748704364004576131990227300316.html

Outsourcing: Nasscom 2011 kicks off with focus on growth

Nasscom represents everything hi-tech in India. and is used to be dominated by Indian technology suppliers, and therefore be all about offshoring, these days there are representatives from more than 35 countries, all talking up the IT business.

The world of global IT services had two key issues: the sluggish return to growth in many developed economies where customers of IT firms have traditionally been found, and the political crisis in Egypt. 

Source:http://www.silicon.com/management/cio-insights/2011/02/08/outsourcing-nasscom-2011-kicks-off-with-focus-on-growth-39746942/

Lee & Nee Softwares Exports' board

The board of Lee & Nee Softwares Exports in its meeting on 29 January 2011 has approved the expansion of business of software development, KPO/BPO & specially ERP vendor/ implementer & ITES services for banking, finance & insurance sector & diversification as well as restructuring of the same for turnaround of the company. A new software development centre as unit in a SEZ in Kolkata is also to be set up apart from the co-developer of a FTWSEZ (Free Trade Warehousing Special Economic Zone).

Source:http://www.indiainfoline.com/Markets/News/Lee-and-Nee-Softwares-Exports-board-approves-right-issue/3541319166

Mid cap mantra: Aviation turbulence may hit Kale

The stock of Kale Consultants, an IT solutions provider for the airlines and travel sectors, has underperformed the broader market in the past six months due to sluggish topline growth. The divestment of its logistics business is likely to improve the scenario, but factors like higher crude prices and intensifying competition among airlines may impact Kale's performance.

In September 2010, the promoters sold their 35.61% stake to a France-based BPO firm Accleya Holding World. As a result, net sales fell by over 4% to 32 crore during the December 2010 quarter. 

The company is targeting organic growth in the range of 15-20% in the coming quarters.  

Kale caters to the airline and travel segments, which are highly vulnerable to changing economic conditions. The recent increase in the prices of crude oil may impact profitability of the airlines sector. Also, the fact that airlines are adding new planes to their fleet may intensify price-based competition among the players. These factors may have an adverse impact on Kale's financial performance in the near term. 

Source:http://economictimes.indiatimes.com/markets/stocks/stocks-in-news/mid-cap-mantra-aviation-turbulence-may-hit-kale/articleshow/7456913.cms  

What India’s BPO Inc needs to do to reach $225bn

Building higher aspirations based on detailed analysis of global opportunities is important for companies and countries alike. The higher aspirations lead to creative thinking, development of new models and creating new markets rather than only serving existing ones. 

The IT BPO industry created its first aspirational vision in 1998 for the next decade At a time when industry was less than $2 billion, it built an aspirational goal of $50 billion, contribute to 4% of India's gross domestic product and employ over two million people.


The 2020 aspiration articulated that the industry has the potential to touch aggregate revenues of $225 billion, which is restricted not by demand but by capacity and capability to deliver. This demand will include technology and business services. 

The core markets for the industry are represented by large enterprises from  North America and  Westren Europe in verticals such as BFSI,telecom, retail, pharmaceuticals, manufacturing and travel. can expand further driven by the industry ability to reinvent business models, expand service offerings, domain and consulting expertise.These sectors are going through change and would need new innovative solutions.  

We are confident that agility, flexibility and adaptability will be the key attributes required to make the $225-billion aspiration a reality.

Source: http://timesofindia.indiatimes.com/tech/news/outsourcing/What-Indias-BPO-Inc-needs-to-do-to-reach-225bn/articleshow/7453380.cms 

CA Technologies, Capgemini sign partnership agreement

CA Technologies and Capgemini have entered into a partnership agreement to provide a global Energy, Carbon and Sustainability Business Process Outsourcing (BPO) service.

Capgemini will use its BPO Business Unit while CA Technologies will use its ecoSoftware offering to help  customers manage complex sustainability data collection and reporting demands.

The new managed service captures all energy and carbon data and provides web-based reports to the UK Sustainability Board and operational dashboards to the Environmental team.

CA Technologies EMEA ecoSoftware vice-president sustainability Sonny Masero said together with Capgemini, they are delivering  new energy, carbon and sustainability outsourced managed service to give customers the freedom to clearly focus on their sustainability strategy and carbon reduction.

Source:http://contentmanagement.cbronline.com/news/ca-technologies-capgemini-sign-partnership-agreement-090211

BPO revenues seen surging to $25B

MANILA, Philippines—BPO companies operating in the Philippines will have to innovate and start offering higher-value services to clients if the country is to be able to maximize the industry’s potential for growth in the next five years.

Maulik Parekh, president and CEO of SPi Global, said that despite the impressive performance of the off shoring and outsourcing industry in the Philippines, “BPO companies should not be complacent.”

SPi Global is the biggest Filipino-owned BPO company employing 11,000 people in the country.The Philippine offshore market size is expected to triple by 2016.

Maulik said one of the firm’s recent major initiatives was the establishment of a so-called SPi Health care Academy, which aims to train workers to fill a gap in the industry that has yet to be fully tapped.

SPi is a unit of Philippine Long Distance Telephone Co. (PLDT) through wholly owned unit ePLDT Inc.

Source:http://business.inquirer.net/money/topstories/view/20110208-319192/BPO-revenues-seen-surging-to-25B