| This is the age of globalization. The vast | | | | centers in India.This is the age of |
| earth is no longer unfathomed. We can reach | | | | liberalization. Almost all countries of the |
| every corner of the earth within a few hours | | | | world are now following the path of liberal |
| due to excellent modern communication. A | | | | economy. They have come to realize that it is |
| person sitting in India can talk to another | | | | the only way of development. The mobile |
| person sitting in Canada. The revolution in | | | | phones manufactured in China are sold the |
| telecommunication has brought the people of | | | | world over similarly the software developed |
| different parts of the world closer. Taking | | | | in India is utilized in the entire world. |
| the advantage of this revolution, the large | | | | Thus a sense of mutual benefit has developed |
| multinational companies thought to make | | | | in the companies across the world. The |
| profit in their business in a new way. They | | | | governments of many countries have allowed |
| started to outsource a part of their business | | | | the multinational companies to conduct their |
| in other parts of the world where the | | | | business in their own way in different parts |
| manpower is efficient and cheaper. The | | | | of the world so that the people can get |
| developing countries like India, China, | | | | benefit in one way or the other way. India |
| Mexico, Philippines were the obvious choice | | | | opened its gate for the multinational |
| as there is no dearth of talent and cheap | | | | companies in the nineties, since then Indian |
| manpower here.China, Singapore, Philippines, | | | | economy has been growing by leaps and |
| Taiwan took the lead in outsourcing of | | | | bound. The big companies have set up their |
| manufacturing the hardware parts while India | | | | business centers here and as a result the |
| carved a niche in the software outsourcing | | | | business process outsourcing has generated |
| process. China remained behind in the | | | | millions of dollar for India. The |
| software outsourcing field because it does | | | | multinational companies have got good service |
| not have command over English. English is not | | | | and have been able to cut down their cost, |
| taught in the schools of China as it as | | | | thus gaining the other way.Reasons and |
| taught in India. The British had ruled India | | | | advantages of outsourcingCost Benefits - In |
| a century ago, so the influence of English | | | | many call centers in the USA and Europe labor |
| language remained throughout India. It is | | | | cost are the main operating cost, but in |
| taught as a second language in every Indian | | | | India it is just a fraction. In the U.S. a |
| state. There are many English medium schools | | | | call center employee can expect $20,000 per |
| in India where the medium of instruction is | | | | year for answering customer queries over the |
| English. Students coming out these schools | | | | phone but in India the cost can come down to |
| can talk in English smartly. Almost all big | | | | $2,000 per year, which is 10% of the U.S. |
| multinational companies are located in the | | | | Cost. The companies have saved millions |
| USA, England and other countries of Europe | | | | of dollar from this cheap |
| and America where the medium of instruction | | | | workforce.Skilled manpower- Most of the call |
| is English. Since there are many English | | | | centers in western countries recruit high |
| speaking people in India, many large | | | | school graduates for their work but in India |
| multinational companies have outsourced a | | | | they can easily get graduate students as each |
| part of their business to India.The types of | | | | year millions of students graduate who can |
| processes outsourced are Customer Support, | | | | speak English very well but can not find high |
| Technical Support and Backend processes. | | | | paying jobs. As for India the call center |
| India has begun to be known as the center of | | | | jobs are well paid, the employees take it as |
| Back office operations for the entire world. | | | | their full time job, whereas call center jobs |
| Many large multinational Banks have decided | | | | are still considered as part time jobs in the |
| to shift their back office work to India. | | | | west.Taking all these facts into |
| HSBC, Aviva Life Insurance, ABN Amro Bank | | | | consideration, the companies have got |
| have announced that they would recruit | | | | phenomenal success in all respects while |
| thousands of Indians in their Call Centers, | | | | outsourcing their processes to India. This |
| which have been set up in cities like | | | | has opened the gate for more and more |
| Bangalore, Kolkata and Delhi. The Call Center | | | | processes coming to India. Insurance, |
| business has set a new era for global | | | | Banking, HR, Mortgage, Finance and Accounting |
| business. While the big companies can | | | | are some of the most popular off shoring |
| concentrate more on their business by | | | | processes. By 2008 HR will be $40 billion |
| drastically cutting their maintenance costs, | | | | market, while Finance & Accounting will be |
| the educated and well versed youth of | | | | $20 billion market.Some of the top companies |
| developing countries like India, Mexico can | | | | of the world who outsource their business |
| earn some quick money and become a part of | | | | are:Convergys, Dell, GE, American Express, |
| international business. There are about 4 | | | | Amazon, Sprint and many others. |
| lacks people working in different call | | | | |