Knowledge Process Outsourcing: An Overview KPO Potential:
THIS ARTICLE HAS BEEN PUBLISHED IN THE 'INFORMATION TECHNOLOGY' SPECIAL ISSUE (JUNE 2006) of 'Sanhita' - a monthly magazine for corporate professionals published by the Pune Chapter of WIRC of The Institute of Company Secretaries of India.
A CII Report estimates the potential size of KPO Industry at $17 billion by
2010, creation of 2,50,000 jobs in 5 years. Analysts estimate that about 30,000-50,000 people are currently employed in this industry. Difference between KPO and BPO:
BPO is about shifting functions that can be digitized to an offshore location, while KPO is offering work that is higher skilled and decision based. In KPO, a professional would need to apply skills and judgement to interpret data rather that just apply rules. Scope of KPO Industry:
Preparation of Accounts, Tax Returns, Architecture, Computer aided simulation, Engineering Design and Development, Financial Services, Risk Management and Equity Research, Financial Data Mining and Modelling, Corporate and Market Research, R&D in Pharmaceuticals, Biotechnology and Healthcare, Medical Diagnosis, Education, Intellectual Property Research, Legal Support, Animation and Graphics, Writing and Content Development, HR Outsourcing, Supply Chain Management. Working Areas in Each KPO field:
1. Financial Research:
a) Analytical Support Pitch Books/Company Profiles, Presentation Services, Financial Analysis and Valuation.
b) Equity Research- Financial Models, Forecasts and Updates, Report Preparation / Authoring, Earnings Calls/Q&A.
c) Corporate Finance Statistical Modelling, MIS Reporting, Credit Analysis.
d) Asset Management Financial Modelling, Fund Accounting, Performance Reporting.
2. Legal Outsourcing:
Office operations, Litigation Support, Word Processing & Secretarial, Information Systems, Marketing, Legal Research, Finance and Accounting, Library, Legal Recruiting, HR, Patent & Trademark Prosecution. Potential of LPO Legal Process Outsourcing: Industry wide, Forrester estimates that 35,000 US Lawyer jobs will move to lost cost countries by 2010 and 79,000 by 2015. Between 65-70% of these jobs are likely to come to India.
3. Market Research:
Survey Designing, Primary Data collection, Analysis, Strategic Planning, Sales Planning, Business Development, Business Research, Insight Generation & Presentation.
4. Engineering and Design Activities:
Scanning and digitisation of engineering drawings, Migration from CAD from one system to another, 3D Modelling, 2D to 3D conversion, Finite Analysis, Computerised fluid dynamics, Technical specifications for Tenders, Value engineering.
5. Medical Transcription:
Tele Medicine, Diagnostic services, Clinical Data Management, Disease Management, Tele Pathology, Radiation Therapy, BioTechnology, Case Paper Preparation, etc.
6. Offshore Publishing Services:
Editorial services, Pre-Press work, Proffreading, Typesetting, Text composition, Page Making, Template designing, E-Publishing, Digitisation of content, Data conversion services, content delivery services, data enrichment and Warehousing, Copy Editing. Who is needed in the KPO Industry? :
From Graduates and Post Graduates in Arts, Science, Commerce to Chartered Accountants, Company Secretaries, Lawyers, Management graduates. Those of people who do not have MBA can a build a career here.
Ambitious, smart, articulate people who can write well and communicate well is what this industry needs.
Liberalization, Globalization, etc. provides professionals with exposure to the systems prevalent in a variety of countries and they will be in demand.
Rs. 2-3 Lakhs p.a for Entry Level Recruits and upto Rs.8-9 Lakhs p.a. for Senior Level Management. Companies offering exposure in the KPO Industry:
OfficeTiger, Genpact India, JP Morgan, Merill Lynch, McKinsey, Adventity, Schwegman, Lundberg, Woessner & Kluth, Pangea3, Hildebrandt, Geometric, QuEST, Atrenta, WHS Global, Mphasis, MsourcE, Copal Partners, Pipal Research, Evalueserve, AC Nielsen, Irevna, Exevo India, Annik Systems, GE Analytics, Epitome Global Services, iGate Global Solutions, Symphony Services, OnionPro, DecisionCraft Analytics, EXL, Scandent, marketRx.
(List is indicative)
SOURCE: THE ECONOMIC TIMES
Sidheshwar 3rd December 2006 From India, Bangalore