Wednesday, 13 January 2016

Adoption of Cloud to Accelerate BPO Growth

As part of the Digital India Initiative, the government is trying to push for BPOs to be set up in smaller towns in the country with the key objective of creating employment and giving an impetus to the BPO industry in the country. Earlier in June this year, Shri Ravi Shankar Prasad, our Minister for Communications and Information Technology approved 48000 BPO seats to be set up in smaller towns. The ministry came out with the policy to incentivize companies to set up BPOs in smaller towns and put aside a fund of Rs500 crores for this. Adding to this, E&Y has published a report on domestic BPO market size pegging at $6 billion which translates to 5-7 million seats.

Setting up a BPO requires two key things, the technology and the people. Let’s focus on the technology here. If the companies choose to go with the legacy on-premise solutions, there are certain inherent challenges that come with such solutions. The on-premise solutions are Capex intensive, require high maintenance, skilled manpower to manage the equipment, not easily scalable, inflexible when it comes to integrating with other back-end systems. The roll-out time is much longer and support for BPOs in smaller towns can be a key issue. This approach may impede rather than accelerate the growth of the BPO sector.

The second approach would be to opt for Cloud based Solutions. Cloud is beyond saving money.Cloud brings the value which is not possible with legacy onsite BPO technology. The BPO needs to concentrate on its people, their skills, adding more seats and growing the business. The adoption of Cloud based technology immediately addresses the key challenges that come with legacy solutions. Cloud adoption provides businesses with an Opex based model which means that there is no upfront investment in any hardware or software. A company can set up a BPO within hours. All it requires is phones, web browser and an internet connection and it can have an enterprise grade, state-of-the art BPO up and running. With Cloud based technology, scaling up and scaling down is quite seamless, a Rural BPO could scale from 10 agents to 250 agents within a few weeks and the agents were based in disparate locations. Moreover, the supervisor could monitor the agents from a single remote location with full control on the day to day operations. The Cloud based technology doesn’t need any skilled manpower to manage and some leading solution providers like Ozonetel Systems have open APIs which make the integration with back-end systems like CRMs, ticketing solutions or analytics solutions much simpler and easier. The most important factor is that the roll-out time is much faster irrespective of the location. This is not all! The BPO supervisors can get extensive reports on their dashboards and continuously improve the efficiency of their operations.

With technology getting obsolete by the day, the on-premise solutions provide businesses with none or little protection with technology upgrades that could enhance the lifetime of the hardware and software. Adding new features and functionalities come at a very high cost and most times, businesses have to write-off the investment in 3-5 years’ time. However, with Cloud based solutions, the worry about getting access to the latest technology is passé, companies can focus on their core business whereas the solution providers like Ozonetel Systems will take care of the technology upgrade by constantly adding new features & functionality into the core platform and make is easily available to the existing as well as new customers. The potential integrations with other systems are quick, cost effective, easy and hassle free.

Digital India is the promise that companies with Cloud based solutions are helping to fulfill. Digital India means higher internet penetration, more and more services being delivered online, higher adoption of cloud based services and the influx of IoT. With the world shrinking and the geographical boundaries fading with the internet revolution, Digital India is an imperative choice that one has to make to remain afloat. Businesses are seeing value in technology and the adoption barriers are getting lower and lower with increased awareness on benefits. The social media has also played its role indirectly by building a huge amount of digital literacy because one sees grandmothers on Facebook and YouTube because they see the ease of remaining connected with their loved ones.                                                                                                              
                                                                                                              Written By,
                                                                                                              Reeta Gangwani
                                                                                         Ozonetel Systems Private Ltd

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