Industry news

  • 24 Apr 2015 12:00 AM | Anonymous

    The Times of India (ToI) has suggested that Capgemini is in talks to acquire BPO firm IGATE, in a deal that would likely rank amongst the largest acquisitions in the IT services market.

    Capgemini has thus far refused to comment on the speculation, but multiple sources have informed the Indian paper that there is a high likelihood that the deal will go through. HP’s $13.9 billion acquisition of EDS in 2008 remains the biggest deal to date.

    The ToI speculates that the acquisition will strengthen the Paris-based firm’s share in the North American market - almost 70 per cent of IGATE’s revenues are drawn from the USA, the largest outsourcing market globally. In comparison, only 20 per cent of Capgemini’s revenues come from the country.

    "Capgemini has been trying to grow presence in tier II spoke-centres in India to price competitively, but hasn't gained the level of scale offshore as its primary competition. It has stated that it wants to grow offshore (not just nearshore), so IGATE's footprint will definitely help” said Phil Fersht, CEO of HFS Research.

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    Read this next: Capgemini Receive Quality Award for Delivery Excellence from Cisco

  • 24 Apr 2015 12:00 AM | Anonymous

    North Wales Police have agreed a £17.8 million deal with CGI to provide ICT services and support for the next five years.

    The contract is part of a wider transformation plan to maximise police time in the community, reducing the time personnel commit to conducting back office tasks.

    According to Geoff Bradley, Business Services Director, the contract could produce estimated savings of £3.5 million. As part of the IT upgrade, the force will receive body-worn video cameras and mobile devices with GPS with built-in alerts and deadline reminders.

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    Read this next: Metropolitan Police Outsources 700 IT Roles to Save $800m

  • 24 Apr 2015 12:00 AM | Anonymous

    The Green Party’s manifesto states that the party will increase the overall NHS budget by £12bn a year, in order to end the current funding crisis, end market-based commissioning and procurement.

    The Greens claim this will also create 400,000 new jobs within the NHS and social care.

    The Green Party is severely against outsourcing and privatisation, with plans to introduce an NHS Reinstatement Bill, restrict the role of commercial companies, stop the further sale of NHS assets and look for ways to buy out current private finance initiatives.

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    Read this next: The Election Manifestos: What they mean for outsourcing

  • 24 Apr 2015 12:00 AM | Anonymous

    When you are the founder of a start-up, addressing future contact centre strategies would barely merit a thought in the early days of business. An entrepreneur is always going to be focused on coming up with the right idea for their business, securing funding, creating a product and building a customer-base.

    But as they set about establishing their business, what do they do when things start to grow quickly? One of the areas that seemingly gets neglected is the customer experience. And ironically, this is one area that really should be at the heart of any business, whether a high-growth company or established FTSE 100 firm. What can start-ups do to protect the customer experience that is so integral in modern business?

    Most start-ups (and subsequently, high-growth firms) are based on the vision of the founder. That founder has a fairly fixed idea of what the business should be, what the product should feel like, who the customers are and what type of service those customers will receive. If the business idea is a sound one, then there won’t be too many customer experience problems at the outset.

    On a smaller-scale, a business can manage the customer experience itself fairly easily. They are controlling each element and there aren’t sufficient numbers of customers for problems to emerge. The phone is answered on time and any issues that a customer may have can be addressed promptly and efficiently.

    But business models need to evolve and change as the business itself begins to scale. And the better and more disruptive the idea behind the business, the quicker it will scale. A good UI is easy enough to manage, but getting the backend systems and right people in place is another matter. If the processes and technology can’t support a firm’s growth, then the customer experience will suffer.

    Yet with many high-growth firms still having a firm eye on expenditure, an outsourced contact centre can be seen as an unnecessary expense. So founders will often try and manage this internally, conscious of the need to save money and answer to investors.

    Keeping customer contact in-house is tempting. It allows the firm to retain control, is straight forward, initially cheaper and there are fewer opportunities for the brand to suffer through association with an outsourced contact centre.

    But in fact, sourcing this requirement gives better results and in the long-term is as cost-effective. This is what a high-growth firm should look for when looking to appoint an outsourced contact centre provider:

    Transparency – when a high-growth firm trusts an outsourced partner with their customers, they do want reassurances as to the quality of interactions with those customers. This can be provided by the provider being clear and transparent about: call volumes; the number of calls answered; how many calls are lost each day; and providing KPI scores each day to ensure things are as they should be.

    A high-growth heritage – although the principals of a contact centre for a high-growth firm are the same as for an established multi-national firm, there are certain nuances that need to be addressed. What kind of customer base does your proposed provider have? Have they worked with other high-growth firms in the past? If you can see firm evidence of success with other high-growth firms, then that is a good sign they could be the right fit for your business.

    The right technology – this is an increasingly important element for any outsourced contact centre provider. Anyone working with a high-growth firm needs to be able to demonstrate they can make use of advances like Visual IVR and the Single Digital Channel (SDC). SDC gives a customer service agent access to all media types from their desktop, with all contact interaction taken by customers - voice, email, chat, social media – waiting in one queue to be addressed by the right agent. The ‘right’ agent can mean the next available agent, one with a particular skill-set or area of expertise, or even one with a prior history with that customer.

    It allows agents to deliver a much more efficient service and is a real asset to any high-growth firm wanting to deliver true next-generation customer experience. But such advances would not be available should a high-growth firm choose not to outsource its contact centre. That’s why sourcing is the best option for any high-growth firm that wants to continue offering the best customer experience as the company scales and grows.

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    Mike Hughes is MD at customer management consultancy, PeopleTECH. Mike has a proven track record in demonstrating a deep understanding of the people, technology and processes required to deliver a 21st century customer experience.

  • 23 Apr 2015 12:00 AM | Anonymous

    In an interview with Computing, Specsavers CIO Phil Pavitt has slated the abilities of third party service providers, saying: “Outsourcing partners’ quality of service is the lowest I’ve ever seen.”

    He continued: “The innovations to improve it are very low and the investment is very low - and I've never quite seen such a poor part of the market… The system integrator market is huge, fat and lazy and I think people are starting to realise that.”

    Specsavers has previously outsourced to providers such as SQS for end-to-end testing of business applications, and both Ricoh and Fujitsu Siemens Computers for IT services. Its biggest partners include Accenture, IGATE and Oracle.

    Read more here.

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    Read this next: HP and Aecus Release ‘The Innovation Agenda’

  • 23 Apr 2015 12:00 AM | Anonymous

    Tech Mahindra has launched its fourth centre in the Philippines, making it one of the fastest-growing service providers in the region.

    The new centre in Cebu follows the opening of two in Manila and an earlier centre in Cebu. The facility will serve the firm’s global enterprise and telecommunications clients.

    Sujit Baksi, Chief Executive of the Tech Mahindra Business Services Group, said that “The Philippines region is key to our growth strategy; over the past few years we’ve invested heavily in developing capability to serve the transformational needs of our customers arising from the influx of digital.

    “With the addition in Cebu, around 14 per cent of our global workforce is now concentrated in the region. We have grown over 400% taskforce since 2008.”

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    Read this next: Vietnam Confirmed as the World’s Top Outsourcing Location

  • 22 Apr 2015 12:00 AM | Anonymous

    Ashley Almanza has been chief executive of G4S since May 2013, taking over from Nick Buckles in the aftermath of scandals connected to G4S’s role in the 2012 London Olympics.

    Almanza has now been awarded 73 per cent pay rise, as a reward for making G4S profitable again. In 2014 he earned £2.5 million; in 2013 he earned roughly £1.9 million, thanks to the addition of a significant cash bonus to his base salary.

    A spokesperson from the company said: “G4S has structured its remuneration packages to drive the financial, operational and cultural changes necessary to ensure our business is both delivering for stakeholders and able to take advantage of the long-term growth opportunities.”

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    Read this next: Serco Seeks Redemption after £1.3bn Operating Loss

  • 22 Apr 2015 12:00 AM | Anonymous

    Ravi Shankar Prasad, India’s communications minister, has announced that the government plans to set up new BPO firms in small towns, bringing 48,000 new jobs to those living outside of India’s cities.

    “My idea is to have BPOs in Bhagalpur, Muzaffarnagar, Gorakhpur, Deoria, Saharanpur, Idukki, Aurangabad and places like Dhenkanal… The BPO centres will be allocated according to the population of each state as per the last census,” Prasad told the Hindustan Times.

    Asides from bringing much-needed jobs to those living in remote locations, this new initiative is expected to improve the country’s literacy rate and slow down rates of urban migration, which are currently prompted by the lack of job opportunities.

    The government’s plans have been welcomed by the majority of India’s BPOs. Praveen Kumar, global CEO and director of ISON Group, commented: “We are happy such a policy is being planned, we would like to explore such opportunities.”

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    Read this next: Infosys CEO to Personally Oversee Outsourcing Projects

  • 22 Apr 2015 12:00 AM | Anonymous

    The London Borough of Hammersmith and Fulham is close to tender for a shared content management system (CMS) on the Drupal platform.

    Due to take place via the G-Cloud framework and in partnership with tri-borough partners Kensington & Chelsea and Westminster councils, this project will cost the council approximately £414,000.

    Their current CMS is not responsive to mobile phones or tablets, hence why they’ve opted for this new project. It will also allow them to move to a single web ICT support team across all three separate councils.

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    Read this next: Sopra Steria Signs £37m Contract with Harrow Council

  • 22 Apr 2015 12:00 AM | Anonymous

    Firstsource, the global provider of customised business process management (BPM) services, has announced that it will be creating 300 full-time jobs at the Firstsource Solutions centre in Cardiff Bay.

    The new roles are as sales and customer experience advisors, handling both inbound and outbound telephone calls on behalf of Sky.

    Kathryn Chivers, vice president of sales at Firstsource Solutions, said: “We already employ over 800 staff at our Cardiff centre, which was recently recognised as the leader in its field at the Welsh industry awards.

    “This is a great opportunity to work for an organisation committed to providing an engaging workplace with excellent benefits, regular training and many development opportunities for a chance to grow within the business.”

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    Read this next: Outsourcing to Provide 500,000 Polish Jobs in Coming Decade

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