Examination Paper: BPO Management
IIBM Institute of Business Management 8
IIBM Institute of Business Management
Examination Paper MM.100
BPO and KPO Management
Section A: Objective Type (30 Marks)
•This section consists of Multiple Choices/Fill in the Blanks and Short notes type Questions.
•Answer all the questions.
•Part one carry 1 mark each and Part Two questions carry 4 marks each.
Part One:
1. Manpower can be retained by which of the following technique:
a. Comfort and Care
b. Problem-Solving technique
c. Attention
d. Proper Training
2. Which of the following is not a challenge to the BPO Industry?
a. Data Security
b. Poor Infrastructure
c. Attrition
d. Lack of Identity
3. Pricing technique where a customer pays a flat rate for services is:
a. Variable Pricing
b. Unit Pricing
c. Fixed Pricing
d. Risk/Reward sharing
4. A MIS report that deals in compliance related to quality and timeliness is:
a. Cash Tracker Report
b. Senior Management Report
c. SLA Compliance Report
d. Production Report
5. Off – Shoring means _________________________________.
6. Size, quality, labor cost etc. are categorized into which form of ITES to be outsourced:
a. People Attractiveness
b. Labor Attractiveness
c. Location Attractiveness
d. Quality Attractiveness
7. The risk that include errors in estimating overall time for mitigating is a:
a. Data Security Risk
b. Transition Risk
c. Transactional Risk
Examination Paper: BPO Management
IIBM Institute of Business Management 9
d. Loss of Control Risk
8. Mitigating of Risk means __________________________________________.
9. Which of the following is not a benefit derived from BPO?
a. Improved Accountability
b. Operational Cost Control
c. Improved HR
d. IPR Protection
10. The service that comprises of areas related to the functional operations is:
a. Vertical Service
b. Horizontal Service
c. Diagonal Service
d. Service Focused Service
Part Two:
1. Define the term ‘Emotional Intelligence’.
2. Differentiate between BPO and KPO.
3. Discuss in brief the Web – based Market Research process in the KPO’s.
4. Write a short note on ‘Change Management’.
5. Discuss in brief the problems faced by BPO’s.
Section B: Caselets (40 Marks)
•This section consists of Caselets
•Answer all the questions
•Each Caselet carries 20 marks.
•Detailed information should form the part of your answer (Word limit 150 to 200 Words)
Caselet 1
With the mission that reads “To add value to our client’s business by providing cost – effective premium
– quality customer management services and be the preferred vendor for off shored outsourced BPO
services”, Intelenet Global definitely is set to go places. A joint venture between the mighty TATA
Consultancy services (TCS) and the strong Housing development Finance Corporation (HDFC), Intelenet
aims to deliver business processes outsourcing (BPO)solutions to organizations in the US, UK and
Canada. Intelenet’s parentage enables it to deliver scale, infrastructure and business continuity due to its
deep financial strength. TCS brings to Intelenet a vast and rich experience in executing and maintaining
mission – critical projects. TCS’ prowess in technology implementation is unchallenged. And its
knowhow in domain capabilities and a strong project management is invaluable. HDFC is a complete
END OF SECTION A
Examination Paper: BPO Management
IIBM Institute of Business Management 10
financial conglomerate in itself with proven competencies in banking, insurance, mutual funds, asset
management and, of course, its core strengths, mortgage and properties. It brings to Intelenet its
experience in customer management process, back office operations and property management.
Together TCS and HDFC provide Intelenet the tools and resources necessary or effective customer
service in the respective business domains. “Over and above all this, we get to learn and implement the
best practices in the areas of migrating expertise, deploying technology to improve the efficiency of any
project and last but not the least, operational expertise in handling a process,” says Sushil kumar, the
proud CEO of Intelenet. “Also, the goodwill TCS has created outside India, domain expertise (finance)
from HDFC, and of course no anxieties about funding requirements etc, are some other advantages of
belonging to such strong parents. Ours is a domain-led organization, thanks to our strong parents, that
allows us to stand apart,” he adds. “Intelenet’s ability to offer an end-to-end service – from a basic service
to complex task that involves decision making in its main marketing pitch.”
Contract Centre Operation
The contract centre is the most vital part of the company with almost 70 percent of the staff engaged in
this activity. Intelenet caters to several clients from the UK and the USA. Currently, call centre operations
are in the areas of banking & finance, insurance, telecommunications, hospitality, retail and travel. The
4,000 – odd people take almost 5,00,000 to 5,50,,000 calls a day on average making it close to 20 to 180
calls per person per day. A simple order call can take anything between 165 and 240 seconds while a
technical process call takes as high as 10 minutes, while a service level agreement call takes around 9
minutes, according to Shyam Krishnan, Head of Operations. It is important to perform equally well in
each call; since each call is broadly of the same nature, monotony creeps into the job and the fact the
CSAs are constantly bombarded with calls one after the other makes the job highly stressful. Intelenet’s
infrastructure, employee appreciation programme, rewards and certificates signed by CEO himself, Hall
of fame nomination for deserving employees etc are some of the activities conducted regularly to destress
CSAs and keep their motivation level high.
Intelenet has implemented process re-engineering tools and techniques for high efficiency. The
advantages are two- fold: one, the CSA gets a breather for a second that can be used to sip water etc and,
two; the CSA does not have to repeat the greeting to everybody thus reducing some of the monotony of
the job. This has been a formidable achievement for Intelenet.
Training
Training is the most important part of a call centre operation, and given the scale, attrition and ramp-up
plans most of the companies have there are 600 to 650 people under training at any given point in time,
says Sheldon D’Souza, head of Training at Intelenet. Training is usually a 45- day programme with some
minor variations due to nature of process-based training. Training begins with a strong focus on
interpersonal and English-language skills, i.e., the science of language. Trainees are taught to ‘think in
English and then speak in English” as most Indians are used to thinking in their native language and then
speaking in English. This creates some obvious problems, which have to be addressed in the first part of
the training programme.
The next level is customer service training, which mostly involves culture training, rules of courtesy,
politeness and friendliness, sensitization programme – to culture, to individualism, need for privacy etc.
Intelenet believes that history, geography and economy effect culture and hence has introduced a session
called ‘Cause and Effect Analysis Culture’ in all its training programmes. This is absolutely unique in the
BPO industry. This is followed by a programme called ‘Com feel America’. This consists of an
introduction to the basic culture, heritage, mannerisms, style of talking, compulsions, religious affiliations
and sentiments etc of Americans from the East Coast, the West Coast and Central America. The second
level lasts 120 hours.
Level three is process-based training that focuses on the actual process that the trainees will handle after
completion, like insurance, credit cards, and telecom etc. Simulation techniques, actual customer calls for
Examination Paper: BPO Management
IIBM Institute of Business Management 11
testing etc. are some of the tools used for this level of training. How long this takes depends on the depth
of the process – i.e., a simple outbound process can take up to five days while an inbound transaction –
oriented process can require up to 20 days of training.
Then starts the on-the-job training (OJT), which is exposure to actual work. They listen to live calls and
then start taking calls themselves. OJT involves low quantity but high supervision. The OJT programme
is also used to plot the learning curve of the trainee and hence the success, flaws, issues with the training
programme. At every stage of the OJT, there is detailed feedback about the training programme – i.e.,
what are the improvement areas, where changes are required etc. Correlation studies are conducted
between the high scores in training versus high scores in operations. All of this is to improve upon the
training system. Throughout the training programme, teamwork is emphasized and a culture for working
in teams is instilled into the trainees. A salary is paid throughout the training programme at Intelenet.
Trainees, on the successful completion of OJT, join as Customer Service Associates.
Human Resource Management
Human Resource Management is the backbone of any company, especially of a BPO unit due to the
youthful profile of its employees. And to top of it, the nature of work is highly stressful – not just the job
itself, which involves handling customers diligently and caringly, but the erratic hours of work can also
take its toll on the motivation of employees. Employees need to know that they are important for the
organization and Intelenet’s ‘people first’ policy focuses on just that. An example of this policy is the
commissioning of gallops agency to conduct a free and fair survey of Intelenet’s employees – the
problems they face and the issues that bothered them across 12 questions. The recommendations of the
gallops survey were translated into an action plan.
‘Work hard, Play Hard’ is the motto and programmes are arranged to create the fun element that not only
destresses CSAs but motivates them. In the second week of January (2004) Intelenet organized
‘Employee Appreciation Week’. Employee appreciation is a core value building process. The activities
included in the week-long programme were: indoor fun cricket matches, a ‘Mr. and Ms. Intelenet’ awards
night, daily themes and many other interactive sessions, including a raffle to support a charity of
Intelenet’s choice. The various motivational programs include ‘Best Employee Award’, Hall of Fame
nomination, on-the-spot prizes etc.
Trends and Future
The benefits of outsourcing are so immense and the companies are already realizing the cost benefits
without any compromise on quality or time. This makes this wave unstoppable. Resistance from
managers dies down the moment they are convinced of the potential benefits of outsourcing. This makes
future bright and an opportunity to have a long-term career prospects for aspirants in this industry.
Questions:
1. Discuss about the various training programmes offered by Intelenet Global Company.
2. Write a short note on:
•Contract Centre Operation
•Human Resource Management
Examination Paper: BPO Management
IIBM Institute of Business Management 12
Caselet 2
Introduction
Hinduja TMT (HTMT) is the flagship company of the multibillion-dollar Hinduja group with offices in
the US and UK and delivery centres in India and the Philippines. HTMT is a SEI CMM level 4 company
and is ranked at no. 8among the 400-odd BPO providers in India (Source: Nasscom) HTMT has also been
ranked the no.2 healthcare BPO provider in India for employee satisfaction (Source: Dataquest). HTMT
claims to be the country’s first convergence corporation; its vision is to become a ‘scale player’ and
leader in its core information technology business by leveraging the strength of its customer base, breadth
and depth of its service lines and management bandwidth. The Hinduja Group provides a wide range of
products and services in over 50 countries and has over 25000 people working for them worldwide.
The group’s activities are divided into three core areas:
•International trading
•Investment banking
•Global investment
With interests in technology, media and telecom, HTMT has the capacity to offer high-quality, costeffective,
end-to-end solutions or breadth of experience across multiply technology platforms and
verticals to enhance the business of its customer worldwide. This is because of the remarkable advances it
has achieved in modularity through subsidiaries in media and telecommunications, which are designed to
function independently and yet to work together as a whole, coalescing technology.
BPO Arm HTMT
HTMT is a one-stop outsourcing company that can provide IT services and BPO/contact centre services
to customer all under one roof. HTMT’s IT services provides application development & maintenance,
legacy migration services, engineering design services and SAP implementation services. These services
are complemented by HTMT’s BPO services in the area of back office processing – claims processing,
technical help desk support, contact centre services, payroll processing, accounts receivable and accounts
payable services. HTMT offers BPO services for the following domains: insurance, banking & finance,
manufacturing, telecom, FMGC and customer durables.
Disaster Recovery Centre
HTMT has three centers spread over multiply locations in Bangalore, Mumbai, and Philippines to ensure
business continuity. “We realized that India and Philippines can complement each other’s strengths –
India for its non-voice based capability and the Philippines for its voice-based capability. We entered into
a marketing tie-up with a company in the Philippines to get a foothold there and later decided to acquire
the company,” says R. Mohan, president & CEO of HTMT’s IT Division. HTMT has exhaustive
documentation defining the processes and procedures to be adopted in case of relocation due to a disaster
or business interruption. This documentation is part of the quality manual designed by KPMG for ISO
9001:2000. Being an ISO 9000:2000 certified company; the same can be shared with the client on
request.
Activities
Insurance Claiming Process
Outsourcing of insurance claims processing to India and other low- cost destinations is a rapidly growing
segment. Some large insurance companies have started captive centers in India to take advantage of the
cost containment option that India offers while some have preferred to outsource the work to a third-party
BPO service provider. HTMT is by far the largest player in the area of insurance claims processing in
India and is currently working for two Fortune 250 American insurance companies. More than 1,000
Examination Paper: BPO Management
IIBM Institute of Business Management 13
people are working in this activity and it is likely to scale up and double the current strength in the near
future.
Currently HTMT processes claims in the following areas:
•Traditional dental & medical
•Health maintenance organization (HMO)
•Coordination of Benefits (COB).
•Claim resolution processing (CRP)
•Over payment recovery (OPR)
•Paper referral processing (PRP)
•Private provider organization (PPO)
•Claims audit
•Worker’s compensation
•Automobiles
•Property
•Liability
More than 85,000 claims are processed in a single day. The process involves eight stages and the training
programme lasts for almost one year.
Contact Centre Operation
HTMT’s contact centre activity began in 1996 and since then it is growing from strength to strength.
Currently working with US/UK customers in the telecom, consumer durables, financial services and
FMCG areas, it provides services like customer care, provisioning, marketing, technical testing, order
administration, telemarketing, product recall and directory enquiries. With about 1,400 plus agents, this
activity is likely to double in the near future.
Future Plans
HTMT’s future plans for the IT business are:
•Leverage strong domain expertise in insurance and telecom to grow the existing BPO and call
centre business.
•Enter the European market for BPO Business.
•Focus on continuous high-quality execution of current contracts for higher ramp-ups.
•Move up the value chain in the BPO business by tapping synergistic opportunities like high-end
call centre business from the same client.
•Enter new markets and leverage strong discrete manufacturing expertise for software
development and maintenance business.
•Graduate from conventional and collaborative outsourcing to transformational outsourcing.
•Inorganic growth in IT services/IT- enabled services will also be a key growth strategy in the
future.
Questions:
1. Discuss about the various activities performed by Hinduja TMT.
2. Write a short note on:
•Disaster Recovery Centre
•BPO Arm in Hinduja TMT
END OF SECTION B
Examination Paper: BPO Management
IIBM Institute of Business Management 14
Section C: Applied Theory (30 Marks)
•This section consists of Applied Theory Questions.
•Answer all the questions.
•Each question carries 10 marks.
•Detailed information should form the part of your answer (Word limit 200 to 250 Words)
1. Discuss the different strategies that are adopted by the BPO’s to control their Attrition.
2. What are the Pros and Cons of BPO?
3. Write a note on the SWOT Analysis of Indian BPO Industry.
S-2-210311
END OF SECTION C
IIBM Institute of Business Management 8
IIBM Institute of Business Management
Examination Paper MM.100
BPO and KPO Management
Section A: Objective Type (30 Marks)
•This section consists of Multiple Choices/Fill in the Blanks and Short notes type Questions.
•Answer all the questions.
•Part one carry 1 mark each and Part Two questions carry 4 marks each.
Part One:
1. Manpower can be retained by which of the following technique:
a. Comfort and Care
b. Problem-Solving technique
c. Attention
d. Proper Training
2. Which of the following is not a challenge to the BPO Industry?
a. Data Security
b. Poor Infrastructure
c. Attrition
d. Lack of Identity
3. Pricing technique where a customer pays a flat rate for services is:
a. Variable Pricing
b. Unit Pricing
c. Fixed Pricing
d. Risk/Reward sharing
4. A MIS report that deals in compliance related to quality and timeliness is:
a. Cash Tracker Report
b. Senior Management Report
c. SLA Compliance Report
d. Production Report
5. Off – Shoring means _________________________________.
6. Size, quality, labor cost etc. are categorized into which form of ITES to be outsourced:
a. People Attractiveness
b. Labor Attractiveness
c. Location Attractiveness
d. Quality Attractiveness
7. The risk that include errors in estimating overall time for mitigating is a:
a. Data Security Risk
b. Transition Risk
c. Transactional Risk
Examination Paper: BPO Management
IIBM Institute of Business Management 9
d. Loss of Control Risk
8. Mitigating of Risk means __________________________________________.
9. Which of the following is not a benefit derived from BPO?
a. Improved Accountability
b. Operational Cost Control
c. Improved HR
d. IPR Protection
10. The service that comprises of areas related to the functional operations is:
a. Vertical Service
b. Horizontal Service
c. Diagonal Service
d. Service Focused Service
Part Two:
1. Define the term ‘Emotional Intelligence’.
2. Differentiate between BPO and KPO.
3. Discuss in brief the Web – based Market Research process in the KPO’s.
4. Write a short note on ‘Change Management’.
5. Discuss in brief the problems faced by BPO’s.
Section B: Caselets (40 Marks)
•This section consists of Caselets
•Answer all the questions
•Each Caselet carries 20 marks.
•Detailed information should form the part of your answer (Word limit 150 to 200 Words)
Caselet 1
With the mission that reads “To add value to our client’s business by providing cost – effective premium
– quality customer management services and be the preferred vendor for off shored outsourced BPO
services”, Intelenet Global definitely is set to go places. A joint venture between the mighty TATA
Consultancy services (TCS) and the strong Housing development Finance Corporation (HDFC), Intelenet
aims to deliver business processes outsourcing (BPO)solutions to organizations in the US, UK and
Canada. Intelenet’s parentage enables it to deliver scale, infrastructure and business continuity due to its
deep financial strength. TCS brings to Intelenet a vast and rich experience in executing and maintaining
mission – critical projects. TCS’ prowess in technology implementation is unchallenged. And its
knowhow in domain capabilities and a strong project management is invaluable. HDFC is a complete
END OF SECTION A
Examination Paper: BPO Management
IIBM Institute of Business Management 10
financial conglomerate in itself with proven competencies in banking, insurance, mutual funds, asset
management and, of course, its core strengths, mortgage and properties. It brings to Intelenet its
experience in customer management process, back office operations and property management.
Together TCS and HDFC provide Intelenet the tools and resources necessary or effective customer
service in the respective business domains. “Over and above all this, we get to learn and implement the
best practices in the areas of migrating expertise, deploying technology to improve the efficiency of any
project and last but not the least, operational expertise in handling a process,” says Sushil kumar, the
proud CEO of Intelenet. “Also, the goodwill TCS has created outside India, domain expertise (finance)
from HDFC, and of course no anxieties about funding requirements etc, are some other advantages of
belonging to such strong parents. Ours is a domain-led organization, thanks to our strong parents, that
allows us to stand apart,” he adds. “Intelenet’s ability to offer an end-to-end service – from a basic service
to complex task that involves decision making in its main marketing pitch.”
Contract Centre Operation
The contract centre is the most vital part of the company with almost 70 percent of the staff engaged in
this activity. Intelenet caters to several clients from the UK and the USA. Currently, call centre operations
are in the areas of banking & finance, insurance, telecommunications, hospitality, retail and travel. The
4,000 – odd people take almost 5,00,000 to 5,50,,000 calls a day on average making it close to 20 to 180
calls per person per day. A simple order call can take anything between 165 and 240 seconds while a
technical process call takes as high as 10 minutes, while a service level agreement call takes around 9
minutes, according to Shyam Krishnan, Head of Operations. It is important to perform equally well in
each call; since each call is broadly of the same nature, monotony creeps into the job and the fact the
CSAs are constantly bombarded with calls one after the other makes the job highly stressful. Intelenet’s
infrastructure, employee appreciation programme, rewards and certificates signed by CEO himself, Hall
of fame nomination for deserving employees etc are some of the activities conducted regularly to destress
CSAs and keep their motivation level high.
Intelenet has implemented process re-engineering tools and techniques for high efficiency. The
advantages are two- fold: one, the CSA gets a breather for a second that can be used to sip water etc and,
two; the CSA does not have to repeat the greeting to everybody thus reducing some of the monotony of
the job. This has been a formidable achievement for Intelenet.
Training
Training is the most important part of a call centre operation, and given the scale, attrition and ramp-up
plans most of the companies have there are 600 to 650 people under training at any given point in time,
says Sheldon D’Souza, head of Training at Intelenet. Training is usually a 45- day programme with some
minor variations due to nature of process-based training. Training begins with a strong focus on
interpersonal and English-language skills, i.e., the science of language. Trainees are taught to ‘think in
English and then speak in English” as most Indians are used to thinking in their native language and then
speaking in English. This creates some obvious problems, which have to be addressed in the first part of
the training programme.
The next level is customer service training, which mostly involves culture training, rules of courtesy,
politeness and friendliness, sensitization programme – to culture, to individualism, need for privacy etc.
Intelenet believes that history, geography and economy effect culture and hence has introduced a session
called ‘Cause and Effect Analysis Culture’ in all its training programmes. This is absolutely unique in the
BPO industry. This is followed by a programme called ‘Com feel America’. This consists of an
introduction to the basic culture, heritage, mannerisms, style of talking, compulsions, religious affiliations
and sentiments etc of Americans from the East Coast, the West Coast and Central America. The second
level lasts 120 hours.
Level three is process-based training that focuses on the actual process that the trainees will handle after
completion, like insurance, credit cards, and telecom etc. Simulation techniques, actual customer calls for
Examination Paper: BPO Management
IIBM Institute of Business Management 11
testing etc. are some of the tools used for this level of training. How long this takes depends on the depth
of the process – i.e., a simple outbound process can take up to five days while an inbound transaction –
oriented process can require up to 20 days of training.
Then starts the on-the-job training (OJT), which is exposure to actual work. They listen to live calls and
then start taking calls themselves. OJT involves low quantity but high supervision. The OJT programme
is also used to plot the learning curve of the trainee and hence the success, flaws, issues with the training
programme. At every stage of the OJT, there is detailed feedback about the training programme – i.e.,
what are the improvement areas, where changes are required etc. Correlation studies are conducted
between the high scores in training versus high scores in operations. All of this is to improve upon the
training system. Throughout the training programme, teamwork is emphasized and a culture for working
in teams is instilled into the trainees. A salary is paid throughout the training programme at Intelenet.
Trainees, on the successful completion of OJT, join as Customer Service Associates.
Human Resource Management
Human Resource Management is the backbone of any company, especially of a BPO unit due to the
youthful profile of its employees. And to top of it, the nature of work is highly stressful – not just the job
itself, which involves handling customers diligently and caringly, but the erratic hours of work can also
take its toll on the motivation of employees. Employees need to know that they are important for the
organization and Intelenet’s ‘people first’ policy focuses on just that. An example of this policy is the
commissioning of gallops agency to conduct a free and fair survey of Intelenet’s employees – the
problems they face and the issues that bothered them across 12 questions. The recommendations of the
gallops survey were translated into an action plan.
‘Work hard, Play Hard’ is the motto and programmes are arranged to create the fun element that not only
destresses CSAs but motivates them. In the second week of January (2004) Intelenet organized
‘Employee Appreciation Week’. Employee appreciation is a core value building process. The activities
included in the week-long programme were: indoor fun cricket matches, a ‘Mr. and Ms. Intelenet’ awards
night, daily themes and many other interactive sessions, including a raffle to support a charity of
Intelenet’s choice. The various motivational programs include ‘Best Employee Award’, Hall of Fame
nomination, on-the-spot prizes etc.
Trends and Future
The benefits of outsourcing are so immense and the companies are already realizing the cost benefits
without any compromise on quality or time. This makes this wave unstoppable. Resistance from
managers dies down the moment they are convinced of the potential benefits of outsourcing. This makes
future bright and an opportunity to have a long-term career prospects for aspirants in this industry.
Questions:
1. Discuss about the various training programmes offered by Intelenet Global Company.
2. Write a short note on:
•Contract Centre Operation
•Human Resource Management
Examination Paper: BPO Management
IIBM Institute of Business Management 12
Caselet 2
Introduction
Hinduja TMT (HTMT) is the flagship company of the multibillion-dollar Hinduja group with offices in
the US and UK and delivery centres in India and the Philippines. HTMT is a SEI CMM level 4 company
and is ranked at no. 8among the 400-odd BPO providers in India (Source: Nasscom) HTMT has also been
ranked the no.2 healthcare BPO provider in India for employee satisfaction (Source: Dataquest). HTMT
claims to be the country’s first convergence corporation; its vision is to become a ‘scale player’ and
leader in its core information technology business by leveraging the strength of its customer base, breadth
and depth of its service lines and management bandwidth. The Hinduja Group provides a wide range of
products and services in over 50 countries and has over 25000 people working for them worldwide.
The group’s activities are divided into three core areas:
•International trading
•Investment banking
•Global investment
With interests in technology, media and telecom, HTMT has the capacity to offer high-quality, costeffective,
end-to-end solutions or breadth of experience across multiply technology platforms and
verticals to enhance the business of its customer worldwide. This is because of the remarkable advances it
has achieved in modularity through subsidiaries in media and telecommunications, which are designed to
function independently and yet to work together as a whole, coalescing technology.
BPO Arm HTMT
HTMT is a one-stop outsourcing company that can provide IT services and BPO/contact centre services
to customer all under one roof. HTMT’s IT services provides application development & maintenance,
legacy migration services, engineering design services and SAP implementation services. These services
are complemented by HTMT’s BPO services in the area of back office processing – claims processing,
technical help desk support, contact centre services, payroll processing, accounts receivable and accounts
payable services. HTMT offers BPO services for the following domains: insurance, banking & finance,
manufacturing, telecom, FMGC and customer durables.
Disaster Recovery Centre
HTMT has three centers spread over multiply locations in Bangalore, Mumbai, and Philippines to ensure
business continuity. “We realized that India and Philippines can complement each other’s strengths –
India for its non-voice based capability and the Philippines for its voice-based capability. We entered into
a marketing tie-up with a company in the Philippines to get a foothold there and later decided to acquire
the company,” says R. Mohan, president & CEO of HTMT’s IT Division. HTMT has exhaustive
documentation defining the processes and procedures to be adopted in case of relocation due to a disaster
or business interruption. This documentation is part of the quality manual designed by KPMG for ISO
9001:2000. Being an ISO 9000:2000 certified company; the same can be shared with the client on
request.
Activities
Insurance Claiming Process
Outsourcing of insurance claims processing to India and other low- cost destinations is a rapidly growing
segment. Some large insurance companies have started captive centers in India to take advantage of the
cost containment option that India offers while some have preferred to outsource the work to a third-party
BPO service provider. HTMT is by far the largest player in the area of insurance claims processing in
India and is currently working for two Fortune 250 American insurance companies. More than 1,000
Examination Paper: BPO Management
IIBM Institute of Business Management 13
people are working in this activity and it is likely to scale up and double the current strength in the near
future.
Currently HTMT processes claims in the following areas:
•Traditional dental & medical
•Health maintenance organization (HMO)
•Coordination of Benefits (COB).
•Claim resolution processing (CRP)
•Over payment recovery (OPR)
•Paper referral processing (PRP)
•Private provider organization (PPO)
•Claims audit
•Worker’s compensation
•Automobiles
•Property
•Liability
More than 85,000 claims are processed in a single day. The process involves eight stages and the training
programme lasts for almost one year.
Contact Centre Operation
HTMT’s contact centre activity began in 1996 and since then it is growing from strength to strength.
Currently working with US/UK customers in the telecom, consumer durables, financial services and
FMCG areas, it provides services like customer care, provisioning, marketing, technical testing, order
administration, telemarketing, product recall and directory enquiries. With about 1,400 plus agents, this
activity is likely to double in the near future.
Future Plans
HTMT’s future plans for the IT business are:
•Leverage strong domain expertise in insurance and telecom to grow the existing BPO and call
centre business.
•Enter the European market for BPO Business.
•Focus on continuous high-quality execution of current contracts for higher ramp-ups.
•Move up the value chain in the BPO business by tapping synergistic opportunities like high-end
call centre business from the same client.
•Enter new markets and leverage strong discrete manufacturing expertise for software
development and maintenance business.
•Graduate from conventional and collaborative outsourcing to transformational outsourcing.
•Inorganic growth in IT services/IT- enabled services will also be a key growth strategy in the
future.
Questions:
1. Discuss about the various activities performed by Hinduja TMT.
2. Write a short note on:
•Disaster Recovery Centre
•BPO Arm in Hinduja TMT
END OF SECTION B
Examination Paper: BPO Management
IIBM Institute of Business Management 14
Section C: Applied Theory (30 Marks)
•This section consists of Applied Theory Questions.
•Answer all the questions.
•Each question carries 10 marks.
•Detailed information should form the part of your answer (Word limit 200 to 250 Words)
1. Discuss the different strategies that are adopted by the BPO’s to control their Attrition.
2. What are the Pros and Cons of BPO?
3. Write a note on the SWOT Analysis of Indian BPO Industry.
S-2-210311
END OF SECTION C
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