This year's study also shows that tier II cities are making their presence felt in the ITeS-BPO industry. Pune and Gurgaon were placed at fourth and fifth place, respectively, as compared to sixth and seventh last year.
Dr Manoj Vaish, president and chief executive officer, India, Dun & Bradstreet, said, "While the ITeS-BPO industry is bound to be impacted by the financial crisis, firms have taken measures to mitigate some of that risk. The industry has started providing services to a wider set of verticals, thus reducing their exposure to any one vertical. For instance, the BFSI sector's share of the overall pie of services offered by the surveyed ITeS-BPO companies dropped to 28 per cent in FY08 from 31 per cent in FY07. This trend is set to continue."
Over the next two years, a high proportion of companies (45.7 per cent) expect revenues for the ITeS-BPO sector to grow by 20-35 per cent annually. Research and analysis, HR services and translation services are expected to see high growth over the next two years, while BFSI, healthcare and telecom are the most promising verticals, says the report.
North America and Europe – key markets for ITeS-BPO companies – are experiencing an economic slowdown and that is bound to have some impact on the ITeS and BPO industry as a whole. On the positive side though, outsourcing and offshoring are more likely to become an even more important part of a company's overall strategy as they focus on cost-rationalisation - thus paving a path for long-term growth for the ITeS and BPO industry. |
