Cases

Evaluating the Opportunities for Entry in the BPO Space for a Multinational Bank

Challenge

Our client was a multinational banking group’s India office and was in the process of evaluating opportunities for entry in the Business Process Outsourcing (BPO) space in the country. The client sought to understand the opportunities available for equity participation by the group as well as to assess the scope of providing banking services to companies in the industry. The group was also looking to extend the outsourcing capabilities of one of its subsidiaries to external clients as a new business opportunity. As part of this exercise, the group wanted to present a case for entry in this space to its Board of Directors.

Our Approach

To evaluate the entry opportunities, UC adopted the following approach:

    • Defined the business segments constituting the BPO marketplace and understood the worldwide and India outsourcing trends
    • Estimated the market size for each BPO segment globally and in India
    • Profiled key players in the BPO space in the country
    • Interviewed select BPO companies and industry experts to:

      1) Validate findings and market trends

      2) Obtain a perspective on the future of the industry

      3) Understand growth plans, funding opportunities and banking service requirements of BPO players

    • Prepared a presentation and summary discussion document highlighting:

      1) Trends in the BPO industry

      2) Market attractiveness

      3) Competitive landscape in the India BPO space

      4) Benchmark pricing and margin indicators

      5) BPO success stories in India

      Results

The project provided the client with a clearly articulated business case on the basis of which the bank expanded the scope of its BPO operations in India.