Professional Documents
Culture Documents
New Project Mba
New Project Mba
CHAPTER I
1.1 Introduction
The Business Process Outsourcing (BPO) area has been a significant supporter of the
worldwide economy as of late, giving a scope of administrations to organizations
across different enterprises. With the rising contest in the business, BPO
organizations have been zeroing in on different systems to stay cutthroat, and
powerful human asset (HR) strategies have arisen as an essential component for
progress. HR strategies assume a vital part in dealing with the labor force, drawing in
and holding top ability, advancing representative fulfillment and efficiency, and
keeping a positive work culture.
This study expects to analyze the HR strategies and their execution in the BPO area.
The review will zero in on different parts of HR arrangements, like representative
enrollment, preparing and advancement, pay and advantages, execution the
executives, and worker relations. It will likewise investigate the difficulties related
with carrying out HR approaches in the BPO business and the systems that BPO
organizations can embrace to defeat them. The review will utilize a subjective
examination approach, including interviews with HR experts, the board faculty, and
representatives of BPO organizations.
The discoveries of this study will add to the comprehension of the job of HR
strategies in the BPO business and the difficulties associated with their execution. It
will likewise give bits of knowledge into the systems that BPO organizations can
embrace to create and execute powerful HR strategies. This study is supposed to
hold any importance with HR experts, the board work force, and policymakers in the
BPO business. At last, this study means to add to the improvement of powerful HR
strategies that can upgrade the achievement and supportability of BPO
organizations.
The concept of Business Process Outsourcing (BPO) comes from the fact that the
companies want to concentrate on the core competency and can outsource other
important but non core processes to third party service providers. Knowledge
process outsourcing (KPO) and Legal Process Outsourcing (LPO) are now emerging as
important subsets of BPO. BPO uses IT extensively in its operations, hence is referred
to IT enabled Services (ITES) also.
1. Back-office outsourcing
it involves outsourcing of internal business functions like payroll, HR, etc. This is
called back office as these functions are not directly interacting with customers or
are not customer facing. These are critical business processes required to keep a
business running hence are frequently outsourced
2. Front-office outsourcing
It involves outsourcing of customer related processes like technical support,
maintenance etc. These front office processes are many times very closely
monitored as they represent the company's image to the customer. Outsourcing
such processes has to be thoroughly analyzed through proper quality control and
training.
1. Offshore outsourcing
When the work is contracted to a company that does not reside in the same country.
India and China have emerged as popular destinations for offshore outsourcing.
2. Near-shore outsourcing
When the work is contracted to a company that resides in the neighboring country
or country which is near or in same continent. e.g. if work is being done in US,
Canada can be near shore.
3. Onshore outsourcing
When the work is contracted to a company that is in the same country or performs
the work in the same country as the client/customer.
Read More
1. Telemarketing
This service covers the marketing through channels like phone, email etc. where in
the BPOs contact potential customers on behalf of the client to promote services.
2. Customer Helpdesk
Many times product companies outsource their customer service and support to
BPO through trained staff augmentation. This helps them to focus on product
development and enabled customer service through outsourcing.
3. Support Services
Other services like even warranty, insurance claims handling or other similar
processes can be handled by Business process outsourcing companies.
6. Document Processing
A lot of documents are generated everyday in business processes. Not all documents
are electronic or get processed automatically. Many times, it requires manpower to
process them, sort them or send them to the correct stage.
7. Data Entry
Data entry is one of the biggest use cases of BPO industry where in a lot of
documentation, converting handwritten documents to electronic data etc. is handled
through BPO operations.
8. Verification Services
Third party verification services are very commonly outsources to BPO experts for
checks, validation, backgrounds etc.
2. Reduction in Costs.
Hence, this concludes the definition of Business Process Outsourcing (BPO) along
with its overview.
This article has been researched & authored by the Business Concepts Team. It has
been reviewed & published by the MBA Skool Team. The content on MBA Skool has
been created for educational & academic purpose only.
Browse the definition and meaning of more similar terms. The Management
Dictionary covers over 1800 business concepts from 5 categories.
Continue Reading:
The problem statement for this study is to examine the challenges associated with
the implementation of HR policies in the BPO industry and identify strategies that
BPO companies can adopt to overcome these challenges. Specifically, this study
seeks to address the following research questions:
What are the key HR policies implemented in the BPO industry, and what are their
objectives?
What are the challenges associated with implementing HR policies in the BPO
industry, and how do they impact the workforce?
How can BPO companies overcome the challenges of implementing HR policies, and
what strategies can they adopt to develop and implement effective HR policies?
By addressing these research questions, this study aims to provide insights into the
implementation of HR policies in the BPO industry, which can contribute to the
development of effective HR policies that can promote employee satisfaction,
productivity, and retention. The study's findings can also be of interest to HR
professionals, management personnel, and policymakers in the BPO industry, as they
can use these findings to develop strategies that can enhance the success and
sustainability of BPO companies.
Business process outsourcing (BPO) is a business practice in which an organization
contracts with an external service provider to perform an essential business function
or task.
An organization typically contracts with another business for such services after it
has identified a process that, although necessary for its operations, is not part of its
core value proposition. This step requires a good understanding of the processes
within the organization and strong business process management.
Many organizations consider processes that are performed the same or similarly
from company to company, such as payroll and accounting, as good candidates for
BPO.
BPO typically offers flexibility and cost efficiency to organizations that implement it.
Companies calculate that outsourcing these processes to a provider that specializes
in them could deliver better results.
This study is necessary to address the gap in the existing literature on HR policies and
their implementation in the BPO industry. While there have been studies on the HR
policies implemented in various industries, limited research has been done
specifically on the BPO industry. By examining the HR policies and their
implementation in the BPO industry, this study can provide insights into the
challenges associated with implementing HR policies and strategies that BPO
companies can adopt to overcome these challenges.
Overall, the study on HR policies and its implementation in BPO sectors is necessary
to understand the unique challenges faced by the BPO industry and develop
effective HR policies that can enhance the success and sustainability of BPO
companies.
1] BPO industry: The study will focus on the BPO industry, which includes various
functions such as customer support, technical support, and back-office operations.
2] Geographical scope: The study will cover BPO companies operating in different
countries, such as India, the Philippines, and other Southeast Asian countries.
3] Company size: The study will focus on BPO companies of different sizes, ranging
from small to large companies.
The study's scope is limited to the BPO industry, and it does not include other
industries or sectors. The study will use a qualitative research approach to explore
the challenges and strategies associated with HR policy implementation in the BPO
industry. Data will be collected from BPO companies and employees through
interviews, surveys, and document analysis. The study will use a purposive sampling
technique to select participants, and the sample size will be determined based on
the study's objectives. Finally, the study's findings will be analyzed and presented
using appropriate data analysis techniques.
Sample size: The study may have a small sample size, which could limit the
generalizability of the findings to other BPO sectors or organizations outside of the
study's sample.
Bias: The study may be subject to bias, such as the bias of the researchers or the
respondents, which could affect the accuracy and validity of the findings.
Time frame: The study may have been conducted during a specific time frame, and
the findings may not be applicable to current or future situations in the BPO sector.
External factors: The study may not account for external factors that could affect HR
policies and their implementation in BPO sectors, such as economic conditions,
political factors, or cultural differences.
CHAPTER 2: - Review of Literature
2.1 Background
BPO (Business Process Outsourcing) is a rapidly growing industry that provides a
variety of services such as customer service, technical support, and back-office
operations to companies worldwide. The industry has witnessed significant growth
in recent years, driven by globalization and the need for cost-cutting measures in
businesses.
Human resource management plays a crucial role in the success of BPO companies.
Effective HR policies and their implementation are vital for attracting, retaining, and
managing talent in the industry. HR policies are guidelines that define the roles and
responsibilities of employees, procedures for recruitment, training, performance
management, and employee engagement.
The implementation of HR policies in the BPO sector is critical to ensuring that the
workforce is adequately skilled, engaged, and motivated to deliver high-quality
services to clients. The implementation process involves the effective
communication of policies, training of employees, monitoring and evaluation of
performance, and continuous improvement.
The study on HR policies and its implementation in BPO sectors aims to understand
the impact of HR policies on employee motivation, engagement, and retention in the
industry. The study will explore the challenges faced by BPO companies in
implementing HR policies and identify best practices for successful implementation.
The findings of the study will help BPO companies to develop and implement
effective HR policies and practices that can lead to a more engaged and productive
workforce.
2.2 Research Papers
"Effective HR Policies in the BPO Sector: A Study on Employee Motivation and
Retention" by S. Agarwal and M. Dasgupta (2019). This study examines the impact of
HR policies on employee motivation and retention in the BPO sector. The study finds
that effective HR policies can improve employee motivation and retention, leading to
higher job satisfaction and better performance.
"HR Challenges in the BPO Industry: A Study of Implementation and Best Practices"
by S. Gupta and A. Singh (2020). This study explores the challenges faced by BPO
companies in implementing HR policies and identifies best practices for successful
implementation. The study suggests that effective communication, training, and
monitoring are critical for successful implementation.
1] Industry-specific requirements: The BPO sector has its unique demands, including
specific skill sets, client requirements, and 24x7 operations. HR policies should be
designed to meet these demands and ensure employee engagement and retention.
5] Communication and training: Effective communication and training are critical for
the successful implementation of HR policies. Policies should be communicated
clearly, and employees should be adequately trained to understand and comply with
them.
From the above pie chart, we can see that 50.8% of employees have been working
since 3-5 years in BPO sector, and 34.4% of employees are working since 1-3 years,
and 9.8% of employees are working for more than 5 years.
From the above pie chart we can see that 36.1% of employees are satisfied, and
26.2% of employees are neutral about their answer and 21.3% of employees are very
satisfied with the HR policies in their organization
From the above pie chart we can see that 52.5% of employees think performance
management is the most important HR policies in the BPO sector, and 21.3% of
employees think that recruitment and selection is the most important HR policy in
the BPO sector and 16.4% of employees think that training and development is the
most important in the BPO sector.
From the above pie chart we can see that 31.1% of employees think that HR policies
are effectively implemented in their organization and 26.2% of employees think that
HR policies are neutrally implemented in their organization and 23 % of employees
think that HR policies are very effectively implemented in their organization.
From the above pie chart we can see that 42.6% of employees think that HR policies
are always communicated to the employees and 26.2% of employees think that only
sometime the HR policies are communicated to them and 24.6% think that rarely HR
policies are communicated to the employees.
From the above pie chart, we can see that managers receive feedback about their
performance
Weekly- 37.7%
Monthly- 24.6%
Daily- 16.4%
Quarterly-13.1%
Annually- 8.2%
From the above pie chart we can see that how often the employees receive training
and development in their organization
Weekly- 34.4%
Monthly- 18%
Daily-24.6%
Quarterly-13.1%
Annually- 9.1%
From the above pie chart we can see that 38.3 % of employees thinks that there are
somewhat opportunities in their organization and 33.3% of employees thinks that
there are opportunities in their organization.
From the above pie chart we can see that 34.4% of employees thinks that there are
somewhat work life balance provided in their organization and 24.6% of employees
think neutrally that overall work life balance is provided in their organization.
From the above pie chart we can see that 50.8% of employees have rated good and
37.7% of employees have rated excellent and 9.8% of employees have rated fair HR
departments responsiveness to employee concerns and grievances.
Chapter 5: - Results (Findings) and Discussion.
1. Importance of HR policies in BPO sector:
HR policies are critical for the success of BPO firms as they help in attracting
and retaining top talent, enhancing productivity, and promoting employee
well-being.
HR policies help in creating a positive work environment and culture that
fosters innovation, creativity, and collaboration among employees.
HR policies help in mitigating the risks associated with employee turnover,
legal compliance, and reputational damage.
2. Alignment with the changing nature of work and the demands of a globalized
and outsourced environment:
HR policies need to be aligned with the changing nature of work and the
demands of a globalized and outsourced environment to ensure that they are
effective and relevant.
HR policies need to take into account the changing work preferences of
employees, such as remote work, flexible work hours, and work-life balance.
HR policies need to be aligned with the cultural and social norms of the
countries where BPO firms operate to ensure that they are culturally
sensitive and respectful.
3. Indian labor laws and regulations:
Indian labor laws and regulations need to be taken into account while
creating HR policies to ensure that they are compliant and do not pose any
legal or reputational risks.
HR policies need to comply with various laws and regulations related to
employment, such as minimum wage, working hours, overtime pay, leave
entitlements, and safety regulations.
HR policies need to be aligned with the Code on Wages, the Industrial
Relations Code, and the Social Security Code, which were introduced in India
in 2019 to simplify and modernize labor laws.
4. Implementation of HR policies:
Implementation of HR policies is crucial, and firms need to adopt effective
communication and training strategies to ensure that employees understand
and adhere to the policies.
HR policies need to be effectively communicated to employees through
various channels, such as employee handbooks, training programs, and
online platforms.
HR policies need to be consistently enforced, and any violations need to be
promptly addressed through appropriate disciplinary actions.
5. Regular review and updating of HR policies:
HR policies need to be regularly reviewed and updated to ensure that they
are aligned with the changing needs of the organization and the external
environment.
HR policies need to be evaluated based on their effectiveness, relevance, and
impact on employee well-being and business performance.
HR policies need to be updated based on feedback from employees,
stakeholders, and industry experts to ensure that they are up-to-date and
innovative.
6. Collaboration between HR and other departments:
Collaboration between HR and other departments within the organization is
important to ensure that HR policies are effectively implemented and aligned
with organizational goals.
HR policies need to be aligned with the strategic goals and objectives of the
organization to ensure that they contribute to the overall success of the
business.
HR policies need to be integrated with other functions, such as finance,
operations, and marketing, to ensure that they support cross-functional
collaboration and alignment.
Chapter 6
Recommendations
Based on the findings of the report these are a few recommendations for the
implementation of the HR policies for BPO sector:
1] Adjust HR strategies to the organization's objectives and values: HR strategies
ought to be planned so that they line up with the organization's vision, mission, and
values. This will guarantee that the representatives are making progress toward
accomplishing the organization's objectives.
3] Give worker benefits: The BPO area is exceptionally aggressive, and to draw in and
hold the best ability, it is critical to give appealing representative advantages, for
example, health care coverage, took care of time, and retirement plans.
Conclusion:
All in all, the undertaking report features the significance of HR approaches and their
execution in the BPO area in India. The BPO area has been a huge supporter of the
Indian economy, and the progress of this area to a great extent relies upon the
proficient administration of HR.
The report observed that HR approaches are basic for the viable administration of
HR in the BPO area. They help to make a positive work culture, draw in and hold
skilled representatives, guarantee consistence with work regulations, and adjust
worker conduct to the organization's objectives and values. Nonetheless, compelling
execution of HR approaches is similarly significant for accomplishing these targets.
The undertaking report additionally found that the BPO area in India faces one of a
kind difficulties, for example, high representative turnover rates, weakening, and
occupation stress. These difficulties can be addressed by making HR strategies that
are intended for the BPO area and by guaranteeing viable execution of these
approaches.
To make viable HR strategies in the BPO area, the report suggests adjusting HR
approaches to the organization's objectives and values, guaranteeing consistence
with work regulations, giving representative advantages, preparing supervisors on
HR strategies, guaranteeing compelling correspondence, routinely evaluating and
refreshing HR arrangements, and cultivating a culture of trust and
straightforwardness.
Generally speaking, the undertaking report gives significant experiences into the
significance of HR arrangements and their execution in the BPO area in India. By
following the suggestions gave in the report, organizations in the BPO area can make
viable HR strategies that assistance to oversee HR productively, address the
extraordinary difficulties looked by the area, and add to the general progress of the
Indian economy.