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[April 20, 2005]

The Direction of BPO


The Business Process Outsourcing (BPO) is now a well-accepted phenomenon within the business community. However, this market is dynamic and unsettled. According to Gartner Market Research firm, the BPO market (excluding IT related activities) worldwide is expected to grow from $112.9 billion in 2003 to $176.1 billion in 2008, based on a compounded annual growth rate of 9.3%.

Led by the IT outsourcing, Internet has accelerated the growth of the BPO market. IT led the way for outsourcing. Now with data and telecom infrastructure, service providers have developed their innovative approach such as IP Hosted Call Center solutions. These innovations have provided the technological backbone required to support the automation of processes. Companies are increasingly looking at avenues to outsource HR, Finance, and customer service and especially call centers.

Whether business processes are outsourced offshore generally depends on how scalable and how difficult the processes are. For a call center with a sizable staff (over 200 agent positions), the savings can be huge and dictate a move offshore. Offshore companies, more noticeably from India, are now providing broad outsourcing solutions with a blend of outsourcing and offshoring resources. These offshore companies are competing directly with US based market leaders such as IBM, EDS, Accenture, CSC, and others.

EagleACD, who is customer-centric and visionary, understands this trend of blending outsourcing and offshoring activities. EagleACD consulted a number of US based outsourcers and understood their business needs. There were two key business variables that outsourcers defined for their operation; US Presence for offshore company and flexible Pricing Model tied on business fluctuations.

Based on these two important key parameters, EagleACD developed a practical and cost-effective solution within the IP Hosted Virtual Call Center industry, the fastest growing call center market segment. EagleACD took a leadership role to develop industrys first truly Pay-as-you-go innovative Business Model.

EagleACD, with their global operation and US HQ, provided US based companies to work with them as a facilitator between them and an offshoring company. This allows them to protect their intellectual property rights, manage contract disputes, access database storage, etc. within US territory. EagleACD recognizes that many changes are going to happen in BPO industry and will constantly look for customer solutions that addresses present business conditions.

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