There
is a good news and a bad news for the Indian ITES-BPO industry.
The good news is that IDC predicts that the total world wide
market potential of ITES-BPO will increase to $1.2 tn in the
year 2006, from $712 bn in 2001. Moreover, NASSCOM estimates
show that the revenue of Indian ITES-BPO industry has grown
by 59% in the year 2003-04. While this is a good news, the
bad news is that the attrition rate is 30-35%, one of the
highest in any industry. Dataquest study 2004 attributes the
high attrition rate to lack of training on skill development
and the training process not being optimum for executives
to grow. As a result executives quit the jobs. This article
discusses the needs and benefits of training, different institutes
that currently offer training, the pitfalls in training. It
also suggests ways on how training can be a win-win situation
for both executives and the BPO organization.
Executives
are the best assets of BPOs. We may replace the technology
year after year but not executives, as orienting them requires
huge costs. These executives need a continuous upgradation
of skills, which can be done by training. Currently, the expenditure
incurred by BPOs on training is 1-2% of the total revenues
of the organization. The training is given on-voice modulation,
accent neutralization, domain specific knowledge, etc. Training
BPO executives is a technical process which involves transferring
the management and execution skills to the new and existing
executives for them to understand and upgrade the business
processes.
Inspite
of these, Businessworld Report 2003, found that approximately
60,000 people from BPOs changed their jobs, which incurred
a huge Rs. 300 cr to the industry for recruitment and training
more people. This attrition is despite the hefty salaries
offered by the BPO industry. Most of the s cite inadequate
training given to executives as the reason for high attrition.
This shows the need for adequate training. |
