featured posts:
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HCL Increasing BPaaS Emphasis to Target Debt Reduction & Smart Metering Realization in the Utilities Sector
Mar 14, 2016, by John WillmottThe utilities sector is an important one for HCL. The company has worked with ~100 utilities and currently has 25 active utilities clients, with its utilities revenue primarily from the U.S., U.K., and Australia. To focus further on this sector, HCL has enhanced its capability to offer end-to-end and BPaaS-based services through a number of partnerships and is now going to market targeting[...]
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The Truth About Freemium Research
Feb 18, 2016, by Paul ConnollyFor over a decade, freemium has been the ubiquitous business model for fledgling internet firms and the developers of smartphone apps. Users sign up for free to enable basic features, and are then drawn into subscribing to various levels of premium functionality. More recently, the freemium model has been the subject of considerable attention in the B2B market research space, with some rather extr[...]
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RPA: What BPS Can Learn from Software Testing and DevOps
Jan 25, 2016, by Dominique RaviartFor professionals involved in BPS activities, it might be a surprise that software testing (ST) shares a lot of similarities with BPS. Like many forms of BPS, ST is labor intensive – the largest software testing vendors now have up to 30k career testers and 20k has become the new norm. Like BPS, ST has adopted process improvement in a big way. And like BPS, ST is looking at process auto[...]
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Add AI & IoT to Achieve Service Transformation
Dec 04, 2015, by John WillmottIn this, the third and final blog in this series on BPO automation, I take a look at where the BPO market currently stands and where it’s going next. Well, the use of workflow and platforms to surround and supplement the client’s core systems has been well-established for a period of years. BPO has worked relatively well in these environments. The vendors largely have process models[...]
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Robotics - Making Continuous Improvement Realizable
Dec 04, 2015, by John WillmottThere is currently a huge amount of hype around use of automation in BPO, and many commentators seem to forget that the early BPO contracts were often driven by organizations with inadequate/creaking legacy IT systems using BPO as an enabler to combine replacement of legacy systems with an operations and process improvement layer. These early transformations were also frequently seen by both cl[...]
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Robotics & BPaaS Must Evolve to Take BPO Automation to the Next Level
Dec 04, 2015, by John WillmottIn my previous blog on automation in BPO, I argued that, despite all the hype, the current implementation of robotics process automation (RPA) is little more than a labor arbitrage play, enabling the business to run with increased efficiency using existing technology and offshoring frameworks. So where does automation in BPO go from here? RPA is essentially execution of repeatable, rule-based t[...]
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HPE: Digitizing F&A BPS to Realize Profit Maximization
Nov 24, 2015, by John WillmottNelsonHall recently attended the Hewlett Packard Enterprise (HPE) “Empowering the Customer to Win in the Digital Age” event hosted by HPE BPS. The theme was strongly around digital and empowering organizations to own the (increasingly digital) interface between customers, suppliers, and employees. In support of this theme HPE is investing heavily in automation, both in its own platform[...]
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HCL Targets Industry-Specific Processes with RPA - Significant Presence Developing in Banking Sector
Sep 17, 2015, by John WillmottHCL began its robotics program in late 2013. Since then HCL has invested ~$1.5m in robotics, (ToscanaBot Automation Framework), via its HCL ToscanaBot center of excellence, which currently employs a team of ~25 personnel and is planned to grow to 50+ personnel by 2016. HCL estimates that its robotics practice currently has an FTE impact of around 2,000 with this expected to grow to ~8,000 FTE impa[...]
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Genpact Adds Analytics and Automation and Invests in Domain Expertise to Position on “Generating Impact”
Jul 16, 2015, by John WillmottIn 2012 Genpact was starting to get behind the curve. Many of its competitors had caught up with the need for process framework methodologies and it was struggling to combine its IT assets with its business process services business. In addition, despite its focus on process excellence, Genpact sometimes lacked depth of domain expertise with the result that its execution was variable across accoun[...]
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NelsonHall BPO Index Shows Continuing Upturn in BPO Contract Activity in Q1 2015
Apr 08, 2015, by John WillmottBPO contract TCV in Q1 2015 continued the improvement in contract activity seen in Q4 2014, with BPO TCV picking up and gaining momentum over the past two quarters following relatively low levels of BPO TCV awarded in Q2 and Q3 2014. In particular, Q4 2014 showed a 6% improvement in BPO TCV year-on-year, with BPO accounting for 31% of total outsourcing TCV. Q1 2015 BPO TCV performance then impr[...]
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Self-Service Market Forecasting: Putting Power in the Hands of BPS Decision-Makers
Nov 03, 2015, by Paul ConnollyOne of the most laborious tasks faced by business planners is gathering relevant market size and forecast data as part of the annual planning cycle. Traditionally this has meant trawling through enormous documents, often referred to as the black books or bibles of the planners’ world. And then, finding that not all of the required market data is available in one place (or even at all), this [...]
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Capita’s Offer to Xchanging: How it Makes Sense
Oct 19, 2015, by Rachael StormonthOn October 14, the Xchanging board recommended a final cash offer by Capita of 160p per share. The offer, valuing Xchanging at ~£412m, represents a premium of ~44% to the closing price on October 2, 2015 (the last business day before the start of the offer period), 52% to the prior three-month average price and 64% to the one-month average price. Capita states it believes the acquis[...]
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EXL: Well Positioned for Growth in the New BPS World
Jun 22, 2015, by Rachael StormonthNelsonHall recently attended an EXL advisor and client event in London. What a difference in 18 months! Back in November 2013, EXL received a notice of termination from its largest client at the time (an event that was unfortunate, but not due to under-performance). The impact of this on 2014 results was significant: a $38m reduction in revenues from this client[...]
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Retail, CPG, & High-Tech Companies Shifting Sourcing in Favor of BPO to Restructure Service Delivery Models
May 26, 2015, by John WillmottWhile organizations across retail, consumer goods and, in particular high-tech, continue to face cost pressure, their attention is increasingly moving to addressing their competitive positioning and innovation in product development, particularly to meet the needs of developing economies. Indeed there is strong pressure to enter new territories in both the high-tech and CPG sectors. Noneth[...]
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HP Enterprise Services to Strip Out $2bn of Annual Costs in Next Three Years in Pursuit of Margin of 7-9%
May 22, 2015, by Rachael StormonthHP Enterprise Services has announced Q2 FY 2015 results, for the period ending April 30, 2015: Revenue was $4,817m, down 15.5% y/y, and down 10% in constant currency (CC), reflecting key account run off and weakness in EMEA Segment earnings before taxes (EBT) were $194m, a margin of 4.0%, up 143 bps y/y. Q2 FY 2015 revenue by service line (with y/y revenue growth) was: [...]