Presentation by Malcolm Wagget, Chief Operating Officer HSBC Global Resourcing, South Asia
Presentation by Malcolm Wagget, Chief Operating Officer HSBC Global Resourcing, South Asia
Presentation by Malcolm Wagget, Chief Operating Officer HSBC Global Resourcing, South Asia
October 7, 2005
Agenda
Summary
ITeS - BPO Industry
ITeS-BPO in India – The Rising…
33% increase in
offshore 2004
Have nots Have
penetration year 20% 80%
over year
Research
Analytics,
Engineering
Shared
Services
(IT / HR / FA)
Customer
Relationship
Management
Back Office
Processing
Data Entry /
Transcription BFSI ICT Auto Healthcare Others
2004…Turning point
Industry employee strength of over 250,000 and expected to grow by 40 percent in ’05
India remains the most widely used off-shore location and is expected to see
source: NASSCOM
…..Witnessing Unabated Growth…
1,800
USD billion 4.1%
5% Grown at a CAGR of 28% over
INR billion
Share in India's GDP 3.5% FY 1998-2005
3.2%
1,275.8
1,200 2.7%
2.9%
3%
Share in India’s GDP has more
978.3
than doubled from 1.9% to 4.1%
1.9% 779.6
600 1.2%
1.5%
565.9
657.9
2%
expected to reach 7% by FY
253.1
361.8
28.2
2008
186.4 21.5
16.1
13.4
5.0 6.0 8.2 12.1
Expectation of USD 50 billion in
0 0%
Source: NASSCOM
…that is expected to continue
Drivers of Growth
Infrastructure challenges
Intellectual Property
Quality issues
Meeting customers expectations
But most importantly…..
Quality Talent
Language skills
Controlling attrition
Competency building
HR Issues
While average attrition rates of 40-50% in the industry is very
high [cost of attrition is 1.5 times the annual salary]…
Our employee policies are geared towards attracting, developing and motivating
talented people
People are fundamental to our business and its success.
Identify, develop & retain high potential talent.
Strengthen the link between performance & reward.
Progress diversity education & actions.
Prioritise Learning & Development on leadership, sales & relationship
management.
Diversity Imperative
HSBC’s commitment to diversity
HSBC employs and manages diverse people which, makes us a more rounded
and balanced organisation and enables us adapt to new situations.
Best Employee Practices
Training programs
Superstar Award
GIFT (Give It Fresh Thought)
Extra Miler
Quality Excellence Award
Other Benefits
Cash Benefits Provident Fund
Gratuity
Basic Salary
Hospitalization Insurance Cover (Premium
Flexible Allowance Package paid)
Staff Referral Scheme
Share Option Savings Scheme Staff Discounts & Special Offers
Personal Accident Insurance Cover
Bonus (Premium paid)
Transport Facility
Deferred cash bonus
Etc.
Night shift allowance
Valuing our People
For team
In Summary
People strategy can no longer be about salaries – its about the whole
package. We need to :
Find the right people for the job – better recruitment processes
Provide access to higher education and ongoing learning for the employees.