{"id":16211,"date":"2016-05-12T06:45:05","date_gmt":"2016-05-12T06:45:05","guid":{"rendered":"http:\/\/indianewsnet.com\/?p=16211"},"modified":"2016-05-12T06:45:05","modified_gmt":"2016-05-12T06:45:05","slug":"english-infosys-may-bundle-bpo-unit-into-service-line","status":"publish","type":"post","link":"https:\/\/indianewsnet.com\/marathi\/?p=16211","title":{"rendered":"<!--:en-->Infosys may bundle BPO unit into service line<!--:-->"},"content":{"rendered":"<p><!--:en--><a href=\"http:\/\/timesofindia.indiatimes.com\/tech\/tech-news\/Infosys-expands-top-executives-responsibilities\/articleshow\/52141503.cms\" target=\"_blank\" data-type=\"tilCustomLink\">Infosys<\/a> is hitting a refresh button on its <a href=\"http:\/\/timesofindia.indiatimes.com\/topic\/BPO\">BPO<\/a><a href=\"http:\/\/timesofindia.indiatimes.com\/topic\/Business\">business<\/a> . The $9.5-billion IT firm is likely to bundle its <a href=\"http:\/\/timesofindia.indiatimes.com\/tech\/tech-news\/BPO-churn-on-cards-amid-2bn-MA-plans\/articleshow\/50710847.cms\" target=\"_blank\" data-type=\"tilCustomLink\">BPO<\/a>offerings into a service line and it might cease to exist as a wholly owned subsidiary. Its CEO Vishal Sikka has embarked on a transformation journey to steer the company towards higher value services aided by<a href=\"http:\/\/timesofindia.indiatimes.com\/tech\/tech-news\/Infosys-Sikka-says-artificiaI-intelligence-enabled-automation-is-todays-biggest-disruptor\/articleshow\/52033106.cms\" target=\"_blank\" data-type=\"tilCustomLink\">automation<\/a> and artificial intelligence, but its two business units -BPO and product subsidiary Edgeverve -continue to be sore points for the firm.<br \/>\nIn a recent email to the senior management, the company&#8217;s COO U B Pravin Rao said it&#8217;s re-imagining the value proposition of BPO as it continues to re-look at various service lines, including the BPO unit.<\/p>\n<div class=\"last7brdiv\"><\/div>\n<div class=\"last6brdiv\"><\/div>\n<p>At the heart of the BPO division&#8217;s under-performance is lower value work that has resulted in lower revenue per employee. <a href=\"http:\/\/timesofindia.indiatimes.com\/tech\/tech-news\/Infosys-Q4-net-profit-at-Rs-3597-crore-beats-estimates-for-fourth-straight-quarter\/articleshow\/51836510.cms\" target=\"_blank\" data-type=\"tilCustomLink\">Infosys<\/a> BPO&#8217;s performance has paled in comparison with its larger peer TCS with the former registering $551 million in revenues for the 2015-16 financial year compared to TCS&#8217; $1.9 billion for the same period. Its revenue growth has dropped sharply to 1.2% after registering 5.6% growth in the previous financial year.<\/p>\n<div class=\"last5brdiv\"><\/div>\n<div class=\"last4brdiv\"><\/div>\n<p>And the needle has barely moved on the revenue front -it has added just $85 million in the last four financial years, the slowest revenue addition among the top three Indian <a href=\"http:\/\/timesofindia.indiatimes.com\/topic\/ITBPO\">ITBPO<\/a> firms. Its cross-town peer Wipro added nearly $200 million to its BPO revenues in the last four years, taking it to $719 million. Cognizant, however, doesn&#8217;t break up its BPO revenues separately .<\/p>\n<div class=\"last2brdiv\"><\/div>\n<div class=\"last1brdiv\"><\/div>\n<p>Sikka, in his recent commentary , admitted that the new wave of innovation hasn&#8217;t reached the BPO business, referring to very little automation and artificial intelligence built into maximizing effectiveness and efficiency in each process.<!--:--><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Infosys is hitting a refresh button on its BPObusiness . The $9.5-billion IT firm is likely to bundle its BPOofferings into a service line and it might cease to exist as a wholly owned subsidiary. Its CEO Vishal Sikka has&#8230;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"coauthors":[],"_links":{"self":[{"href":"https:\/\/indianewsnet.com\/marathi\/index.php?rest_route=\/wp\/v2\/posts\/16211"}],"collection":[{"href":"https:\/\/indianewsnet.com\/marathi\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/indianewsnet.com\/marathi\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/indianewsnet.com\/marathi\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/indianewsnet.com\/marathi\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=16211"}],"version-history":[{"count":1,"href":"https:\/\/indianewsnet.com\/marathi\/index.php?rest_route=\/wp\/v2\/posts\/16211\/revisions"}],"predecessor-version":[{"id":16212,"href":"https:\/\/indianewsnet.com\/marathi\/index.php?rest_route=\/wp\/v2\/posts\/16211\/revisions\/16212"}],"wp:attachment":[{"href":"https:\/\/indianewsnet.com\/marathi\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=16211"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/indianewsnet.com\/marathi\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=16211"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/indianewsnet.com\/marathi\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=16211"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/indianewsnet.com\/marathi\/index.php?rest_route=%2Fwp%2Fv2%2Fcoauthors&post=16211"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}