Business Round-up 

Indian companies can be BPO goldmine 

WHATISINDIA
June 11, 2004

Indian Airlines is planning to outsource in a big way. General manager N C Jain said the airline had marked out several areas which could be handed over to outside agencies. Thus BPO firms can look for large volumes of business from big Indian companies.

Jain said he was looking at outsourcing helpdesk, schedules, booking frequent flyer chart processing, baggage handling and ground services. 

The ITES-BPO summit in Bangalore threw up some more surprises. An expert from Chicago said Indian BPO firms were excellent at delivering service, but needed to learn how to manage their business relationships. Dalip K Raheja, president and CEO of the MPower Group,said poor relationship management led to nearly 25 per cent of all deals breaking off in the first year. Nearly half of all buisness deals broke off in four or five years, he said.

In Mumbai, the Reserve Bank ruled Hongkong and Shanghai Bank could not pick up a 20 per cent stake in Unit Trust of India. India's central bank restricted the foreign bank's stake to 14.62 per cent.

MacDowell and Company, the Bangalore-based liquor major, is planning a foray into products that can go with spirits. A report said it was looking at the prospects of making and marketing snacks, liqueur chocolates, cigars, cheese, caviar, perfumes, crystals, and chinaware.


Overall:

IA said it might outsource: The giant airline has earmarked areas that outside agencies can handle.

Indian BPOs were praised: The Bangalore summit said the country delivered excellent service, but needed to learn business relationship management. 

HSBC was restricted: It wanted a 20 per cent stake in Unit Trust of India, but was permitted only 14.26.

MacDowell looked at lifestyle: The liquor company could soon be producing cheese and chocolates.