Next Generation BPO

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Next Generation BPO

• Duncan Ingram
• Managing Director
• BT Retail Customer Service

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Overview of BT
Supplies a wide range of communications products
and services (broadband, voice, data, mobile and
converged services) to UK residential and
business customers
Provides networked IT solutions and services to
global, multi-site organisations
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BTs offshore operations
Pune Tech Mahindra Since 1987... 10000 FTE 65
Dedicated to BT

• Pune
• BT Global Services
• 224 FTE
• Back office Order Entry
• and Validation
• BTIS

Pune BT Wholesale and openreach 300 FTE Broadband
and Wholesale Line Rental Services

• Chennai
• BT Retail
• 800 FTE
• Broadband Consumer Technical Help

• Bangalore
• BT Retail
• 1100 FTE
• Repair
• Service
• Back Office
• Narrowband Technical Help Billing

• Noida
• BT Retail
• 1500 FTE
• Service
• Billing
• Broadband Technical Help
• Back Office
• Save/Sell
• Shared Support

BT has outsourced work in India for over 19 years
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Understanding our customers current and future
needs

• Providing 21st century global IP networking with
  the scale, resilience and security to meet your
  mission-critical enterprise-wide requirements
• Reducing the cost and improving the performance
  of your networked IT infrastructure through
  managed services, out-tasking and outsourcing
• Using convergent services to improve the
  efficiency and flexibility of your business
• Providing bespoke and industry-specific networked
  IT services and advice to help you succeed in the
  digital networked economy

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BTs BPO experience
Efficient and effective operations
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Cost traditionally the prime driver for
offshoring
Expected benefits from offshoring of
companies that have offshored1)
Source UNCTAD and Roland Berger Strategy
Consultants, November 2005
1) Multiple answers possible
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Looking ahead - Cost
Competition is intensifying from all over the
world
Cost will remain a fundamental driver a fact of
life!
We will continue to expect continuing cost
improvements through price and efficiency


But
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Looking ahead - Re-defining Quality

• Delighted Customers
• From voice and accent empathy
• Interaction with the brand

• Experienced People
• Attrition will be key
• Career prospects, training, reward, recognition

Taking quality to the next stage how to become
the preferred option for our customers
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Looking ahead Creating value

• We need to become more efficient and effective
  organisations
• You know our strengths - and failings!
• You have skills process, systems, IT, and

Help us proactively to drive our transformation
agenda
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Variable Cost Models

• Multi-regional BPO sourcing creating need for
  flexible infrastructure able to span multiple
  sites, multiple countries seamlessly
• Pricing models should vary to suit customer
  requirement... Fixed Fee Per Transaction Per
  Usage Charge Time and Materials, Cost
  Plus, Open Book Shared Risk/Reward
• Move to utility pricing

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Next Generation Outsourcing

• Following customer centric transformation of
  companies like BT
• Have a global footprint with end-to-end process
  delivery tapping into skills
• Delivering enhanced value and sharing risk as a
  strategic partner
• Network flexibility will be key - 21st Century
  Network will change the way business works and
  enable Next Generation Outsourcing
• Outsourcing is a key enabler for excellence

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The Opportunity Improving on the traditional
Cost
Better cost Increased efficiency
Efficiency
More, better, cheaper
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The Opportunity Creating real value
Effective transactions
Transactions that delight
Transactions processor
Proactive supplier of knowledge and skills
Passive
Proactive
Partnering for transformation
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Next Generation BPO

• Duncan Ingram
• Managing Director
• BT Retail Customer Service