The BPO vendors having US based clients share mixed reactions due to the temporary slump in the US economy. This will be further heightened till the time final election results are not out and the new president doesn't announce some relief with string of measures to combat the credit crunch heat.
Those BPOs/KPOs who focus on large US companies or big ticket outsourcing contracts are facing the recession crisis as seen by the delays in contract renewals or temporary freeze in awarding of new contracts. One of the associated factors is the lengthened decision making time with a lot of top heads (including CEOs and CFOs) losing their jobs under the recession pressure. Large companies have now focused their energies on restructuring their company through vertical acquisitions or major divestitures besides analyzing their internal processes. This has majorly been observed with IT BPO and financial service companies. It seems that 'outsourcing' is now on the back burner for them as they focus more on meeting their budgeted business targets first.
But there’s some hope in these tough times. The economic crisis has forced the small to mid-sized US companies to assess outsourcing as an option as they struggle to survive against the big mammoths. They are re-evaluating their internal processes to find solutions within tight business budget constraints. This infact opens up a galore of opportunities for BPOs and KPOs from India who focus on small to mid-sized US clients with revenues lesser than $5 million.
There are few other smart choices available too, like looking beyond US to stretch the sights to Europe and Australia or changing the client exposure from the typical IT and Financial service clients to other industry verticals.
