Bpo Attrition- the Problem and Its Solution Essay

Human Re stingingces In Indian Business Process Outsourcing Organizations- detrition. Is at that place any solution? Business Process Outsourcing (BPO) is likely to be the adjacent big thing for services in this decade. The exertion is very diverse, with several(prenominal) sub-segments, each displaying its own unique characteristics. The BPO players need to be excellent in every facet of operations as the market is highly combative at every level and re-defining itself every day. Being a People-Centric industry what ar the spate issues that, the HR will train to handle?What are the challenges faced by HR in dealing with them? HI ahead this, one needs to gain an understanding about BPOs and what vexationes are Indian companies doing in this segment? BPO is based on the premise that some(prenominal) competencies are non very important for an organization (not their core competencies) outsource or ask somebody else who is adept at doing it, to do it for the organization. I n this way the organization can concent deem on its core competencies and not worry about on trivial issues, which are not strategical in nature.But these days we even find organizations outsourcing their core competencies or the core business aspects to BPOs to gain the advantage of cost pillowcase and superior issues. Typically, BPO would include call centers, problem solving in indemnification sector to other sophisticated activities like research and other bum office dealings. India has the advantage of low cost, highly qualified English sermon labour, thus virtually of the BPO ventures in India are call centers, although of late, companies are introduction into high-end areas like research.But for sometime at least we can learn that most of the companies would be doing the call center kind of business. Most of these kinds of jobs suffer done in the night in India to account for the 12-hour time backwardness between US and India. Over a period of time the biologic rh ythm of the employee changes, causing various kind of disorders like indigestion, fatigue, headaches etc. so the health of the employee is a major concern for the HR, more so because most of them are graduates in their early twenties.In addition the jobs are monotonous, a lot nerve wracking. So it is a challenge for HR to adequately bear the jobs of employees and provide them with enough time to refresh, so that they are adequate to expatriate service of highest quality. Although many companies are targeting fresh graduates, they are not able to retain them. Attrition continues to be high 35%. HR has to jibe that a proper career path is chalked out so that graduates increasingly see this area as a potential career for them.Clients in US, UK and other European Countries are very quality conscious and as increasingly complex jobs get outsourced, it becomes important that HR ensures right quality people are selected and the right quality of training is provided to them. This ensu res that later they do not face embarrassing time from their clients. There has been enormous indispensability in this sector for manpower and huge salaries are up for taking. The measure are skillful for this industry, but one has to keep in intelligence that this industry is still in its way to figure out in the growth stage.One cannot predict the future so easily and the sour experience of software companies is still fresh in minds. So a little bit of caution is to be exercised in this matter and proper trends have to be forecast by the HR to ensure that they do not go the software way when ultimately the industry stabilizes. Attrition A major problem rocking the Industry. Some Facts to Ponder about * 95% companies in the industry have Attrition problems * The small-sized and medium-sized companies loose more people * Turnover rates are as high as 30% in some reputed BPOs and over all around 35% in the Industry. Employees act to smaller companies for exciting opportunities and greater identity and move to large companies for defined roles, clearer career paths and better HR systems. Loyalty towards their employer or towards the organization has slowly seems to have disappeared. Executives know that fast-moving markets require fast-moving organizations that are continually refreshed with new gift, and they have become quite adept to away hiring. Even companies are quite comfortable with bringing in talent they remain distinctly uncomfortable about seeing talent leave.The arguing to headhunt employees with good performance ratings of other organizations is an open ploy. The mediators (so called Consultants) make this job user-friendly for the organizations by gaining the data bases of employees and they lure the employees by offering huge support packages finally making them to move from their job. One of the biggest assets of the BPO Industry is manpower. So, the biggest challenge in this industry is to attract and retain knowledgeable manpower. T oday, BPO companies are facing a shortage of knowledge workers because the rate at which they lose employees is almost ouble the rate at which they hire. A major proportion of the turnover issue is attributed to the style of manpower to the Companies who lure them by offering either better be or higher designation. The average stay of an employee in bpo companies has dropped to one year. In such a scenario where companies are fighting to combat global business competition, and struggling to survive, employee turnover comes as a double blow. And the issue of managing employee interval often gets ignored.Just because a business is dependent on communication skills, for instance, doesnt mean that it has to go to great lengths to retain its employees. If theres a large pool of people with good communication skills available, it might want to focus on recruitment rather than retention. Moreover, since new hires have lower salaries than long-term employees, the company is able to kee p a eyelid on compensation levels. Cooperating with competitors is another way of dealing with retention. Because of the intensity of talent-war, companies instinctively view retention and recruitment as competitive exercises.But floor shows that cooperation, even among competitors, can be one of the most effective ways of dealing with talent shortages. A New concept called Anti poach concordance between BPO organizations is on the Move. According to this agreement, the parties getting in to the agreement will share their employee databases with each other and so will keep back employees to shift in to each other companies. Lets hope that this works good for the BPOs. Frequent job-hopping of employees is not good for any one, neither for the company nor for the employee in terms of Growth.