The stimulating growth rates of the BPO industry in India, in the past decade, seem to have evaporated due to rising infrastructure & operational cost in big cities, global slowdown and competition from other developing countries. In order to sustain decent levels of growth, it is imperative for it to start looking at other avenues in the country.
The best option available for BPO companies in this scenario is to move towards to Tier II and Tier III cities. According to reports, a number of BPO companies are opening centers in small cities to reduce operational expenditures. These smaller cities offer various advantages such as availability of talent at a lower cost, affordable real estate, lower attrition, local government support and a better quality of life.
Having lots of benefits, moving to smaller cities is not an easy task as it seems. The balancing act is required on the part of the companies who want to leverage the advantages of Tier II and Tier III cities without hampering their quality of work. BPO companies recognize the need for venturing in Tier II and Tier III cities but found hurdles in the form of lack of infrastructure and right manpower.
Setting a similar platform, the BPO Association of India (BAI) and World BPO Forum have joined hands to address the issues faced by the BPO industry in Tier II and Tier III cities. For this, BAI organize 26 BPO conferences across India in 26 different cities.