Infosys Bpo- Operation Strategy Case

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  • Topic: Business process outsourcing, Queue
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Infosys BPO- Operation strategy case analysis
Table of Contents
Introduction3
Problem Analysis3
Possible solutions4
Case 1 : Dedicated resources for each queue4
Case 2 : Common pool of resources for each stage5
Case 3 : Dedicated resources for simple and complex processes6
Case 4 : Common pool of all queues6
Observations7
Assumptions7
Pricing strategy8
Productivity Improvement Estimation8
Recommendations9
Action Plan9

Introduction

Indian BPO industry has been growing very fast in last few years. Revenue has increased from 3.4 Billion USD to 12.5 Billion USD in 5 years. Infosys BPO is one of the biggest players in India. In 2011 Infosys had 87 clients with overall 352 Million USD revenue. Infosys BPO is well known for its cost and quality among various companies. Recently Infosys is being given to handle IDM (Independent Debt Management) by one of its old client creditplus. Mr. Kapil, Practice Head of Infosys BPO, has to look after how to assign resource (employees in this case), how to schedule them, which pricing policy to implement, assurance of quality, fulfillment of customer demand and talent building in organization. Problem Analysis

Mr Kapil Jian wants to adopt an aggressive model for its BPO strategy and hence is required to take the following decisions: * Decide upon the number of FTE’s required for the process * Best billing model had to be chosen for the engagement * Determine how to dedicate resources

* Dedicate for each of the six queues
* Use the common pool of resources
* Stage-wise
* Category-wise
* Common pool for all six queues
Prices on higher side
Problem

Excellent Resource Planning to minimize cost
Estimation of likely productivity improvement

Actions Required
Loss of contract

Implement Transaction based billing to deliver value

5

Challenges in Resource Estimation
* SLA requirements were so stringent
* Forecasting was client dependent
* Decisions had to be made within a strategic framework
* Productivity improvement had to be factored in
Possible solutions

To solve this situation we have considered four cases
Case 1 : Dedicated resources for each queue

Here we are considering employees are assigned to each queue individually. Considering average demand for week, number of employees required is calculated. Calculation is shown in “case-1” sheet.

Case 2 : Common pool of resources for each stage
Considering each individual stage ignoring type of widgets (simple/complex) required number of employees are calculated in “case-2” sheet

| Review Stage| | |
| Que 1| Que 2 (Avg. of 4 days)| Total time required (in sec)| No. of req. resources| Day 1| 3340| 71| 635280| 53|
Day 2| 686| 57| 150600| 13|
Day 3| 367| 68| 98460| 8|
Day 4| 455| 68| 114540| 10|
Day 5| 788| 69| 174960| 15|
Total no. of resources required|  |  |  | 53|
| | | | |
| Process Stage| | |
| Que 3| Que 4 (Avg. of 4 days)| Total time required (in sec)| No. of req. resources| Day 1| 1569| 397| 378450| 32|
Day 2| 358| 427| 227775| 19|
Day 3| 368| 438| 233745| 20|
Day 4| 475| 392| 228870| 19|
Day 5| 4| 361| 151950| 13|
Total no. of resources required|  |  |  | 32|
| | | | |
| Settle Stage| | |
| Que 5| Que 6 (Avg. of 4 days)| Total time required (in sec)| No. of req. resources| Day 1| 868| 594| 399780| 34|
Day 2| 107| 586| 259315| 22|
Day 3| 258| 581| 284445| 24|
Day 4| 324| 498| 262295| 22|
Day 5| 256| 630| 304175| 26|
Total no. of resources required|  |  |  | 34|
| | | | |
Total no. of resources| 119| | | |

Case 3 : Dedicated resources for simple and complex processes Considering only type of process regardless of in which stage it belongs, number of employees required is calculated...
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