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Business process outsourcing or BPO in India has evolved from its early 'sweat-shop' image to the status of a strategic differentiator in the global marketplace. Business process outsourcing has changed the way the world does business.

India's BPO industry has evolved and matured to present higher-end services that require judgment-based analysis and domain expertise, rather than function-specific, rules-based performance parameters alone. As service providers strive to offer end-to-end services, we see BPO falling into different segments. At one end of the spectrum is the traditional rules-based transactional outsourcing; while at the other end is judgment-based transaction processing and full-service business process outsourcing.


India has competencies in all the segments. Some BPO service providers have developed vendor-centric business models where they offer specialized services under one roof by representing the services of multiple specializing in different verticals. Others are niche players that have adopted vertical-specific models to address the needs of a specific industry.

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