Pakistan’s IrresistibleValue Proposition IT-Enabled Remote Services:Altaf H. Khan
Overview • IT-Enabled Remote Services • The Offshore Model • Survey results • Opportunities & Challenges • Which ITES is right for you? • Wrap-up
The SW Export Hype • Excitement related to SW export is not justified • Show stopper: • Our inability to produce trained workers in rapidly increasing numbers • Is this the end of the Pakistan’s IT revolution that never was?
Long Live the IT Revolution! • But how? • We should try to leverage what we have, and not what we currently don’t! • We have been unable to produce quality SW developers in increasing numbers, but …
We Have … • Doctors • Dentists • Pharmacists • Nurses • Lawyers • Engineers • Architects
We Have … • Doctors • Dentists • Pharmacists • Nurses • Lawyers • Engineers • Architects • Draftsmen • Accountants • MBAs • Artists • English speakers • Clerical staff • ???
Extending the Offshore Model • The offshore SW services model has worked profitably for many Pakistani companies • Can we use the same model for other professions as well?
SW’s Offshore Model Client Onshore Center Offshore Center
IT-Enabled Services’ Model Client Onshore Center Offshore Center
Top Three … • Strategic benefits • Outsourcing users • Industry sectors • Barriers to success • Selection criteria
Top Three … • Strategic benefits • Outsourcing users • Industry sectors • Barriers to success • Selection criteria • Achieve cost reductions • Focus on company’s core businesses • Improve service quality
Top Three … • Strategic benefits • Outsourcing users • Industry sectors • Barriers to success • Selection criteria • Canada • Australia • USA
Top Three … • Strategic benefits • Outsourcingusers • Industry sectors • Barriers to success • Selection criteria • Energy • Financial services • Technology
Top Three … • Strategic benefits • Outsourcingusers • Industry sectors • Barriers to success • Selection criteria • Organizational resistance • Unclear performance metrics • Loss of control of process
Top Three … • Strategic benefits • Outsourcingusers • Industry sectors • Barriers to success • Selection criteria • Guaranteed service levels in the contract • Proven track record in outsourcing • Specializes in the particular outsourcing sector
IT Enabled Remote Services • Contact Centers • Accounting & Financial Services • Transcription • Advice Over the Web • HR Services • Animation Development • Insurance Claims Processing • GIS & CAD
IT Enabled Remote Services • Contact Centers • Accounting & Financial Services • Transcription • Advice Over the Web • HR Services • Animation Development • Insurance Claims Processing • GIS & CAD • Call Center • Email/Chat • Telemarketing
IT Enabled Remote Services • Contact Centers • Accounting & Financial Services • Transcription • Advice Over the Web • HR Services • Animation Development • Insurance Claims Processing • GIS & CAD • Remote Accounting • M & A Support • Financial Analysis & Forecasting
IT Enabled Remote Services • Contact Centers • Accounting & Financial Services • Transcription • Advice Over the Web • HR Services • Animation Development • Insurance Claims Processing • GIS & CAD • Legal • Medical • Dental
IT Enabled Remote Services • Contact Centers • Accounting & Financial Services • Transcription • Advice Over the Web • HR Services • Animation Development • Insurance Claims Processing • GIS & CAD • Medical • Legal • Financial
IT Enabled Remote Services • Contact Centers • Accounting & Financial Services • Transcription • Advice Over the Web • HR Services • Animation Development • Insurance Claims Processing • GIS & CAD
IT Enabled Remote Services • Contact Centers • Accounting & Financial Services • Transcription • Advice Over the Web • HR Services • Animation Development • Insurance Claims Processing • GIS & CAD
IT Enabled Remote Services • Contact Centers • Accounting & Financial Services • Transcription • Advice Over the Web • HR Services • Animation Development • Insurance Claims Processing • GIS & CAD
IT Enabled Remote Services • Contact Centers • Accounting & Financial Services • Transcription • Advice Over the Web • HR Services • Animation Development • Insurance Claims Processing • GIS & CAD • Scanning • Raster Vector • Dumb Smart
Pakistan’s Key Advantages • Cost of labor • Tax benefit • Time zone difference • Telecom rates • Cost of infrastructure • ???
Key Challenges • Marketing • Security & confidentiality • Culture of quality • Training • Managers • Telecom quality
Competition Competition comes in several forms: • No competition at all: • In-house service • Most significant • Disadvantages: Higher cost; Inefficiency; HR turnover • Our advantages: Fixed, lower cost
Competition (2) • US-based outsourcing companies: • Disadvantages: Higher cost; High employee turn-over • Our advantages: Lower cost
Competition (3) • Offshore service providers: • Ireland – Call Centers • Philippines – Animation; Remote Data Entry • India – Accounting; Animation; Call Centers • Many more • Disadvantages: None • Our advantages: None, but demand exceeds supply
ITES in Pakistan • CAD • Accounting • Medical transcription • Call center • ???
Which ITES is Right for You? • Determine your own profile • Determine the profile for various ITESes • Select the ITES whose profile matches best with your own
Dimensions of the Profile • Finances • Initial investment • Returns • Payback period • Ease of exit • Growth • Scalability • Diversification opportunities • Sustainability Marketing • Market size • Competitive advantage Human Resource • Leadership • Availability of: • Experienced pros • Junior pros • Training Infrastructure • Telecom • Distribution channels • Buildings
The Rating Scale
The Rating Scale
The Rating Scale
The Rating Scale
The Rating Scale
Remote Accounting Services
Call Center
Insurance Claims Processing
Medical Transcription
Which ITES is Right for You? • Determine your own profile • Determine the profile for various ITESes • Select the ITES whose profile matches best with your own
Which ITES is Right for You?
Summary • ITES is Pakistan’s irresistible value proposition and an ideal opportunity for entrepreneurs • Keys to success: • Form value-adding partnerships • Focus on operational excellence & customer satisfaction
Final Thoughts • Concentrate on HR-intensive businesses • Look for the widest wage differences • Build on your strengths • Leverage Pakistani expats for business development
Contact • This presentation is available online at: • www.kasbtv.com • My email address: • altaf@kasbtv.com
