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BPO Industry and its Most Popular Challenges

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BPO Industry and its Most Popular Challenges

In 2016, BPO industry has grown by leaps and bounds. The growth rate of BPO industry in Asia is 14% this year. This growth rate has resulted in increased revenue of 14.1 billion US dollars. Along with increased adoption, BPO industry is facing some challenges in global market. To expand in 2017, BPO service providers need to handle these challenges with proactive approach. Else, these challenges will keep on plaguing BPO industry. Below are the most common 5 challenges that need to be catered.

Employee retention:

BPO industry is suffering from high rate of job switching. Employee retention rate is dropping day by day. As majority of employees in this industry belong to young generation, they lack motivation to work. They are more oriented towards administration related job roles due to which they fail to perform. They are unable to work under anyone else. They wat to be superior. Instead of working hard and waiting patiently to get experience and promotions, they switch. Moreover, they are easily influenced by higher packages. They get attracted wherever they find an increment. Their career approach is short term.

Health issues:

Most of the BPO services are being outsourced from US and UK. Their time zones are different as compared to Asian Pacific Time. To synchronize the activities, BPO service providers normally work at night shifts in Pakistan and India. Due to this changed biological clock, the employees suffer from severe health issues like insomnia, migraine, face stretch and hypertension. This is one of the biggest challenge being faced by this industry till now.

Opposition from Client countries:

Although it is an economic growth option for host countries. But, for client countries, this causes recession. People of their own countries are getting jobless. Because of this, governments and labor unions of client countries are insisting to cancel outsourcing contracts. They are demotivating and discouraging out of country outsourcing.  This has tremendously effected growth trend of outsourcing industry.

Multi-tasking:

BPO industry has to perform multi-tasking single handedly. To stay ahead of others and satisfy clients, BPO employees has to perform multi-tasking. They are required to learn multiple software and tools. Processes have become more complicates and reporting is evolving regularly. So, only quick learners and sharp personnel can work in this industry.

Organizational structure:

The organizational structure of most of the BPO service providers are horizontal. Call centers are the perfect example of this organizational structure. In this structure, there is no growth after a certain point. Job nature is also very monotonous. This demoralizes the senior employees which ultimately results in organization’s growth hindrance.

Conclusion:

These are some of the common challenges being faced by BPO industry. If you want to outsource your business process to any service provider, you need to choose a company which is facing these challenges open heartedly. Ovex technologies is a big name among such companies. If you outsource any of your business process to Ovex, your organizational growth will never be stagnate due to these challenges.

One thought on “BPO Industry and its Most Popular Challenges

  • David on May 22nd, 2017

    I could not resist commenting. Perfectly written!

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