Transcript
BP
O
3.0
DESICREW SOLUTIONS (P) LTD
Uma ShankarKrishna TejaMali SundaresanNeerad Kumar
Background• Started in 2005 by Saloni Malhotra as a test project
sponsored by Ashok Jhunjhunwala's TeNet group from Indian Institute of Technology, Madras.
• Connected the three dots in her head, ‘rural’, ‘business’, and ‘technology’ to give rise to The DesiCrew Solutions Pvt Ltd.
• Incubated by RTBI* of IIT Madras.• Tried different models on a basis of trail and error• The ‘kiosk’ based model• The franchise model• The final model
• Registered as a Limited Company in 2007.
*IIT Madras did not have a formal incubator at that time. It is now called RTBI
The Need for a “Rural BPO”Market Need: • Alarming industry statistics of almost 100% attrition levels.• An outcome of cost cutting exercises.• Social pressures (especially in case of women).
• Insufficient marginal salaries to sustain themselves in cities. • The decentralized DesiCrew model seeks to fill this workforce gap.
Social Need: • OECD estimates indicate 130 million educated workers in rural India with little or no access to meaningful employment. • Migrating to cities is their only option. • DesiCrew aims to leverage this potential of rural India.
A Rural BPO?!PERCEPTIONS FACTS
Availability of talent in rural areas.
• Production staff, middle management and support staff.
The industry is already employing 60% of the staff from rural areas.
Infrastructure For the first time rural India has over taken cities in internet usage
Lack of Workable models Outsourcing is a very well established and a very commercial one at that : It’s easy to pick the model and replicate in a smaller area.
Rural BPO can’t do high end data entry and time sensitive work
From multimedia to plotting maps, It’s all possible with adequate training.
Statistics• 8.5 lakh jobs created by IT/BPO sector in Q1 of FY 2010-11.
(source: NASSCOM)• 60% of employees come from tier 2 and tier 3 towns.• 60% employees are women.• Almost 60% attrition on an average in the industry!
1991 2001 2011
73.1 80.3 86.62
44.759.4
75.02
Literacy Rate %
Urban Rural
Area Rural Avg.(%) Urban Avg.(%)
Logical Reasoning
70.5 73
Analytical Ability
68 70
Language and communication
65 80
English 59.8 70.1
Maths & Science
53.5 55.2Source: India.gov.inSource: NASSCOM
BPO related skills study
PHILOSOPHY
Vision:• To expand economic geographic boundaries by leveraging local talent pools to provide a competitive advantage to customers.
• A double bottom line (financial and social development), connects global clients with low cost back office centres in rural India.
The DesiCrew Model
Rural, Educated Unemploy
ed
D Touc
h
Crewmate
D Touch – Training Program District Level Training Centre:• 25-seater Training Center• Batches of 3 months• 50 people/ batch
• a minimum of 12th pass and basic knowledge on computers to be considered for employment
• The candidates are selected based on a screening test.
Serv
ices
as
an
em
plo
yee
in D
esi
crew
Valu
e, C
om
pete
nce
, Skills
The DesiCrew Model
Clients DesiCrew
DC2
Crewmate
Crewmate
DC2
Crewmate
CrewmateDC2 – DesiCrew Delivery centers
Services(completed Projects)
money
Distrib
uted
wor
k
mod
ules
,
Mai
nten
ance
of
cent
er
Finished
modules
Salary+ training
Services
• A distributed operations model, whereby the Chennai office acts as the interface between the client and the rural centers. • Rural delivery model is a network of micro-centres strategically selected across rural and semi-urban locations.• Each centre is professionally run with a 25 seat facility working in 2 shifts to provide back-end services to global clients.• Locations of the micro-centres are identified in those territories with a population in the range of 10 to 100 thousand.• The workforce manning these centres is built up by training the educated but under employed.
Advantages
• Lower costs for clients as overheads (operating expenses) at these centers are far cheaper as compared to the urban counterparts.• the client gets a cost advantage of up to 40% of their current
costs.
• Creation of computer based/ knowledge related jobs in communities where there are no similar jobs.• Lower attrition rates for the industry• The employees are far more rooted, in fact 70% are women.• Thus more loyal and happy workforce and better quality work
Scalability
• Yes the model is scalable.• Secondly, there is competition now.• A lot of others started similar distributed models– Which validates
the model in a sense.
• More and More BPOs are looking at Indian customers.• ‘The Global Delivery Model’ doesn’t always work.
• Indian companies offer 1/3rd of what foreign companies are willing to pay.
• So many are experimenting with the model – the Tatas, Wipro, Aditya Birla Group etc.
Source: www.desicrew.in
•They handle clients from Insurance, Market Research, Internet, Mobile, E-Governance and Social sectors
• The services offered: Generating, Populating and Moderating content, Digitization, Data Entry, Mailroom activities, Secondary Research, Translation, Beta testing of web products Website monitoring, et cetra.
SERVICES
REACH• 5 centres and a new center recently established in Kaup, Karnataka.
• 250 strong workforce
• Across 2 states- Tamil Nadu and Karnataka; signed MOUs for setting up new centers in 22 districts of Andhra Pradesh
• 21 clients in all, and 40 plus completed projects
Challenges
• Perception about Rural areas
• Infrastructure bottlenecks in Rural areas
• Competition in the BPO market
IMPACT
Source: www.desicrew.in
50 seats
1000 companies
100 people
720 Cr per
annum
RS 6000/-
per month
per person
72 lakh PA per village
IMPACT
=This infusion of money into the rural areas, is what we call ‘creating wealth at the bottom of the pyramid
Source: Talk by Snali Malhotra at TEDx 2011
AWARDS
• BID Challenge India
• Sankalp (Highly Scalable Social Model)
• FICCI FLO (Best Woman Social Entrepreneur)
• CII Seal of Appreciation
• The Mantham Award
Thank You
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