BPO industry in the recent years has grown dramatically, and the outsourcing firms have found their markets not just in the USA but other developed countries of Europe as well. The main reason why all giant investment companies are looking to outsource is basically to cut the cost of research and analysis in their own facilities. But there are some more factors inducing these companies to outsource to Asian countries including:-
- Enhanced focus on business core competencies
- More sophisticated research techniques
- Access to a pool of highly skilled human resource
- ROI growth
- Enhanced quality of service
A recent study showed that by outsourcing research and analysis some of those companies have been able to reduce 50 to 70% of their expense.
Current Economic recession and market conditions in the USA and Europe are the driving forces behind this momentum due to which more investment companies are being attracted towards outsourcing.
Silicon.com has predicted that in the next six years, research and analysis outsourcing will be a significant boost to BPO industry. The fact is that, research and analysis market is growing at a rate of 46% which will turn into a $17billion opportunity by the year 2010.
Reduction in cost is making giant investment companies interested in outsourcing their research and analysis to Asian countries. Another reason is a large pool of qualified and skilled work force that is available to BPO companies, for example iSource Biz in Pakistan. These companies are able to provide research and analysis services at reduced cost compared to developed countries.
Many giant investment companies have already outsourced their research and analysis to Asian countries. Some of those companies are Citigroup, Morgan Stanley, Lehman Brothers and JPMorgan Chase, and more activity is expected in the near future.