Archive for March, 2010

SaaS poses operational and regulatory risks for asset managers

March 24th, 2010

Asset managers seeking to become more efficient by outsourcing to software-as-a-service (SaaS) providers should be mindful of the increased operational risk and regulatory risk exposure they face in doing so, say data management experts.

“If you outsource, your operational risk is being removed from you,” said Derek Ramage, head of network management at Fortis Investment, at the ‘Technology solutions for asset management’ event earlier this month. “How do you control that? Asset managers have historically managed their operational risk well. There seems to be an assumption the service providers will provide what they say they will.”

The desire to save costs by reducing middle- and back-office systems has created a growing market for IT software vendors offering SaaS products and cloud computing vendors providing similar services to reduce costs for data storage.

“One of the main drivers [of outsourcing], aside from saving on costs, should be looking to improve your operational risk profile,” said Paul Roberts, managing director for Europe at Milestone Group, a technology vendor, speaking at the same event. “If you think about operational risk profile, it is ultimately affected by three things: cost, quality and timeliness.”

“Most outsourcing vendors – though they would not want you to think this at the start – will have been flexible with at least some of those elements in finding the right solution for you. Your operational risk profile is controllable by you, for the right price and level of quality,” he said.

It was also suggested there should be an element of education within successful outsourcing – with the client learning from the firm it relies on to manage its risk, and the vendor providing the necessary transparency to allow that to happen.

“If you outsource to somebody who is capable of doing something better than you, that person should educate you to some level how they are doing things better,” said Peter van Kleef, president and chief executive of Lakeview Capital Market Services, a risk management and investment software vendor. “It is also important that the firm is transparent, rather than just telling the client it can manage its risks without saying how.”

Source:http://www.risk.net/operational-risk-and-regulation/news/1597734/saas-poses-operational-regulatory-risks-asset-managers

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Stream global services celebrates opening of new service center in Egypt

March 24th, 2010

Stream Global Services, Inc., a premium business process outsourcing (BPO) service provider specializing in customer relationship management for Fortune 1000 companies, announced its continued global expansion with the inaugural opening of its new service center in Cairo, Egypt.
Stream’s Chairman and CEO, Scott Murray, welcomed His Excellency Dr. Tarek Kamel, Minister of Communication and Information Technology, as well as local business leaders, Stream clients and the media at the launch of the center in 6th of October City.

Commenting on the new center, ITIDA’s Chief Executive Officer, Dr. Hazem Abdelazim said:

“The growth of Stream in Egypt over the last 12 months has been phenomenal and the launch of their dedicated service center marks their success and the attractiveness of Egypt as a destination for BPO. We’re delighted that Stream has chosen Cairo for this new center and its commitment to training and employing Egyptian employees is testament to the quality of skilled workers we have here in the country.”

This inauguration follows an agreement signed in Washington DC in June 2009 with the Egyptian Ministry of Communications & Information Technology (MCIT) and Egypt’s Information Technology Industry Development Agency (ITIDA) to employ and train more than 1,000 Egyptian employees in its Cairo facility over the next three years. In less than a year, Stream has trained and employed 800 Egyptian employees and expects to hit the 1,000 target by June 2010.

The new 800 plus seat center will support the growing demand for Stream’s global BPO services. As a recognized top outsourcing destination, businesses are attracted to Egypt because of its central location and its economic and political stability.

Egypt’s exceptional technical workforce, as well as its strong telecommunications infrastructure and central service location, make it a world-class destination to support Stream’s global clients. The government’s dedication to educational programs and Cairo’s approximately 300,000 annual college graduates contributed to Stream’s selection of the city for its newest center. In addition, Egypt’s central location provides easy access for clients in North America, Europe, the Middle East and Africa.

Stream’s Chairman and CEO, Scott Murray added, “Our Cairo service center has proven to be a great addition to our established footprint in EMEA and our new facility further underlines the success that Stream has achieved in this growing geographic market for our global client base. Our new Cairo service center is well suited to support our existing and future client base, with its highly technical support professionals and extensive language support.”

As one of the first global service centers in Egypt focusing primarily on offshore contact center outsourcing for North America and Europe, Stream offers its services in English, French, German, Italian, Spanish and Arabic languages. The expansion into Egypt marks another milestone of providing Stream clients a diverse global strategy for locating their service requirements across multiple destinations with one global provider.

Source:http://www.ameinfo.com/227639.html#story

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FPT says earnings to rise 20% on demand for vietnam outsourcing

March 24th, 2010

FPT Corp., Vietnam’s biggest listed telecommunications and software company, expects net income to gain 20 percent this year on increasing demand for outsourcing and systems integration.

Sales will rise by 23 percent, Phan Duc Trung, chief financial officer and vice general director, said in an interview. The company reported a 34 percent increase in 2009 net profit to 1.4 trillion dong ($73 million). Sales advanced 12 percent to 18.8 trillion dong.

“As the world economy recovers, we expect the number of clients in software outsourcing to go up,” Hanoi-based Trung said. “Enterprises in Vietnam are also showing a tendency to invest more in technology, so FPT’s market for systems integration will expand.”

Vietnam has risen to tenth place globally for outsourcing as measured by financial attractiveness, labor availability and costs, and confidence in the business environment, according to a report by A.T. Kearney. The nation jumped nine spots in the U.S. consulting firm’s 2009 Global Services Location Index, which measured 50 countries.

FPT expects demand from Japanese and U.S. companies for outsourcing to rise, Trong said. The Vietnamese technology group said its clients include Microsoft Corp., Panasonic Corp. and Hitachi Ltd.

Telecommunications added 31.7 percent to FPT’s pretax profit last year, and systems integration made up 24.4 percent, the biggest contributors.

Shares Outperform

The Vietnamese company gained 8.2 percent this year on the Ho Chi Minh City Stock Exchange, compared with a 3.6 percent increase in the benchmark VN Index. Its shares advanced 3 percent to 85,500 dong today, and the VN Index rose 1.2 percent to 512.51.

Hanoi-based FPT has 143.8 million shares outstanding and a market value of 12.3 trillion dong, according to Bloomberg data.

The group may list FPT Trading Group Joint-Stock Co., its technology distribution subsidiary, by 2012 after finding so- called strategic partners for the unit, Trung said. In Vietnam, strategic partners typically provide business and technological know-how, as well as making a financial investment.

Source:http://www.businessweek.com/news/2010-03-24/fpt-says-earnings-to-rise-20-on-demand-for-vietnam-outsourcing.html

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Village gets BPO, its women jobs

March 24th, 2010

Lines creased Suman Devi’s forehead as she furiously typed on her computer. A project associate with a business process outsourcing (BPO) firm, the 28-year-old is a pro when it comes to back-office work. Nothing unsual about it except that Suman Devi is a simple village woman from Tikli Akilampur a few km from Gurgaon and was barely literate even a few months ago. But all that changed when the country’s first rural BPO which employs only women set shop in the obscure village. The result: The world opened up for 500 village women like Suman Devi who had never stepped out of their houses till the BPO happened.

The BPO was formally inaugurated by Gurgaon deputy commissioner Rajendra Kataria on Monday. It has been started by a company called `Harva’ which aims at empowering women and harnessing rural values. The BPO project involved an initial investment of Rs 30 lakh and currently has several insurance and legal firms as clients including a US-based company for which data-mining is done by these women.

Of the 500 women hand-picked for training, 50 have been employed, while the rest are still being groomed. The company is also tying to hire voice and e-mail processes when the women are trained enough to work on those fronts.

For now, the women are more than happy. Mala Yadav, who now earns Rs 2,500 per month, said: “Till a few months back, I had not seen a computer. Now, after the three-month training, I feel like I am working in an urban office right in the middle of the village and that too with my limited education. I am so happy.”

The rural BPO is the brainchild of entrepreneur Ajay Chaturvedi, an engineer and management graduate from USA. “I have worked in various countries. I always wanted to start a company which aims at tapping talent from the rural sector in the fields of community-based farming initiatives, rural BPO opportunities and micro finance.”

“The idea behind establishing the BPO is to empower women in the rural sector right at their doorstep. And we have opened a world of opportunities for them. Next in line are centres at Taudu and Sohna, two other villages in the district,” he said.

Interestingly, no qualification limit has been set for women to work in the BPO. Most of these women are not even matriculate but are immensely talented. “In the selection test, all we look for is alphabet knowledge in English apart from a desire to learn,” said Chaturvedi.

He particularly recalls the case of a 25-year-old woman, who crammed an entire computer keyboard in three hours straight! “Even people like us, who work on computer day and night, will not be that fast on the keyboard as she is,” Chaturvedi said.

But how did he convince 500 village women to shed their veil and work in an urban environment? “It took a lot of convincing. We met with their families and explained how it will improve their lives. Also, we had to make some adjustments to suit their requirements. Working hours, for example, have been kept flexible and we also provide pick-and-drop facility,” he said.

The company plans to provide employment to 5,000 women across Haryana and Bihar in the next four years.

Source:http://timesofindia.indiatimes.com/city/delhi/Village-gets-BPO-its-women-jobs/articleshow/5717346.cms

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Geeks On Site Explains Why Telecommuters Need Specialized Computer Support

March 24th, 2010

Telecommuting is a different animal all together. The work being done is equivalent to what is accomplished at the office, but the average telecommuter does not have the same level of IT support the on site employees do.

“Telecommuters have extra pressure because their job ratings are based solely on results, so when their home PC or laptop goes down, or they cannot access the company intranet system- they cannot just send a help desk ticket to a tech’s office down the hall. That’s why we are eager to educate decision makers on the importance of letting Geeks On Site technicians handle regularly scheduled maintenance visits as well as unexpected repairs,” says Geeks On Site company president, George Otte.

In addition to companies being able to count on Geeks On Site techs to provide all the IT support their telecommuters need, they can also reduce their overhead by outsourcing. Geeks On Site technicians are available on call, so the company does not have to pay for the downtime full time technicians get paid for.

Source:http://www.onlineprnews.com/news/27247-1269389970-geeks-on-site-explains-why-telecommuters-need-specialized-computer-support.html

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Wipro Technologies Executives to Present on Outsourcing Smart Grid at CIO Utilities Summit

March 24th, 2010

The CIO Utilities Summit team is pleased to announce that Wipro Technologies, a provider of integrated business, technology and process solutions on a global delivery platform, has signed on to sponsor and present at the CIO Utilities Summit, to be held at the InterContinental Montelucia Resort in Scottsdale, AZ on April 18-21. Wipro’s presentation will be held in front of an audience of CIOs and IT executives on Monday, April 19 at 12:25p.m.

The CIO Utilities Summit is an opportunity for technology leaders from the utilities sector to network with their peers, discover new IT solutions and learn about the latest technology trends. The event’s agenda topics, chosen by IT end-users, include: smart grid, managing innovation, energy optimization, predictive analytics and more.

Wipro enhances the profitability of utilities companies by offering solutions that impact operational cost and have a positive impact on revenues. A few of Wipro’s solutions for the utility industry include: work method standardization, smart agent workspace, and remote diagnostic solutions for energy trading and risk management. Wipro has more than 2,500 professionals dedicated to the utilities practice, including individuals with expertise in working with government/municipal owned utilities, cooperatives, investor owned utilities and independent system operators.

“Wipro offers top-of-the-line technology solutions and we are happy that they have decided to sponsor the CIO Utilities Summit. Our CIO and executive attendees will greatly benefit from Wipro’s participation by attending their presentation on outsourcing smart grid and learning about the IT solutions they offer utilities companies,” said Ross Abbott, Event Director, CIO Utilities Summit.

Wipro executives planning to attend the event include Eric Smith, Global Head of the Smart Grid Practice; Arun Krishnamurthi, Vice President of Energy & Utilities; and John Gustafson, Senior Vice President of Americas.

With a strategic agenda and cutting edge technology solution providers, the CIO Utilities Summit has quickly become the must-attend event for technology executives in the utilities industry.

Source:http://www.prlog.org/10590892-wipro-technologies-executives-to-present-on-outsourcing-smart-grid-at-cio-utilities-summit.html

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Flextronics Shares Up on Ratings Upgrade

March 24th, 2010

Flextronics International Ltd. (FLEX: 8.23, 0.39, 4.97%) saw shares rise nearly 5% on Tuesday, after an analyst from Raymond James upgraded the stock to “Strong Buy” from a rating of “Outperform”.

Analyst Brian Alexander said in a client note that he believed revenue growth would accelerate in the coming quarters as a result of “broad-based improvement in end-market demand, additional outsourcing wins, and the lapping of significant contraction of three major customers — Nortel, Sony-Ericsson, and Motorola — that pressured revenue a year ago.”

Alexander boosted his target price for the electronics manufacturer to $11.50 a share, up from a previous target of $9.00 a share.

Shares of Flextronics rose 39 cents or 4.97% on Tuesday, closing the day at $8.23 a share.

Source:http://www.foxbusiness.com/story/markets/industries/technology/flextronics-shares-ratings-upgrade/

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