NextBillion - An Initiative of the William Davidson Institute at the University of Michigan

Wednesday, June 29, 2005

BPOs are moving to villages

Kizhanur is like any other village in Tamil Nadu?s Thiruvallur district, surrounded by paddy fields and grazing cows. But look closely at No:1 Sivan Koil street which is awash with a new phenomenon ? a business process outsourcing (BPO) version of ITC?s e-choupal.

Chida Soft is a village BPO, doing coding on legal paper for an US client. It is run by entrepreneur Sharmila , 25, who supervises the Kizhanur franchisee of Lason India, part of the $170 million Lason Inc, US, an end-to-end outsourcing company that has a presence in the healthcare and publishing industries. Sharmila has provided the real estate, while Lason has invested in the hardware and training.

The result? One of India?s first BPOs in a village that is run by a resident and employs locals. ?Other than IT infrastructure, a BPO does not require good roads or houses. All it needs is abundant people,? explains Pradeep Nevatia, managing director, Lason.

The initiative termed ?Lason Village BPO? is to be extended to five more locations in Tamil Nadu, Andhra Pradesh, Kerala and Karnataka by the end of 2005.
Story found here.