In business and enterprise serving customers or clients continually face challenges of optimizing the customer relations. This involves acquiring new profitable customers and retaining existing ones. Big enterprises gather large amounts of proprietary data as part of their transactions with customers which give them a valuable competitive edge.
The global scenario requires analytics support for data mining, management and analytics support on a regular ongoing basis, enabling decision making in the marketing and customer management functions. The analytics also need to be efficiently changed for the volatile global market.
The value of the data should aim at helping better decisions for risk executives in a timely, cost effective manner with multiple iterations.
Need for Outsourcing Analytics
Let take an example of outstanding payments. The longer the dues are unpaid, the less likely might be the chances of recovering the money. The client provided data on 3566 of its overdue customers out of whom 1663 had refused to pay. Following this, the job was outsourced. Statistical model was custom built and implemented, within a month 71% of customers were most likely to pay.
This involves the analysis of the account level, demographic and transaction data, statistical model for collection. Companies needed to spend on setting up division, training staff, operating and coping with the changing market trends. This is where Analytics Outsourcing comes to of use.
In KPO, the shift to analytics means that Indian vendors get better billing rate assignments and can offer better saving to clients at times almost 70 percent. For example, a client will prefer to hire a IIM (Indian Institute of Management) graduate from India offering $18000 a year while someone from Harvard Business School could be taking home $120,000 a year. No wonder companies are coming to India for analytics work.
What Indian market can offer in Analytics Outsourcing/BPO
Indian market currently can offer expertise in the following areas:
- Quantitative analytics and modeling
- Business Research and Analytics
- Capital markets processing and research
- Market research and analytics
The companies that are catering to are:
- Wealth Management companies
- Consumer finance,
- Investment banks,
- Mortgage bank,
Technically the Analytics outsourcing require higher KPO levels, unlike BPO tasks, some of them are:
- Data manipulation at basic levels
- Data mining,
- Mathematical programming,
- Statistical analysis,
- Computer aided solutions
Marketing skills and models such as the following are required:
- Building risk / marketing scorecards,
- Validating existing score cards, Compliance scorecards,
- Providing support in reporting and dashboards,
- Supporting campaign management,
- Segmenting prospects / customers, and
- Data management / data cleanup / data processing for prospects databases and collections files.
- Cognizant Analytics BPO
- Infosys BPO KPO
- Fractal Analytics
- Accenture – Profit Recovery & Analytics
- Types of analytic outsourcing