Nearshore Americas

Capgemini Ramps Up to Make India 50% of Global Headcount

Source: iStockAnalyst

(Bangalore, Dec. 2) – Capgemini’s BPO operations in India, by next year, will account for 50 per cent of the company’s global headcount, which is expected to touch 12,000.

Capgemini BPO’s global headcount at present is 10,800. There are 4,300 employees in India, making it the company’s largest delivery centre around the world. Other centres globally, outside France, are in China, North America, Australia, and South America.

“Our headcount has been growing at 40-50 per cent every year since 2004 when we started out with 100 people,” said Mr B. L. Narayan, Vice-President and Head of BPO India, Capgemini Business Services, at the inauguration of a second BPO facility (1 lakh 80,000 sq ft) in Bangalore.

Capgemini BPO has six centres in India – Gurgaon, Mumbai, Bangalore, Kolkata, Chennai and Salem. The centre in Salem employs around 200 people. And there are plans to double it as “this is in line with our strategy to employ local talent,” said Mr Narayan.

Tier 3 cities not only offer cost benefits, but it is also beneficial from a retention point of view, he added. The company is also looking at another Tier 3 location in the country.

Clients

Capgemini BPO, which is growing at over 25 per cent every year, serves 60 clients across 75 countries. Some of the clients serviced out of India are Kraft Foods (NYSE:KFT) , Unilever (NYSE:UL) , Nokia (NYSE:NOK) Siemens (NYSE:SI) Network, Coca-Cola and Avon. The company is also keen to make pitches in the domestic market.

Commenting on the BPO industry’s evolution, Mr Huber Giraud, Chief Executive Officer – Business Process Outsourcing, Capgemini, said, “It is no more about front and back offices. That’s finished. Boundaries are blurring between IT, BPO, KPO etc – clients just want the best service and the full service, wherever it comes from…the world is flat. India is taking its share of the pie but there are also Brazilian and Chinese stories happening.”

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Revenue

The €8.4-billion Capgemini Group has a total global headcount of 1,06,000. India has 30,000 employees. Outsourcing services (including BPO) accounted for nearly 36 per cent of the French group’s business mix in first halfof 2010, while 41 per cent came from technology services. While 22.9 per cent of the group’s global revenues came from France in first half of this year, rest of Europe, Asia and Latin America, accounted for 20.2 per cent. North America, too, contributed 20.2 per cent.

Tarun George

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