In the face of increasing competition from nations such as the Philippines, Mexico, Malaysia, and Canada, the government has chosen to free the multibillion-dollar Indian BPO business from a slew of regulatory licences and compliances.

The change will also make infrastructure and task sharing across multiple organisations easier, allowing for greater size and speed.

The change, which mostly affects voice-based BPOs, allows firms that provide various outsourced services to share work, take local and foreign assignments on the same infrastructure, and make work easier for employees who may have migrated to remote locations as a result of the epidemic.

The updated criteria for ‘other service providers’ (OSPs) are the latest in a series of government measures aimed at liberalising the Indian IT sector’s operations and allowing remote working, or the ‘work-from-anywhere’ phenomena.

New rules might help the $39 billion industry grow.

The IT-BPM (business process management) industry in India is projected to have produced $38.5 billion in revenue in FY21, and the government anticipates that the liberalised rules would provide the industry a boost while making it more competitive.

“In order to support our BPO industry, OSP standards were liberalised in November 2020 and have been streamlined even further, providing better ease of doing business and regulatory clarity. In a tweet, Prime Minister Narendra Modi stated, “This would significantly decrease compliance load and boost our tech industry.”

OSPs are companies that use telecom resources to provide application services, IT-enabled services, contact centre services, or any other type of outsourced service. The new rules remove limits on data interconnection across BPO centres, allowing for more readily scaled operations.

Remote call centre agents, who may operate from any place and interact with consumers using any technology, including internet through wirelines or wireless, now have far less restrictions.

Article Credits –

timesofindia.indiatimes.com