Bharti Airtel is a fast-growing Indian telco. It felt labor costs in India were too expensive. It wanted to solve customer care issues at the machine. So it offshored its solution–to North America. The Indian company selected Nortel for its call center technology. Together they changed the behavior of a nation.
This was one of the first North American offshoring relationships. Nortel outsourced to India in 1991 because it couldn’t find enough employees with the specialized knowledge it needed. At same time, Wipro wanted to expand beyond India. The timing was right for both partners to attempt something new. What’s remarkable: both partners are still happy after 16 years!
When Nortel selected a service provider, the low cost offer did not prevail since Nortel wanted the best cultural fit. CSC won the deal after its negotiating team announced they would be the ones heading the account.
2000 was the year of the BPO mega deals. BPO deals are getting larger and we will see more of that, says Tom White, global managing partner for BPO outsourcing at Arthur Andersen (AA), a Big 5 accounting firm based in Chicago, Illinois. These outsourcing contracts ranged from $350 million to over $1 billion. And they were long range contracts, spanning a decade. The mega deals included: General Motors (GM) with Arthur Andersen BP Amoco with Exult, PricewaterhouseCoopers and Arthur Andersen Nortel with PricewaterhouseCoopers Bank of America with Exult White says AA’s contract with GM was unique because it was the first time a vendor concluded a finance and accounting contract that brought 17 different countries together in one shared services center. Employees at AA’s shared services center in Barcelona, Spain had to centralize the languages and cultures of those countries into a seamless BPO process.
If there was one single event in the outsourcing world that characterized the year 2000, it was the megadeals that were consummated in the business process outsourcing (BPO) space. Last year BPO vendors inked six landmark deals. They are: Arthur Andersen with General Motors Cap Gemini Ernst & Young with Ontario Power Generation Exult with Bank of America PricewaterhouseCoopers and Exult with BP Amoco PricewaterhouseCoopers with Nortel Networks Spherion with American Association of Retired People…
Responding to the need to address simultaneous and often rapid changes in the business environment, Nortel Networks a global leader in telephony, data, e-Business, and wireless solutions for the Internet has turned to PricewaterhouseCoopers (PwC) for business process outsourcing (BPO) services.