Chennai, Feb 17: Knowledge Processing Outsourcing (KPO) sector in which India leads is set to grow upto $17 bn by 2010 of which $12 bn will be outsourced to India. Experts predict that despite recession India could maintain its leadership in the KPO sector with stable government policies.
President and Director of Scope e-Knowledge Center, Chandu Nair said, "India has competitive people costs which is sustainable at least for the next 7 to 10 years. There is an established ITES (Information Technology Enabled Services) sector with good management, plus a reasonable sized talent-pool of human expertise in many areas. All this coupled with fairly stable government policies could help India in its quest to maintain leadership in the KPO sector by a wide margin."
He added that only certain companies which have clients in sectors like financial services or high exposure to clients are hit by recession. Nair differentiated BPO from KPO saying that former is process or rule based, while latter is based more on expertise or judgement. The key competitors to India in KPO sector are Russia, China, Ireland, Israel, Philippines. The competition for India could vary depending on the nature of work said Nair.