dear dinesh,
you have told abot india's p.p.o. can you tell me if there are chances
to add hindi in jfw. if so, how?
....drunsinha

On 6/29/07, Dinesh Kaushal <[EMAIL PROTECTED]> wrote:
> After BPO & KPO, now comes PPO
> June 28, 2007
>
> You have heard about BPO (business process outsourcing) & KPO (knowledge
> process outsourcing), but it's time now to add a new word to your
> vocabulary: PPO.
>
> Coined by Alok Aggarwal, chairman of Evalueserve Inc, PPO means
> person-to-person outsourcing. The US-based Aggarwal, who is the co-founder
> of the global
> research and analytics services firm, says offshoring is now beginning to go
> mainstream and is touching the upper class and working class alike.
>
> "This is very reminiscent of 1991-92 when manufacturing in China and other
> low-wage countries began to impact the lives of the rich and the not-so-rich
> in developed countries," he says.
>
> Here's how: small offices, home businesses and even individuals are
> utilizing PPO services everyday through various means such as online
> tutoring and home
> & landscape design services. Even invitation cards for weddings and other
> parties, personal assistant secretarial services like scheduling
> appointments
> and maintaining calendars are now being outsourced.
>
> Many of these professionals work from their homes with a broadband
> connection and given the low overhead, vendors and freelancers can charge
> fairly low
> rates.
>
> A few companies, such as Future Net (a subsidiary of the Alaphuza,
> India-based Future Groups) are also experimenting with providing ancillary
> and concierge
> services from low-wage countries.
>
> In their model, the end-client registers on their website and agrees on a
> price. Future Net then provides property deals for customers or for their
> family
> members and friends. Other services would include payments made to utility
> service agencies, educational or other institutions; and purchase of simple
> items such as movie tickets, personal computers, and electronics equipment.
>
> Apart from online tutoring, for instance, companies such as Transtutors,
> Career Launcher, Educomp Datamatics, and Tutor Vista also offer one-on-one
> "live"
> homework assistance over the web and provide essay-writing guidance and help
> with educational content. Most Indian tutors charge between $8 and $40 per
> hour - a pittance by US standards.
>
> If you thought the PPO market is too small and hence insignificant, Aggarwal
> has an answer. Individual contracts are often of low value - between $100
> and
> $5,000 - but since the number of end consumers and small businesses is
> enormous, the total addressable market in the US alone easily exceeds $20
> billion.
>
> Evalueserve's research and analysis shows that between April 2006 and March
> 2007, the revenue from this sector was more than $250 million and it is
> likely
> to grow to over $2 billion by 2015 - a cumulative annual growth rate of
> around 26 per cent. The growth rate, Aggarwal says, is likely to be much
> more in
> the future as many of these PPO offshoring trends are at the beginning of
> their lifecycles.
>
> According to Evalueserve, PPO services follow two business models: the
> direct interaction model where the individual client signs a contract
> directly with
> a vendor in a low-wage country, whose employees (tutors, admin etc) work on
> a full-time or a part-time basis, or as sub-contractors.
>
> Since these contracts are of low monetary value, the individual client
> cannot usually travel to the offshore location or perform a costly
> due-diligence
> process, and is therefore exposed to some risk.
>
> Although payments can be made through cheques or wire transfers, since the
> cost of individual projects is fairly low, clients usually pay the vendors
> with
> credit cards, which can help offset some of this risk.
>
> The second is the online marketplace model where the vendors providing PPO
> services enrol in an online marketplace by paying a monthly subscription fee
> plus a fixed percentage of the revenue if they win the project through this
> marketplace. So, when an individual client posts requirements for a new
> project
> to be conducted on the online marketplace, the marketplace communicates
> these opportunities to the selected vendors and freelancers and requests
> proposals
> to be delivered to the client.
>
> The client then awards the work to the appropriate vendor depending on price
> (which may be on a per hour or a fixed cost basis), delivery time and a
> quality
> score provided by other clients who have been served by this vendor.
>
> In this model, the online marketplace typically earns between 5 per cent and
> 15 per cent of the contract price in return for an assurance of a minimum
> service
> level from the vendor, thereby reducing the risk for the client.
>
> Evalueserve's research estimates that there are currently more than 90
> online marketplaces on the World Wide Web and projects that they have
> involve over
> 500,000 vendors and freelance professionals who are providing these services
> from low-wage countries.
>
> Some of the prominent online marketplaces are Guru.com (the largest
> marketplace with more than 625,000 registered vendors and freelance
> professionals),
> California-based Elance.com, Florida-based RentACoder.com and
> GetAFreeelancer.com, owned by Sweden-based Innovateit.
>
> http://www.rediff.com/money/2007/jun/28bpo.htm
>
>
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