Serco launches new global BPO division, eyes $1 billion revenue

NEW DELHI: Services and consulting firm Serco on Thursday announced the launch of a new global BPO division and is targeting revenues in excess of $1 billion by the end of this year.

The new division is an amalgamation of the contracts and companies that deliver BPO services globally within Serco, including Intelenet Global Services in India, The Listening Company in the UK and Excelior in Australia, Serco said in a statement.

Last year, it had acquired Indian BPO company Intelenet for up to 385 million pounds (around Rs 2,772 crore).

The new unit will improve the services of Serco provides to its customers and enable it to target global opportunities, both in the public and private sector, it added.

Also referred as the Global Services division within Serco, the unit will work in Indian and foreign market and is aiming for revenues in excess of $1 billion by the end of this year.

Incorporated as one of four business divisions within Serco, it brings together a number of BPO-related operations and capabilities currently reported and managed in different Serco divisions, it said.

The Global Services division has a workforce of around 50,000, over 150 clients and a diversified footprint with a presence in 10 countries.

The business will focus on five vertical markets -- Banking, Financial Services and Insurance; Travel, Hospitality and Transportation; Healthcare, Utility, Retail and Manufacturing; Telecom, Technology and Online Services; and Media, Education and Government.

The transition has been "extremely smooth without disruption to any of our operations or employees." said Tom Riall, CEO Designate, Global Services, Serco

The company said about 40 per cent of its businesses would come from the public sector, while the remaining 60 per cent will be from the private sector.

"Also, about 60 per cent of our revenues will come from delivery in onshore locations and about 40 per cent will come from offshore delivery locations including India domestic business," Susir Kumar, Executive Chairman Designate, Global Services, Serco said.

He added that about 20 per cent of the revenues will come from the fast growing and emerging markets including India, Middle East, Australia and Africa and the remaining 80 per cent will be from the developed markets comprising of US and UK-Europe.