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Orange says outsourced work to India remains intact

Orange says outsourced work to India remains intact
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First Published: Sat, Nov 15 2008. 12 38 AM IST

U-turn: Reports quoted Orange UK’s Tom Alexander as saying that it will not be long before all its call centres will be run in Britain.
U-turn: Reports quoted Orange UK’s Tom Alexander as saying that it will not be long before all its call centres will be run in Britain.
Updated: Sat, Nov 15 2008. 12 38 AM IST
New Delhi: British telecom company Orange UK, owned by France Telecom SA, has no plans to move its call centre operations out of India, a company official said.
“We have no intention of pulling out,” a spokeswoman said in a phone interview from London, “and we are committed to working with our partners in India.” She declined to be named.
U-turn: Reports quoted Orange UK’s Tom Alexander as saying that it will not be long before all its call centres will be run in Britain.
Orange currently outsources work to Indian units of Convergys Corp., the world’s largest back office firm, and International Business Machines Corp. (IBM), that runs the globe’s largest tech services business.
In reports carried on Sunday by ‘The Independent’ newspaper and later by ‘Press Trust of India’ news agency, the company’s chief executive Tom Alexander said that “it will not be long before all its call centres for customers will be run in Britain”.
The company spoksewoman did not deny Alexander made the comments at a media lunch, but said the comments reflect an announcement the company made last June to focus on customer service within the UK, and did not signal a new outsourcing policy for the company.
Earlier this year, Orange consolidated its offshore work with Convergys and IBM Daksh Business Process Services Pvt. Ltd, ending contracts with two others, ExlService Holdings Inc. and 24/7 Customer Inc.
Convergys declined comment and an IBM Daksh spokesperson did not return Mint’s calls for comment.
“We are definitely seeing more and more of call centre work remaining in the UK,” says Avinash Vashishta, chief executive of outsourcing advisory firm Tholons Inc.
“I think the priority is maintaining the customer base,” says a London-based telecom analyst who declined to be named citing his employer’s policy against talking to the media.
“It is clearly a business judgement on the higher cost per head of onshore versus offshore, versus how many customers you’re loosing on style of customer service,” the analyst said.
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First Published: Sat, Nov 15 2008. 12 38 AM IST
More Topics: Orange | Telecom | IBM | Convergys | France Telecom |