Nepal’s outsourcing firms in hot demandThe business process outsourcing (BPO) market in Nepal is growing at a rapid pace due to cheap labour and has allowed firms to offer such services to international IT companies at low prices. This has made Nepal a key outsourcing hub, similar to other South Asian countries.
The business process outsourcing (BPO) market in Nepal is growing at a rapid pace due to cheap labour and has allowed firms to offer such services to international IT companies at low prices. This has made Nepal a key outsourcing hub, similar to other South Asian countries.
Outsourcing is the business practice of hiring a 3rd party to perform services and create goods that traditionally were performed in-house by the company’s own employees and staff.
This is usually done as a cost-cutting measure.
Some of the more well-known firms in Nepal that offer BPO services are Young Minds Nepal, Leapfrog Technology and Braindigit. Most of these firms work for international IT firms.
There is no exact data regarding annual turnover of the outsourcing companies in the country but it is estimated that Nepali BPO firms generate a large amount of revenue. Most BPO firms in Nepal refuse to reveal their financials due to various reasons.
According to industry sources, the total turnover is estimated to be somewhere between Rs6 to10 billion annually.
According to Abhijit Gupta, cyber security and ICT business consultant, a lot of multinational companies are investing in Nepal. With power problems no longer a concern, people in the BPO business are optimistic about the potential opportunities and growth of the industry.
Young Minds Nepal is a firm that offers BPO services. According to them, 40 percent of their clients are international firms and the remaining 60 percent domestic.
The company has provided its services to various government offices in the country and international organisations working in Nepal such as ADB, UNDP among others. Another company, Leapfrog Technology, has been providing its IT services to companies based in the US, Australia and European companies. Their portfolio includes IT services in the health, education and financial sectors, according to Balvadra Maharjan, development manager at Leapfrog.
Similarly, Nepali firm Braindigit IT Solution is looking to cater to international companies. They serve as a B2B platform provider with scalability and flexibility and has provided services to international companies.
Braindigit CEO Nischal Man Pradhan said that the company targets clients ranging from startups to big corporations to government organisations. Their products include website and ecommerce builder and Human Resource management system.
The US, Canada, Australia along with European nations are some of the major countries that Nepali BPO firms provide their services to.