MANAMA, 10 April 2008 — Various sources of market research show that Knowledge Process Outsourcing (KPO) industry to be worth anywhere between $10 billion to $17 billion by the year 2010. While the level of optimism on industry growth varies, few doubt the fact that the industry will grow at a staggering rate. The financial services sector accounts for a major proportion of the KPO industry,” KPMG in a report said.
“Assuming a conservative growth of the global KPO industry, KPMG expects the financial services KPO industry to be worth in excess of $5 billion by the year 2010,” said Rajeev Lalwani, partner advisory, KPMG Lower Gulf.
KPMG is a global network of professional firms providing Audit, Tax, and Advisory services. It operates in 145 countries and has more than 123,000 professionals working in member firms around the world. It has been at the forefront of each of the three waves of outsourcing moving from ITO to BPO, and now to KPO. In effect, KPO represents the latest step, in a continuous multi-decade process of value creating strategies, with respect to a typical financial institution’s back and middle offices. Within the financial sector, KPO has already been used to handle - amongst other things - credit scoring, loss protection calculations and fraud analytics.
In the words of Edge Zarrella, Global Partner-in-Charge, IT Advisory, KPMG, said: “Just a few years ago, talk of KPO seemed far-fetched, especially as businesses were still struggling to come to terms with what the earlier forms of outsourcing could do for them.
