australia as a global hub for · 2013-11-16 · 29th june 2005 australia as a global hub for the...

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29th June 2005 Australia as a global hub for the Analytics Offshoring industry a strategic perspective Strategy & Economics ! Operational Risk Mgmt ! Six Sigma & Global Delivery Key Presenters : Sriraman (“Sri”) Annaswamy, Founder and Director – Swamy & Associates Stephen Scott, General Manager – Axiss Australia (a division of Invest Australia) Swamy & Associates - Independent BPSO Advisors & Managers

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29th

Jun

e 20

05

Au

stra

lia

as a

glo

bal

hu

b f

or th

e A

nal

ytic

s O

ffsh

orin

gin

du

stry

a st

rate

gic

per

spec

tive

Stra

tegy

& E

cono

mic

s !

Ope

rati

onal

Ris

k M

gmt !

Six

Sigm

a &

Glo

bal D

eliv

ery

Key

Pre

sent

ers

:

Sri

ram

an(“

Sri

”) A

nn

asw

amy,

Fou

nd

er a

nd

Dir

ecto

r –

Sw

amy

& A

ssoc

iate

s

Ste

ph

en S

cott

, Gen

eral

Man

ager

–A

xiss

Au

stra

lia

(a d

ivis

ion

of

Inve

st A

ust

rali

a)

Swam

y &

Ass

ocia

tes

-In

depe

nden

tB

PSO

Adv

isor

s &

Man

ager

s

2

Pro

pri

etar

y an

d C

onfi

den

tial

Cop

yrig

ht 2

004

-Sw

amy

& A

ssoc

iate

s–

Inde

pend

ent

BP

SO A

dvis

ors

& M

anag

ers

Ove

rvie

w o

f th

e p

rese

nta

tion

str

uct

ure

Sect

ion

1 : S

copi

ng th

e Fi

nanc

ial S

ervi

ces

Ana

lytic

s O

ffsho

ring

oppo

rtun

ity"

The

hist

oric

evo

lutio

n pa

ttern

of O

ffsho

ring

stra

tegi

es �

the

deca

de in

revi

ew

"Fi

nanc

ial S

ervi

ces

Ana

lytic

s O

ffsho

ring

: an

in-d

epth

per

spec

tive

#O

verv

iew

of t

he k

ey A

naly

tics

offs

horin

gdo

mai

ns

#A

ctua

rial,

insu

ranc

e an

d w

ealth

man

agem

ent a

naly

tics

#C

orpo

rate

and

inve

stm

ent b

anki

ng a

naly

tics

#R

etai

l ban

king

ana

lytic

s

#St

rate

gic

func

tions

ana

lytic

s

$St

rate

gic

finan

cial

man

agem

ent a

naly

tics

$St

rate

gic

busi

ness

inte

llige

nce

and

rese

arch

ana

lytic

s

"St

ruct

urin

g al

tern

ativ

es a

dopt

ed b

y in

stitu

tions

: an

in-d

epth

per

spec

tive

#Th

ird p

arty

ana

lytic

s pr

ovid

ers

�G

ecis

Glo

bal a

nd In

duct

is

"Th

e �c

oal f

ace�

of F

S A

naly

tics

Offs

horin

g�

in-d

epth

revi

ew o

f fiv

e jo

b ad

vert

isem

ents

3

Pro

pri

etar

y an

d C

onfi

den

tial

Cop

yrig

ht 2

004

-Sw

amy

& A

ssoc

iate

s–

Inde

pend

ent

BP

SO A

dvis

ors

& M

anag

ers

Ove

rvie

w o

f th

e p

rese

nta

tion

str

uct

ure

(con

td…

.)

Sect

ion

2 : T

he s

trat

egic

cas

e fo

r Aus

tral

ia a

s a

lead

ing

glob

alhu

b

"Li

mita

tions

exp

erie

nced

by

the

Ana

lytic

s O

ffsho

rers

�en

d cl

ient

s an

d se

rvic

e pr

ovid

ers

"B

uild

ing

bloc

k 1:

Siz

e, s

ophi

stic

atio

n of

Aus

tral

ian

finan

cial

mar

kets

"B

uild

ing

bloc

k 2:

Mul

ti-fa

ctor

pro

duct

ivity

�m

ore

sust

aina

ble

than

labo

urco

st a

rbitr

age

"B

uild

ing

bloc

k 3:

Ski

ll-se

t ava

ilabi

lity,

rigo

uran

d qu

ality

"B

uild

ing

bloc

k 4:

Ski

ll-se

t fle

xibi

lity

�Eu

rope

an a

nd A

sian

mul

ti-lin

gual

ski

lls

"Su

mm

ary

slid

e an

d Q

&A

1. S

cop

ing

the

fin

anci

al s

ervi

ces

An

alyt

ics

Off

shor

ing

opp

ortu

nit

y

5

Pro

pri

etar

y an

d C

onfi

den

tial

Cop

yrig

ht 2

004

-Sw

amy

& A

ssoc

iate

s–

Inde

pend

ent

BP

SO A

dvis

ors

& M

anag

ers

His

tori

cal e

volu

tion

of

Off

shor

ing

stra

tegi

es –

the

last

dec

ade

in

revi

ewA

tan

gibl

e m

ovem

ent

from

the

per

iphe

ry t

o th

e co

re o

f a t

ypic

alfi

nanc

ial s

ervi

ces

orga

nisa

tion

!!

Man

agem

ent

acco

untin

g re

ports

and

bu

dget

ana

lysi

sEc

onom

ic E

quity

and

C

AM

mod

el

mai

nten

ance

and

su

ppor

t

Cre

dit p

ropo

sal

anal

ysis,

pre

para

tion

and

docu

men

tatio

nPo

rtfol

io a

naly

tics �

EDF,

LG

D, R

OEE

Fund

per

form

ance

an

alys

is, re

porti

ng a

nd

acco

untin

gA

ctua

rial s

uppo

rt,

prod

uct p

ricin

g in

clud

ing

DFA

mod

els

Mor

tgag

e an

d pe

rson

al lo

ans

portf

olio

pric

ing

Dat

a w

areh

ousi

ng,

Dat

a m

inin

g an

d m

arke

ting

anal

ytic

s

An

alyt

ics

Off

shor

ing

acti

viti

es

Acc

ount

s rec

eiva

bles

an

d pa

yabl

es

proc

essi

ngG

ener

al le

dger

m

anag

emen

t fun

ctio

nsEm

ploy

ees s

uper

fund

ad

min

istra

tion

Proj

ect f

inan

ce

docu

men

tatio

n su

ppor

tFX

,cur

renc

yop

s and

. D

eriv

ativ

es se

ttlem

ent

Trad

e Fi

nanc

e an

d LC

s�ad

vice

and

se

ttlem

ent

New

bus

ines

s and

ad

min

istra

tion

Inve

stor

and

adv

iser

qu

ery

hand

ling

and

tele

mar

ketin

g.In

sura

nce

clai

ms

adm

inist

ratio

n an

d pa

ymen

t

Mor

tgag

e an

d pe

rson

al lo

an

orig

inat

ion

Mor

tgag

e an

d pe

rson

al lo

an

proc

essi

ng a

nd

serv

icin

gC

olle

ctio

ns a

nd

eDisp

utes

proc

essi

ng

Pro

du

ct b

ased

T

ran

sact

ion

p

roce

ssin

g an

d

Cu

stom

er c

onta

ct

cen

tres

(dir

ect a

nd

in

dir

ect)

Gro

up H

R, p

ayro

ll an

d sh

ared

serv

ices

ap

plic

atio

nsG

roup

pro

cure

men

t and

pa

yabl

e sy

stem

s �m

tnce

and

devl

pmnt

.

Loan

acc

ount

ing

and

tradi

ng s

yste

ms �

app

dev

and

supp

ort

SME

cust

omer

da

taba

se su

ppor

t M

iddl

ewar

e sy

stem

s su

ppor

t

Life

Pol

icy

syst

ems

mnt

nce

and

appl

icat

ion

deve

lopm

ent

Mas

tertr

usta

nd w

rap

plat

form

dev

elop

men

t an

d su

ppor

t

Cor

e B

anki

ng s

yste

m

-app

licat

ion

deve

lopm

ent a

nd

mnt

nce.

Dat

a m

inin

g, a

nd

war

ehou

se s

uppo

rtC

IF d

atab

ase

mnt

nce.

IT, I

nfr

astr

uct

ure

an

d

sup

por

t

Fin

ance

, A

ccou

nti

ng,

IT

, H

R a

nd

oth

er

cen

tre

fun

ctio

ns

Inst

itu

tion

al,

Invs

tmt.

and

B

usi

nes

s

Ban

kin

g

Wea

lth

Mgm

t. an

d L

ife

Insu

ran

ce

Ret

ail

Ban

kin

g O

ffsh

orin

gS

cop

ing

mat

rix

6

Pro

pri

etar

y an

d C

onfi

den

tial

Cop

yrig

ht 2

004

-Sw

amy

& A

ssoc

iate

s–

Inde

pend

ent

BP

SO A

dvis

ors

& M

anag

ers

FS A

nal

ytic

s O

ffsh

orin

g–

over

view

of

the

rap

idly

em

ergi

ng

dom

ain

Glo

ball

y, t

here

are

five

ana

lyti

cs d

omai

ns t

hat

are

star

ting

to

emer

ge s

tron

gly

in t

he F

S se

ctor

Scop

e of

Ana

lytic

s O

ffsho

ring

(�K

PO�)

in

the

FS s

ecto

r

Cor

pora

te c

redi

t and

Inve

stm

ent b

anki

ng a

naly

tics

Act

uaria

l, In

sura

nce

and

Fund

s m

anag

emen

t ana

lytic

s

Ret

ail b

anki

ng a

naly

tics

Stra

tegi

c Fi

nanc

ial M

anag

emen

t ana

lytic

s

From

che

ap la

bour

to K

now

ledg

e Pr

oces

s O

ffsho

ring

(�K

PO�)

Key

ob

serv

atio

ns:

1.N

early

12

maj

or �

third

par

ty�

serv

ice

prov

ider

s and

6 m

ajor

�fo

rmer

cap

tives

� no

w h

ave

300

plus

FTE

s in

this

Are

a

2.In

deed

, bot

h es

tabl

ishe

d of

fsho

rers

(Gec

is, A

mex

, eSe

rve

/ Citi

, SC

OPE

/ St

anC

hart,

Wor

ld B

ank)

and

the

rece

nt

anno

unce

rs (A

viva

, IN

G, F

rank

lin T

empl

eton

, JP

Mor

gan

Cha

se, M

orga

n St

anle

y an

d A

BN

Am

ro) h

ave

focu

sed

exte

nsiv

ely

on th

ese

anal

ytic

s ser

vice

s

Stra

tegi

c B

usin

ess

Inte

llige

nce

and

Res

earc

h an

alyt

ics

7

Pro

pri

etar

y an

d C

onfi

den

tial

Cop

yrig

ht 2

004

-Sw

amy

& A

ssoc

iate

s–

Inde

pend

ent

BP

SO A

dvis

ors

& M

anag

ers

Ret

ail b

ank

ing

anal

ytic

s d

omai

n –

an in

dep

th p

ersp

ecti

veFo

cus

curr

entl

y ar

ound

CR

M, D

istr

ibut

ion

and

chan

nel m

gmt.

and

Pro

duct

-man

agem

ent

anal

ytic

s

Scop

e of

Ana

lytic

s O

ffsho

ring

(�K

PO�)

in

the

FS s

ecto

r

Dis

trib

utio

n an

d ch

anne

l man

agem

ent a

naly

tics

�br

anch

clo

sure

and

bra

nch

loca

tion

anal

ysis

, geo

-map

ping

stu

dies

, wor

kfor

ce p

lann

ing

and

prod

uctiv

ity m

onito

ring

Frau

d m

anag

emen

t ana

lytic

s �

cred

it ca

rd fr

aud

anal

ytic

s, e

Dis

pute

stra

ckin

g an

d re

solu

tion

and

colle

ctio

n pr

oces

s su

ppor

t

Prod

uct M

anag

emen

t and

por

tfolio

risk

ana

lytic

s �

attri

tion

and

prop

ensi

ty

mod

ellin

g, p

rodu

ct p

rofit

abili

ty a

naly

sis,

bus

ines

s ca

ses

to s

uppo

rt ne

w p

rodu

ct

laun

ches

, por

tfolio

del

inqu

ency

ana

lysi

s, a

utom

ated

cre

dit s

corin

g al

gorit

hms

and

�exc

eptio

ns� c

redi

t pro

posa

l pre

para

tion

CR

M a

nd M

arke

ting

info

rmat

ion

syst

ems

anal

ytic

s �

cust

omer

seg

men

tatio

n an

alys

is (c

hurn

rate

s, to

tal v

alue

of c

usto

mer

revi

ews

and

segm

ent p

rofit

abili

ty),

data

min

ing

and

war

ehou

sing

ana

lytic

s (C

OG

NO

S an

d In

form

atic

are

ports

) and

m

arke

t res

earc

h su

ppor

t (pr

imar

ily s

tatis

tical

dat

a an

alys

is �

para

met

ric a

nd n

on-

para

met

ric te

sts)

From

che

ap la

bour

to K

now

ledg

e Pr

oces

s O

ffsho

ring

(�K

PO�)

Key

ob

serv

atio

ns:

1.Em

ergi

ng d

omai

n �

4 ou

t of 1

2 an

alyt

ics s

ervi

ce p

rovi

ders

hav

e de

dica

ted

FTEs

fort

hese

(lar

gest

has

120

FTE

s ded

icat

ed

to th

is do

mai

n)

2.In

2 c

ases

, CR

M a

naly

tics

have

invo

lved

the

serv

ice

prov

ider

taki

ng o

ver t

he c

lient

�s T

ERA

DA

TA w

areh

ouse

on

a �s

yste

ms o

n� b

asis

i.e. e

very

thin

g fro

m d

ata

entr

y to

app

licat

ion

deve

lopm

ent t

o C

OG

NO

S re

port

prod

uctio

n is

done

by

the

sam

e se

rvic

e pr

ovid

er

8

Pro

pri

etar

y an

d C

onfi

den

tial

Cop

yrig

ht 2

004

-Sw

amy

& A

ssoc

iate

s–

Inde

pend

ent

BP

SO A

dvis

ors

& M

anag

ers

Cor

por

ate

cred

it a

nd

In

vest

mt.

ban

kin

g an

alyt

ics

dom

ain

–an

in d

epth

per

spe

Focu

s cu

rren

tly

arou

nd “

pitc

h-bo

ok”

prep

arat

ion,

equ

ity

and

cred

it r

esea

rch

and

proj

ect

fina

nce

ana

Scop

e of

Ana

lytic

s O

ffsho

ring

(�K

PO�)

in

the

FS s

ecto

r

Equi

ty re

sear

ch a

naly

tics

�m

ost p

arts

of p

rodu

ct u

pdat

e an

d m

aint

enan

ce, �

stan

d al

one�

them

atic

repo

rt re

sear

ch a

nd p

repa

ratio

n an

d ne

w c

ompa

ny c

over

age

initi

atio

nC

redi

t res

earc

h, s

truc

ture

d an

d pr

ojec

t fin

ance

ana

lytic

s �

ratin

gs re

view

s m

odel

ing,

indu

stry

rese

arch

, pro

ject

DC

F, a

ccou

ntin

g an

d ta

x m

odel

ing

supp

ort a

nd

loan

pric

ing

anal

ytic

s (ty

pica

lly, E

L an

d LG

D e

stim

atio

n an

d R

OEE

pric

ing

supp

ort)

M&

A a

nd E

quity

Cap

ital M

arke

ts a

naly

tics

�ta

rget

val

uatio

n m

odel

ing,

due

di

ligen

ce c

heck

-list

sup

port,

cos

t syn

ergy

and

con

solid

atio

n m

odel

ing,

boo

k-ru

nnin

g al

gorit

hms

deve

lopm

ent a

nd m

aint

enan

ce a

nd n

ew p

rodu

ct p

ricin

g su

ppor

t (p

rimar

ily, c

onve

rtibl

es a

nd o

ptio

n-pr

oduc

t pric

ing

supp

ort)

Secu

ritiz

atio

n pr

ogra

m a

naly

tics

�po

ol c

redi

t qua

lity

anal

ysis

, per

form

ance

an

alys

is (d

ynam

ic a

nd a

ttrib

utiv

e an

alys

is),

hist

oric

dat

a an

alys

is a

nd d

efau

lt pr

obab

ility

and

sev

eran

ce a

naly

sis

From

che

ap la

bour

to K

now

ledg

e Pr

oces

s O

ffsho

ring

(�K

PO�)

Key

ob

serv

atio

ns:

1.A

ver

y po

pula

r dom

ain

�10

maj

or se

rvic

e pr

ovid

ers a

nd 3

cap

tive

entit

ies s

uppo

rt th

is do

mai

n. A

lmos

t eve

ry m

ajor

Wal

l St

reet

firm

and

seve

ral l

arge

Eur

opea

n co

rpor

ate

bank

s hav

e co

mm

ence

d ac

tiviti

es in

this

area

�ca

ptiv

e an

d/or

third

par

ty

2.St

arte

d of

f prim

arily

as v

alua

tion

mod

elin

g an

d pr

esen

tatio

n su

ppor

t act

ivity

cen

ters

abo

ut 1

8 m

onth

s ago

, hav

e si

nce

grow

n in

siz

e an

d so

phist

icat

ion

rapi

dly

3.Id

eally

suite

d to

Aus

tralia

n fin

anci

al s

ervi

ces a

nd IC

T sk

ill se

ts �

give

n ou

r stro

ng d

omai

n kn

owle

dge

base

Prop

osal

and

�pi

tch

book

� pr

epar

atio

n �

indu

stry

and

com

petit

or a

naly

sis,

co

mpa

rabl

e co

mpa

ny d

ata

from

sta

ndar

d da

ta s

ourc

es a

nd p

rese

ntat

ion

deck

s fo

r ban

kers

and

equ

ity a

naly

sts

9

Pro

pri

etar

y an

d C

onfi

den

tial

Cop

yrig

ht 2

004

-Sw

amy

& A

ssoc

iate

s–

Inde

pend

ent

BP

SO A

dvis

ors

& M

anag

ers

Act

uar

ial,

Insu

ran

ce a

nd

Fu

nd

s m

gmt.

anal

ytic

s d

omai

n –

an in

dep

th p

ersp

ect

Focu

s cu

rren

tly

arou

nd a

naly

tics

sup

port

for

Expe

rien

ce a

naly

sis,

DFA

mod

elin

g an

d St

atut

ory

repo

Scop

e of

Ana

lytic

s O

ffsho

ring

(�K

PO�)

in

the

FS s

ecto

r

Fina

ncia

l Ana

lysi

s an

d R

epor

ting

anal

ytic

s �

Dyn

amic

Fin

anci

al A

naly

sis

mod

elin

g (b

asic

sto

chas

tic a

naly

sis

and

sim

ulat

ions

), em

bedd

ed a

nd a

ppra

isal

va

lues

sup

port,

pro

duct

pro

fitab

ility

revi

ews

and

expe

nse

ratio

ana

lysi

s th

roug

h va

lue

chai

n m

odel

ing

Life

and

Gen

eral

Insu

ranc

e pr

oduc

t-driv

en a

naly

tics

�cl

aim

s m

odel

ing

and

expe

rienc

e an

alys

is (s

ize

and

trend

ana

lysi

s, d

istri

butio

n fit

ting

and

good

ness

of f

it re

view

s) a

s w

ell a

s cl

aim

s m

anag

emen

t and

und

erw

ritin

g re

view

s

Man

aged

fund

s pr

oduc

t-driv

en a

naly

tics

�Fu

nds

perfo

rman

ce a

naly

sis

and

be

nchm

arki

ng re

view

s (p

rimar

ily m

ultip

le re

gres

sion

and

cor

rela

tion

anal

yses

), he

dge

fund

per

form

ance

ana

lytic

s (d

ata

aggr

egat

ion,

sty

le v

sre

turn

s ca

lcs�

etc)

From

che

ap la

bour

to K

now

ledg

e Pr

oces

s O

ffsho

ring

(�K

PO�)

Key

ob

serv

atio

ns:

1.Ex

trem

ely

limite

d se

rvic

e pr

ovid

er c

apab

ilitie

s �on

ly 1

serv

ice

prov

ider

, Gec

isA

naly

tics,

is ab

le to

dem

onst

rate

tang

ible

ex

perie

nce

in th

is ar

ea

2.C

aptiv

es su

ch a

s Avi

va, F

rank

lin T

empl

eton

and

Pru

dent

ial a

re a

ttem

ptin

g to

act

ivel

y tra

in a

ctua

ries

on th

eir o

wn

to

supp

ort t

hese

serv

ices

3.Pe

rfec

tly su

ited

to A

ustra

lian

skill

seta

nd e

xper

ienc

e le

vels

Mar

ketin

g in

form

atio

n sy

stem

s re

late

d an

alyt

ics

�cu

stom

er s

egm

enta

tion,

ch

urn

anal

ysis

, cha

nnel

and

age

nt p

rofit

abili

ty re

view

s an

d ot

her r

elat

ed d

ata-

min

ing

exer

cise

s

10

Pro

pri

etar

y an

d C

onfi

den

tial

Cop

yrig

ht 2

004

-Sw

amy

& A

ssoc

iate

s–

Inde

pend

ent

BP

SO A

dvis

ors

& M

anag

ers

Str

ateg

ic F

inan

cial

Man

agem

ent a

nal

ytic

s d

omai

n –

an in

dep

th p

ersp

ecti

veFo

cus

curr

entl

y ar

ound

Act

ivit

y B

ased

Cos

ting

, Ris

k M

gmt.

sup

port

and

Cap

ital

Mgm

t. s

uppo

rt

Scop

e of

Ana

lytic

s O

ffsho

ring

(�K

PO�)

in

the

FS s

ecto

rSh

areh

olde

r val

ue a

nd ri

sk a

naly

tics

�Ec

onom

ic e

quity

and

risk

mod

elin

g su

ch a

s VA

R c

urve

s co

nstru

ctio

n an

d up

datin

g, s

imul

atio

n an

d ot

her s

toch

astic

sup

port

Fina

ncia

l acc

ount

ing

and

com

plia

nce

supp

ort �

basi

c ac

tiviti

es s

uch

as U

S G

AAP

trans

latio

n, S

OX

404

stat

emen

t sup

port,

IFR

S-co

nver

sion

s of

exi

stin

g fin

anci

al d

ata

as w

ell a

s pe

riodi

c re

ports

and

con

trolle

d en

tity

cons

olid

atio

ns

Man

agem

ent a

ccou

ntin

g an

alyt

ics

�m

onth

ly a

nd h

alf-y

early

bud

getin

g su

ppor

t, Ac

tivity

Bas

ed C

ostin

g su

ppor

t for

det

aile

d va

lue

chai

n an

alys

is, p

rodu

ct a

nd

busi

ness

gro

up p

rofit

abili

ty re

view

s

From

che

ap la

bour

to K

now

ledg

e Pr

oces

s O

ffsho

ring

(�K

PO�)

Key

ob

serv

atio

ns:

1.R

apid

ly e

mer

ging

are

a �

only

4 se

rvic

e pr

ovid

ers

and

a fe

w c

aptiv

es h

ave

tang

ible

cap

abili

ties

but a

ll of

them

are

look

ing

to e

xpan

d FT

E nu

mbe

rs q

uite

serio

usly

2.Id

eally

suite

d to

Aus

tralia

n sk

ill-s

ets a

nd c

apab

ilitie

s esp

ecia

lly g

iven

the

qual

ity a

nd ri

gour

of o

ur a

ccou

ntin

g pr

ogra

ms

11

Pro

pri

etar

y an

d C

onfi

den

tial

Cop

yrig

ht 2

004

-Sw

amy

& A

ssoc

iate

s–

Inde

pend

ent

BP

SO A

dvis

ors

& M

anag

ers

Str

ateg

ic B

usi

nes

s In

tell

igen

ce a

nal

ytic

s d

omai

n –

an in

dep

th p

ersp

ecti

veFo

cus

curr

entl

y ar

ound

Ind

ustr

y an

d co

mpe

tito

r an

alys

is a

s w

ell a

s P

rese

ntat

ion

supp

ort

Scop

e of

Ana

lytic

s O

ffsho

ring

(�K

PO�)

in

the

FS s

ecto

r

Stra

tegi

c tr

ansa

ctio

n su

ppor

t �M

&A a

nd e

vent

driv

en re

sear

ch s

uppo

rt, v

alua

tion

anal

ysis

, com

petit

or a

nd c

ompa

rabl

e co

mpa

ny a

naly

sis

Stra

tegy

dev

elop

men

t ana

lytic

s �

com

para

ble

com

pany

revi

ews,

indu

stry

tren

d an

alys

is a

s w

ell a

s To

tal S

hare

hold

er R

etur

n ca

lcul

atio

ns a

nd re

view

s

From

che

ap la

bour

to K

now

ledg

e Pr

oces

s O

ffsho

ring

(�K

PO�)

Key

ob

serv

atio

ns:

1.V

ery

popu

lar d

omai

n �

alm

ost a

ll m

ajor

serv

ice

prov

ider

s are

act

ive

in th

is do

mai

n

2.A

lmos

t all

maj

or st

rate

gy c

onsu

lting

firm

s (M

cKin

sey,

BC

G�

.eta

l) ha

ve g

one

dow

n th

is pa

th e

ither

thro

ugh

capt

ive

know

ledg

e ce

nter

s or e

ngag

ing

third

par

ty a

naly

tics s

ervi

ce p

rovi

ders

3.B

ecom

ing

rapi

dly

com

mod

itize

d �

so, p

roba

bly

does

not

suit

Aus

tralia

n sk

ill-s

ets a

nd c

apab

ilitie

s in

the

long

run

Pres

enta

tion

and

repo

rt p

rodu

ctio

n su

ppor

t �pr

esen

tatio

n ch

arts

and

gra

phic

s,

stra

tegi

c re

ports

lay-

out d

esig

n, m

anite

nanc

ean

d ot

her p

ublis

hing

sup

port

12

Pro

pri

etar

y an

d C

onfi

den

tial

Cop

yrig

ht 2

004

-Sw

amy

& A

ssoc

iate

s–

Inde

pend

ent

BP

SO A

dvis

ors

& M

anag

ers

Str

uct

ura

l alt

ern

ativ

es in

An

alyt

ics

Off

shor

ing

Cur

rent

lysi

gnif

ican

t nu

mbe

rs o

f cap

tive

ana

lyti

cs o

utfi

ts b

ut e

vent

uall

y,th

ird

part

y st

ruct

ures

wi

Stru

ctur

es fo

llow

ed b

y gl

obal

ban

ks a

nd

insu

rers

Cap

tive

sing

le-lo

catio

n A

naly

tics

Out

sour

cers

�Se

vera

l cap

tive

anal

ytic

s ou

tfits

hav

e em

erge

d in

the

last

18m

ths

to 2

yea

r per

iod,

mos

t of t

hem

set

up

as

glob

al re

sear

ch c

entre

sto

sup

port

prim

arily

the

US

and

UK

oper

atio

ns o

f Wal

l St

reet

firm

s an

d St

rate

gy C

onsu

lting

firm

s

Key

exam

ples

-McK

inse

y�s

Know

ledg

e-ce

ntre

, Mor

gan

Stan

ley�

s Ad

vant

age

Glo

bal

Serv

ices

, JP

Mor

gan�

s G

loba

l Res

earc

h C

entre

and

Glo

bal C

redi

t Ana

lysi

s U

nit,

Lehm

an B

roth

ers�

Fin

anci

al C

ontro

l and

Ope

ratio

ns c

entre

, and

Fra

nklin

Te

mpl

eton

�s G

loba

l Dat

a An

alyt

ics

cent

re

Third

par

ty m

ulti-

loca

tion

Ana

lytic

s sp

ecia

lists

�th

is s

truct

ure

will

pre

vail

ultim

atel

y. M

ore

and

mor

e of

third

par

ty a

naly

tics

spec

ialis

ts a

re b

ecom

ing

incr

easi

ngly

sop

hist

icat

ed a

nd a

re lo

okin

g to

dev

elop

stro

ng d

omai

n ca

pabi

litie

s to

m

atch

the

capt

ives

. The

y ar

e lo

okin

g to

act

ivel

y ex

pand

thei

r del

iver

y ce

ntre

s,

glob

ally

to c

ount

ries

outs

ide

of th

eir c

urre

nt d

eliv

ery

loca

tions

mai

nly

Indi

a. Id

eally

, su

ited

to th

e A

ustr

alia

sto

ry !!

Key

exa

mpl

es �

Gec

isG

loba

l, In

duct

is, W

NS,

Offi

ce T

iger

, Ara

nca,

Irev

na,

Suth

erla

nd g

roup

and

Eva

lues

erve

.From

cap

tive

sing

le lo

catio

n to

�m

ulti-

loca

tion�

third

par

ty s

peci

alis

ts

Key

ob

serv

atio

ns:

1.Li

ke in

the

prev

ious

two

wav

es �

IT O

ffsho

ring

and

BPO

, the

third

par

ty se

rvic

e pr

ovid

ers w

ill u

ltim

atel

y do

min

ate

the

anal

ytic

s m

arke

tpla

ce a

nd th

eref

ore,

are

the

mos

t im

porta

nt g

roup

from

an

Aus

tralia

n pe

rspe

ctiv

e

2.Th

ey a

re a

lso th

e gr

oup

that

are

act

ivel

y lo

okin

g to

div

ersi

fy th

eir r

even

ue a

nd d

eliv

ery

cent

ers a

nd s

o, c

ould

be

signi

fican

t st

rate

gic

partn

ers

for A

ustra

lia

3.Th

e ke

y qu

estio

n is

�H

ow d

o w

e de

mon

stra

te A

ustr

alia

�s a

dvan

tage

s to

them

?

13

Pro

pri

etar

y an

d C

onfi

den

tial

Cop

yrig

ht 2

004

-Sw

amy

& A

ssoc

iate

s–

Inde

pend

ent

BP

SO A

dvis

ors

& M

anag

ers

Gec

isG

lob

al A

nal

ytic

s –

an in

-dep

th p

ersp

ecti

veL

arge

st, w

ell

dive

rsif

ied

and

rapi

dly

emer

ging

fina

ncia

l ser

vice

s A

naly

tics

ser

vice

pro

vide

r

Gec

isG

loba

l, A

naly

tics

unit

Com

pany

bac

kgro

und

�or

igin

ally

, a c

aptiv

e en

tity

of G

E C

apita

l and

was

cal

led

GE

Cap

ital I

nter

natio

nal S

ervi

ces.

Has

suc

cess

fully

mad

e th

e tra

nsiti

on fr

om a

low

end

ca

ptiv

e se

rvic

e pr

ovid

er to

a le

adin

g �th

ird p

arty

� ser

vice

pro

vide

r with

spe

cial

focu

s on

Ana

lytic

s ac

tiviti

es. H

as a

dopt

ed th

e m

ulti-

loca

tion

deliv

ery

mod

el a

nd in

add

ition

to

Indi

a ha

s op

erat

ions

out

of C

hina

, Sou

th A

frica

, Eas

tern

Eur

ope

and

Latin

Am

eric

a an

d is

look

ing

to d

iver

sify

, fur

ther

.

Tran

sitio

ned

from

cap

tive

to �

mul

ti-lo

catio

n� th

ird p

arty

str

uctu

re

Size

and

Dom

ain

expe

rtis

e��

Ove

rall

16,0

00 F

TEs

out o

f whi

ch a

bout

1,2

00

FTEs

are

dedi

cate

d to

del

iver

ing

Anal

ytic

s fu

nctio

ns. S

igni

fican

t dom

ain

expe

rtise

in c

orpo

rate

cre

dit,

stru

ctur

ed a

nd p

roje

ct fi

nanc

e an

alyt

ics,

reta

il ba

nkin

g an

alyt

ics

and

finan

cial

man

agem

ent a

naly

tics.

Loo

king

toag

gres

sive

ly

expa

nd a

ctua

rial a

nd in

sura

nce

anal

ytic

s.

Qua

lity

and

Tech

nolo

gy m

anag

emen

t str

ateg

ies

�st

rong

Six

Sig

ma

driv

en

qual

ity m

anag

emen

t met

hodo

logi

es (D

MAI

C /

DM

ADV)

with

nea

rly 3

50M

aste

r Bla

ck

Belts

and

Bla

ck B

elts

. Rob

ust B

CP

met

hodo

logy

incl

udin

g fu

ll fle

dged

alte

rnat

e de

liver

y ce

nter

s an

d g

eo-p

oliti

cal c

ontin

genc

y pl

ans

for U

S an

d In

dia

Typi

cal A

naly

tics

FTE

qual

ifica

tions

�M

BAs

with

Eng

inee

ring

unde

rgra

d/

Cha

rtere

d Ac

coun

tant

s/ C

harte

red

Fina

ncia

l Ana

lyst

s / A

CM

A / M

aste

rs in

St

atis

tics

/ PhD

s in

mat

hem

atic

s / F

ello

w a

nd A

ssoc

iate

s of

the

Actu

aria

l In

stitu

te o

f Ind

ia

14

Pro

pri

etar

y an

d C

onfi

den

tial

Cop

yrig

ht 2

004

-Sw

amy

& A

ssoc

iate

s–

Inde

pend

ent

BP

SO A

dvis

ors

& M

anag

ers

Ind

uct

isIn

c. –

an in

-dep

th p

ersp

ecti

veA

“st

art

up”

reta

il b

anki

ng a

nd d

ata

anal

ytic

s fo

cuse

d fi

nanc

ials

ervi

ces

Ana

lyti

cs s

ervi

ce

prov

ider In

duct

isIn

c.

Com

pany

bac

kgro

und

�C

ompa

ny w

as fo

unde

d in

Jun

e 20

00 b

y ex

-Mitc

hell

Mad

ison

con

sulta

nts

and

is a

ven

ture

cap

ital b

acke

d or

gani

zatio

n. H

Q o

ut o

f New

Yo

rk, t

hey

have

one

offs

hore

ana

lytic

s de

liver

y ce

ntre

bas

ed o

utof

Gur

gaon

(Del

hi) i

n In

dia.

Loo

king

to d

iver

sify

del

iver

y ce

nter

s to

oth

er a

naly

tics

dest

inat

ions

.

.

VC-b

acke

d re

tail

bank

ing

and

data

ana

lytic

s �s

tart

up�

Size

and

Dom

ain

expe

rtis

e��

Ove

rall

150

FTEs

del

iver

ing

anal

ytic

s fu

nctio

ns.

Sign

ifica

nt d

omai

n ex

perti

se in

reta

il ba

nkin

g cu

stom

er d

ata

min

ing

and

anal

ysis

es

peci

ally

in th

e ar

eas

of p

redi

ctiv

e m

odel

s re

latin

g to

cam

paig

n re

spon

se, r

isk

unde

rwrit

ing,

cus

tom

er s

egm

enta

tion

and

rete

ntio

n an

alys

is fo

r cre

dit c

ards

and

sm

all b

usin

ess

cust

omer

s

Qua

lity

and

Tech

nolo

gy m

anag

emen

t str

ateg

ies

�co

mpa

ny h

as d

evel

oped

a

prop

rieta

ry q

ualit

y an

d pr

ojec

t man

agem

ent m

etho

dolo

gy �D

ECID

E R

IGH

T� to

en

sure

that

ther

e is

a c

lear

ly a

udita

ble

appr

oach

tow

ards

ana

lytic

s de

liver

y. B

CP

via

cont

ract

ual d

epen

denc

e on

AT&

T to

resu

me

wor

k in

alte

rnat

ive

loca

tions

.

Typi

cal A

naly

tics

FTE

qual

ifica

tions

�M

BAs

with

Eng

inee

ring

unde

rgra

d/

Mas

ters

in S

tatis

tics/

PhD

s in

App

lied

Mat

hem

atic

s an

d ot

her q

uant

iativ

edi

scip

lines

15

Pro

pri

etar

y an

d C

onfi

den

tial

Cop

yrig

ht 2

004

-Sw

amy

& A

ssoc

iate

s–

Inde

pend

ent

BP

SO A

dvis

ors

& M

anag

ers

Th

e “c

oal f

ace”

of

An

alyt

ics

Off

shor

ing

–of

fsh

ored

cred

it r

isk

an

alys

tsA

mer

ican

Exp

ress

’s G

loba

l Cor

pora

te C

ard

(“G

CC

”) p

ortf

olio

ris

k m

gmt.

Am

ex G

CC

risk

m

gmt.

anal

ytic

s

Posi

tion

back

grou

nd �

Basi

cally

, cre

dit a

naly

sts

loca

ted

at o

ffsho

red

anal

ytic

s ce

nter

s to

wor

k w

ith G

loba

l Cor

pora

te C

ard

allia

nce

partn

ers

base

d pr

imar

ily in

the

US,

UK

and

Aust

ralia

n ge

ogra

phie

s, to

dev

elop

and

mai

ntai

n ris

k in

cide

nce

and

mon

itorin

g fra

mew

orks

.

Fund

amen

tally

, a c

aptiv

e of

fsho

red

risk

anal

ytic

s gr

oup

Expe

rtis

e de

man

ded

��m

inim

um 5

yea

rs ri

sk a

naly

sis

expe

rienc

e, �h

ands

on�

kn

owle

dge

of C

redi

tMet

rics

and

KMV

Portf

olio

Mon

itor,

stro

ng p

roje

ct

man

agem

ent e

xper

ienc

e, c

ompu

ter s

kills

invo

lvin

g SA

S, S

PSS,

Exc

el a

nd

Pow

erpo

inta

nd g

ood

repo

rt w

ritin

g sk

ills

Typi

cal q

ualif

icat

ions

nee

ded�

MBA

s fro

m o

ne o

f the

IIM

sw

ith E

ngin

eerin

g un

derg

rad

from

IITs

. C

harte

red

Acco

unta

nts/

Mas

ters

in S

tatis

tics

/ PhD

s in

m

athe

mat

ics

wou

ld a

lso

be �s

erio

usly

con

side

red�

16

Pro

pri

etar

y an

d C

onfi

den

tial

Cop

yrig

ht 2

004

-Sw

amy

& A

ssoc

iate

s–

Inde

pend

ent

BP

SO A

dvis

ors

& M

anag

ers

Th

e “c

oal f

ace”

of

An

alyt

ics

Off

shor

ing

–of

fsh

ored

inve

stm

ent b

ank

ing

anal

ysts

JP M

orga

n C

hase

Cen

tral

ized

Res

earc

h G

roup

(“C

RG

”) s

enio

r an

alys

ts a

nd ju

nior

ana

lyst

s

JP M

orga

n C

hase

C

RG

sup

port

ing

glob

al in

vest

men

t ba

nkin

g de

als

Posi

tion

back

grou

nd �

CR

G e

stab

lishe

d to

sup

port

JP M

orga

n�s

inve

stm

ent

bank

ing

and

M&A

dea

l mak

ers,

glo

bally

, with

rese

arch

, ana

lysi

s an

d in

sigh

t rel

atin

g to

th

e or

igin

atio

n an

d ex

ecut

ion

of d

eals

glo

bally

. CR

G te

am m

embe

rs w

ill a

lso

parti

cipa

te a

ctiv

ely

in th

e cr

eatio

n an

d m

aint

enan

ce o

f M&A

pitc

h-bo

oks

and

deal

or

igin

atio

n id

eas,

glo

bally

.

.

Fund

amen

tally

, a c

aptiv

e of

fsho

red

M&

A s

enio

r ana

lyst

s� g

roup

Expe

rtis

e de

man

ded

��3

to 5

yea

rs e

xper

ienc

e in

rese

arch

,inve

smte

ntad

viso

ry

or c

onsu

lting

org

anis

atio

ns. �

Han

ds o

n� s

ecto

ralk

now

ledg

e of

atle

asto

ne o

f Te

chno

logy

, Ban

king

and

Insu

ranc

e, O

il an

d G

as, M

inin

g an

d M

etal

lurg

y,

Che

mic

als

and

Hea

lthca

re. N

eed

very

stro

ng e

xper

tise

in fi

nanc

e,ac

coun

ting

and

DC

F va

luat

ions

and

als

o po

sses

s st

rong

ver

bal a

nd w

ritte

n co

mm

unic

atio

ns

skill

s.

Typi

cal q

ualif

icat

ions

nee

ded�

MBA

s fro

m o

ne o

f the

IIM

spr

efer

ably

with

En

gine

erin

g un

derg

rad

from

IITs

/ C

harte

red

Acco

unta

nts/

Ass

ocia

te o

r Fe

llow

s of

the

Actu

aria

l Ins

titut

e.

17

Pro

pri

etar

y an

d C

onfi

den

tial

Cop

yrig

ht 2

004

-Sw

amy

& A

ssoc

iate

s–

Inde

pend

ent

BP

SO A

dvis

ors

& M

anag

ers

Th

e “c

oal f

ace”

of

An

alyt

ics

Off

shor

ing

–of

fsh

ored

“th

ird

par

ty”

cred

it

rese

arch

Pro

geon

’scr

edit

res

earc

h an

alyt

ics

grou

p –

seni

or d

eliv

ery

man

ager

s to

sup

port

fixe

d in

com

e re

sear

ch Prog

eon�

s(a

n In

fosy

ssu

bsid

iary

)C

redi

t Res

earc

h A

naly

tics

grou

p

Posi

tion

back

grou

nd �

com

pany

has

rece

ntly

est

ablis

hed

a la

rge

third

par

ty K

PO to

pr

ovid

e cr

edit

rese

arch

rela

ted

anal

ytic

s ac

tiviti

es fo

r a le

adin

g m

ulti-

natio

nal

inst

itutio

nal a

nd in

vest

men

t ban

king

clie

nt. N

eeds

sen

ior d

eliv

ery

man

ager

s w

ith

stro

ng c

redi

t res

earc

h ex

perie

nce

to c

ater

to it

s re

quire

men

ts.

.

Fund

amen

tally

, a �

third

par

ty�

offs

hore

dcr

edit

rese

arch

gro

up

Expe

rtis

e de

man

ded

��10

to 1

5 ye

ars

of in

tern

atio

nal c

redi

t ana

lysi

s an

d/or

re

sear

ch e

xper

ienc

e w

ithin

fina

ncia

l res

earc

h or

gani

satio

nsor

fina

ncia

l ser

vice

s an

alyt

ics

outfi

ts. S

houl

d be

abl

e to

man

age

team

s of

25

to 3

0 se

nior

and

juni

or

cred

it an

alys

ts s

uppo

rting

�thi

rd p

arty

� clie

nts

and

have

stro

ngpr

ojec

t m

anag

emen

t ski

lls.

Typi

cal q

ualif

icat

ions

nee

ded�

MBA

s fro

m o

ne o

f the

IIM

spr

efer

ably

with

En

gine

erin

g un

derg

rad

from

IITs

/ M

BAs

from

top-

tier U

S an

d U

K bu

sine

ss

scho

ols/

oth

er re

leva

nt q

ualif

icat

ions

suc

h as

PhD

in fi

nanc

e, e

cono

mic

s or

ac

coun

ting.

18

Pro

pri

etar

y an

d C

onfi

den

tial

Cop

yrig

ht 2

004

-Sw

amy

& A

ssoc

iate

s–

Inde

pend

ent

BP

SO A

dvis

ors

& M

anag

ers

Th

e “c

oal f

ace”

of

An

alyt

ics

Off

shor

ing

–“th

ird

par

ty”

mar

ket

res

earc

h

anal

ytic

sG

ecis

Glo

bal a

naly

tics

–se

nior

str

ateg

ic m

arke

ting

ana

lyst

s fo

r gl

obal

com

mer

cial

fina

nce

acti

viti

es Gec

isG

loba

l, A

naly

tics

divi

sion

Posi

tion

back

grou

nd �

Com

pany

nee

ds s

enio

r mar

ketin

g an

alys

ts to

sup

port

stra

tegi

c m

arke

ting

anal

yses

for c

omm

erci

al fi

nanc

e ac

tiviti

es. E

mph

asis

is o

n m

arke

t, cu

stom

er s

egm

enta

tion

and

com

petit

or a

sses

smen

t bas

ed o

nse

cond

ary

rese

arch

from

ext

erna

l mar

ket a

nd in

dust

ry s

ourc

es. T

ypic

ally

ana

lysi

s w

ould

be

used

by

glo

bal c

omm

erci

al fi

nanc

e cl

ient

-team

s to

sup

port

go-to

-mar

ket s

trate

gy a

nd

grow

th in

itiat

ives

, glo

bally

.

.

Fund

amen

tally

, a �

third

par

ty�

stra

tegi

c m

arke

ting

anal

ytic

s te

am

Expe

rtis

e de

man

ded

��at

leas

t5 y

ears

exp

erie

nce

in p

rofit

poo

l met

hodo

logi

es,

defin

ing

and

sizi

ng m

arke

ts, c

usto

mer

seg

men

tatio

n an

d ot

her r

elat

ed a

naly

tics

met

hodo

logi

es. S

igni

fican

t por

tion

of w

ork

expe

rienc

e m

ust b

e in

rela

tion

to

supp

ortin

g co

mm

erci

al fi

nanc

e, c

orpo

rate

and

bus

ines

s ba

nkin

g or

leas

ing

/ hire

-pu

rcha

se b

usin

esse

s.

Typi

cal q

ualif

icat

ions

nee

ded�

MBA

s fro

m o

ne o

f the

IIM

sor

top-

tier U

S an

d U

K bu

sine

ss s

choo

ls w

ith e

ither

a fi

nanc

e or

mar

ketin

g m

ajor

19

Pro

pri

etar

y an

d C

onfi

den

tial

Cop

yrig

ht 2

004

-Sw

amy

& A

ssoc

iate

s–

Inde

pend

ent

BP

SO A

dvis

ors

& M

anag

ers

Th

e “c

oal f

ace”

of

An

alyt

ics

Off

shor

ing

–gl

obal

dat

a w

areh

ousi

ng

dir

ecto

rsFr

ankl

in T

empl

eton

Inv

estm

ents

–of

fsho

re d

irec

tors

to

man

age

and

min

e gl

obal

dat

a w

areh

ouse

s

Fran

klin

Tem

plet

on

Inve

stm

ents

, G

loba

l Dat

a W

areh

ouse

Ana

lytic

s

Posi

tion

back

grou

nd �

Com

pany

nee

ds o

ffsho

re d

irect

ors

to s

uppo

rt an

d m

anag

e th

eir g

loba

l dat

a w

areh

ouse

s lo

cate

d in

the

US

and

60 o

ther

offi

ces,

glo

bally

. M

anda

te o

f the

team

is to

ext

ract

, val

idat

e, a

naly

se, q

uant

ify a

nd p

rese

nt d

ata-

min

ing

�hyp

othe

ses�

for c

ompa

ny�s

cus

tom

er a

nd m

arke

ting

data

glo

bally

.

.

Fund

amen

tally

, an

offs

hore

dat

a m

inin

g an

d C

RM

team

Expe

rtis

e de

man

ded

��at

leas

t10

year

s of

exp

erie

nce

in a

sen

ior d

ata

anal

ytic

s ro

le w

ithin

a m

utua

l fun

d or

pen

sion

fund

env

ironm

ent.

Prof

icie

ncy

of S

PSS,

SA

S as

wel

l as

�han

ds o

n� e

xper

ienc

e ow

ning

and

man

agin

g la

rge

data

base

s (8

00+

Gig

abyt

es).

Han

ds o

n ex

perie

nce

in th

e m

anag

ed fu

nds

or p

ensi

on

sect

ors

as w

ell a

s ab

ility

to m

anag

e of

fsho

re te

ams

acro

ss d

iffer

ent t

ime

zone

s.

Typi

cal q

ualif

icat

ions

nee

ded�

PhD

s / M

aste

rs in

Sta

tistic

s or

sim

ilar

quan

titat

ive

rese

arch

dis

cipl

ines

20

Pro

pri

etar

y an

d C

onfi

den

tial

Cop

yrig

ht 2

004

-Sw

amy

& A

ssoc

iate

s–

Inde

pend

ent

BP

SO A

dvis

ors

& M

anag

ers

2. T

he

Str

ateg

ic c

ase

for

Au

stra

lia

as a

lead

ing

fin

anci

al s

ervi

ces

An

alyt

ics

hu

b

21

Pro

pri

etar

y an

d C

onfi

den

tial

Cop

yrig

ht 2

004

-Sw

amy

& A

ssoc

iate

s–

Inde

pend

ent

BP

SO A

dvis

ors

& M

anag

ers

Key

Lim

itat

ion

s ex

per

ien

ced

by

end

-cli

ent a

nd

ser

vice

pro

vid

ers

Lim

itat

ions

cen

tre

arou

nd la

ck o

f dom

ain

mat

urit

y, s

kill

-set

ava

ilab

ilit

y, m

ulti

-lin

gual

ski

lls

and

B

Key

inhi

bitin

g fa

ctor

s lim

iting

the

grow

th o

f Ana

lytic

s O

ffsho

ring

Skill

-set

ava

ilabi

lity

�se

vera

l cur

rent

del

iver

y lo

catio

ns a

re e

xper

ienc

ing

criti

cal s

kill-

set

shor

tage

s du

e to

a c

ombi

natio

n of

boo

min

g do

mes

tic b

anki

ng a

nd in

sura

nce

indu

strie

s an

d hi

stor

ical

lack

of d

omai

n m

atur

ity e

g. th

ere

are

curre

ntly

onl

y 20

0 od

d lif

e ac

tuar

ies

in

the

who

le o

f Ind

ia a

s op

pose

d to

abo

ut 2

000

odd

in A

ustra

lia !!

Mul

ti-lin

gual

ski

llset

s�

curre

nt d

eliv

ery

loca

tions

hav

e se

rious

lim

itatio

ns to

sup

port

both

con

tinen

tal E

urop

ean

and

Nor

th A

sian

geo

grap

hies

due

to la

ck o

f stro

ng m

ulti-

lingu

al s

kill-

sets

. The

y al

so la

ck a

vib

rant

inte

rnat

iona

l stu

dent

cul

ture

that

can

act

as

a bu

ildin

g bl

ock

for t

his

capa

bilit

y !!

Dom

ain

expe

rtis

e �

seve

ral d

eliv

ery

loca

tions

hav

e ha

d go

vern

men

t-ow

ned

and

cont

rolle

d fin

anci

al m

arke

ts a

nd fi

nanc

ial s

ervi

ces

indu

strie

s, ti

ll re

cent

ly. T

here

fore

, th

ey c

urre

ntly

lack

the

dom

ain

mat

urity

and

dom

ain

expe

rtise

that

is re

quire

d to

fully

su

ppor

t sev

eral

ana

lytic

s do

mai

ns

Bus

ines

s C

ontin

uity

Pla

nnin

g an

d In

fras

truc

ture

con

cern

s �

BCP

met

hodo

logi

es a

re fo

rcin

g se

rvic

e pr

ovid

ers

and

clie

nts

to d

iver

sify

del

iver

y lo

catio

ns w

ith m

ore

relia

ble

infra

stru

ctur

es. R

egul

ator

s ar

e al

so s

tarti

ng to

take

co

gniz

ance

of �

loca

tion

spec

ific�

agg

rega

tion

of ri

sks

asso

ciat

ed w

ith o

ffsho

ring

espe

cial

ly a

naly

tics

offs

horin

gac

tiviti

es e

g. F

SA o

f UK

docu

men

t rel

ease

d in

May

af

ter t

he In

dia

visi

t

From

che

ap la

bour

to K

now

ledg

e Pr

oces

s O

ffsho

ring

(�K

PO�)

Key

ob

serv

atio

ns:

1.En

d-cl

ient

s will

forc

e se

rvic

e pr

ovid

ers t

o di

vers

ify a

naly

tics d

eliv

ery

loca

tions

to o

ther

suita

bly

qual

ified

and

med

ium

-cos

t de

stin

atio

ns, i

n th

e im

med

iate

18m

ths t

o 2

year

tim

e ho

rizon

2.A

naly

tics s

ervi

ce p

rovi

ders

, the

mse

lves

, will

star

t cre

atin

g co

mpl

emen

tary

hub

s bas

ed a

roun

d sk

ill-s

ets a

nd in

fras

truct

ural

ad

vant

ages

not

ava

ilabl

e in

cur

rent

del

iver

y lo

catio

ns b

ased

prim

arily

in v

ario

us In

dian

citi

es

22

Pro

pri

etar

y an

d C

onfi

den

tial

Cop

yrig

ht 2

004

-Sw

amy

& A

ssoc

iate

s–

Inde

pend

ent

BP

SO A

dvis

ors

& M

anag

ers

In c

oncl

usi

on, t

he

An

alyt

ics

Off

shor

ing

opp

ortu

nit

y is

nee

ds

acti

on N

OW

Focu

s on

sho

wca

sing

Aus

tral

ia’s

str

ong

ICT

and

FS s

kill

-set

s to

end

cli

ents

and

ser

vice

pro

vide

rs

Act

ion

poin

ts N

OW

Skill

-set

qua

lity

and

avai

labi

lity

�de

mon

stra

te in

a ta

ngib

le m

anne

r our

cur

rent

ad

vant

ages

in th

is a

rea

by h

ighl

ight

ing

spec

ific

area

s of

exp

ertis

e fo

r exa

mpl

e, li

fe

insu

ranc

e ac

tuar

ies

Mul

ti-lin

gual

ski

llset

s�

dem

onst

rate

our

sol

id n

ativ

e-flu

ency

ski

ll-se

t in

Euro

pean

and

Asi

an la

ngua

ges

Dom

ain

expe

rtis

e �

show

case

our

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bet

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nanc

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ervi

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hub.

The

role

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t (st

ate

and

fede

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shou

ld N

OT

be u

nder

-est

imat

ed in

this

enor

mou

s tas

k !!

3.A

ustra

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com

mitt

ed a

ctio

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ith c

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