ABCL Technologies is one of the leading information technology outsourcing service providers in India. The company provides business consultancy and outsourcing services
to its clients. Over the past five years, the company has been paying returns at high rate to
its shareholders. However, this year, although the earnings of the company are high, its liquidity position is not so good. Moreover, the company plans to undertake new ventures
in order to expand its business.
(a) Do you think company should go for new venture? Give reasons to support you
answer.
(b) State any three reasons because of which you think ABCL Technologies has been
paying the returns to its shareholders over the last five years.
Answers
Knowledge Process Outsourcing
KPO is a kind of outsourcing whereby, functions related to knowledge and information are outsourced to third party service providers. Professionally qualified workers are required.
Features of KPO :
1. It is one step extension of BPO (Business Process Outsourcing).
2. It calls for the application of specialised domain knowledge of high level.
3. It involves a component of Business Processing Outsourcing (BPO), Research Process Outsourcing (RPO) and Analyses Process Outsourcing (APO).
4. BPO industry handles more amount of high skilled work other than the BPO industry.
5. The future of KPO has a high potential as it is not restricted to only IT, IT’s sectors. It includes other sectors like legal processes, intellectual property and patent related services, engineering services etc.
6. It derives its strength from the depth of knowledge, experience and judgement sector.
I think this is your answer
if this is your answer than mark me brilliant