2008-2012年中国业务流程外包行业分析报告（PDF 44页）英文版.docxVIP

MARKET AN ALYSISChina Business Process Outsourcing 20082012 Forecastand Anal ysisVivian YuGloria LiIDC OPINIONThis IDC study examines the current status and future trends of the China businessprocess outsourcing (BPO) market. In 2007, this market continued to evolve rapidly,with more new entrants from both China and overseas.The processing services market continues to contribute much more than the BPOmarket. It reached $1.68 billion, with a 20072012 CAGR of 19.5%. The China BPOmarket is currently in the early stage of development. For this reason, it will strugglein market acceptance and service quality. The China BPO market (i.e., customercare, finance and accounting F&A, human resources HR, training, andprocurement) totaled at $1.06 billion, and will increase to $2.93 billion by 2012, with afive-year CAGR of 22.6%.Highlights in this study are as follows:! Chinas key horizontal business outsourcing market i.e., HR, customer care,F&A, and procurement services saw year-on-year growth of 23.5% andreached US$1.06 billion in 2007. IDC forecasts that the market, with its CAGR of22.6% from 2007, will reach US$2.93 billion in 2012.! Total spending on processing services in the China domestic market totaledapproximately US$1.68 billion, with robust annual growth of 21.7%. Theprocessing market is expected to reach US$4.11 billion in 2012, with a five-yearCAGR of 19.5%.! Compared with the mature global market, Chinas BPO is still in its infancy. Themarket is still restricted to relatively simple services. Processing services stillmakes up the largest proportion and account for approximately 1.6 times the sizeof the BPO market. However, the growth rate of BPO was faster than theprocessing services market. This is an indicator that the China market is movingtowards maturity.! Procurement is still the least penetrated BPO segment, trailing behind thrivingBPO markets such as customer care and F&A.! In China, there are two typical business-outsourcing markets: contact centeroutsourcing and data management processing.Filing Information: July 2008, IDC #CN221106Q, Volume: 1, Tab: MarketsChina Services Market: Market AnalysisP.86.10.8391.7777Room 611, Beijing Times Square 88 West Changan Avenue Beijing 100031 Peoples Republic of ChinaT ABLE OF CONT ENT SPIn This Study1Methodology . 2S i t u a t i o n O ve r v i e w3Business Process Outsourcing Versus Processing Services . 3China Business Outsourcing Market Overview. 3Competitive Analysis . 7Future Outlook14Forecast and Assumptions . 14Market Trends . 23Market Context . 25Essential GuidanceLearn More2728Related Research . 28Definitions. 28#CN221106Q2008 IDCLIST OF T ABLESP1234567Key Forecast Assumptions for the China Business Outsourcing Market, 20082012. 14China Business Process Outsourcing by Key Horizontal Business Functions, 20062012(US$M). 20China Business Process Outsourcing Spending, 20072012 . 20China Processing Service by Key Horizontal Business Functions, 20062012 (US$M) . 21China Processing Service Spending, 20072012 . 22China Business Process Outsourcing Service, 20052012: Comparison of June 2007 andJune 2008 Forecasts. 25China Processing Service, 20052012: Comparison of June 2007 and June 2008Forecasts . 262008 IDC#CN221106QLIST OF FIGURESP1234567China Business Process Outsourcing Market Share, 2007. 5China Processing Services, 2007 . 7IDC Definition Mapping . 8China Business Process Outsourcing Services Revenue, 20072012 . 19China Processing Services Revenue, 20072012 . 21China Business Process Outsourcing Service Growth, 20052012: Comparison of June2007 and June 2008 Forecasts. 26China Processing Service Growth, 20052012: Comparison of June 2007 and June 2008Forecasts . 27#CN221106Q2008 IDCIN THIS STUDYThis IDC study estimates Chinas BPO and processing services market in 2007 andforecasts these markets over the next five years. This study also identifies marketopportunities via five key business functions (i.e., customer care, HR, F&A, training,and procurement) and seven vertical processing services (i.e., bill processing, cardprocessing, claims processing, data management, loan service, payment processing,and policyholder processing) in China. An overview of the competitive landscape isalso provided, as well as recommended strategies for service providers (SPs).In this study, IDC covers BPOs five key horizontal business functions and eleven keyprocessing segments:! Key BPO business functions:#Customer careF&AHRTrainingProcurement! Key processing services segments:#F&AHRTrainingProcurementBill processingCard processingClaims processingData management processingLoan service processingPayment processing servicesPolicyholder service processing2008 IDC#CN221106Q1IDC differentiates between BPO and processing services and provides bothquantitative and qualitative insights into both of these distinct and separate activities.An explanation of how IDC categorizes BPO and processing into one of these twosegments is provided in the Definitions section of this report under Learn More. Thisstudy builds on the previous years report and has been fine-tuned to be more alignedwith vendor practices in China. Specific definitions for each key business function islisted in the Definitions section of this study.Notes:! Market segments:#Customer care will now combine both BPO and processing services to bemore reflective of market practices in the industry. In speaking to vendorsand enterprises that use customer care outsourcing, IDC found that themarket did not differentiate between BPO and processing services and hasdecided to reflect these sentiments in this BPO study.Procurement BPO will not include travel activities such as the booking ofairline tickets and accommodations by a third-party vendor. These activitieswill now be classified under procurement processing services instead asthey are more transactional in nature. In addition, third-party logistics relatedto procurement (e.g., warehousing and transport of purchased goods) willnot be reflected under procurement BPO.F&A BPO will include ongoing activities such as audit and tax planning ifthese are done by a third-party SP on a continuous basis. Subsequently,compliance advisory (e.g., Sarbanes-Oxley Act consulting) will be treated asproject-based, rather than BPO and excluded from this study.! Market coverage:#This study forecasts the local consumption of BPO/processing services anddoes not include BPO/processing services exported or delivered outside ofthe country.Revenue is recognized based on where the contract is signed, regardless ofthe final country of delivery.! All numbers in this study may not be exact due to rounding.MethodologyThis study is part of IDCs continuous effort to examine the current status and forecastfor Chinas BPO market. To ensure the accuracy of the overall and granular markets,both primary and secondary sources including the Internet, trade publications, priorIDC research, and IDCs proprietary database are used. These are applied inconjunction with the following:! Interviews with SPs providing BPO services to Chinas domestic market.Significant participants in this market are interviewed to collect quantitative andqualitative information. Most of these interviews are conducted either in person orvia the telephone.2#CN221106Q2008 IDC! Vendor briefings, press releases, and other publicly available information.IDC meets with a large number of BPO service providers (SPs) every year.These briefings provide an opportunity to review SPs current and future businessstrategies, development plans, customer bases, target markets, and other keymarket information.The data presented in this study represents IDCs best estimates based on theaforementioned data sources as reported and observed by SPs. IDCs estimates arealso based on further data modeling that we believe to be necessary to fill in anyinformation gaps.SITUATION OVERVIEWBusiness Process Outsourcing VersusProcessing ServicesIn the China market, users and SPs do not distinguish BPO from processing.However, IDC has a rigid classification for each to better reflect the market.Distinctions between BPO and processing are as follows:! BPO services: BPO services focus on better aligning operational aspects of abusiness function with overall business needs of a client company. Theseservices are delivered during the initial design and implementation of thesolution, as well as on a continuous and ongoing process-improvement basis.Services such as business consulting, IT consulting, systems integration (SI),application outsourcing (AO), training, education, and change management aretypically involved in BPO engagements to a much greater degree than has beenthe case with more traditional processing service engagements.! Processing services: Processing services are typically standardized andinvolve little or no customization. Processing services value performance metricssuch as accuracy, timeliness, and efficiency of high-volume capability. Typically,many BPO engagements contain elements of processing services.In this study, the business outsourcing market covers both BPO and processingservices.China Business Outsourcing Market Overview2007 Market DynamicsBusiness outsourcing in China is currently in the early stages of development. Due tocost-effective labor, there is still a preference to maintain most in-house functions.Nevertheless, along with the robust development of the countrys economy, BPO isincreasingly seen as a benchmark to best global practices. They are also seen as anapproach for companies to quickly ramp up already fast-growing areas.Compared with the mature global market, Chinas business outsourcing is still in itsinfancy. The market is still restricted to relatively simple services. Processing servicesstill made up the largest proportion and accounted for approximately 1.6 times thesize of the BPO market in 2007. However, BPOs growth was faster than processingservices. This is an indicator that the China market is moving towards maturity.2008 IDC#CN221106Q3Business outsourcing is no longer monotonous and not just an outsourcing contactcenter. There is a greater variety of business with an increasing number of SPsstriving to develop business outsourcing. Consequently, the business outsourcingindustry has begun to take shape.Chinas business outsourcing market was driven by huge demand from multinationalcorporations (MNCs) in the past years. In 2007, local companies continued to expandthe scope and depth of their outsourcing services. Banks were on the list of pioneersto adopt business-outsourcing services, showing particular interest in datamanagement processing, HR outsourcing, and credit card marketing. Small andmedium-sized banks began to focus on core businesses in response to competition.They are more open to outsourcing full business processes. Fueled by strong growthin recent years, insurance firms are now also investing in business outsourcing,particularly in the area of data management operations. Outsourcing is an appealingroute for insurance firms to address operational issues and access new technologies.Generally, financial institutions scrutinize potential BPO providers industry experienceand security measures. More importantly, they study the implications of loss ortransfer of control, data protection, and security risks.The customer care segment was by far the largest core business outsourcingcategory. In China, it is a more mature segment of business outsourcing and isaccepted by a variety of industries, including manufacturing, retail, and wholesale.As end users undertake increasingly complex projects that extend across multiplebusiness functions, vendors must offer a broad suite of BPO services to meet theirneeds. However, there is a large gap between the delivery capability of vendors andrequirements of users. The increasing capacity of IT systems, improving operationalprocesses, and hiring of more senior composite talents are the main methods thatvendors are adopting.Many SPs in China went through a stage of rapid growth last year. The number ofnew employees have more than doubled, a sign of continued user demand. Vendorsalso must employ more staff to meet customer needs. This also signals a start ofstrategic transformations for SPs in order to cover both domestic and global marketsin 2007. Aware that Chinas business outsourcing market was driven mainly bydomestic demand, some SPs (which had originally focused on offshore outsourcingbusiness) began to explore opportunities in the domestic market. These SPs hoped toleverage global experience in order to gain domestic customers. Meanwhile, somelocal vendors tried to develop global businesses, leveraging Chinas low cost of labor.Many large traditional IT outsourcing companies are able to leverage their expertisein IT outsourcing to expand into the BPO space. BPO service offerings arecomplementary to IT service offerings and vendors recognize the opportunities thatarise from providing a holistic solution. At the same time, BPO vendors have begun toexpand their multifunctional offerings. IDC believes that vendors without well-integrated offerings and experience in multiple business processes will find it difficultto be significant as players in the multifunction business market.The BPO services market (specifically, only the key horizontal business functionalsegments: customer care, F&A, HR, training, and procurement) in 2007 totaledUS$1.06 billion, a growth of 23.5% from 2006. The processing services market, whichincludes only four key horizontal processing segments i.e., customer care, F&A,HR, training, and procurement and seven vertical processing segments i.e.,4#CN221106Q2008 IDCcard, data management, billing, loan service, policyholder, payment, and claims in2007 was US$1.68 billion, a rise of 19.5% from 2006.BPO Market Overview by Key Horizontal Business FunctionsAmong the five BPO segments, customer care is the largest, with about 49.7% ofmarket share (see Figure 1), accounting for US$525.5 million. However, procurementBPO is the smallest, with only 0.6% of the market, but its growth rate of 31.4% is thehighest compared with other segments in 2007.FIGURE 1China Business Process Outsourcing Mar