Chennai: Indian BPO industry must ensure data security and increase its product expertise and the ability to deliver results consistently, a top official of GE Capital said on Saturday (Sep 25, 2004).

"The Indian BPO Industry is expected to grow at a CAGR (Compound Annual Growth Rate) of 44.7 per cent. The size of the industry is expected to reach $ 16 billion by 2007.

But issues like data security and privacy, lack of product expertise and inability to deliver results consistently will be seen as threats," Srikanth Karra, vice president (human resources) of GE Capital India said.

Speaking at a discussion on 'Integrated e-solutions for the service sector' at 'Connect 2004' in Chennai, he said the Industry had to look into these issues to achieve operational excellence, customer satisfaction and to record the expected CAGR of 44.7 per cent.

On DAA security, Karra said that about 83 per cent of Indian businesses had reported a security breach (against the global 64 per cent) and 42 per cent of these had three or more breaches.

Companies would have to invest in building risk assessment systems and disaster recovery procedure and standard tests, he said.

Observing that knowledge management was important, he said companies would have to build domain knowledge that would result in product expertise, process excellence and re-engineering capabilities.

On operational excellence, he said consistency would be a major driving factor. There was also a need to move to more sophisticated and intelligent reporting mechanisms.