India has the potential to realise $60 billion in exports in IT and business process outsourcing (BPO) sectors by 2010 if the industry focuses on excelling in operations, says an industry report.
India's IT industry is growing at a rate of about 31 per cent, but the greatest challenge is that of maintaining leadership and growth, said a report compiled by the National Association of Software and Services Companies (NASSCOM) and McKinsey & Company released in New Delhi on Thursday.
"This year, the way it is going, the industry is expected to reach 31 per cent growth. We are right on our target to reach $60 billion mark in exports by 2010. However, the main challenge that remains is how to maintain leadership and how can we do better," NASSCOM president Kiran Karnik told a press conference.
"By focussing on operational excellence, we as the next frontier in offshoring can realise our aspiration of achieving $60 billion in exports," Karnik added.
Exports in the IT industry is expected to grow from $23.9 billion in 2005-06 to $31.9 billion in 2006-07, stated the report that was prepared after surveying 10 IT and 20 BPO companies over a 12-month period.
Other findings of the report stated that customers in the IT and IT-enabled services (ITES) industry are incredibly satisfied about what they achieved in India and the sector is growing exponentially because of its people.
"While the study validates that customers are highly satisfied with remote centres and as a result are ramping up their operations in India, it is also clear that their expectations are rising," said B Ramalinga Raju, founder and chairman, Satyam Computer.
According to the report, data operations are generally performing better than voice operations and third party BPOs usually outperform captive BPOs due to operational excellence.