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Nipuna mulls centres overseas — Cash break-even likely in this quarter, 80 pc growth seen

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Mr Ramalinga Raju, Chairman, Satyam Computer, and Mr Venkatesh Roddam, CEO, Nipuna Services Ltd, at a press conference in Hyderabad on Thursday. - - Mohammed Yousuf

Hyderabad , Sept. 29

NIPUNA Services Ltd, the business process outsourcing (BPO) subsidiary of Satyam Computer Services Ltd, is considering the option of locating overseas centres in Malaysia and at Dalian in China, as a part of its effort to tap the potential in new markets and leverage local talent.

The Chief Executive Officer of Nipuna, Mr Roddam Venkatesh, said, "Though the company was formed with an idea to provide end-to-end services to various Satyam clients, we do have a mandate to tap new areas and customers independently, which could possibly become Satyam client's later."

"Nipuna is set to aggressively expand its role in knowledge process outsourcing (KPO), which is the next level of evolution of process outsourcing. This will be by leveraging the capabilities of Satyam and Nipuna together. Apart from this we have forayed into animation services, and have acquired two clients," he said.

The company is providing artwork services for GlaxoSmithKline, wherein the entire information of drugs to be displayed, would be developed by the Nipuna team.

The Chairman of Satyam Computer, Mr B. Ramalinga Raju, said that the company had achieved a unique distinction of becoming the first BPO company to achieve eSCM Level 4 certification, with only four others in the world to have achieved eSCM level 3, that includes Accenture.

(eSCM refers to Sourcing Capability Model for Service Providers developed by the Carnegie Mellon University.)

Nipuna is set to achieve cash break even during the second quarter of fiscal 2006, and the company has projected to grow by about 80 per cent this year. The company headcount, which was about 1000 people across two centres of Bangalore and Hyderabad, is projected to grow to about 2500 to 3000 people this fiscal.

Quality certification

The Director of Quality Certification, Carnegie Mellon University, Dr Jane Segal, said that this certification process for BPOs was initiated by a consortium of companies that includes, Satyam, Deloitte, IBM Global, and Accenture.

"These are early days, and we expect to see more BPO providers to take to this quality certification that covers about 84 processes. When a company deals with a BPO, he is sure what they will get back with these processes. Apart from this, the university is working on a model where at from a user level too they will have some quality certification. By the end of December, the university expects to come up with guidelines," Dr Segal explained.

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