Genpact actively eyeing acquisitions

NYSE-listed Genpact, the largest business process outsourcing firm in India, is actively considering acquisitions of firms with revenue of $150-200 million (around Rs 600-800 crore).

Pramod Bhasin, president and CEO, Genpact, while choosing not to comment on the Citi BPO deal, said: "While captives are an interesting proposition, we would like to acquire in the verticals of finance and HR." The company will be eyeing acquisitions in India, US and Europe, he added.

Bhasin also said the company is ramping up China operations. "We are one of the leading BPOs in China. Last year, our growth in China was about 40%."

On the US slowdown, Bhasin said: "Business is as usual. We are sharpening our skills. There is a general uncertainty in the US market, and there might be a dip in the short-term but US will remain the largest economy."

While attrition is the biggest concern for Bhasin, he believes the recent steps taken by some IT firms is quite normal and something that the BPO industry has been doing for long. "Job hopping in the BPO industry is just not acceptable. We are taking a very strict view of this. If we find a resume with more than 3-4 shifts in a small period we just don't consider that employee," said Bhasin.

Bhasin, while speaking on the sidelines of the Nasscom Leadership Forum 2008, said tax benefits for the sector should be extended. "We are simply saying that the BPO industry in India is quite young. The government might have provided these sops to the IT firms for the last 25 years or so, but BPOs where never there," added Bhasin.

Genpact will hire talent from tier-II and tier-III cities, especially from the north-eastern states. "Some of the best talent that we have at Genpact are from these areas," said Bhasin.