© 2017 by GroupBDO LLC

  • Black Twitter Icon
  • Black LinkedIn Icon
  • Pinterest - Black Circle
  • Black Google Places Icon
  • Black RSS Icon

  GroupBDO >

BPO Sales Outsourcing and Strategy Solutions.
Let us drive your 2020 revenue growth in the United States.
 
 
 
 
 
 
 
 
 
 
 

 
 
Our Business Development and Sales Team for 2019
GroupBDO welcomes Ken Schwartz, Arun Jain and Tom Rocca to the senior sales team.
 
>
 
Our BDO team members drive new revenue streams for you and your BPO organization.We identify, meet, and present to your targeted prospective clients across North America. We bring years of management sales experience ranging from FedEx, American Express, SunGard, Genpact and Sutherland Global. We become your instant U.S. sales team.
Contact us today to launch your successful 2019 revenue growth initiatives.
focus and deliver. everyday.
Our BPO Sales and Strategy Solutions 
 
Driving U.S. Business Development and Sales to the Office of the CxO since 2007. The Importance of First Mover Advantage. 
Now is the time to discuss your 2020 U.S. Sales Strategy. 
 
 
 
2020 Business Process Outsourcing Preview
>  Customer Care 2020 Preview
The Customer Care industry is benefiting from a solid economy, increased complexity of calls, and newer verticals, while under some pressure from the secular transition to automation; we view risk/rewards as pretty balanced overall (trading above three-year average multiples). We expect the market to grow low single digits over the next few years, with reasonable growth from newer verticals partially offset by pricing pressures, telco vertical and digital transformation. Give different customer and vertical concentrations, some companies can show out sized growth or declines.The Customer Care industry has seen some positive and negative trends.-Newer verticals and tech solutions are helping. We believe some verticals are growing well, along with certain products.-Digital automation can be positive and negative. Increased digital products and automation puts pressure on the industry as clients demand less live agent interactions,yet companies that help clients with digital can see some benefit.-Somewhat resilient in a downturn. In the last downturn, it took a little longer for the impact to hit the call center industry. By mid-2009, volumes really dropped off because companies were shutting down their services.-Company-specific impacts. We think some companies can perform better/worse than the overall industry, based on concentrations within certain verticals/clients/service offerings (i.e. communications softness)
>  Offshore BPM 2020 Preview
We like the BPM industry as a strong above-market growth industry with highly recurring revenue characteristics; we like G the best of the group for 2020. We expect market growth of high single/low double-digits over coming years, and view the industry as somewhat recession-resistant given highly recurring/non-cyclical work, existing clients adding services,reasonably low penetration, and very high renewal rates.The BPM industry continues to grow around high-single-digits, with high levels of recurring revenue.-Market expanding nicely -- Many participants can win given solid secular growth backdrop. Growth opportunities are not dependent on stealing clients, as (1) existing clients keep spending more (and renew at high-90% rates), and (2) many clients are still new to outsourcing.-Broadening client needs -- Clients are increasingly looking at full redesign plans that can include several-year ramps of recurring BPO services.-Industry growth strong -- all growing around high single/low double-digit organic constant-fx growth.-Fairly resilient in a downturn - The work is highly recurring, and the enterprise group has a larger/more diverse client base.
>  IT Services 2020 Preview
The IT outsourcing/consulting industry likely continues to grow around mid-single-digits organically driven by the move to digital. While there continues to be some pricing pressure in the more commoditized parts of IT outsourcing, the companies specializing in differentiated cloud/digital/analytics have an advantage (these higher value offerings are growing over above mid-teens organically). Some discretionary client projects may get cut in a recession, but we acknowledge they also have a high level of recurring business.The IT outsourcing/consulting industry likely continues to grow mid/high single digits organically driven by move to digital. There are levels of recurring revenue, but some discretionary-driven revenue as well. In a downturn, these companies may be negatively impacted as some discretionary spending/IT projects for clients get cut.
Global IT/BPO Operational Notes and Movers and Shakers
Week ending Friday 14 February, 2020
The following BPO/BPM/ITO vendors are representative of client profiles that we represent for Business Development and Sales Support Solutions.

THOUGHT OF THE WEEK

Time for Family and Friends. We hope you find time to enjoy the season as CY19 winds down. We look forward to continuing the conversation on the other side. CY19 has been a good year (S&P500 up ~28%), we hope for at least a little more in CY20

Government Services

Market. Seen as $160B+ growing 2-5%.

Nothing like a desire to go home for the holidays. Congress presented us with not only the National Defense Authorization Act (NDAA, i.e. how to spend the money), but also the passage of "regular way" appropriations (i.e. the money) for GFY20. The two bills should provide comfort for government agency contracting officers to drive strong award activity in the next three quarters, in our view.

THE WEEK AHEAD

Leidos (LDOS, 2/18). Should offer initial CY20 guidance that includes two recently announced acquisitions. We also expect questions about potential upside to long-term guidance if LDOS can successfully retain the recently awarded (2/6) $7.7 billion NGEN contract. Top of mind is contract margin level. That said, we don't expect much detail for now given award still not out of the competitive protest process.

 

ManTech (MANT, 2/19) . Intel, cyber and IT focus has helped drive leading growth rates and bookings. Can they sustain the new business momentum? We expect investors to focus on initial CY20 organic revenue growth guidance, along with pace of operating margin improvement after stronger than expected 2019 outlook.

 

EPAM (EPAM, 2/20). Financial framework for CY20 was provided on their Q3 earnings call, and it suggested sustainment of sector leading growth of 20%+. Long-term non-GAAP operating margin range of 16-17% was also reiterated at their November analyst day, although CY19 trending to 16.5-17.5%. Can they sustain or slightly improve their non-GAAP operating margin again this year?

 

WHAT WE LEARNED THIS WEEK

Cognizant (CTSH). We spent three days with the CEO and IR in Europe. Clear that his near-term efforts are focused on driving improved growth for the foreseeable future. Primary messages were that he is focused on bringing back the intensity level and refocusing the salesforce, is looking to improve positioning and accelerate growth through partnerships, and continues with cost reduction efforts to improve pricing competitiveness.

 

ASGN (ASGN). Mixed Q4 and guidance as faster growing commercial IT (Apex) and gov't sector unit (ECS), and lower mix of permanent placement revenue, creating some margin headwinds. Continue to face tough year-over-year comps, but remain well positioned in tight IT labor environment.

 

Perspecta (PRSP). Stronger than expected FQ3 (Dec.) and raised FY20 guide for the outperformance. Provided first look at financials excluding the large (15-20% of revenue) NGEN contract, although the award (2/6 to Leidos) still not out of the protest period. NGEN or not, management focused on "new" business efforts and improving organic growth with only modest recompete exposure over the next few years.

 

SAIC (SAIC). Was re-awarded a large contract with the U.S. Air Force that represents "new" work (about 1-1.5% of current revenue run rate), assuming it survives the protest period.

​Interesting IT/BPO Tidbits

  • Accenture named prime systems integrator for MBPS program. The US Navy has named Accenture the prime systems integrator for their Model Based Product Support program, a logistics transformation effort designed to increase weapon system uptime and reduce support costs. This is a 12-month agreement worth $11.3 million.

  • Infosys drives live enterprise success with Oracle Cloud in Europe. Infosys leverages Oracle Cloud technologies to empower businesses across Europe to transform into "Live Enterprises," helping them drive intuitive decisions, automate processes, create new user experiences, and reinvent businesses for accelerated growth.

  • Accenture to provide their Cyber Incident Response Service to help AXA XL's clients. Accenture will provide post-breach security services for AXA XL's clients outside the US, including incident management and IT forensics.

  • StarTek's Global Chief Information Officer, Wayne White to resign. Effective February 28, Wayne White will resign from his position as Global Chief Information Officer.

  • Cognizant selected by Con Edison to modernize their application and technology infrastructure. Cognizant will help Con Edison remodel their legacy technology platform by moving service management software to the cloud, implementing hyper-automation, and enhancing IoT and analytics capabilities.

  • Accenture opens Dubai tourism innovation hub. Accenture's first innovation hub in the Middle East and North Africa Region will showcase Accenture's capabilities across extended reality, AI, IoT, and more.

  • Infosys enters agreement to acquire Simplus, a Salesforce Platinum Partner in the US and Australia. Simplus is an advisor in cloud consulting, implementation, data integration, change management, and training services for Salesforce Quote-to-Cash. We believe the acquisition could add ~1% to annualized revenue. Link to note

  • Accenture study finds cybersecurity the top focus of upstream oil and gas companies' digital investments. 61% of respondents cited they are currently investing in cybersecurity, up from 12% in 2017. Over the next 3-5 years, 51% of respondents said they plan to invest in AI and machine learning.

 

                                           

 

 
 
The Critical Business Development Importance of 
 Q1>
The race to 2020 client acquisition and profits has started. Now.
Why?

There is no “holiday slowdown “ in the United States. 

 

The first Quarter business development process as historically been great productive months for GroupBDO and our clients for the following reasons:

  • C level contacts need to get the new year off to a great start. They are more focused and open to accept calls, but more importantly to speak frankly and openly regarding what may not have worked in their business development and sales process during the year.

  • Most sales and business development teams grow weary by Q4, this is when our teams take advantage of the mindset of the weary.

  • Companies that slow down their BD and sales efforts in Q4 will never truly make up the time as competitors will have already scheduled multiple calls/visits in Q4 that puts their company at the head of the line when others are just starting to identify and qualify opportunities.

  • Typically companies are looking for new vendors for the new year and the relationship building starts now for the new year.

  • The is no slowdown in business development and sales work during the year.

 
 
The Importance of First Mover Advantage for 2020 

Four Pitfalls to Avoid to Ensure Sales Success in Q1

It’s the first fiscal quarter of 2020. In your meetings and strategy development you seek to build upon the success that you had in Q4. Ahead of you is a brand-new chapter, full of possibility and promise. While it’s important to celebrate your recent successes and create a plan to be even better this year, don’t get ahead of yourself. All too often, salespeople get complacent after having a great fourth quarter, and take their foot off the gas as the new year rolls in. Starting small and avoiding common missteps is the best way to ensure success for yourself and your team. 

Pitfall #1: Slowing your momentum and starting over.

If you’re coming off of a great fourth quarter, it’s a natural reaction to ease up and coast on your successes. However, this is the quickest way to set yourself back in the pursuit of having an even better sales year. Instead, use your momentum to your advantage and act with the same urgency in the new quarter that you did in the previous quarter. You’ll be ahead of schedule before you know it if you set yourself up for a positive start. As a leader, maintaining this level of passion and drive will motivate others to operate to the best of their ability, breeding a culture of determination and hard work to begin the year. One great way to keep up the momentum is to have a new year kickoff meeting in the first couple of weeks in January. Schedule a meeting in your office to get your sales team excited, by reviewing the goals you’ve set for the year and how you all will work together to accomplish them.

 

Pitfall #2: Emptying your pipeline.

Typically, the mindset in the waning months of the previous year is to close as much business as possible. This is an important step in the process, but as the calendar shifts, your priorities should too. To start the year, you need to fill your pipeline with as many qualified suspects as possible. The majority of your time should be filled with prospecting. By focusing on prospecting and driving leads early in the year, you’re arming yourself and your team with the tools to be successful all year long.

 

Pitfall #3: Setting overly conservative or aggressive goals.

Another way to prime yourself for greatness is to set higher expectations based on what you achieved in the previous year. Whether that’s a new revenue number for your business or an increased number of qualified leads in the first quarter, make sure your business goals are challenging, but not too lofty. It’s important that your goals are still realistic, but you don’t want them to be too conservative or you and your team may not be as motivated to achieve them. If you’ve set challenging business goals, one way to keep your team motivated is to incentivize each individual salesperson based on their individual goals. That way, everyone will be equally motivated and off to a strong start in reaching the goals you’ve set for the year.

 

Pitfall #4: Disregarding industry shifts.

Don’t overlook industry shifts or trends. Successful sellers and business owners are constantly staying up to date on the current happenings in the industry, but the best are looking past that to “what’s next.” Those that can anticipate events in the industry based on existing trends can prepare themselves to adapt accordingly. To blindly progress through the year and only react to changes as they occur is risky, and can ultimately hinder your sales numbers and achieving your overall goals. Staying in tune with what’s relevant in the industry will help to shift your business goals so you can still achieve success. Remember, what you did last year, may or may not achieve the same results this year, but either way, if you want to do better, you will have to grow, change and adapt in 2020.

Contact GroupBDO to get your team off to a great start.

focus and deliver. everyday.
>Take action now. 2020 has started.
 
Our Business Development and Sales Team for 2020
The Groups experienced executive sales team consistently drives new revenue opportunities to  our clients
>
Our BDO team members drive new revenue streams for you and your BPO organization. We identify, meet, and present to your targeted prospective clients across North America. We bring years of management sales experience ranging from FedEx, American Express, SunGard, Genpact and Sutherland Global. We become your instant U.S. sales team.
Contact us today to launch your successful 2020 revenue growth initiatives.
 
 
Driving BPO Sales in the United States >
Want to know more about how we drive revenue for our BPO & Technology clients? Contact our sales team at 512-688-1931 We are here to assist you and your team. Contact us by phone, email or via our social media channels.
focus and deliver. everyday.