The Madhya Pradesh State Electronics Development Corporation (MPSEDC) plans to develop plug-and-play workspaces in Indore and Bhopal to attract investments from information technology (IT), IT-enabled services, data centers, and business process outsourcing (BPO) sectors. It will lease these ready-to-use facilities, working closely with industry stakeholders to tailor the infrastructure to their needs.
This initiative aims to simplify setup for companies expanding or establishing regional operations, supporting growth in India’s BPO sector through government support and strategic partnerships.
Plug-and-play workspaces
Plug-and-play workspaces are pre-built offices with essential utilities, including high-speed internet, power, and IT connectivity. They are perfect for back-office, software development, IT, and IT-enabled services. Businesses benefit from these workspaces through:
- Reduced setup time, accelerating revenue generation.
- Reduced upfront costs by eliminating the need for office infrastructure investments.
- Easily scalable spaces that adapt to changing business needs.
- Modern amenities that result in higher employee job satisfaction and productivity.
Target locations and advantages
MP aims to become a technology-driven business hub by providing modern, industry-focused infrastructure. The Indore-Pithampur economic corridor offers 500 acres of commercial land with plug-and-play facilities. The state focuses on tier-II and tier-III cities, which offer great potential, skilled talent, and lower costs. Office space in MP is 7% to 10% cheaper than in other regions.
Indore, a central hub for industry and commerce in India with over 300 IT companies and 1,000 startups, attracts strong private-sector interest. MPSEDC’s new plug-and-play facility at the Pardesipura Electronic Complex further establishes the city as a prime destination for IT and BPO companies. In addition, Indore offers excellent food, a low cost of living, and a strong sense of community.
IT parks and electronics manufacturing clusters in Bhopal, Gwalior, and Jabalpur further boost MP’s appeal. MP offers incentives such as discounted land, capital and training subsidies, and reduced stamp duty and registration fees to attract IT and BPO companies, stimulate economic growth, create jobs, and reduce regional disparities.
Meanwhile, the Indian government assists BPO companies by encouraging creativity, skill improvement, and employment generation. These collaborations focus on infrastructure development, skill development, and policy support to promote growth.
India’s BPO industry benefits from favorable time zones, a highly qualified English-speaking workforce, low costs, and robust government support. The industry adopts new technologies such as machine learning (ML), automation, and artificial intelligence (AI) to boost productivity, improve consumer experiences, encourage innovation, and maintain competitiveness.
GCC collaboration: A strategic move
Indian IT BPO companies have also reversed the expected pitfalls of global capability center (GCC) expansion by focusing on cooperation rather than competition. They work with GCCs to assist in talent procurement and digital transformation.
Major Indian IT companies such as Infosys, HCLTech, and Wipro are building alliances with multinational corporations to collaborate with GCCs on talent acquisition and digital transformation. This strategy is helping Indian IT firms counter slower demand in the U.S. and European markets while increasing domestic revenue.
This approach establishes a high-value ecosystem within India and positions the GCC sector as a significant revenue source. Ramkumar Ramamoorthy, partner at consultancy Catalincs, estimates revenues could exceed $1 billion annually as India hosts 1,700 GCCs with over 1.9 million employees, making it the “GCC Capital of the World.”
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Suroy suroy, H. J. (2024, October 22). Indian state launches plug-and-play workspaces for IT, BPOs. Outsource Accelerator. Retrieved from https://news.outsourceaccelerator.com/indian-plug-and-play-workspaces/
The Times of India. (2024, October 16). Plug & play workspaces for IT firms, BPOs to come up in Indore. Retrieved from https://timesofindia.indiatimes.com/city/indore/indore-to-launch-plug-play-workspaces-for-it-and-bpo-firms/articleshow/114291059.cms
Elets News Network. (2024, September 25). Bengaluru’s Thriving Journey from BPO Centre to Global GCC Hub. eGov. Retrieved October 30, 2024, from https://egov.eletsonline.com/2024/09/bengalurus-thriving-journey-from-bpo-centre-to-global-gcc-hub/