HSBC RELOCATES CALL CENTRE OPERATIONS HSBC, the world’s largest banking and financial services corporation, cut 4,000 UK staff when it relocated work to India, Malaysia and China. The decision by the bank follows similar moves by other companies including BT, Goldman Sachs and Prudential. The jobs involved were principally processing work and telephone enquiries. The number of offshore operations belonging to UK financial service companies grew from 200 employees in 1996 to about 300,000 by the end of 2014. HSBC was already running a number of global processing hubs in Hyderabad and Bangalore in India, and also in Malaysia, and much of the UK work was relocated to these sites. India, in particular, has emerged in the past decade as a new location for call center operations, given its large number of well-educated, English-speaking young people and lower staff costs. Questions: HSBC’s chief executive is quoted as saying that such moves are essential to the bank’s continued success and to help ensure job security for the bank’s staff worldwide. Why? Why does HSBC relocate work to its existing hubs in India and Malaysia?
HSBC RELOCATES CALL CENTRE OPERATIONS HSBC, the world’s largest banking and financial services corporation, cut 4,000 UK staff when it relocated work to India, Malaysia and China. The decision by the bank follows similar moves by other companies including BT, Goldman Sachs and Prudential. The jobs involved were principally processing work and telephone enquiries. The number of offshore operations belonging to UK financial service companies grew from 200 employees in 1996 to about 300,000 by the end of 2014. HSBC was already running a number of global processing hubs in Hyderabad and Bangalore in India, and also in Malaysia, and much of the UK work was relocated to these sites. India, in particular, has emerged in the past decade as a new location for call center operations, given its large number of well-educated, English-speaking young people and lower staff costs. Questions: HSBC’s chief executive is quoted as saying that such moves are essential to the bank’s continued success and to help ensure job security for the bank’s staff worldwide. Why? Why does HSBC relocate work to its existing hubs in India and Malaysia?
Practical Management Science
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5. Read the following case and answer the questions:
HSBC RELOCATES CALL CENTRE OPERATIONS
HSBC, the world’s largest banking and financial services corporation, cut 4,000 UK staff when it relocated work to India, Malaysia and China. The decision by the bank follows similar moves by other companies including BT, Goldman Sachs and Prudential. The jobs involved were principally processing work and telephone enquiries.
The number of offshore operations belonging to UK financial service companies grew from 200 employees in 1996 to about 300,000 by the end of 2014. HSBC was already running a number of global processing hubs in Hyderabad and Bangalore in India, and also in Malaysia, and much of the UK work was relocated to these sites. India, in particular, has emerged in the past decade as a new location for call center operations, given its large number of well-educated, English-speaking young people and lower staff costs.
Questions:
- HSBC’s chief executive is quoted as saying that such moves are essential to the bank’s continued success and to help ensure job security for the bank’s staff worldwide. Why?
- Why does HSBC relocate work to its existing hubs in India and Malaysia?
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