WNS, the third-largest business process outsourcing company in this country, has planned to enter the Chinese and Far East markets, besides scaling up its presence in the Baltic region.
Now headquartered in this city, while listed on the New York Stock Exchange, WNS, in which private equity player Warbug Pincus has a major stake, is also strategising on entering new business segments.
Keshav Murugesh, who took charge as chief executive officer of WNS around eight months earlier, recently completed its restructuring. WNS has carved out six divisions — banking, financial services and insurance (BFSI); manufacturing, retail and consumer products, shipping and logistics, healthcare, and travel and leisure — as part of the strategic planning exercise.
“So, on the one hand, we have these new six verticals and horizontal focus. We are also looking at the new geographies and business segments. In terms of new business foray, these will be high-impact businesses for the company, as well as the BPO industry,” said Murugesh.
As mentioned earlier, the company wants presence in China and the Far East and expand its reach in the Baltic countries. “In the first two regions, China and the Far East, we would prefer entering through the partnership route. Whereas in regions like Latin America or scaling our presence in Romania, we might look at an acquisition,” said Murugesh.
Initial push
The company says the restructuring effort seems to be going in the right direction. Second-quarter revenue was up 4.3 per cent sequentially. “This quarter, we have seen the first signs of revenue and profit momentum. But there is a lot more to be done. What we have done with this restructuring is to clearly identify our horizontal and vertical offerings. For instance, the top 10 clients contribute 52 per cent to the revenues but I feel that everyone is under-penetrated,” added Murugesh.
Under the new strategic orientation, the company will now be vertically driven, rather than horizontally as earlier. “This has also meant a change in the leadership direction. One of the things we have done is to tell the leadership that the verticals will lead the business and horizontal offering will follow. We have appointed 20 new client-facing leaders. While some have come from outside, the majority are from within the company, again showcasing the talent that the company has,” he said.
Among the top BPO companies, WNS was the only one not to have forayed into the domestic segment. “We have announced the appointment of an India head. While the focus will be on processes-driven offerings, voice will be a small component,” said Murugesh.
WNS reported a revenue of $94 million (Rs 420 crore) for the second quarter ended September 30. It has a little over 22,000 employees.
