Thursday, October 4, 2007

Gartner warns against Indian call centre fraud

A shortage of skilled labour for Indian call centres increases the risk of fraud and identity theft, analyst firm Gartner warned in a newly published study.

The increased risk is the result of a shortage of call centre agents with Indian call centres. The need for trained and qualified call centre workers is set to reach 1 million by 2009, according to study by the Indian government, but by that time about one quarter of those positions will remain unfilled.

The shortfall in call centre agents will cause offshore outsourcing firms to hire less qualified staff and could lead to reduced due diligence, warned Gartner. The analyst firm advised its clients to pay close attention to attrition rates and security measures, and make sure that its contracts guarantee service level agreements and penalties.

The security of outsourcing companies is an ongoing concern. Last July a call centre worker in India stole and sold account details of 1,000 customers of a UK bank to an undercover reporter for the Sun for 4.25 per account.

In another case last April police arrested three form Indian call centre employees for attempting to steal $350,000 from accounts of clients of Citibank.

In addition to the security risks, the shortage of operators will also increase the labour costs for skilled operators, which in turn is set to erode the competitive advantage of offshore call centres, while the average quality level of the centres is at risk of falling.

Source: http://www.vnunet.com/vnunet/news/2142204/gartner-warns-indian-call

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