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Hero
Group Moves Into IT Enabled Services
The Economic Times, Mumbai, JANUARY 08, 2002
THE
HERO group, whose flagship firm was India's largest motorcycle
maker, was pushing into information technology with a focus on
IT-enabled business services and training for such services, a
senior official said.
Group
company Hero Corporate Service Limited is undertaking this thrust
through three divisions - Hero ITES for computer-enabled services,
Hero Mindmine for training and Hero Soft for software services
for the manufacturing sector.
"We
are hoping the company (revenue) would be about Rs 200 crore in
the next two to three years," Sunil Munjal, managing director
of Hero Corporate Services, said.
The
provision of computerized services such as customer relations
and back-office processing is a hot sector in India, whose cheap,
skilled, English-speaking and IT-savvy workforce is attracting
many overseas companies to shift such work here.
The
National Association of Software and Services Companies forecasts
that India's revenues from IT-enabled services could rise more
than 20 times to Rs 81,000 crore by 2008, when the sector could
employ up to 1.1 million people.
Although
six years old, Hero Corporate Service Limited was mostly offering
a variety of consultancy services to the Hero group and has started
looking outside only in the past 12 to 15 months.
Training
key:
While several entrepreneurs and established companies are entering
the computerized services business, training of personnel is becoming
key to the success of these ventures.
The
Mindmine division trains students in customer service and in basic
computing, tele-marketing and analytical skills and imparts language
and speaking skills using expertise from two US firms, Munjal
said.
"In
the three divisions that we have, Hero Mindmine will clearly have
the largest exposure in India," he said.
Mindmine
has trained over 700 people over the past nine months through
centres in Delhi, Gurgaon and Chandigarh, and it has opened another
center in Bombay. It also plans to offer training through franchisees.
Its
students now work in call centers run by leading companies such
as GE Capital Services India, Spectramind and Daksh.
Call
center operations:
Hero ITES, previously known as Hero Serveit already has a 280-seat
customer contact center in Gurgaon and plans to add another 440
seats over the next few months. Plans are also afoot to set up
another call center, Munjal said, although he declined to name
existing clients.
The
company also has a stake in US call center operator FirstRing
Inc, which has a delivery center in Bangalore.
"We
took a stake in FirstRing to learn about the business," Munjal
said, without revealing the size of the holding. "We will
not look at another acquisition for learning purposes but for
business growth, if there is any opportunity."
Herosoft,
the software services division, now has only three clients outside
the Hero group, but has set up an office in the United States
to pursue more business from there, Munjal said.
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