Tuesday, February 22, 2011

Essar Kenya Terminates Contract With Contact Centre Customer Support Firm

Mobile Operator Essar Kenya Ltd commonly known as YU has terminated its contract with its customer care provider in a bid to cut down on its budget. This puts the jobs of close to seventy customer care agents in jeopardy. Cut throat competition between the four major mobile operators has caused the cost of calling to go to as little as one shilling a minute and seems to be driving the companies to cut down on costs due to a record low in average revenue per user (ARPU)

This puts into perspective the growth of the (BPO) Business Process Outsourcing industry and whether it is viable in kenya. I happened to attend a talk by the former Safaricom CEO Michael Joseph and when he was asked about The future of BPO in Kenya he said that it was not workable.

ICT in Kenya is growing at a rapid speed and the question of whether BPO Is viable or not still remains debatable. Meanwhile players in the mobile telephony industry will be waitin with bated breath to see which way The other Three companies namely Safaricom Aitel and Orange go in regards with the people who handle their customers on a day to day basis. Customer Care Representative.

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