Friday, January 27, 2006

India Innovates World’s First Off-shoring Worker Fraud Fighting Database

The news compiled by Offshoreoutsourcingworld from reuters, India’s high boom information technology and call centre industry has launched a database for its work force, hoping it will boost data security on finance related and other projects outsourced to its shores.

Directly employing a million people, and three times that number indirectly in jobs ranging widely from security to transport to house-keeping to catering, the IT / ITeS and BPO companies are keen to raise privacy standards by monitoring their employees in an efficient and fraud deterrent manner.

Containing all personal and work-related employee information, the database will enable employers to verify staff member credentials, and allow police to track the background of workers. It became a necessity after one of India’s call centres was hit by a $400,000 credit card fraud when bank customers parted with personal details while on the phone relating to their bank accounts.

When one month later, a British newspaper alleged that an Indian call centre worker had illegally sold secret data of British bank customers in a sting operation involving an undercover reporter, the Indian firm involved denied the charges, dismissing the suspicion that a worker sold information while moonlighting elsewhere, saying it did not have data or any clients in the UK.

Allegations and counter-allegations have necessitated the world first of its kind database according to National Association of Software and Service Companies (NASSCOM). And, a government official announced, companies would now be able to track career backgrounds of employees, including helping law enforcement agencies to tackle data theft.

T.D. Maran, Federal Minister for Communications and Information Technology, during an industry meeting said: “Information security is an integral part of the information infrastructure for enhancing India's e-business environment.” Undoubtedly, this step in the right direction should quell the doubts of off-shoring / outsourcing naysayers. It is a step in the right direction as a combined NASSCOM and McKinsey (consultancy firm) December report forecasts a 25% per annum surge in India’s business services and information technology exports, exports that will total $60-billion by the year 2010.

With a burgeoning IT / ITeS / BPO business, strong measures will be needed to prevent any scandal regarding data theft or employee fraud. Having worked hard to build a name for itself as a high quality, low cost service provider after years spent proving itself, and after painstakingly building its reputation, it cannot afford to let a few unscrupulous employees undo years of dedicated work.
The world’s first of its kind employee database will go a long way to ensure India continues to remain the world’s most favoured outsourcing destination.
For details read here.

The article is sponsored by A-1 Technology Inc, dealing in offshore outsourcing and offshore software development.