Jobs exodus to Asia could boost Xansa

The Indian outsourcing boom could pay off handsomely for Xansa, the IT services company, which yesterday said the trend for moving jobs abroad will create huge business opportunities.

Alistair Cox, the chief executive, said Xansa was well placed to win new businesses from companies moving their critical customer service, financial and back office operations to India. But he said Xansa would not be competing for IT contracts from companies setting up large call centres abroad to handle simple inquiries or transactions. He said this area had already become a commodity market which would not deliver high profit margins.

Mr Cox was unveiling half-year figures to 31 October which revealed operating profits down 7.1 per cent and turnover down 2.9 per cent. It has appointed Bill Alexander, the chief executive of Thames Water, as its new chairman.

Xansa already operates a key customer service department in India for a UK utility, which Mr Cox declined to name."The cost comparisons with the UK are excellent. There is a highly trained pool of workers who speak English and communications links are straightforward." Its workforce in India rose 36 per cent to 1,426 over the period, while it rose 4 per cent 4 per cent to 4,771 in the UK.

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