2013 Frost & Sullivan Japan Market Leadership Award Workforce Management Market

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1 2013 Frost & Sullivan Japan Market Leadership Award Workforce Management Market

2 2013 Frost & Sullivan Japan Market Share Leadership Award in the Workforce Management Market Overview of Asia Pacific Contact Center Applications Market The buoyant positive outlook for contact center outsourcing coupled with the strong domestic demand for contact center services continue to push contact center applications market growth in the region. The Asia-Pacific contact center application market was estimated to be worth $703.1 million in 2012 and expected to reach $1,160.8 million, growing at a CAGR of 7.4 percent. While the different markets are at varying stages of adoption and growth, contact center spending on Workforce Optimization (WFO) applications is increasing across the market with a good mix core applications and advanced features. Optimization tools gain from focus on efficiency and cost reduction Though organizations and contact centers alike are focusing on enhancing the customer experience, cost effectiveness proved to be an important factor for contact center operation. Contact centers across the region continued to invest in optimizing their operations and this resulted in a strong demand for workforce management (WFM) solutions. Such drive for optimization is anticipated to develop into a need to gain insight into customer behavior, as more centers deploy speech and text analytics applications Frost & Sullivan 2 We Accelerate Growth

3 Japanese Market Trends Overall flat market: Japan is the largest contact center application market in the Asia-Pacific region and investment both on basic core application and optimization tool has been back after the earthquake. However, overall contact center applications market remained flat generating $181.4 million revenue in Growing WFO applications segment: WFO applications market revenue is estimated to be $67.7 million in In Japanese market, most base solution on top of their routing infrastructure is the call recording applications, and other advanced features are optional and implemented based on developments in future. Large sized contact centers hold key for future growth: Analytical applications and Workforce Management are effective in managing contact centers with more than 200 seats, and demand for these applications is expected to grow from the middle to the large-sized contact centers. Workforce Management (WFM) solutions into prominence: The demand for WFM solution is growing amongst contact centers with large seats. Adoption of WFM solutions in Japan can be considered still in the early adoption phase despite comparatively high market awareness. With increasing appreciation of optimization across contact centers, there will be great market potential in the near future. Real time performance management is being sought after: WFM functions, which combine attendance management function, stable operations of a large system and the early detection of problems of the center, are most common features across the Japanese market. Recently, real time performance management of employees is getting the market trend Frost & Sullivan 3 We Accelerate Growth

4 Key Industry Challenges: Slow adoption of advanced features: Japan is one of the key growth markets for WFO solutions and is expected to join other advanced WFM markets in Asia-Pacific with sophisticated applications and stable future outlook. However, wide spread adoption of advanced features that WFM solutions has to offer has been limited to a handful of large organizations. Perceived high cost and lack of understanding hurting growth: While the demand of WFM solutions is growing, the adoption is yet to be commonplace. Factors such as high costs or poor understanding discourage organizations from introducing WFM tools. Because of inadequate understanding of WFM solutions, organizations sometimes cannot justify whether they will be worth investing in especially when facing strict budget constraints. Require deep understanding of the customer: In the rapidly changing business environment, the demand from organizations has diversified and there is frequent fluctuation in demand. Under such circumstances, it is important to raise awareness and deepen understanding of solutions while providing flexible solutions, which fulfill market s need. Increasing price competitiveness: Recently, customers are increasingly seeking "low priced, integrated solutions with options to customize. Hence, solution vendors are starting to compete on price when pure value sells seems difficult Frost & Sullivan 4 We Accelerate Growth

5 Award Description The Frost & Sullivan Market Share Leadership Award for Workforce Management Market is presented to the company, which demonstrates excellence in the fields of technology and revenue growth in the Workforce Management Segment of the Contact Center Applications market. The award recognizes the company s commitment to continuously evolve and remain a leading participant in the Contact Center Applications industry by adopting technologies and trends that help business prosper. The recipient of this Award has excelled based on one or more of the following criteria: Market share Revenue growth rates Business & Growth strategy Market and technology innovation Methodology To choose the recipient of this award, the analyst team tracks all companies in the Contact Center Applications industry and benchmarks them with respect to the criteria for evaluation. The evaluation criteria include Market share and Market share growth, Revenue growth, Strategic and profitable partnerships/alliances, Market reach and presence, Innovation and product integration. The selection process includes interviewing market participants and extensive primary and secondary research. The data obtained is then compared and ranked for determining relative positions, and the company that secures the highest rating in terms of the criteria established, is awarded the number one industry ranking Frost & Sullivan 5 We Accelerate Growth

6 Best Practice Award Analysis for P&W Solutions P&W Solutions is a leading company in Japan workforce management that provides comprehensive solutions for contact centers and continues to invest in a combination of outstanding quality delivery, comprehensive solutions, and client engagement model. During 2012, P&W Solutions showcased its updated brand positioning, emphasizing its role in creating outstanding customer experiences, driving revenue and brand loyalty for its clients Frost & Sullivan 6 We Accelerate Growth

7 Factor 1: Market Dominance and Growth Since its establishment, P&W Solutions has enjoyed steady growth and performed with superiority in the market. In an increasingly competitive market, the company successfully continued to dominate the Japanese WFM market. It achieved a remarkable recovery of business in the last year, as it pushed sales volume back to the same level before the earthquake in P&W Solutions maintained its stranglehold capturing 42.9 percent market share of the Japanese WFM market in 2012, which is more than 3.5 times of the nearest competitor. The company successfully managed to grow its revenue by over 10 percent in a market where many participants struggled. Factor 2: Enhancing Customer Value P&W Solutions approach remains consistent, stable, and well thought-out. Aligning well with the changing business environment and needs of its customers, P&W continues to enhance its offering. The recent innovative product is their mobility solution, which enables contact center supervisors to have a real-time view and manage efficiently anywhere; and is a good example of such initiatives. This also features a revolutionary interface that is intuitive and easy to use. Such proactive efforts resonated well with customers and allowed the company to develop a large and loyal installed base. Factor 3: Product Portfolio and Differentiation With its comprehensive solutions and upgraded products, the company has been able to keep up with customer s needs and such features will continue to support more and more organizations to overcome challenges in changing business scale. The company aims to improve the customer experience through advanced technology in the following four specific ways: 1. Continuous Customer Analytics: a. Identifies which functions are most relevant for customers and offers solution based on customer s need b. Detects market trends and respond to them flexibly through innovation 2013 Frost & Sullivan 7 We Accelerate Growth

8 2. Integrated Solution a. Offers total management system for contact centers, which includes WFM, QM and analytics b. As a function, we offer as a product package to support the execution of corrective actions from understanding current state WFM, attendance management, groupware, and quality control 3. Reliable Quality a. Sweet Series delivers compelling speed of transaction even when handling large database, allows contact center managers to have a real time analysis and forecast b. Highly customizable and scalable, the Sweet Series also ensures high stability and dependability required by large contact centers P&W Solutions has transformed its workforce management system from a cost management tool to an integrated core management system for contact centers. It has distinguished itself through dynamic resource management. Factor 4: Growth Strategy that Delivered 1. Key Partnerships: P&W Solutions has established partnerships with leading contact center solution providers such as Avaya, Genesys Labs, Cisco, Interactive Intelligence, Fujitsu and NEC. Leveraging their partner network, the company has developed broad customer base and plans to move in to other Asian Markets as a next step. 2. Sales Approach: P&W Solutions leverages both direct and indirect sales channels. Though the company sells through system integrators in some cases, its main business model remains direct, as they believe in forming a close-knit relationship with its customer companies Frost & Sullivan 8 We Accelerate Growth

9 Factor 5: Growing Customer Base P&W Solutions offerings translate compelling value proposition to its customers, and are well appreciated by customers and have seen great momentum in recent years. Many of its customer vouch that the core solution leads to improved employee satisfaction as well as operational efficiency and customer satisfaction. Their superb market reputation is shown by many repeat customers for expansion as well as increasing demand from new customers especially in the BFSI, Telecom, & Retail sectors. Conclusion The above-mentioned developments were some of P&W Solutions key achievements last year. In recognition of clear market leading position, a strong commitment to deliver comprehensive solution and innovations that customers look for, P&W Solutions is considered the worthy recipient of the 2013 Frost & Sullivan Japan Market Share Leadership Award in the Workforce Management Market Frost & Sullivan 9 We Accelerate Growth

10 About Frost & Sullivan Frost & Sullivan, the Growth Partnership Company, works in collaboration with clients to leverage visionary innovation that addresses the global challenges and related growth opportunities that will make or break today's market participants. For more than 50 years, we have been developing growth strategies for the global 1000, emerging businesses, the public sector and the investment community. Is your organization prepared for the next profound wave of industry convergence, disruptive technologies, increasing competitive intensity, Mega Trends, breakthrough best practices, changing customer dynamics and emerging economies? Contact us: Start the discussion 2013 Frost & Sullivan 10 We Accelerate Growth

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