Exec: Offshore Processing Saves 25%

Taking some of your mortgage processes offshore to India could reduce your costs by 25% on those processes, according to David Rogers, chief technology officer for GreenPoint Mortgage, in Novato Calif.

Mr. Rogers made his comments at Thomson Media's seventh annual Mortgage Technology conference in Miami. GreenPoint began moving certain functions from its mortgage origination and servicing divisions to India in Sept of 2002. Today the company has about 10% of its workforce offshore.

"We were doing some of this stuff outside our home office anyway," Mr. Rogers said. Even so, the move to India was carefully thought out and only undertaken with the goal of reducing expenses per process moved offshore by 25%. "In every case, we have reached that goal," he said.

Among the caveats he shared with the audience: frequent hiring to offset attrition in the night shift workforce, and keeping a dedicated U.S. team involved with the offshore workforce on a continuous basis.

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