In order to be competitive in today’s cutthroat competition; organizations must sagaciously utilize their human resources. In the context to a knowledge economy organizations rely on human skills and creativity. In order to maximize the return on investment organizations are empowering employees to work to their fullest potential. In India, the scenario of BPO sector is encouraging. According to a study by Assocham the domestic business process outsourcing sector is likely to grow over five fold to touch 17 Billion US Dollars in the next four years from the present three Billion Dollars. Revenue generation from the BPO industry is expected to soar to 15 Billion Dollars by 2007 and will exceed 17 Billion Dollars by 2008. The sector has been growing at a rate of 60-70 per cent annually, beating even the information technology sector. The impressive track record of the Indian industry, strong fundamentals and the growing emphasis of the Government towards telecom and infrastructure support are the main factors that would drive the BPO industry further. Managing BPO employees in terms of creating fun at work, keeping them motivated towards organizational goals, increasing their job satisfaction, performance level and to retain them in order to sustain competitiveness in the market are the major issues for any BPO organization. An empirical study was conducted by the author in order to gain an insight in to the issues of Job Satisfaction JS and its impact on the Individual Performance. Sample of 60 BPO employees from one of the BPO organizations were selected from Ahmedabad city. An attempt was made to look into the factors leading to Job Satisfaction and higher level of Individual Performance. This paper also addresses various issues and strategies related to people in order to increase the Job Satisfaction JS and Individual Performance IP in an organization in order to sustain competitiveness by keeping them motivated.