Abstract: The Indian Business Process Management (BPM) industry has grown exponentially in size and has been holding the supreme position in the global BPM outsourcing arena for more than a decade now. However, talent-erosion is an area of paramount concern for the industry. The present study attempted to identify and explore causal agents of ‘talent erosion’ in the BPM industry by collecting data from junior and middle level employees of prominent BPM companies in Rajasthan. Using sequential steps of Exploratory Factor Analysis, thirteen selected latent variables of ‘Talent Erosion’ have been reduced to five major factors viz., Substandard Nature of Job, Hostile Organisational Culture, Perceptual Factors, Unfavourable Work Conditions, Personal Factors. The BPM industry should strategically focus on effective management of these causal agents in order to keep growing at an impressive pace.