Latest News  

ABSL leaders: Romania can attract major investors, should focus on talent development

As Jacek Levernes, president of the board of the Association of Business Services Leaders (ABSL) and leader of the organization in Poland and other business services industry leaders promoted Romania in their recent business tour to New York, major investors with assets worth billions of dollars talked about their Central and Eastern Europe positive experiences.

2015-10-23 16:00:15

“The New York discussions was pretty much concentrated on large corporations convincing other corporations how great it is to invest and run operations in Central and Eastern Europe. The focus was pretty much on the finance vertical, we had a lot of banks and financial institutions there, discussing about investments that are happening, that are already there. Discussion were held by senior leaders from Goldman Sachs, MoneyGram and other leaders,” Levernes tells Outsourcing Today.

“With that, we are hoping and what we expect is that many new investors will come to Romania and other CEE countries and invest here, because of the positive news offered by the industry leaders.”

And as our country’s not so positive image is getting whitened by investors, the local industry will concentrate on value, as opposed to cost. With Romanian salaries growing, the attrition rate is rather large, and we are losing our cost competitive edge if this trend continues during the following years. However, new education programs emerged, so new talent will complete the demand in the market.
“What people understood is that we should not compete on cost with India, we should be looking relevant with our nearsourcing specialty, on how to do value stuff that cannot be done in India – so we compete on value, not on cost,” says Levernes.

But while Romania has to catch up with other countries in terms of market share, it is hard to say if our growth pace is more accelerated as compared to other more developed regions in the emerging CEE market.

“It is hard, yet, to say, but during this summer we welcomed new investors setting up shop in Romania, I would say that this year Romania has the fastest growth pace, although we cannot compare yet with the Poland’s market depth,” says Florin Grama, president of ABSL in Romania.
Is, yet, the Polish market saturating?

“I would not be surprised that Romania’s percentage growth is bigger,“ Levernes adds.
Meanwhile, Poland is more developed on the more complex services side, especially on financial industry related services.

“Activities and setting up businesses started in Poland a few years before Romania, so it is widely spread in the country, not only in Warsaw. There are also regional centers contributing to this growth quite significantly - something that we should do in Romania,” says Grama.

Romania needs to focus its attention on talent growing, if we want to keep this accelerated growth pace, also says Catalin Iorgulescu, VP, PR & Government Relationships with ABSL Romania.

“We talk a lot about growth, but it is very important to see what fuels that growth. Of course, it’s the technology, the availability of space and others, but finally, the most important is the human capital, a finite resource. You can buy computers overnight, everything is in unlimited supply but the human capital. So I think that where the focus should be and that is where the engine of growth and the differentiator for the future years lie,” Iorgulescu says.

“So, in order to be ahead of the game, we need to work closely with the educational system in Romania so that we have enough human capital to fuel this growth, to keep it going. Our local industry has had a very good start, we have passed our infancy phase, we try and add value to services and processes served out of Romania, not as much as in Poland, which has five years ahead of us, but again, the trap is not to look at final resources,” Iorgulescu adds on.

What will happen when the arbitrage is no longer an issue? Is there a lobby group formation needed to voice a stronger opinion towards the authorities?

“If the value is increasing, I don’t think that on short-mid-term we will have an issue here. As long as productivity increases, the value increases,” Grama says.
“We would welcome any government support in developing the industry, I would restrict to showing the needs of the industry, not necessarily forming a lobby group,” also says Iorgulescu.

“Lobby is a strong word- In Poland we found ways on how to cooperate with the government on national and local level,” also adds Levernes.

But looking from a critic’s perspective, it seems private investors, including ABSL, is promoting more and far better Romania internationally as the government does.
“We are just helping. We saw the president talking the other day about business and IT. It’s all about working together with the government to create jobs in the market,” Florin Grama concludes.
B.T.


0 COMMENTS ^ Go back to Top
WRITE A COMMENT ^ Go back to Top
 
Your email address will not be published.
Nickname
Email
Comment
Validation Code
   
 
 
NEWS
CrowdStrike opens a new center of innovation in Bucharest

CrowdStrike Inc., the leader in cloud-delivered endpoint protection, announced the official opening of its new Center of Innovation in the Pipera Technology District, Bucharest, Romania.

 Read Full article »
Romania leads in top of countries with highest number of cybersecurity incidents

Romania is leader in the top of jurisdictions recording the highest number of cybersecurity incidents with 14 attacks, followed by the Czech republic (11) and Hungary (8), according to the study "The Cybersecur

 Read Full article »
Oracle and KPMG study shows data security as priority for business leaders

In August 2018, Oracle applied a questionnaire with a number of questions about transformation technologies to a total of 4,000 respondents in 21 markets. Respondents were top managers in the following markets:

 Read Full article »
Colt Technology Services expands fibre network in four CEE cities

UK-headquartered Colt Technology Services said that it is expanding its IQ fibre network in Bucharest, Zagreb, Belgrade and Sofia as part of its plan for expansion in Central and Eastern Europe (CEE).

 Read Full article »
SAP Romania brings the cloud procurement solution SAP Ariba on local market

SAP Romania, the local subsidiary of the world's largest business software maker, has launched the SAP Ariba Snap program for the domestic market to support the digitization of specific procurement activities.

 Read Full article »
The software industry's input in Romanian economy was 5.4 billion Euro in 2018

According to the latest analysis of KeysFin, 17,000 companies operating in the Romanian software industry generate EUR 5.4 billion in turnover and employ 106,000 people generates 5.4 billion Euro in 2018 in Rom

 Read Full article »
Atos launches construction of global R&D Lab to drive innovation in Quantum Computing

Atos, global leader in digital transformation, officially launches the start of the construction of its new global Research & Development Lab dedicated to research in quantum computing.

 Read Full article »
Softelligence launches its own Academy to form specialists in insurance and banking

Specialized in business software development, Romanian company Softelligence announced it plans to increase its team by 50 per cent in the next two years, by hiring 100 to 150 new colleagues, the company announ

 Read Full article »
Romanian IT group Bittnet issued new bonds were traded on BSE

A new series of corporate bonds issued by Romanian IT group Bittnet Systems was admitted to trading on the main market of the Bucharest Stock Exchange (BVB).

 Read Full article »
Deloitte report: Two billion youth risk of being left behind in the Fourth Industrial Revolution workforce

Almost two billion youth worldwide risk of being left behind in the Fourth Industrial Revolution (Industry 4.0) workforce, which is changing at an increasingly rapid pace as a result of the emerging technologie

 Read Full article »
 
 
MOST READ ARTICLES
» Endava expands its IT team in Republic...
» The most appreciated companies from th...
» Workplaces, keeping up with the times
» CrowdStrike opens a new center of inno...
» Oracle and KPMG study shows data secur...
» Softelligence launches its own Academy...
» ROMANIAN OUTSOURCING AWARDS FOR EXCELL...
» Oracle goes to Oregon Park, the buildi...
» Atos and Transilvania University launc...
» Romania leads in top of countries with...
 
EDITOR CHOICE
How Tech-ready are companies?

Technology has made it easier and faster than ever to prepare, anticipate, implement, and get the job done for everyone, from the simple technology home user to all levels and departments of a corporation. Howe

 Read Full article »
Workplaces, keeping up with the times

For a company, being people-centric is a way of doing business and engaging employees in the company's operations and strategies in a way that provides a positive employment experience before and after the sell

 Read Full article »
Creating a valuable customer experience driven by core values of a company

As HR becomes more and more integrated within the company's long-term strategic business strategies, the digitalization and high-technologies impacting the processes also have to be mirrored at the level of HR

 Read Full article »
Ergonomics in practice - 5 tips for better health at work

Ergonomics is so much more than standing up during the day and sitting correctly. There are so many factors in our environment which also have an effect on our health, and influence our wellbeing at work. The

 Read Full article »
Technology, Mobility and Wellness make for the perfect workplace

The technology binge is pushing ahead the communities, businesses and all aspects related to work and workplaces in such a fast manner that we haven't noticed since the very booming of the office market. And as

 Read Full article »
Latest News  
 
about us | newsletter | contact | members area | GDPR policy
Copyright © 2015 by Diplomat Media Events Design by Diplomat Media Events