Latest News  

Oracle reaches 4,200 employees and plans further expansion - Exclusive OT print issue

While Sorin Mindrutescu, Oracle's general manager for Romania, added to his functions the leadership of its central and eastern Europe Cloud division, the company grows solidly to about 4,200 employees, about a third more than last year's

2016-09-12 22:28:33

HR offices are burning hot in Oracle's Northern Bucharest offices, as the company has hundreds of positions opened at any given time. Soon the company will expand from Floreasca Park to Oregon Towers, a new building under construction whose design was initiated by Portland Trust.
The building has 3,400 square meters per story, and Oracle leased a total of 20,104 sqm – an entire building. (Oracle took building A, and there are still available - to our knowledge - buildings B and C, of 24,600 sqm each).
"We're growing steadily, but we cannot reveal the rate…Most of our employees are involved in outsourcing processes for worldwide clients. We have several divisions, from software to cloud and hardware," Mindrutescu tells Outsourcing Today.
As the global environment is more and more Cloud, Internet of Things and Big Data-oriented, Oracle's latest moves have focused around this trend. And it has grown locally to become the second largest centre in the entire EMEA region (Europe, Middle East and Africa), after the one in the United Kingdom.
Besides Bucharest, the company also selected Iasi for a second centre, and there are 50 employees there just in the Product Development division. The Bucharest SSC has by itself close to 1,000 employees, more than 30 services lines and a 27-language skillset.
Although Mindrutescu has not revealed the pace of the Romanian expansion, our estimates set it at around 35 per cent a year.
And the Romanian centres focus more on innovation than we might think, says Mindrutescu.
"Ever since this industry started some 15 years ago, many put an emphasis on back-office activities. But although this is an important segment, I think the development, innovation, technical support and high-added value segments and business lines should be mentioned more."

Romania, the new IT El Dorado


New IT and non-IT firms relocate their shared services and IT support centres to Romania, and Tier II cities move up a notch, says Mindrutescu.
"We heard of Miercurea Ciuc, Bacau and Craiova, many cities that previously were not chosen by investors. We are glad that the cities and towns that were not the first choice are becoming more developed."
Oracle started developing local operations about 20 years ago, and Romanians inside Oracle now combine 27 foreign languages with technology capabilities.
"During the past six years we have been among the top employers in the market, cross-industry, not just in IT."
Romania's more than 120,000 IT specialists (according to Oracle-consulted statistics; according to OT estimates the level of IT professionals exceeds now 200,000) means that per capita the engineer number is larger than in other countries.
Oracle's local remote capabilities include a plethora of functions, not only call-centre related lines. Romania is the second largest European entity and the fifth global one, with Oracle local centres in Bucharest offering more than 30 functions. "There are functions ranging from Fusion Cloud applications to Open standard, from Java to testing engineering - we have deep core departments."
About 12 per cent of the overall Oracle global software support is in Bucharest and Iasi. "The few months that have seen us function in Iasi brought us about 50 engineers, in a 24/7 support technical assistance model." During the past three years, Oracle's local 24/7 support total assistance team grew from a 250 to about 1,000 personnel figure countrywide.
Besides local clients, the support team serves all kind of clients in all global areas.
"We have now reached an overall Romanian employee figure of more than 4,200," says Mindrutescu, meaning an about doubled figure over June 2011.

Global companies to undergo major changes


An S&P 500 companies survey started with the 1950s showed that each company within the index used to maintain the index criteria for an average of 61 years, while nowadays the average is just seven years, says Mindrutescu.
The 2008 financial turmoil reshaped the index, and while companies were still affected by the crisis, they are more deeply reshaped by the new technologies.
"According to Professor Richard Foster's analysis, 75 percent of the companies comprising the S&P 500 index will be out of the index by 2027. This offers us a perspective about the way that companies are burnt out in an ever-changing economy," he adds.
At the same time, IT expenditure dropped significantly during the past years, with a 5.1 per cent decline in 2015 alone. "It is all about a fundamental change in the way that the companies are spending money. The 500 companies in the S&P index used 54 per cent of their capital to buy back their shares, instead of investing it, and 37 per cent were offered as dividends to shareholders. Little money left, then, for IT investments."
The markets are changing, the capital expenditures are dropping and changing purpose.
"This shows we enter an entirely new economic cycle. We have seen significant changes in the company's business models due to technology. We have seen the economy's UBER-isation, how to be one of the largest taxi operators worldwide but not own any car; we have also seen how to be largest hotel operator worldwide but not own a hotel thanks to Air B&B.

Change of the traditional business concepts


Applications change the fundamentals of industries: Uber does not own cars, does not have licenses and does not cash via drivers. It has just 4,000 employees, and uses 160,000 drivers, all due to technology.
"Entire business models have changed. We had internet, social media, Cloud, Big data, and now 3D printing – Internet of Things…there are many things to come."
Also, millennials have become consumers, and coming of age they move to the concept of share mobility. In the US, many millennials re-write the economy and the consumption rules.
"All of these changes of the business models raise questions regarding the development patterns of the IT industry. Currently it is based on legacy systems, and 80 per cent of the money goes to maintenance. Cyber security is more and more needed…the traditional systems are more and more under stress and the answer is moving all the instances to the Cloud," he explained.
The infrastructure, platform and software as a service (IaaS, PaaS, SaaS) capital expenditures are estimated to reach about 550 billion USD by 2025.
"By 2025, the very few SaaS providers will have the possibility to resist in the market, especially since an entire variety of applications will have to be in the public Cloud, and not many will be able to provide it."
Also, the utility industry is under a lot of stress; technologies such as those needed by smart metering or the financial system will need new investments – and the Cloud development will come naturally, as the supplier will make the investment instead of the investor itself. Storage will also undergo this pattern.
Cyber security is also important, and Cloud services will also count in this feature when taking into account the supplier.
"There's a new shift in the industry, and all will change, including business models. Costs and complexity will go down, and for example on-premises database increments when setting will simplify from 700 to 30 steps."
The first Oracle office was established in Romania more than 20 years ago (1995); with this, Oracle was the first major software company to have a direct presence in Romania.


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
Stefanini officially launches the office at Chisinau

IT solutions provider Stefanini announced it officially launched its office at Chisinau, in the presence of local representatives such as Sabin Gîrlea, Operations Director for Application Development division

 Read Full article »
Computaris Romania hiring over 30 engineers for Bucharest site

Computaris Romania has achieved its Q1 2017 plans to hire more than 30 software engineers, exceeding 100 people at its Bucharest site.

 Read Full article »
Zitec expands at Brasov and plans to hire 20 IT professionals by the end of this year

Romanian software company Zitec recently announced it has opened an office in the central city of Brasov, where it plans to hire 20 by the end of this year.

 Read Full article »
Ericsson and Skanska trial IoT for Smart Buildings

Skanska, the world leading project development and construction group, has initiated an Internet of Things (IoT) trial with Ericsson for Skanska Commercial Development Nordics.

 Read Full article »
Skanska started the workings at Campus 6, its newest project locally

The official ceremony joined local officials, such as Gabriel Mutu, mayor of bucharest's sixth district, Aurelia Luca, Country Manager Skanska Property România, Katarzyna Zawodna, Business Unit President Skans

 Read Full article »
Deloitte Romania: learning and career development, high up on the business and HR agenda

Driven by the frequent change of the professional competencies required to perform at work, lack of experienced candidates and employee's desire to develop professionally continuously, learning and career devel

 Read Full article »
Softelligence to hire 100 by end-2018

Romanian business software company Softelligence recently announced it plans to hire 100 developers by the end of next year in its software engineering office in Craiova.

 Read Full article »
Cosmin Pătlăgeanu, Marketing Manager, Luxoft România is the new president of ABSL

The Association of Business Service Leaders in Romania (ABSL) announces the naming of Cosmin Pătlăgeanu, Marketing Manager, Luxoft România as the organization's new president.

 Read Full article »
PIN MAP IASI: The first business map of Iasi is launched

After a team effort of over half a hear, the team of The PIN Map project announced it is launching the first map of the offices in Iasi - PIN Map Iasi (www.pinmapiasi.ro), within a press conference hosted by Ia

 Read Full article »
UiPath Automation Academy RPA-certified 500 users in April

One year ago, UiPath offered RPA free for individual users, education projects and small to medium businesses. UiPath Community Edition has been a great success, and their Community Forum now hosts a growing nu

 Read Full article »
 
MOST RECENT VIDEO
 
 
MOST READ ARTICLES
» PIN MAP IASI: The first business map o...
» Softelligence to hire 100 by end-2018
» Cosmin Pătlăgeanu, Marketing Manager...
» A look ahead: How artificial intellige...
» Deloitte Romania: learning and career ...
» UiPath Automation Academy RPA-certifie...
» SoftOne Romania becomes operational hu...
» Romanian Outsourcing Awards for Excell...
» Romanian Outsourcing Awards for Excell...
» Alten opens a delivery center in Iasi
 
EDITOR CHOICE
TELUS International Europe: Three ways travel and hospitality contact centers can localize the customer experience

Flight delays. Booking or check-in problems. Regional, cultural and linguistic differences. The travel and hospitality business can be a perfect storm for contact centers offering both added challenges and uniq

 Read Full article »
Romanian Outsourcing Awards for Excellence 2017 applauds its Winners!

Outsourcing Today, the integrated communication platform of the business services sector and The Diplomat – Bucharest is honored to praise its winners awarded at The Third Edition of Romanian Outsourcing Awar

 Read Full article »
Romanian Outsourcing Awards for Excellence 2017 - Finalists Announcement

Outsourcing Today, the integrated communication platform of the business services sector and The Diplomat – Bucharest, present the Third Edition of Romanian Outsourcing Awards for Excellence, on May 11, 2017

 Read Full article »
TELUS International Europe: Turning a satisfied customer into a loyal customer – Q&A with a hospitality expert

Leonardo Inghilleri literally wrote the book on customer service in the hospitality industry - and an international bestseller at that.

 Read Full article »
Romanian Outsourcing Awards for Excellence designates the industry winners on May 11

Outsourcing Today, the integrated communication platform of the business services sector, presents the Third Edition of the annual Romanian

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