Latest News  

Colliers: The availability of workforce influences the outsourcing companies' demand for office spaces

The demand for office space for the BPO / SSC sector in four major CEE cities - Wroclaw, Lodz, Krakow and Sofia - accounted for 60 per cent of the total demand in the first semester, while in Bucharest this was one-quarter of the total.

2017-12-18 10:39:52

According to the latest Colliers International report, the whole phenomenon is the result of the influence of labor availability and good technological knowledge of employees.

The ECE region has strengthened its global competitive position in terms of attracting BPO / SSC (business process outsourcing / business services outsourced) businesses thanks to its favorable business environment. At the same time, the expertise and skills of employees are more developed than a few years ago.

However, the number of candidates properly prepared for this sector is deficient. Currently, the largest proportion of IT specialists, according to ABSL statistics, are in Brno, Budapest (both 13%), Bratislava (12%) and Kosice (10%). Also, in cities like Bucharest or Worclaw, BPO / SSC companies recruit approximately 20% of the total number of students, this being the highest percentage of the area.
"Taking into account that the office stock in Bucharest will increase by 300,000 sqm in the next period, multinationals will have the advantage of choosing between many options of the best spaces but will also need employees to occupy them. Although in Romania the graduates are mainly oriented towards the services segment, the educational institutions do not produce enough candidates for this sector and sometimes they do not produce the right qualifications. At the same time, the unemployment rate for people with higher education is at the lowest level in the last 10 years, at about 2%. All these aspects will prove critical for attracting new players and expanding existing ones, "said George Didoiu, Associate Director of Office of Colliers International Romania.

The appetite of BPO / SSC companies for Romania is, however, still maintained by the low costs and the complexity of the services offered to customers.

"We have employees who deliver the highest degree of complexity in BPO / SSC. A recent Milken Institute report indicates that the Northwest region is the first in the EU as a growth rate in hi-tech services over the period 2009-2014. Bucharest is also seen as having the highest concentration of such services in direct comparison with other major cities in the area. Increasing the complexity of these services led to an average hourly wage costs of 4 euros, 45% below Poland (6.2 euros) and 80% under Slovakia (7.2 euros). Together with the boomerang effect of Romanians working abroad in similar and returning roles, all these factors could lead to filling the gap created by the lack of labor availability, "George Didoiu explained.

In the CEE region, the BPO / SSC sector enjoys a strong presence despite the increasing location costs in recent years. A report by ABSL Poland shows that wages in the banking sector have increased about 40% in Warsaw and double-digit growth in other areas, especially for specialist positions.


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
A.T. Kearney: The widening impact of automation impact the business model of outsourcing

According to a recent article of A.T. Kearney and based on the findings of Global Services Location Index for 2017, the developing nations have long enjoyed the economic benefits of other countries' offshoring.

 Read Full article »
Freelancing – a solution to staff shortages for companies

According to Smartree Romania, a leading provider in Romania of outsourcing payroll services and personnel administration, freelancing has become more present among Romanians lately. Working with freelancers ca

 Read Full article »
Kaspersky Lab: Targeted attacks on radar for industrial organisations

Of the industrial companies that participated in the IT Security Risks Survey , every fourth has faced a variety of cyberattacks. Worryingly, one of the fastest growing types of threat among the multitude targe

 Read Full article »
E-commerce: Romanian companies sell online on their own, above EU average

A share of 16 percent of all enterprises located in the EU and employing at least 10 people received orders via a website or apps (web sales) in 2016, Eurostat reveals. At the same time, more than 8 in 10 enter

 Read Full article »
FAB LAB Iasi nominated at CEE Shared Services and Outsourcing Awards in Warsaw

Iasi city, in Eastern Romania, together with Conduent company and FAB LAB IASI project have been nominated at CEE Shared Services and Outsourcing Awards, to take place at Warsaw at the Hotel Intercontinental o

 Read Full article »
Endava and Velocity Partners announce merger to become truly global IT player

The merger between Velocity Partners, an innovative software development company with a strong presence in Latin America, and Endava, a global technology company with a sustained consistent growth and offices a

 Read Full article »
ACADEMY+PLUS: The partnership with private sector enables the forming of IT specialists meeting market demands

ACADEMY + PLUS, the free programming school, officially opened its activity in Bucharest. The inauguration takes place in partnership with the private sector and aims to train 140 IT specialists within the fram

 Read Full article »
Colliers: The availability of workforce influences the outsourcing companies' demand for office spaces

The demand for office space for the BPO / SSC sector in four major CEE cities - Wroclaw, Lodz, Krakow and Sofia - accounted for 60 per cent of the total demand in the first semester, while in Bucharest this was

 Read Full article »
Atos proposes to acquire Gemalto to create a global leader in cybersecurity, digital technologies and services

Atos. a global leader in digital transformation, announces that it has made a formal proposal to acquire Gemalto by way of a public offer for all of Gemalto issued and outstanding shares

 Read Full article »
Four companies represent Romania in Deloitte 2017 Technology Fast 500TM EMEA rankings

Trencadis, Tremend, APSISWARE and Qualitance represent Romania in this year's Deloitte's Technology Fast 500 rankings for Europe, the Middle East, and Africa (EMEA).

 Read Full article »
 
 
MOST READ ARTICLES
» ROMANIAN OUTSOURCING AWARDS FOR EXCELL...
» Romanian Outsourcing Awards for Excell...
» Molson Coors started to grow its busin...
» Romania's IT industry could grow at an...
» TELUS International: How customer serv...
» Capgemini to open new office at Suceav...
» ABB opens the first robotics training ...
» Comdata to buy four subsidiaries of Fr...
» Four companies represent Romania in De...
» Committed to growth
 
EDITOR CHOICE
TELUS International: Chatbots - The pros and cons of automated customer service

Learn what key factors to consider before introducing chatbots to your customer service strategy

 Read Full article »
Why AFI Tech Park is the best value for money office project in Bucharest(P)

Based on the insight that location is a strong criteria employees take into consideration when choosing their workplace, AFI Europe Romania is currently developing AFI Tech Park, the newest office destination i

 Read Full article »
Shifting the workplace perspective towards high-end added value

This month, OUTSOURCING TODAY organized The Workplace of the future in IT and Outsourcing at Caro Hotel Bucharest, a new concept event meant to connect fast-growing corporate tenants from IT and outsourcing ind

 Read Full article »
Andrei Romanescu, Managing Director of Veeam Romania: Outsourcing sector, a decade evolution

Since the early 2000s, this sector has grown at a significant rate (about 20-30% per year). The industry has evolved from focusing on cost and labour arbitrage to adding value – therefore the growth is not so

 Read Full article »
TELUS International Europe: Discover how successful smart-home providers deliver exceptional customer service

Key Takeaways

• Internet of Things (IoT) connected home devices are making the contact center and customer service more important than ever. • A friendly approach and positive attitude are import

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