Tag: Location Strategy

Forward-looking Sourcing for 2024: Outsourcing, Location, and Pricing Strategies in APAC | Webinar

ON-DEMAND WEBINAR

Forward-looking Sourcing for 2024: Outsourcing, Location, and Pricing Strategies in APAC

Following a muted 2023, business leaders in the Asia-Pacific (APAC) region are cautiously optimistic about 2024. Within the current APAC sourcing market, as buyers prepare for the coming year, they are actively leveraging inventive commercial models, emerging location trends, and innovative pricing constructs to optimize the value they achieve from service providers.

In this on-demand webinar, Everest Group analysts will explore how APAC buyers can develop forward-looking sourcing strategies with the potential of advancing innovation in their outsourcing relationships and portfolios as value acceleration takes priority in 2024.

What questions will the on-demand webinar answer for the participants?

  • What are the top forward-looking strategies in APAC for outsourced services buyers for 2024?
  • What location strategies are sourcing leaders planning to adopt in 2024 to achieve increased value from their service provider portfolio?
  • What are the pricing trends and forecasts in APAC?
  • What are the new-age commercial models observed in the APAC market?
  • How should APAC-focused procurement leaders shape their contracting and negotiation strategies in 2024?

Who should attend?

  • CIOs, CTOs, CPOs, heads of procurement, and heads of outsourcing
  • Category managers
  • Indirect sourcing leaders
  • Buyers of outsourced services
  • Strategic sourcing leaders
  • IT and BPO department leaders
  • Supplier management leaders
  • GBS leaders managing IT and BPO outsourcing contracts
  • Price-to-win teams from service providers
  • Service Providers’ sales leaders and country heads
Ashutosh Dhoot
Bhanushee Malhotra
Ashish Sehdev
Mihir Sinha

Locations and Talent Strategy – Let’s Talk – Potential in the Philippines | LinkedIn Live

LinkedIn live

Locations and Talent Strategy – Let’s Talk – Potential in the Philippines

View the event on LinkedIn, which was delivered live on Wednesday, November 8, 2023.

Watch this LinkedIn Live event to hear from 🎙️ Jack Madrid, IBPAP President & CEO, and Jimit Arora, Everest Group Partner, for an enriching conversation exploring the true value proposition of the Philippines as a global services delivery destination.

Attendees gained insights into the location’s 💪 strengths, heard areas for improvement, and left with practical on-the-ground learnings and valuable recommendations for establishing a delivery center in the Philippines.

This LinkedIn Live, explored:

✅ The true value proposition – talent availability, financial attractiveness, operating environment, and more – of delivering global services from the Philippines 💰
✅ The government developments and incentives that impact the Philippines’ potential
✅ The challenges – skills availability, talent size, and more – that an organization will need to navigate if it is considering setting up a delivery center in the Philippines 🧠

Meet The Presenters

Arora Jimit B
Partner
Everest Group
Screenshot 2023 10 05 161707
President & CEO
IBPAP

Trends Shaping the Talent Market in 2024: How Enterprises Can Create a Competitive Edge | Webinar

ON-DEMAND WEBINAR

Trends Shaping the Talent Market in 2024: How Enterprises Can Create a Competitive Edge

Talent dynamics are an ever-changing phenomenon with varying demand-supply, the emergence of new technologies, and changing work cultures. However, enterprises can stay competitive in the talent market by harnessing value from the tech-powered revolution, including generative AI, the maturity of hybrid work models, the reshaping of employability through skills, and the prioritization of sustainability.

Watch this webinar as our expert analysts discuss trends likely to shape the talent market in 2024. The speakers will answer critical questions about the current state of the talent crisis and provide valuable insights and strategies to help organizations thrive in an environment where talent remains a pivotal factor for success.

What questions did the webinar answer for the participants?

  • Which demand segments will likely continue to face talent challenges in 2024, and how will the challenges impact organizations’ growth and innovation?
  • How is generative AI likely to shape the dynamics of talent demand and supply in 2024?
  • What roadmap should organizations follow to stay competitive and harness the latest tools and technologies to future-proof talent strategies?

Who should attend?

  • CIOs and CTOs
  • IT heads
  • Technical leaders
  • Technical recruiters
  • HR partners at tech firms
Bade Mihir
Senior Analyst
Khan Aamir Ashraf
Senior Analyst

Locations and Talent Strategy – Let’s Talk – Georgia: Europe’s Hidden Gem | LinkedIn Live

linkedin live

Locations and Talent Strategy – Let’s Talk – Georgia: Europe’s Hidden Gem

View the event on LinkedIn, which was delivered live on Thursday, September 7, 2023. 

Watch this LinkedIn Live session for in-depth coverage on offshoring services to Georgia and its potential as a global services delivery destination, including the region’s operating environment, the impact of its government policies, workforce capabilities, and financial viability to uncover the real value proposition for businesses seeking Georgia as a potential location. 🌍

📣 📣In this LinkedIn Live session, our analysts joined on-the-ground experts in Georgia from Girteka and Enterprise Georgia to discuss their experiences with delivery in the location. They’ll share what’s working well, what can be better, and learnings and recommendations for those already operating in the area or considering adding Georgia to their locations portfolio. 🤝📊

What questions does the event answer for participants?

  • ✅ What is the real value proposition of delivering global services from Georgia, including talent availability, financial attractiveness, and operating environment? 🌟
  • ✅ How do the government’s developments and incentives impact Georgia’s potential? 🏛️📈
  • ✅ What are some of the challenges, such as skills availability and talent size, that an organization will need to navigate if they are considering setting up a delivery center in Georgia? 🔍

Meet The Presenters

Locations and Talent Strategy – Let’s Talk – Destination Egypt | LinkedIn Live

lINKEDIN LIVE

Locations and Talent Strategy – Let’s Talk – Destination Egypt

View the event on LinkedIn, which was delivered live on Thursday, August 10, 2023. 

Watch this LinkedIn Live session as our team of locations experts explore Egypt as a potential global services delivery destination 🌐. They are  joined by on-the-ground experts in Egypt from _VOIS and PepsiCo, offering their firsthand experiences for global services in the area.

🗣️ Discover what’s working well and areas for improvement and gain valuable learnings and recommendations for those currently operating or considering adding Egypt to their locations portfolio.

What questions does the event answer for participants?

1️⃣ What is the true value proposition, including talent availability, financial attractiveness, and operating environment of delivering global services from Egypt?
2️⃣ How do upcoming developments, such as new capital and skill-building initiatives, impact Egypt’s potential?
3️⃣ What are some of the challenges, including macroeconomic, FX fluctuations, and skills availability, that an organization will need to navigate if they are considering setting up a delivery center in Egypt?

Meet The Presenters

Nagia El Haraki
Nagia El Haraki
PepsiCo Cairo Business Services Hub GM
Pepsico
Remy Kato
Ramy Kato
Head of Vodafone Intelligent Solutions _VOIS, Egypt Center & Global Care

Everest Group Talent Demand Growth Index | India IT Services | Blog

Welcome to our monthly India IT services talent demand index. We are excited to bring you this comprehensive analysis, powered by Talent Genius™, our AI-powered insights platform purpose-built to guide IT and Business Process Services location and workforce decisions. To gain a deeper understanding of the capabilities of Talent Genius and learn how to book a demo, watch this quick 2-minute video, Introducing Talent Genius™.

Monthly India IT services talent demand tracker

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Here is our in-depth analyses of the India IT services industry demand:

June 2023 update

The demand for IT services in India showed further recovery and grew by 15% compared to May 2023. For the first time in the last six months, demand also showed growth on a year-on-year basis (21% growth compared to June 2023). At a segment level, both IT ADM and IT infrastructure segments witnessed 14-month high demand levels in June 2023, with IT infra talent demand growing 40% on a year-on-year basis.

The growth trend, which started in May, is solidifying and was consistent across all cities, though the extent of recovery varied. Chennai saw a modest recovery, whereas Mumbai saw a significant spike in demand. We believe the demand surge in Mumbai may not be entirely due to net new demand but could be due to talent management/attrition challenges arising from the hybrid/in-office model and the need to back-fill resources.

The demand from service providers continues to grow, and we believe there is more focus on hiring laterals this year compared to the previous year, which saw a significant uptick in campus hiring. This increase could also be due to multiple large deals that are at play in the market and providers hiring in anticipation of winning large business in the medium term.

May 2023 update 

The demand for IT services in India showed a recovery in the month of May, growing by 34% compared to the previous month and staying flat compared to 2022. This spike compared to March and April could be attributed to buyers placing demand ahead of the summer in key onshore geographies, which tend to be slower from a business perspective. The increase in demand was consistent across both tier-1 and tier-2/3 cities; however, the recovery was much steeper for tier-1 cities (growing 14% YoY) compared to tier-2/3 cities (shrinking by 20% on a YoY basis). Among the tier-1 cities, all showed an uptick in demand; however, Pune set a demand record of a 17-month high. The service provider segment, while it showed recovery compared to the previous month, on a YoY basis, registered a 7% decline in demand. On similar lines, BFSI and technology & communications verticals continue to show a declining demand trend on a YoY basis. 

April 2023 update

The demand for IT services in India further shrunk by 17% in April, reaching a 16-month low, and declined by 29% on a year-on-year basis. The impact of the anticipated global economic slowdown is clearly visible in the latest demand trends. 

The declining trend is consistent across both tier-1 and tier-2/3 cities. Among tier-1 cities, Chennai, followed by Delhi-NCR, witnessed the highest decline. Tier-2 cities saw an even higher decline on a year-on-year basis at 32%. At this point, the demand for IT services talent in India is almost 50% of the demand in January 2022. However, this trend needs to be observed over a slightly longer period. If this trend continues for a few more months, the already reduced attrition numbers are likely to come down further. 

Being the first month of the new fiscal year for many leading India-heritage service providers, this indicates a not so good start to the year 2023-24, and declining talent demand is deeply correlated to reduced business growth.

March 2023 update

After five consecutive months of demand growth/stability, the demand for IT services in India dropped significantly (21%) in March and by 36% on a year-on-year basis. The declining trend in March was consistent across all tier-1 cities, though Mumbai witnessed the lowest decline among all tier-1 cities. 

The demand in tier-2/3 cities also reduced by 26% on a year-on-year basis. This overall declining trend is expected as Q1 2022 witnessed a significantly higher demand due to attrition and talent wars faced by the industry, and with the current economic environment, most companies are not in an expansion mode.  

Stay tuned for regular monthly updates as we monitor the landscape of the India IT services industry demand market. We’ll continue to provide the latest insights and trends, so you stay well-informed on locations and workforce developments.

Everest Group Launches ‘Talent Genius,’ an AI-powered Platform to Guide Workforce, Location Decisions for IT, Business Process Services

With Talent Genius from Everest Group, global organizations can build, monitor and optimize their location portfolio and talent hubs by staying on top of talent market dynamics.

 

DALLAS, Texas—April 3, 2023—Global organizations are constantly searching for talent locations that offer the right balance of cost savings, skills and risk profile, but they lack the credible, easily accessible data they need to make confident location and talent decisions. Everest Group is addressing that challenge today with the launch of Talent Genius™, its AI-powered cloud platform purpose-built to deliver critical location and talent insights for IT and business process (BP) services.

With Talent Genius, global organizations can build, monitor and optimize their location portfolio and talent hubs by staying on top of talent market dynamics. Talent Genius allows decision makers to interact with intuitive dashboards and visualizations to evaluate location attractiveness across economic and geopolitical risk, wage inflation, attrition, and talent supply and demand. Clients can monitor demand trends, talent hotspots, competitive intensity, and salary benchmarks for various roles and skills in the IT-BPS space.

***Learn more about Talent Genius***

“The global services market runs on the power of talent, so it’s critical that organizations make the right decisions when it comes to creating and optimizing their location and workforce strategies,” said Sakshi Garg, vice president at Everest Group. “That is why we are excited to expand our services portfolio with a new cutting-edge location and talent intelligence tool. With Talent Genius, at the click of a button our clients will have the highly contextualized, expert-vetted information they need to make those decisions—confidently. With our commitment to innovation and excellence, we are confident that this new offering will provide unparalleled value to our clients.”

Everest Group is the leading research firm in the global services space, with decades of experience in partnering with global IT-BP service organizations to provide location and talent insights to enable confident decisions. Talent Genius combines Everest Group’s proprietary datasets from years of research with ongoing talent market data to equip global services and IT-BP services industry leaders with powerful insights in an interactive, on-demand platform.

Talent Genius is a comprehensive membership that delivers on-demand insights through access to the Talent Genius platform, as well as guided expertise through access to Everest Group analysts. It also includes other deliverables, such as research reports. This unique combination of on-demand data and expert insights ensures organizations have the right level of support to make confident decisions in any scenario.

***Book a demo to explore how Talent Genius’ capabilities can provide value.***

About Everest Group
Everest Group is a leading research firm helping business leaders make confident decisions. We guide clients through today’s market challenges and strengthen their strategies by applying contextualized problem-solving to their unique situations. This drives maximized operational and financial performance and transformative experiences. Our deep expertise and tenacious research focused on technology, business processes, and engineering through the lenses of talent, sustainability, and sourcing delivers precise and action-oriented guidance. Find further details and in-depth content at www.everestgrp.com.

Locations and Talent Strategy – Let’s Talk: Nearshoring to Costa Rica

LINKEDIN LIVE

Locations and Talent Strategy – Let's Talk | Nearshoring to Costa Rica

View the event on LinkedIn, which was delivered live on Wednesday, January 25, 2023.

Over the last decade, IT-BP services delivery from Latin America (LATAM) experienced a major boost as the location became a sought-after nearshore destination for companies in the US and Canada 🌎. While time zones and cultural similarities have played a significant role in the increase, companies have also discovered lower costs, increased government support, and rising English proficiency📊.

📢In this LinkedIn Live recording, we do a deep dive into Costa Rica and explore the opportunities and challenges of services delivery in this market.

The speakers discuss:

✅ What is the value proposition of Costa Rica for global services delivery?
✅ What is the nature of the talent pool, and what skills are available?
✅ How much cost arbitrage does Costa Rica offer?
✅ What is the on-the-ground experience of players operating IT-BPO delivery centers in Costa Rica?

Africa: On the Frontier of IT-BP Services Delivery | Blog

In the last few years, for a number of reasons, there’s been a major uptick in global services delivery from Africa. The most significant driver of growth is Africa’s emergence as the next frontier for small-scale delivery centers. Another is strong government support that enables global services delivery. But there are a variety of other key forces that are making Africa a destination of choice for companies of all sizes, including some of the world’s biggest brands, such as Accenture, Daimler, Google, Microsoft, Standard Chartered, and Teleperformance.

There is less competition for talent in most locations in Africa compared to key offshore/nearshore talent hubs across leading geographies. Expansion into African cities helps organizations diversify their delivery location risk, as most locations have the ability to serve as Business Continuity Planning (BCP) locations to nearshore/offshore centers. Moving services to Africa also helps organizations differentiate themselves by capitalizing on early-mover advantage.

Other factors, such as an attractive talent-cost proposition, strong domestic demand across East and West African countries, and improving infrastructure capabilities (including rapid adoption of Work From Home (WFH) / remote working models), have improved the business case for new center set ups. For example, there’s been an increase in services maturity for delivery of key services across the region, including voice- and non-voice-based BPS services, IT services, and engineering/R&D delivery. And while most locations have low operating costs, ongoing currency depreciation and lower attrition costs across leading countries like Egypt and South Africa have helped bolster overall growth.

Trade-offs and risks

As market players prepare consider options for service delivery from Africa, they need to be cognizant of the key tradeoffs and associated risks for operating in the region, including:

  • At present, Africa is best suited to deliver transactional services. Companies seeking to support more specialized operations or judgement-intensive processes may find it difficult to operate, or they may find that they need to make substantial investments in the talent market
  • There’s a limited pool of experienced talent. Companies will need to invest in growing and developing talent locally, by training recent graduates and building a recruitment engine from the ground-up, among other options
  • The region poses potential challenges with delivery enablers (including utilities, transportation, meals/catering, and stationery providers), low quality office infrastructure, and comparatively poor connectivity to domestic/international locations
  • The business environment in East and West African countries is less favorable than nearshore Europe locations, including infrastructure quality, digital readiness, and safety and security
  • Given low talent availability, language support beyond English is limited and commands high premiums
  • The presence of key players supporting global services is limited in most African countries; the entry of a few large companies could easily congest the market and quickly increase costs

Most leveraged African countries for IT-BP delivery

Exhibit 2

Here’s a quick look at the top four global services delivery locations in Africa, by market size – largest to smallest.

#1 Egypt

Companies leverage Egypt as a hub location for multi-lingual delivery to the EMEA region, as well as delivery to the US, UK, and Australia markets. It offers an attractive cost and talent proposition to support to a wide range of functions – including voice- and non-voice business processes, IT application development and maintenance, and digital services – and high availability of talent to support English and some European languages. While it offers a favorable business environment, it has some geopolitical stability challenges.

#2 Morocco

Companies largely leverage Morocco as a spoke location for multi-lingual contact center and IT services delivery. It provides extensive support to the North Africa markets. While organizations extensively leverage Morocco to support IT services delivery, it also increasingly supports business process delivery as well, including sales, client support, HR, and F&A. French and Spanish language services continue to be in high demand, and are the most widely used for services delivery. The country offers a favorable business environment but has some geopolitical stability challenges.

#3 South Africa

Organizations continue to leverage South Africa as a global hub to support the UK, US, and Australia markets, and – in many cases – South Africa serves as a regional hub for Africa and Middle East countries. It offers an attractive talent proposition to support both transactional and judgement-intensive processes, including customer analytics, actuarial modelling, fund administration, HR, and procurement. IT services delivery has gained traction over the years, and the country boats a large talent pool to support English and multiple European languages. It has a favorable business and operating environment with no significant challenges.

#4 Mauritius

Organizations primarily use Mauritius as a spoke location to support French language delivery and a suite of services including IT services (application development, maintenance, infrastructure services), voice and non-voice transactional business processes (e.g., F&A, HR, and procurement), and analytics. French language talent availability continues to drive overall demand. The country is highly favorable from a business and operating environment standpoint and has no significant challenges.

While the global services market in Africa is relatively less mature than leading offshore geographies such as India and the Philippines, there is significant potential to tap into the domestic market across the top locations. Industry verticals including BFSI, telecommunications, and IT services continue to drive overall domestic demand. Further, with the strong government support, offshore advantage, growing talent pools, and infrastructure capabilities, several African countries offer a multi-pronged value proposition to enterprises seeking an IT-BP services delivery destination.

To learn more about the dynamics in the region, please read our recently published report Africa: Emerging IT-BP Delivery Force, which highlights the relative attractiveness and talent-cost proposition of key African locations to support global services delivery, based on our holistic and multi-faceted assessment across 10 key parameters parameters.

For more information on Africa as a global service delivery location, please contact us at [email protected] or [email protected].

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