Local BPO sector to continue growing – Davies
Trade and Industry Minister Dr Rob Davies expects the growth potential of the local business process outsourcing (BPO) industry to continue increasing over the next five years, particularly in contact centre, shared services centre and legal process outsourcing.
He added that the BPO sector was one of the Department of Trade and Industry’s (DTI’s) priority sectors, which attracted investment from English speaking markets, particularly the UK.
“This [industry] has resulted in much-needed job creation for the youth of South Africa,” he said, adding that the DTI had, since 2011, disbursed R820-million in incentives, creating over 16 476 jobs.
On Monday, Davies congratulated the local BPO industry for being nominated for the 2015 National Outsourcing Association (NOA) UK Offshoring Destination of the Year awards, held in the UK last week, noting that the offshore BPO sector continued to expand, attracting international investment, as well as international brands such and Vodafone, NPower and Shopdirect.
South Africa was shortlisted alongside Bulgaria, Slovakia and Sri Lanka; however, Bulgaria took top honours.
“In 2012, South Africa won the award and since then the country gained a number of new contracts, attracting the attention of large outsourcers and reinforcing its position as a credible challenger to the established offshore markets in Asia. This nomination confirms that the sector has matured and lived up to its promises of delivering a nearshore customer experience whilst reducing costs for companies’ offshoring.
“As more companies realise the quality of the work delivered from South Africa, cost savings and the potential to offshore complex processes, I expect to see continued growth,” he added.
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