Southeast European countries are becoming the next promising destination for business process outsourcing services. With the increase in global competition and the businesses striving to achieve this competitive edge, the firms are looking out for new and emerging destinations to outsource their services. Emerging economies provide them the opportunity to explore new and untapped resources that cannot be found anywhere else.
According to the reports, Bulgaria and Serbia are the leading countries in East European outsourcing markets. Balkan outsourcing market benefits the companies that want to outsource their process within the cultural space and own time zone. The outsourcing industry has benefitted the Asian markets on account of low cost and high quality services. The success of these markets has prompted the East European countries make their presence felt in the outsourcing market.
According to an analysis done by Colliers International and AT Kearney in 2009 and 2010, Bulgaria topped the position for emerging outsourcing markets among the 12 East European countries followed by the Czech Republic, Estonia, Hungary, Latvia, Lithuania, Poland, Romania, Russia, Serbia, Slovakia and Ukraine.
The Bulgaria outsourcing market volume is valued at 256.5 million Euros whereas Serbia market was valued at 159 million Euros last year.
What makes the Balkan countries attractive for outsourcing services?
It is Western Europe market that raised the popularity of Eastern Europe outsourcing markets by on-shoring.
- The companies of Western Europe prefer near shoring as it will help them keep their process closer to home and can partner with companies having same culture and speaking the same language.
- This is an alternative solution for the Western countries for outsourcing when considering the data security and protection. The legal system compliance of the outsourcing companies with European Union imparts better confidence to the Western companies outsourcing their service to east Europe region.
- Another driving force of the Balkan region is the multilingualism of the people which attracts the companies to outsource their business.
New Opportunities for the Balkan countries
As per the report many local service providers are awaiting for mergers and acquisitions by foreign companies. Global giants like Adobe Inc, Cisco systems, Microsoft, Eureka labs, iBan, Globi are utilizing the resources of the emerging market and in the future it is speculated that they may take over some local companies.
The availability of technical educated personnel and resources in these countries will pave the path for IT outsourcing boom in global outsourcing market.
Many service providers are rushing to capture the untapped resources of the region and to establish their footprint in Eastern Europe. Among them are the service providers from India who realized the need of establishing an on-shore center in Europe. They are increasingly finding it vital to expand their operations and to retain their existing European clients.
Promising BPO players of Balkan countries:
Some of the promising BPO players of Balkan countries are:
- GoalEurope: Provide research and consulting services and specializes in near shoring.
- Trizma: specializes in BPO and call center outsourcing.
- Mphasis: Provide specialized BPO services for leading companies.
Balkan countries are definitely moving up as a favorite bpo destination for global firms especially in Western Europe.