Local ICT industry players say SA`s relatively low ICT salaries give this country a strong competitive advantage over other outsourcing destinations around the world.
SA is currently rated sixth in a Merrill Lynch study on global outsourcing destinations, behind India, Ireland, Israel, Canada and The Philippines. However, the average yearly salary requirements of our IT professionals are around $22 000 - lower than those of Ireland and Canada, which are around $28 000 and $28 174 respectively.
"This means that if we are able to leverage on our outsourcing popularity we, as a country, could certainly rise in the rankings," says Org Geldenhuys, a director of Abacus Recruitment. "The bottom line is that our average IT salary is lower than in Ireland, so if the government and corporate SA are clever, the knock-on effects could be enormous."
A recent visit to the US by Alec Erwin, minister of trade and industry, to promote SA`s sustainability for the provision of back- and front-office functions to large companies, aimed at creating 100 000 new jobs by 2005.
"The South African IT industry has significant capacity to provide outsourcing services on a global basis, and has the advantage of a highly educated workforce and a First World infrastructure located in a time zone that is user-friendly for the major economic centres around the world," says Adrian Schofield, president of the Information Industry of SA, and chairman of the Savant steering committee.
"There have been strong expressions of interest from potential clients and some expansions of business that we are already doing.
"We are beginning to get momentum from industry cooperation in programmes like Savant and how we work together on developing the economic empowerment charter, all of which will develop our potential to compete in the global market," says Schofield.
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