SA`s call centre industry could soon attract the "overflow" of customers from other countries such as India.
This emerged at the launch of the Web site for the newly-established ContactinGauteng (CIG) in Johannesburg last night. The site has been developed as an information source for foreign investors considering offshoring their contact centres to SA.
CIG, positioning itself as the official body for the call centre industry in Gauteng, is seeking to promote primarily SA, then Johannesburg, as a viable offshore call centre destination.
CIG CEO Keryn House highlighted studies that showed, based on a scenario-driven growth-forecast model, that at the present rate of global growth, demand will outstrip the supply from tier-one countries such as India, China and the Philippines, leaving SA in a position to capture the surplus.
A study commissioned by the City of Johannesburg (COJ), the ComMark Trust and the SA Foundation from McKinsey and Company found that if "decisive and co-ordinated action is taken soon, the business process outsourcing and offshoring (BPOO) sector could create between 65 000 and 100 000 jobs and attract between $90 million and $175 million in foreign direct investment by 2009".
The bulk of the demand growth forecast between the next three to five years will come from the US and UK ($50 billion to $60 billion by 2008), with Europe potentially adding at least $8 billion, the study said.
"Plans are under way to train 40 000 call centre agents annually in Johannesburg. SA has an indigenous call centre community of more than 410 sites - bigger than India, Scotland, Wales, Ireland, the Philippines, Italy or Spain. Some sites have up to 1 800 seats," according to CIG.
Local government buy-in
As part of the COJ`s Sector Support Programme, the Joburg Metro is seeking to increase the competitiveness of the BPOO sector by removing constraints and inefficiencies affecting the sector and attracting and retaining investment, said David Van Niekerk, COJ programme manager, Joburg 2030.
"It is the duty of government to create an environment which will enable industry growth. The COJ has accepted that the call centre industry offers the greatest opportunity for growth in our country," said councillor Parks Tau, finance, strategy and economic development, COJ mayoral committee.
"COJ must assume leadership and create the platform for broadband and from that basis, allow the BPOO industry to grow," said Tau.
He encouraged the CIG to take advantage of the opportunity provided by the collaboration between local government and industry to enhance public sector thinking and leverage public sector direction.
First port of call
"The CIG site will also promote collaboration (between government and industry and within the industry) and stop duplication," said Van Niekerk.
"BPOO is not a silver bullet, but is certainly a tool that will enable job growth and creation. This is why the CIG Web site is so important: in addition to providing investors and potential clients with a single source of information, it will brand SA internationally," said House.
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