Subscribe

IT service vendors eye African expansion

Admire Moyo
By Admire Moyo, ITWeb's news editor.
Johannesburg, 09 Feb 2012

On the back of the telecommunications boom in Africa, more IT service vendors are moving into the continent in search of new opportunities.

So says Brent Flint, services executive at Dimension Data MEA, who believes this trend is also driven by the maturation and growth of competition in the South African IT services market.

“This expansion is often on the back of clients' businesses expansion into the rest of Africa,” he explains. “More businesses are moving into Africa and require IT service providers that will help drive IT efficiency as a key strategic business enabler and also an engine of innovation.”

Flint explains that organisations are looking for infrastructure, desktop, database and application support, as these play a key role in enabling business.

“Without a large IT department or justification for big expenditure on technology, businesses are looking for solutions that will get the job done cost-effectively and simply, while delivering a rapid return on investment.”

However, Flint says there is a shortage of specific skills in the African IT services market, and this is resulting in companies not always being able to efficiently provide the IT services needed to enable business.

He adds that there is, therefore, a demand for IT service providers with experience and knowledge to enable business strategy, improve competitiveness, and drive business outcomes.

“Businesses are moving from 'out-tasking' discrete managed and professional services to a complete IT outsourcing solution.”

Garth Hayward, regional manager, Africa, at Kaseya, also cites skills shortage as one of the challenges besetting managed service providers in Africa.

“Finding and keeping good staff in the managed services industry is a challenge,” says Hayward. “There's also a perception by business that IT companies don't need to pay their staff.”

Hayward adds that the managed service providers are also finding it tough to craft value propositions that have relevance within their target markets.

Share