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B2B outsourcing in the Middle East
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B2B outsourcing in the Middle East

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  • 1. B2B outsourcing in the Middle EastState of the market and how online B2B can help Narender Rayat Co-founding Partner www.idoyourjob.com Wednesday, September 29, 2010
  • 2. Outsourcing - Why?• Wikipedia.com defines outsourcing as the contracting out of a business function - commonly one previously performed in-house - to an external provider.• With outsourcing, you can –  Focus on your company’s core competencies.  Free resources for your true business goals.  Stop managing what you cannot do.  Have numerous cost-advantages.  Have lower infrastructure investments.
  • 3. Top 10 reasons companies outsource 55% 54% 38% 36% 25% 20% 18% 12% 12% 10% Improve Reduce and Free resources to Gain access to Resources not Accelerate re- Reduce time to Share risks Take advantage Function difficult company focus control operating manage core world class available engineering market of offshore to manage or out costs business capabilities internally benefits capabilities of controlNote: Numbers do not add up to 100% as respondents selected more than one answer
  • 4. State of the market• Recent turmoil in the financial services industry has intensified the search for new suppliers who are more cost effective and reliable• Long term expectation : Outsourcing in this industry will grow as : – buyers seek to reduce operating costs – avoid investments into new systems and capabilities – shift focus to more strategic activities, and – leverage their growing supply of skilled global resources
  • 5. Statistics• Global shift in outsourcing to emerging Markets: MENA emerging as key outsourcing centre Countries such as Morocco, Egypt, Jordan, Tunisia and UAE considered most desirable in Middle East due to educated workforce• Outsourcing spending in the Gulf - exceeded half a billion dollars in 2009 , up from $414 million of 2008 with IT topping the list.
  • 6. Statistics Global Outsourcing Statistics 22% 9% IT Human Resources11% 27% Sales & Marketing Finance Administrative 15% Others 16%
  • 7. How online B2B can help• Online outsourcing is a paradigm shift: idoyourjob.com aims to bridge a company’s out-house requirements with the company that provides them. Following a bidding system where clients post their projects and service providers bid on them.• Client Perspective: - Supplier search - Cold calling, prospecting, leads vs. freedom to choose. - Access to talents undefined by current demographics. - Access to qualified and peer recommended supplier database.• Service Provider / Supplier Perspective: - Opportunity to expand business horizons. - Playing field is leveled. - Access to qualified and peer recommended client database.
  • 8. Industries covered• Advertising, Marketing & PR• Business Consulting• Events Management• Finance, Audit & Accounting• Human Resources• Interior Design• Shipping, Transportation & Logistics• Training and Development• Travel services• Advocates & Legal• Contracting & Engineering• Facilities Management• Hospitality• Information Technology & Telecom• Printing• Services Rental• Translation, Writing, & Documentation
  • 9. Value proposition of online B2B• The end goal of online B2B is two fold: Have your own procurement department online. Acquire business leads as a service provider.
  • 10. Thank you!