7. European Outsourcing Trends
• While cost reduction is still an important factor focus is moving more and more
towards an overall context for business
• Outsourcing is approaching commodity status
• Companies are looking for value based pricing rather than lowest possible price
• Growing Information Security Concern (GDPR)
• Social Responsibility and Impact of outsourcing
• Multi-Sourcing – a combination of proffesional services, mission critical support,
remote management and hosting management that are offered to customers
• Combination of dedicated and shared cloud services
• Increased focus on automation rather than low labor rates (DevOps)
……… more than 35% of all IT Services are now outsourced!
SC
8. Global Service Location Index The country has moved
up 17 positions in the
GSLI, as currency
depreciation led to a
major gain in its
compensation cost score,
accompanied by
improvement in the
competitiveness of its tax
and regulatory costs. The
increase in political risk is
partly o set by the
government’s
implementation of
reforms that boosted the
country’s
competitiveness.
SC
19. Summary
• European outsourcing market is growing
• Nearshore outourcing growing faster than offshore
• Ukraine is well positioned – Business environment concerns
• Focus on Information Security is increasing
• Automation is reducing need for Human Resources
• Testing and Engineering Services are fast growing areas
• Focus on Value Based pricing
SC…… and consider a legal entity in Denmark (EU)