Outsourcing is a strategy by which an organization contracts out major functions to specialized service providers who ultimately become business partners. In some cases, outsourcing involves the transfer of employees from the company to the outsourcing company.
There are many reasons why an organization may choose to outsource certain functions, some of the common reasons are:
1- The main reason is reducing operating costs
2- Improving company focus
3- Freeing internal resources for other functions
4- increasing efficiency for time consuming functions
5- Sharing risks with a partner organization
So when it comes to choosing an outsourcing destination, Egypt is one of the best available options. Microsoft, IBM, Oracle, Vodafone, Orange, Intel, Wipro, SQS, and Teleperformance are just some of the leading multinationals who have selected Egypt as the location for their global service delivery centers. Egypt is home, for example, to one of only two Microsoft Innovation Centers worldwide focusing on research and development.
Why to outsource to Egypt?
Egypt has a population of 100 million of which 50% is below the age of 25. There is a graduates of 700,000 and 49% of the working population are in the services sector.
Egypt today has about 150,000 employees who are working in the sourcing sector, of which 70,000 serve overseas markets of different business sectors.
And as for language capabilities, they are high, Arabic as the mother tongue, and English is the business language that almost all graduates are fluent in. French is very strong as well, followed by German.
While Egypt has been known for its competitive costs compared to other outsourcing destinations, costs are now further more attractive with the currency devaluation in late 2016.
Egypt’s historic land is located between two seas that are Africa’s access to Europe and gate to Asia. It is the Arabic country with the largest population, where youth represents half of its population. More than half a million graduate annually, with a huge portion being multilingual IT and business process services related talent pool.
Egypt has won the Outsourcing Destination of the Year 2016 award, within the Global Outsourcing Association (GSA) European Awards, held in Sofia, Bulgaria.