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Why Romania.

Do you know why Romania is the perfect outsourcing location?

BlauIT / Why Romania

Why Romania

whyromania

Romania occupies the 13th place (2015) as per the “Global Services Location Index 2016” study in the outsourcing business services market. Our country has raised 5 positions in 2015 in comparison to the results of the previous year.

Romania is 1st in Europe and 6th in the world, in terms of number of certified IT specialists. There’s a pool of about 100,000 people in various IT-oriented profiles, with 42,000 considered highly qualified IT specialists. The successful presence of global high tech companies including Microsoft, IBM, P&G, HP, Oracle, Wipro, S&T, Accenture, WNS, Intel, as well as Luxoft, Ubisoft and Amazon confirm Romania’s ITO experience and potential (Telus International, Report, Romania: the new outsourcing valley of Europe., September 2015, page 6);

Romania currently has a number of 100.000 employees hired in the services market and as per the Association of Business Service Leaders, there is a huge potential of growing up to 150.000 employees in the next 2-3 years.

In 2014 Romania has been proudly represented at the Informatics Olympics where the team won one gold medal and 3 silver medals in a competition where 11 countries were present.

Back in 2001, when the first investments in the services industry have been made, Romania had a total number of 100 employees in these businesses. Based on the quality of the service delivered by Romanian Employees and the fact that our country builds students that can occupy such job positions, we have seen a significant grow over the last 14 years, reaching a total number of 80.000 employees in this industry.

The Association of Business Service Leaders considers that the real potential of the Romanian Services Industry is at around 300.000 employees in this sector.

The IT & C sector has been proudly named the sector with zero unemployment and this achievement is mainly due to the great quality of the talent pool, high numbers of IT graduates, the expansion of current companies and the birth of many start-ups 2015 (Source: Brainspotting, Report, IT&C Talent Map Romania, 2015, URL: https://www.brainspotting.ro/talent-map/ , page 4);

In 2014, the employees of the Services Industry were representing 1,9% of the active Romanian population contributing with 1,4% to the gross domestic product.

Following another study conducted by KPMG for ABSL, it is forecasted that the industry will grow with at least 60% in terms of employees until 2017.

The study conducted by KPMG included the 29 most important companies in the services market that are having activity in Romania and concluded that 25% of the current services industry employees are IT Professionals, 50% business and financial services and the rest performing other outsourcing activities. Below a chart including all the services offered by the Romanian Market:

The companies included in the KPMG study have a total of 18.000 employees, 90% of them being university graduates. Around 12% of the employees are hired in Timisoara, Iasi, Brasov and Craiova. Because of the number of professionals offered by the Universities in Timisoara and the language skills that the individuals possess (mostly German), the West Romanian City is an attraction for the services market which has a huge potential to grow on short, medium and long-term plan in this area of business. Timisoara is one of the best developed areas in Romania with official unemployment figures close to the ones before the crisis. Below a chart showing the total outsourcing offices in Romania:

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Another important aspect of what makes Romania a perfect destination for outsourcing services are the Universities, as said before, that are building annually professionals ready to be hired in the market:

  • Almost 100 universities (24 with studies in foreign languages English, French, German)
  • 1 university for 100,000 inhabitants
  • Over 300,000 graduates every year
  • 50,000 economic sciences graduate every year
  • 10,000 IT professionals every year; 30,000 with engineering

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