10 Facts about Kosovo as Sourcing Destination for IT services
Top 10 Facts about Kosovo as Sourcing Destination for IT Services
In recent years, the growth in outsourcing has increased significantly due to the advancement in technology, competitive and faced paced business environment. Outsourcing has become one of the most important business and unstoppable trends, so what is outsourcing – putting simply, it’s hiring others to do your work rather do it in-house. In the past, outsourcing has been regarded mainly as a cost-saving tactic, but, in today’s highly connected world, outsourcing is seen as a major strategic tool that may power, the 21st-century global economy.
More and more, businesses are looking to outsource ITO (Information Technology Outsourcing) and BPO (Business Process Outsourcing) services to Southeast Europe. Some of the examples of outsourcing include IT services, manufacturing, software development, tax, accounting, booking, training, customer service, logistics, real estate, call centre, and human resource functions.
In this most important trend, Kosovo has emerged as one of the Europe’s top locations for global sourcing of IT services. According to the Global Sourcing Association (GSA) the Southeast Europe – Kosovo region has become an attractive location for sourcing/outsourcing due to the low cost of qualified staff and a large number of highly educated, bilingual and qualified IT professionals. Kosovo has the youngest population (53% of Kosovars being under 25) in the EU, a strategic time zone (CET), the Euro currency, low taxes attractive prices, cultural affinity and a free trade agreement with the EU and US.
So if you’re already using outsourcing – or strongly considering it – allow us the opportunity to show you what Kosovo can offer. Here are the top ten good reasons why to outsource to Kosovo:
#1: Highly Qualified Young Staff
It’s a fact; Kosovo has the youngest population in Europe, as much as 53% of Kosovars being under 25, who are well-educated, qualified IT (Cisco CCIE/Juniper JNCIE/ & Microsoft MSCE) people with strong English and German language skills. A study done by Blue Prism found that more than 60% of UK responders have had problems with an offshore centre representative from India for not being able to understand their accent which has posed a huge communication barrier to vendor customers.
#2: Strategic Location
Kosovo is strategically located in the heart of Europe making it one of the most attractive ITO/BPO destinations and the IT hub for outsourcing in Europe. According to the World Bank Group’s report Doing Business, Kosovo has been recognised as top ten reformer worldwide, now ranks 66 out of 189.
#3: Time Zone
Kosovo is closer than you think. Located in the UTC+01:00 – Central European Time Zone, 1 hour ahead of Greenwich Mean Time. It’s just less than 3 hours’ flight to London and less than 2 hours from Berlin. Staying in the same time zone, but you cannot get to Mumbai in less than 10 and at a much higher cost.
#4: Attractive Price
In Kosovo, you can get more for less. Recent studies show that companies in the US and the UK are turning to Southeast Europe, instead of India due a cheaper and more qualified labour force, which gives it a competitive edge to India, where rates are cheaper, but you can end up spending more time to overcome communication and cultural difficulties and getting your message across
#5: Culture Affinity
Kosovo has a closer cultural link to the Europe, helping companies to reduce some of the problems from working with companies with different cultural backgrounds. Managing people from different cultures and background can be a huge challenge which has prompted a number of US and European companies to turn away from places like India to nearshoring destinations such as SEE with which they share a number of traditions, customs and holidays. Kosovo has produced some of the best female pop stars: Rita Ora, Dua Lipa, Era Istrefi. Sports wise, Majlinda Kelmendi wins firsts Olympic Gold Medal in Rio. It has also produced some top footballers in Europe: Adnan Januzaj (Manchester United), Granit Xhaka (Arsenal) and Xherdan Shaqiri (Stoke City). Not only that, coffee shops in Kosovo serve the best macchiato in the world (Yahoo Travel, 2015).
#6: EU Compatible Legislation
Kosovo has reformed its legal system, making it completely compatible with EU legislation. All the laws are available in English. With simple and transparent tax system as well Euro as official currency makes easy to do business in Kosovo.
#7: Access to EU Market
Kosovo has signed the Stabilization and Association Agreement with EU. Kosovo is also a CEFTA member, giving free access to 520 million EU consumers and offer a better investment environment and steady relations with its counterparts.
#8: Mature ICT Market
With highest Internet penetration in Southeast Europe, Kosovo’s ICT market continues to grow and provide a great opportunity for IT outsourcing services for international companies.
#9: National IT Strategy
Kosovo’s government is committed to supporting ICT industry by providing consistent ICT –related legislation and framework. The Kosovo Association of Information and Communication Technology (STIKK), Capgemini, GIZ, and Innovation Centre Kosovo (ICK) other relevant stakeholders have come together to develop a national IT strategy to promote the ICT market in Kosovo.
#10: Increasing Numbers of ICT Graduates
Kosovo government ICT skills, an initiative is driving a significant increase in ICT graduates with multilingual and technology’s capabilities to export professional services. Moreover, the educational system has undergone the Bologna process in the area of European higher education, also both private and public, have recently gone through an accreditation process carried out by the British Council. Last but definitely not least, a group of students from Kosovo won the “Space Apps Challenge” contest held by NASA for 2015.
Outsourcing as one of the most important business trend and strategic option continues to grow. But, the destination for outsourcing services are changing, and new countries like Kosovo are emerging quickly. In the outcome-based economy, where companies are leveraging external capabilities and knowledge – why bother yourself, if another provider can do it faster, better and cheaper?
Outsourcing works – it really does! But it works to best effect when you do it right. Kosbit is a leading IT outsourcing company based in Southeast Europe, Kosovo. Kosbit works with companies like AT&T, IBM and Cisco, with over a decade of experience, providing a wide range of services, IT outsourcing services, global telecom solutions, system integration and software development services to reduce ICT costs, improve service delivery and enable business growth.
Our service gives you peace of mind… now using the NEW SOURCE of highly-qualified technicians from Southeast Europe instead of India!
“We speak your language!”