Some of Malaysia's leading industry practitioners such as Multimedia Development Corporation [MDeC], PIKOM's Outsourcing Malaysia, Symantec Corporation, Dell, Hitachi Data Systems, Oracle Corporation, Brocade, The AIMS Group, Fujitsu, VMware, CA Technologies, EMC, Red Hat, Rakuten, Autodesk, Axis, DHL Express, Avaya, and the National ICT Industry Association of Malaysia, PIKOM, present their take, in random order, of 2013 as well as look ahead to 2014. The first part of this 'virtual roundtable' features other leading industry players.
A version of this feature, together with a companion feature Malaysia Budget 2014: ICT industry reactions, has been included in the January-February 2014 print edition of Computerworld Malaysia, which is available to subscribers.
Photo - David Wong, Chairman of Outsourcing Malaysia (OM), a chapter in PIKOM (National ICT Industry Association of Malaysia)
2013 has been a great year for the outsourcing industry in Malaysia. I'm happy to note that we are on track in achieving our targets for 2013 and thus achieving our 10.2 percent growth aim for overseas sales revenue for 2013.
Outsourcing Malaysia (OM) brought industry players together through various events, the biggest being IAOP's Asia Pacific Outsourcing Summit (APOS), which was held in Iskandar. This was the first of five summits OM will be organising in the region as part of our partnership with the International Association of Outsourcing Professionals (IAOP).
The Asian outsourcing industry is growing at break neck speed, thus it is necessary for us to organise events such as APOS that acts as a platform for discussion to address the key issues affecting the industry.
There continues to be a growing demand for outsourcing services that enables companies to cut down on time and money spent on non-core business processes.
OM also launched the much awaited research findings on the industry entitled 'Malaysia's Global Services Outlook' in order to equip the industry with an insight into the key positives and weakness of the Malaysian outsourcing industry. The research highlighted some of Malaysia's key differentiators that makes' Malaysia attractive to investors seeking to invest in Asia.
In 2013 we began setting a KPI on domestic sales revenue growth and this has been promising. Our annual Outsourcing Awards also celebrated the key players in the industry who made a mark in the past year.
While growth has been favourable, we continue to face our biggest hurdle in terms of lack of talent. With a smaller pool of graduates to choose from and competition from different tech sectors, there is a need to continue educating the workforce on the viability of the outsourcing industry as a career. In order to address this, OM has been actively partaking in career fairs and constantly talking about the attractiveness of the outsourcing industry as a career.
Furthermore there is a need for Malaysian companies to be more competitive and reach out to opportunities than being complacent with what they already have.
Outsourcing in 2014
The industry is headed towards 2014 on a positive note. However in order to remain competitive, the outsourcing players must look into the way they do business and be open to partnerships in order to create a whole package of services through co-creation. By working together to create one-stop solution partnership, they will be able to attract more customers who are looking for one vendor to deal with instead of having to work with multiple vendors.
Finding a niche and specialising in it will also be one of the key differentiators for Malaysian outsourcing players, given the size of an average Malaysian outsourcer is much smaller than population rich countries such as India and Philippines. Integration and niche business will be the key business drivers in 2014 and our players must be ready to move in these directions.
On our part, OM will assist our members in establishing a symbiotic partnership. We have a strong number of players that are each great in their respective fields. By working together, we create formidable vendor partnerships that are sought by enterprises.
We will also be organising a slew of events in 2014 and hope that more industry players will join us and benefit from these networking opportunities. 2014 will also see a string of strategic announcements and partnership that will be a necessary for the growth of the industry.
In 2014, we will continue to pursue an aggressive campaign towards rebranding the outsourcing industry as a viable career path for tech graduates as part of our efforts to retain and attract talent towards the outsourcing industry.