The Infocomm Development Authority of Singapore (IDA) today announced it has set aside S$12 million over the next two years to develop the capabilities of Singapore's Business Process Outsourcing (BPO)1 industry, particularly in the provision of high-end BPO services.
Singapore, 02 December 2004 | For Immediate Release
IDA Develops Singapore BPO Capabilities & Launches World's First Quality Markfor Business Continuity/Disaster Recovery Services
The Infocomm Development Authority of Singapore (IDA) today announced it has set aside S$12 million over the next two years to develop the capabilities of Singapore's Business Process Outsourcing (BPO)1 industry, particularly in the provision of high-end BPO services.
The key strategies outlined in the plan include development of training programmes, where IDA will provide training support under existing manpower development schemes. Through these programmes, 1,000 infocomm professionals will be trained in BPO service provision by 2006. IDA will also assist companies in the innovation of their BPO service delivery and; promote R&D on outsourcing technologies. From these innovation efforts, IDA aims to help companies seed 20 projects worth more than S$10 million in two years.
In addition, IDA will help local companies certify their capabilities through establishment of code of practice for critical BPO activities to ensure quality of service provision. IDA revealed that Singapore's industry-led Business Continuity/Disaster Recovery (BC/DR) Working Group2 of the Information Technology Standards Committee (ITSC), has developed the world's first industry standard for BC/DR. The industry standard specifies stringent requirements that BC/DR service providers must possess so that they can provide a trusted operating environment and help companies secure and recover critical data in crisis. These requirements include stipulations for operating, monitoring, maintaining and up-keeping BC/DR services offered to clients. The industry standard serves to differentiate BC/DR service providers and provide guidance for end-user companies in choosing the best fit providers.
For meeting this standard, seven companies received certificates of achievement today from Dr. Balaji Sadasivan, Senior Minister of State for Information, Communications & The Arts and Health, at the 'Deliver Your Business, the Trusted Way' seminar, organised by the IDA. These companies include Hewlett Packard, IBM, NCS and Singapore Computer Systems for the BC/DR Service Provider category; and Equinix, SingTel and StarHub for the DR Facility category.
Seven companies received certificates of achievement from Dr. Balaji Sadasivan, Senior Minister of State for Information, Communications & The Arts and Health, for meeting the Business Continuity / Disaster Recovery standard.
By engaging a certified BC/DR service provider, assurance is provided to the end-user and frees the company to focus on its core competencies. This enhances the companys competitive advantage as it is able to achieve stringent Recovery Time Objective3, minimise business and data loss; and enjoy uninterrupted services. The certification also serves as a quality mark to inspire service providers to upgrade themselves to provide better services (See Annex A for quality mark logo).
The establishment of the BC/DR industry standard is a significant milestone to further cement Singapore's position as a trusted business hub. This places Singapore on a stronger footing to be a choice location and powerhouse for high-end BPO activities such as cash and securities settlement, treasury functions and project management. Financial Services is an example of Singapore's economic sectors that the IDA has identified for high-end BPO activities. This sector operates in a time-sensitive and highly secured environment, which requires specialised skill sets for daily operations. Backed by our strong telecoms infrastructure and ready pool of infocomm-skilled manpower, Singapore is well-equipped to provide outsourcing activities in niche areas. (See Annex B for infocomm facts and figures).
Speaking at the seminar, Dr. Balaji said that Singapore can leverage on its intrinsic strengths and competencies to differentiate itself as a value-added player in the BPO arena. He further added that a multi-agency4 plan championed by the IDA is developed to enable our local companies to plug into this global BPO market worth US$173 billion5 in 2008.
Commenting on the significance of the BC/DR industry standard and IDA's efforts to help local companies gain a slice of the BPO pie, Mrs. Tan Ching Yee, Chief Executive Officer of the IDA said, "The BC/DR industry standard instituted is timely and helps strengthen Singapore's position as a trusted business hub. With world-class quality service provision assured, this will further enhance BPO service delivery in Singapore."
INFOCOMM DEVELOPMENT AUTHORITY OF SINGAPORE
Notes to Editors:
1BPO includes both outsourcing and offshoring activities. Outsourcing refers to the contracting of activities that were previously performed within the firm to third party contractors or outsourcers outside the firm. Offshoring refers to the relocation of business functions and processes to an offshore location within or outside the firm.
2The BC/DR Working Group was established in October 2003, to develop and promote the adoption of the BC/DR Industry Standard. The Working Group consists of 17 companies representing different industry players in the BC/DR value chain and end-user organisations.
3Recovery Time Objective refers the period of time within which systems, applications, or functions must be recovered after a disaster event has occurred. For example, critical business functions must be restored within four hours upon occurrence of a disaster event. This includes time needed to determine and decide if the event which occurred is deemed to be a disaster.
4 The other agencies include Economic Development Board, Monetary Authority of Singapore, Workforce Development Authority and International Enterprise Singapore.
5Estimate on global BPO market in 2008 is from Gartner.
About Infocomm Development Authority of Singapore
The Infocomm Development Authority of Singapore (IDA) is committed to growing Singapore into a dynamic global infocomm hub. IDA uses an integrated approach to developing info-communications in Singapore. This involves nurturing a competitive telecoms market as well as a conducive business environment with programmes and schemes for both local and international companies. For more information, visit https://www.imda.gov.sg/.
For media clarification, please contact:
Ms Jennifer TOH
Corporate & Marketing Communication
Tel: +65 6211 0508
Fax: +65 6211 2227
Email: jennifer_toh@imda.gov.sg
Ms Angeline LOW
Corporate & Marketing Communication
Te: +65 6211 0917
Fax : +65 6211 2227
Email: angeline_low@imda.gov.sg
Annex A: BC/DR Quality Mark Logo
All certified BC/DR service providers will bear this quality mark logo issued by PSB Certification. PSB Certification is the Certification Body for this industry standard.
Annex B: Infocomm Facts & Figures
Strong Telecoms Infrastructure- Singapore, one of the most connected cities in Asia
- World class infrastructure backed by 26 terabits per second of high-speed submarine capacity
- International and regional telecoms connectivity to more than 100 countries
- Direct Internet connectivity to more than 30 countries
- Singapore, Asia's first Neutral Peering Point for GPRS roaming since 2003
- Singapore ranked lowest risk country in Asia Pacific. '2002 Country Risk (Political) Global survey by Business Economic Risk Intelligence and Institute for Management Development'.
- Singapore ranked top country in Asia for protection of intellectual property. '2002 & 2003 Global Competitiveness Report, World Economic Forum'.
- Singapore ranked 1st in Asia for best intellectual property rights protection. 'Political and Economic Risk Consultancy 2004 & Global Corruption Report 2003.
- Fully liberalised telecom market, with 32 facilities-based operators and more than 690 services-based operators, offering a wide range of services at different price levels
- Singapore's commercial rental rates are on par, if not lower, than major cities in India and China where BPO services are likely to be located
- Shorter timeframe to set-up businesses (E.g.: licence processing, setting-up of basic infrastructure)
- More than 55% of its 104,000 infocomm manpower has at least degree qualifications and another 25% have diploma qualifications. They are equipped with strong technical skills in existing and emerging technologies, and many of them have good domain knowledge in areas like financial services, transport and logistics
- Singapore ranked 5th out of more than 80 countries (after Finland, Netherlands, US, Sweden) for its quality of local IT training programme. 'The Global Information Technology Report, Readiness for the Networked World, 2002-2003, World Economic Forum'
- Singapore ranked 5th out of 29 countries (after Iceland, Austria, Israel, Finland) for its pool of readily available skilled labour. 'Institute for Management Development World Competitiveness Yearbook 2003'
.webp)