Sri Lanka: A hidden gem for IT, BPO and knowledge services, says A.T. Kearney

A.T. Kearney, a well-acclaimed global management consultancy firm, was recently commissioned by ICT Agency of Sri Lanka (ICTA) to benchmark Sri Lanka as a destination for knowledge services exports.

Sri Lanka was ranked 21st in the Global Services Location Index, a measure utilised by AT Kearney and was regarded as an impressive status given the emphasis of the determinant on size of workforce and scale of IT/BPO industry, as opposed to giants such as India and China.

Sri Lanka’s current state was identified as a knowledge service hub focused on quality of skill base, infrastructure and business environment. The report can be found on the web at: (http://www.icta.l/icbp/Competitive_Benchmarking_Sri_Lanka_Knowledge_Services.pdf)

The findings of the exercise went on to state that “below the radar of most industry observers, however, a significant knowledge services industry has been developing in Sri Lanka. The first IT and BPO companies established operations in Sri Lanka as far back as the 1980s. Today more than 300 IT and BPO companies have operations in Sri Lanka, More than 60,000 people hold IT or BPO related jobs, and the sector generates more than $ 400 million in exports. Sri Lanka holds a significant position in the world today providing advanced services to global blue chip clients including Google, Lenovo, Microsoft, Nokia, JPMorgan, the London Stock Exchange, Santander Bank and Emirates Airlines.”

The report recognised JKCS as one of the highlights of Sri Lanka’s knowledge services industry for catering to some of the worlds’ top airlines with its IT talent. Incorporated in 1998 as the software subsidiary of Sri Lanka’s largest listed conglomerate, John Keells Group, JKCS’ expertise lies in the area of software engineering services, specialising in solutions to aviation and hospitality domains and IT resource outsourcing across the globe to leading corporations.

The report encapsulated the IT industry of the country and its contribution to the economy as a whole and its contribution to the global arena in many capacities. The specialty of Sri Lanka’s offering is that it did not merely limit itself to software development, call centres and transaction processing but spanned beyond by taking the lead in providing sophisticated services such as accounting services, financial analytics, offshore legal services, medical diagnostics and architectural requirements to many global clients.

Sri Lanka has a long standing reputation of exporting highly skilled human capital to the world to be employed in various professions; the advancement of knowledge service outsourcing in this capacity through the years has undoubtedly complemented that position further proving the capabilities of this wonder of Asia.

JKCS employees at work

Envisioning the future of the knowledge services industry of the country AT Kearney concluded with the note that Sri Lanka is in many ways, a hidden gem for outsourcing. It is uniquely positioned to offer companies highly skilled talent and a strong business environment at very competitive costs. Although costs are deemed to rise, Sri Lanka is believed to maintain its competitive advantage as a very favourable business environment.

Sri Lanka was recognised by AT Kearney as one of the safest, lowest risk, emerging markets both in terms of personal safety and business security. It is expected to become a major player in the IT, BPO and knowledge services industry in the next few years.

A.T. Kearney is a global management consulting firm that uses strategic insight, tailored solutions and a collaborative working style to help clients achieve sustainable results. Since 1926, the company has been trusted advisors on CEO-agenda issues to the world’s leading corporations across all major industries. A.T. Kearney’s offices are located in major business centres in 39 countries.

In 1998 JKCS was incorporated as the software subsidiary of Sri Lanka’s largest listed conglomerate – John Keells Group. During the past decade the company has specialized in providing services to the aviation industry.

JKCS has earned its wings by engineering core systems for some of the world’s biggest airlines. The customer portfolio includes Emirates Airlines, Qatar Airways, SAS, Air Arabia, Kingfisher Airlines and SriLankan. The systems offered by JKCS cover several aviation domains such as commercial, flight operations, ground handling, crew management, engineering and safety.

The company recently ventured into the hospitality industry as a means of re-defining its market space. A decade of aviation software expertise was put to use in developing a 100% web based hospitality suite ‘Zara HS,’ which enables a hotels to manage their entire business by leveraging on the latest e-technologies.

The company operates offices in Sri Lanka and the UK with a joint-venture in the UAE and has undertaken on-site engagements at multiple customer locations worldwide ranging from Asia, Middle East/Africa and Australasia to Europe, UK and Scandinavia.