It’s been a little while since Intelligent Sourcing reported on a territory staking its claim as a location for outsourcing or in this instance shared services – but a new report from Alexander Mann Solutions (click here for the full press release) identifies Beijing as one such place.
This isn’t a massive surprise as the largest conurbation in China was bound to be a contender. Beijing came out on top in the company’s research thanks to its highly developed infrastructure, large digital workforce and strong talent pipelines when compared to other hubs such as Manila, Philippines and Hyderabad, India, the report says.
Over 75,000 SSCs are expected to be established globally by 2022, representing a 30% increase since 2015, as firms seek to increase global reach and reduce costs.
Laurie Padua, Managing Director at Talent Collective, the consulting division of Alexander Mann Solutions, said: “With typical download speeds of 88.6MB, 109 educational establishments located in the city, and a rising number of international students leading to the development of its language capability, it is unsurprising that Beijing has come out on top. As an industry with higher than average attrition rates, access to a wide talent pool is a critical element in location strategies for global shared service operations.”
The area’s leadership is only likely to increase as automation (and therefore the need for bandwidth) grows in importance.