Romania country outline

Why Romania needs to be on your outsourcing (BPO) list

Outsourcing

Romania’s reputation as an attractive outsourcing destination is on the rise. In fact, according to AT Kearney's Global Services Location Index, the country is ranked in the top 20 worldwide for outsourcing and is also in the top five for Europe.

Thanks to the country’s abundance of professional, multilingual, highly-skilled labor as well as its cultural proximity to Western Europe, the country has been climbing the ranks of preferred outsourcing hubs for European and North American companies in recent years. But let’s take a deeper look as to what makes Romania such a great BPO destination.

Why Romania?

A few quick reasons:

  • Geographical (1-2 hour flights) and cultural (business ethics) proximity to Western Europe facilitating close relationships with clients compared to offshore locations
  • Strong aptitude for multilingual skills
  • Knowledgeable and experienced IT workforce
  • Academic readiness to support talent pool continuity
  • EU member state, reducing legal and financial concerns
  • Political and economic stability

The right price-quality ratio

Although not the lowest cost destination, Romania’s very capable labor force combined, with its technical and soft skills proficiency, makes the country very cost competitive. Investors have even labeled Romania as an “outsourcing valley” for BPO, ITO, software development, research programs, knowledge process outsourcing operations, and shared services.

Large multilingual talent pool

The country’s sizable and multilingual labor force and student body are among the main lures for international companies looking to outsource their customer experience operations.

The labor force employed in Romania’s outsourcing sector has increased from 15,000 employees recorded in 2007 to over 125,000 employees currently working in the outsourcing industry. The industry employs 1.5% of Romania’s population and generates 4 billion euros in yearly revenue, according to the annual report of the Romanian Business Service Leaders’ Association (ABSL). Further, the number of Romanians working in the outsourcing sector is estimated to grow to 220,000 within the next five years.

The diverse linguistic profile also makes it especially attractive for organizations that have a global reach. Romanians are known internationally for their strong aptitude for speaking European languages; primarily English, followed by French, Italian, Spanish and German. It’s estimated that one in five Romanians speak multiple languages.

IT experience

When it comes to ITO, Romania has become a flourishing technology hub. The diverse linguistic profile makes it especially attractive for BPO operations that require interaction with customers, while the large pool of IT professionals ensures best-in-class ITO engagements. According to ABSL, 25% of employees in the outsourcing sector provide IT services with an estimated 15,000 students a year graduating from IT studies.

Additionally, more than 70% of the IT outsourcing industry is currently controlled by significant foreign investors, which gives Romania a considerable advantage when it comes to reliability of its labor market, according to the latest ANIS (Employers’ Association of the Software and Services Industry) report on the Software and IT industry in Romania.

Indeed, when it comes to ITO, Romania is first in Europe and sixth in the world, in terms of the number of certified IT specialists. There’s a pool of about 100,000 people in various IT-oriented profiles. The successful presence of global high-tech companies such as Microsoft, IBM, P&G, HP, Oracle, Wipro, S&T, Accenture, WNS, Intel, as well as Luxoft, Ubisoft and Amazon confirm Romania’s ITO experience and potential.

A preferred outsourcing hub

In summary, Romania holds its position as a home to more offshore and nearshore centers than any other Southeastern Europe country thanks to its cost-quality balance, flourishing technology hub, and abundance of professional, multilingual talent. If these impressive stats and studies are not enough, we welcome you to visit us for yourself!

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