Forum on ICTs,Trade

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Forum on ICTs,Trade Economic Growth.
BUSINESS PROCESS OUTSOURCING ACTIVI
TIES IN GHANA Kofi Benning (MINIST
RY OF COMMUNICATIONS)

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CONTENT

• BPO Policy initiative ICT4AD
• Existing Situation
• Governments direction towards promoting
• BPOs
• Constraints and Challenges
• Way Forward
• Summary

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Introduction
The Government of Ghana foresees great
opportunities in the Business Processing
Outsourcing (BPO) sector, and hopes to capitalize
on attracting investments to create wealth and
generate employment.

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Policy initiative-ICT4AD

• Accelerated Development Policy (ICT4AD)
  developed
  
• The Policy identifies, 14 priority areas (the 14
  Pillars of the ICT4AD Policy)

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Policy initiative(ICT4AD)

• A few pillars have been recognized as
  facilitating and promoting Business Process
  Outsourcing(BPO)
  
• Developing a Globally Competitive Value-Added
  
  
• Services SectorA Regionally Business
  Service and
  
• ICT Hub
• Promoting Local and Foreign Direct Investment
  Drive
  
• in ICTs
• Developing an Export-Oriented ICT Product and
  
  
• Service delivery industry.
• Accelerated Human Resource Development
• Promoting ICTs in Education
• Facilitating Government Administration
• Facilitating the development of the Private
  Sector
  
• Modernization of Agriculture and the development
  of Agro Business
  
• Deployment and Spread of ICTs in the Community
• Promotion of National Health
• Rapid ICT and Enabling Physical Infrastructure
  Development
  

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Policy initiative(ICT4AD)

• Research and development
• Legal,Regulatory and Institutional Framework
• Facilitating national Security and Law and
  Order.
  

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Policy initiative(ICT4AD)

• The Ministry of Communication, in a
• collaborative effort with the Ministry of
  
  
• Trade, targets the Trade Policy for
  facilitating
  
• trade promotion.
• Under the wings of the Trade ministrys,key
• institutions
• - The Ghana Investment Promotion Centre
  (GIPC) and
  
• - The Ghana Free Zone Board (GFZB)

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Existing Situation on BPOs

• Affiliated Computer Systems(ACS).Main BPO
  incumbent.
  
• established in the year 2000. and employs
  over-2000
  
• people.
• Other existing
• - AQ Solutions
• - Mary Greenslade
• Yet to start
• - Platinum
• - ABM Links
• - Global Response

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Ghanas drive towards the promotion of BPO

• BPO has been estimated at US 120-150 billion and
  its estimated to grow more than 10 times from its
  current size of approx. US11.5billion.
  
• NASSCOM-McKinsey Report 2005
• Ghana ranked 22nd out of 40 preferred countries
  in
  
• Business Process Outsourcing in the
  A.T.Kearney
  
• Index.
• How does Ghana position its self to claim a
  stake in this market ?
  

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Ghanas drive towards the promotion of BPO

• The Ministry of Communications early this
• year, engaged the services of Hewitt
  Associates
  
• (India),a global leader in Outsourcing to
  conduct a study
  
• with the following objectives
• Analyze Ghanas ability to compete in the global
  
  
• economy in IT Enabled Services (ITES), such as
  
  
• Business Process Outsourcing.
• Identify the primary constraints to improving
  Ghanas
  
• competitiveness in ITES.
• Provide concrete actions for Ghana by
  identifying
  
• targeted ITES activities.

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Ghanas drive towards the promotion of BPO(cntd)

• BPO INITIATIVES
• INCUBATOR LABS/BPO TRAINING CENTRES
• Currently 100 persons are being trained at
  the Incubator center
  
• - Medical Transcription(50)
• - Data Entry Clerks(25)
• - Call Center Agents(25)
• TECHNOLGY PARK
• .Technology Park at the Free Zone Enclave
• . KNUST University
• . University of Ghana

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Ghanas drive towards the promotion of BPO(cntd)

• THE BPO SECETARIAT
• The Ministry of Communications hopes to put in
  place a Private Public Partnership model to
  attract would-be investors
  

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CONSTRAINTS/CHALLENGES TO BPO

• High Cost of Bandwidth
• -Cost of E1. 2003 - 12,000,
• 2004-7000
• 2005 - 5000
• Connectivity
• Teledensity 15
• Unavailability of needed skills
• Limited Training centres
• High cost of rented accommodation
• Low level of BPO companies,

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THE WAY FORWARD

• Coordinated approach to the BPO market.
• Lowering bandwidth cost to compete with foreign
  
  
• markets

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THE WAY FORWARD(contd)

• Hosting of major BPO conference,this year
• The first drafts of bills covering Electronic
  Transactions,
  
• Computer Crimes,Data Protection,Privacy and
  Security
  
• have been prepared and reviewed at Stakeholder
  
  
• Forums in the year 2005.
• Setting up of a National BPO Body.

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SUMMARY

• ICT4AD policy in place.
• Government of Ghana effective drive in
• promoting BPO.
• Faced with Challenges,but embarking
• on the way forward to ensure Ghanas
• readiness.

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• THANK YOU
• Website www.moc.gov.gh
• Email info_at_moc.gov.gh