The business of people IN EGYPT outsourcing has become associated with the information and communications technology (ICT) sector. Maybe that is because this is one area where Egyptian companies have managed to excel and have thus built up a reputation. One of the examples is Xceed, an Egyptian company which has become a global provider of multi-lingual Business Process Outsourcing (BPO). Xceed was included by the International Association of Outsourcing Professionals (IAOP) in its Global Outsourcing 100 list for 2009. The list identifies the best outsourcing service providers across the globe. But despite the success of Xceed and other Egyptian companies, Michael Corbett Chairman and CEO of IAOP, says Egypt is just beginning to build brand awareness in the area of outsourcing and to look for areas where it can have a relative advantage such as language and culture. Corbett was speaking at a meeting organised by the ICT committee of the American Chamber of Commerce in Cairo (AmCham) and the International Association of Outsourcing Professionals (IAOP). But building awareness may prove difficult in these turbulent times. Speaking of the effect of the financial crisis on the industry, he said that the most difficult challenge for businesses now is the lack of clarity and inability to predict properly. "The level of uncertainty is high. It is influencing decision-making," he said. Addressing the topic of "Outsourcing and The Global Economy: Learnings from the 2009 Outsourcing World Summit", Corbett outlined the importance of outsourcing in creating opportunities for career advancement for people who would not otherwise have a good chance. He pointed out that to prevent the loss of business outsourcing businesses must seek to provide their clients with more efficient services at a lower cost. He lamented the fact that some companies faced by the financial crisis, may decline to outsource to protect their business. "If companies became protective of their business, we run the risk of taking the recession into a depression." Egypt and Italy bonding THREE memoranda of understanding (MoU) were signed this week between Egypt and Italy. The first MoU is a Plan of Action for 2009-2012 setting out activities designed to boost economic relations between the two countries. This MoU follows on a similar one signed in 2005 which helped relations between the two countries grow immensely. The trade exchange between the two countries doubled from 2.6 billion euros in 2005 to 5.1 billion euros in 2008. In addition, according to Egyptian Minister of Trade and Industry Rachid Mohamed Rachid, Italy is now the number one export destination for Egypt. It is among the largest five investors in Egypt and one of the top three exporters of tourism to Egypt. Under the plan, Rachid and Italy's Minister of Economic Development Minister Claudio Scajola commit to working together along with relevant institutions to provide the support needed to strengthen trade and investment relations. According to a ministry press release, "The Plan of Action will help facilitate joint ventures and initiatives to support the development of industrial districts as well as cooperation between Italian and Egyptian small-and-medium enterprises [SMEs]. It also identifies particular sectors of mutual priority including textiles, marble, leather and plastic. In line with the priorities identified within the Euro-Mediterranean Agreement, particular emphasis will be placed on cooperation in renewable energy, environmentally-friendly technologies, telecommunications, and infrastructural projects." To further boost this foundation, a summit is scheduled to take place in May, hosting Egyptian President Hosni Mubarak and Italian Prime Minister Silvio Berlusconi. A second MoU was signed between Egypt's ready-made garments (RMG) Export Council, the Egyptian Chamber of Textile Industries, and the Fashion and Design Centre (FDC) of Egypt, which is affiliated with Istituto di Moda Burgo in Milan, Italy. The MoU facilitates for the transfer of technical support and know-how from Italy to Egypt's textile and RMG industries. It also provides internship and training opportunities for students of the FDC within textile and RMG factories in Egypt, the provision of consultancy, and the exchange of information on new material, new specifications, and exchange of ideas. And a third MoU was also signed between the Ministry of Trade and Industry and Egypt's Plastic Technology Centre on one side, and the Italian Institute for Foreign Trade, and Italian Plastic and Rubber Processing Machinery and Moulds Manufacturers' Association (ASSOCOMAPLAST) on the other.
