investment readiness of jamaica for global ites marketspace

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Investment Readiness of Jamaica for IT Services Presenter: Silburn Clarke FRICS DBA Candidate, UWI, MSB Immediate Past President, Jamaica Computer Society UWI SALISES 50|50 Conference, August 20 th – 24 th , 2012, Jamaica Pegasus

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Enabling the Development of Human and Intellectual Capital in National Life through ICTs.A quick diagnostic of the IT-based services industry in Jamaica was conducted by a technical team comprising Silburn Clarke President Jamaica Computer Society and his JCS team and team from the World Bank. The Location Readiness Index (LRI) - a modeling tool developed by the World Bank in partnership with McKinsey & Co. was used for the study. LRI was designed to help countries identify existing gaps and weaknesses and allow policy makers to prioritize the areas that are more important for increasing the overall location attractiveness of a country. The six criteria are: (i) Talent Pool Availability; (ii) Cost Structure; (iii) Quality of Infrastructure; (iv) Key Risks; (v) Overall Environment; and (vi) Sector Maturity.

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Page 1: Investment Readiness of Jamaica for Global ITeS marketspace

Investment Readiness of Jamaica for IT Services Presenter: Silburn Clarke FRICS DBA Candidate, UWI, MSB

Immediate Past President, Jamaica Computer Society

UWI SALISES 50|50 Conference, August 20th – 24th, 2012, Jamaica Pegasus

Page 2: Investment Readiness of Jamaica for Global ITeS marketspace

Presentation Outline The Global IT Services Industry The LRI Diagnostic Tool Some Global LRI Ratings Jamaica’s LRI Assessment (..whither the role for Talent ?) LRI Enhancements Take Home Messages

Assessing LRI Jamaica

UWI SALISES 50|50 Conference, August 20th – 24th, 2012, Jamaica Pegasus

Page 3: Investment Readiness of Jamaica for Global ITeS marketspace

IT/ITES Business Lines

•Business & Financial Research

•Data Analytics

•Engineering •Application

•Customer interaction and support (inc. call centers)

•Data Entry

Data Processing

Voice Processing

Knowledge Services

IT Services

UWI SALISES 50|50 Conference, August 20th – 24th, 2012, Jamaica Pegasus

Presenter
Presentation Notes
- Calculations are also carried out separately for each of the four standard IT/ITES business lines: data processing, voice processing, knowledge services, and IT services. The IT services segment includes both IT services and research and development (R&D) services, while the other three business lines are in fact IT-enabled services. Each business line has its own requirements for employees. Data Processing requests basic skills for data entry. - Voice processing requires staff to have the necessary level of English language to be able to interact with customers at call centers. Knowledge services require knowledge processing skills to perform such tasks as business and financial research, animation, data analytics, legal process and patent research. The IT services segment includes IT services while the other three business lines are in fact IT-enabled services
Page 4: Investment Readiness of Jamaica for Global ITeS marketspace

UWI SALISES 50|50 Conference, August 20th – 24th, 2012, Jamaica Pegasus

Page 5: Investment Readiness of Jamaica for Global ITeS marketspace

Application Services

Application development and maintenance Application development Application development integration and testing Application maintenance System integration Analysis Design Development Integration and testing Package implementation IT infrastructure services Help desks Desktop support Data center services Mainframe support Network operations Consulting IT consulting Network consulting

Engineering Services

Manufacturing engineering Upstream product engineering - Concept design - Simulation - Design engineering Downstream product engineering - Computer-aided design, manufacture and engineering - Embedded software - Localization Plant and process engineering Software product development Product development System testing Porting1/variants Localization Maintenance and support Gaming

Business Process Services

Horizontal processes Customer interaction and support (including call centres) Human resource management Finance and administration Supply chain (procurement logistics management) Vertical processes Banking Insurance Travel Manufacturing Telecommunications Pharmaceuticals Other

Knowledge process outsourcing Business and financial research Animation Data analytics Legal process and patent research Other high-end processes

UWI SALISES 50|50 Conference, August 20th – 24th, 2012, Jamaica Pegasus

Page 6: Investment Readiness of Jamaica for Global ITeS marketspace

Talent

Cost

Infrastructure

Environment

Risk Profile

Market Maturity

Assessing National Strength and Weaknesses

DIMENSIONS

IT/ITES LRI DIAGNOSTIC TOOL

UWI SALISES 50|50 Conference, August 20th – 24th, 2012, Jamaica Pegasus

Presenter
Presentation Notes
- A Location Readiness Index (LRI) was developed as a modeling tool by McKinsey & Company for the World Bank and infoDev to help countries identify their areas of relative strengths and weaknesses in terms of IT and ITES, and thus direct their efforts to interventions that will have the greatest impact on their likelihood of success. The LRI is a diagnostic tool that measures a country’s strengths and weaknesses in six important categories: talent pool size and quality; cost; quality of infrastructure; environment; risk profile; and market maturity.
Page 7: Investment Readiness of Jamaica for Global ITeS marketspace

UWI SALISES 50|50 Conference, August 20th – 24th, 2012, Jamaica Pegasus

Page 8: Investment Readiness of Jamaica for Global ITeS marketspace

LRI Index Scores

UWI SALISES 50|50 Conference, August 20th – 24th, 2012, Jamaica Pegasus

Page 9: Investment Readiness of Jamaica for Global ITeS marketspace

UWI SALISES 50|50 Conference, August 20th – 24th, 2012, Jamaica Pegasus

Page 10: Investment Readiness of Jamaica for Global ITeS marketspace

Note that “Trainable” excludes the “Ready to Hires”

UWI SALISES 50|50 Conference, August 20th – 24th, 2012, Jamaica Pegasus

Page 11: Investment Readiness of Jamaica for Global ITeS marketspace

Note that “Trainable” excludes the “Ready to Hires”

UWI SALISES 50|50 Conference, August 20th – 24th, 2012, Jamaica Pegasus

Page 12: Investment Readiness of Jamaica for Global ITeS marketspace

Data Sources – LRI

Primary STATIN HEART-NTA PIOJ LIME JAMPRO JEF OUR JCS Norma Breakenridge, Chartered Surveyor Secondary UNCTAD, World Bank, IMF

Data Analysis : World Bank / Jamaica Computer Society Date: 2012

Assessing LRI Jamaica

UWI SALISES 50|50 Conference, August 20th – 24th, 2012, Jamaica Pegasus

Presenter
Presentation Notes
STATIN: Educational Assessments HEART/NTA: Education PIOJ: Science & Technology and Educational Chapters of ESSJ LIME: Telcoms Quality and Uptime Data JAMPRO: IT Sector Data JEF: Salary Levels Data OUR: Utility Infrastructure Data JCS: Talent Accessibility and Willingness estimates Breakenridge: Class A spaces and estimated demand growth
Page 13: Investment Readiness of Jamaica for Global ITeS marketspace

UWI SALISES 50|50 Conference, August 20th – 24th, 2012, Jamaica Pegasus

Page 14: Investment Readiness of Jamaica for Global ITeS marketspace

UWI SALISES 50|50 Conference, August 20th – 24th, 2012, Jamaica Pegasus

Page 15: Investment Readiness of Jamaica for Global ITeS marketspace

Note that “Trainable” on this slide means “Potential Talent Pool” and includes the Ready to Hires

UWI SALISES 50|50 Conference, August 20th – 24th, 2012, Jamaica Pegasus

Page 16: Investment Readiness of Jamaica for Global ITeS marketspace

Hofstede, 1965, “Cultures and Organizations: Software of the Mind”

Hofstede, 1991, “Cultures Consequences”

Kogut Singh, “Effect of National Culture on the Choice of Entry Mode”

PDI UAI IDV MAS

UWI SALISES 50|50 Conference, August 20th – 24th, 2012, Jamaica Pegasus

Page 17: Investment Readiness of Jamaica for Global ITeS marketspace

IT/ITES Business Lines

•Business & Financial Research

•Data Analytics

•Engineering •Application

•Customer interaction and support (inc. call centers)

•Data Entry

Data Processing

Voice Processing

Knowledge Services

IT Services

Present and Past

Future

UWI SALISES 50|50 Conference, August 20th – 24th, 2012, Jamaica Pegasus

Presenter
Presentation Notes
- Calculations are also carried out separately for each of the four standard IT/ITES business lines: data processing, voice processing, knowledge services, and IT services. The IT services segment includes both IT services and research and development (R&D) services, while the other three business lines are in fact IT-enabled services. Each business line has its own requirements for employees. Data Processing requests basic skills for data entry. - Voice processing requires staff to have the necessary level of English language to be able to interact with customers at call centers. Knowledge services require knowledge processing skills to perform such tasks as business and financial research, animation, data analytics, legal process and patent research. The IT services segment includes IT services while the other three business lines are in fact IT-enabled services
Page 18: Investment Readiness of Jamaica for Global ITeS marketspace

TAKE HOME MESSAGES

The dimension with the greatest potential for improving National Readiness for global IT Services is the Talent Factor

To drive participation in high value-added IT and ITES Services in the next 50 years, an urgent policy imperative must be major expansions in the creation of suitable Talent (quality and quantity)

The IT Services strategy for next 50 years should be refocused and redirected to rapidly ramping up the harvesting of benefits from the higher reaches of the global value chain. Re-examine the perpetual narrative on “low hanging fruits”

UWI SALISES 50|50 Conference, August 20th – 24th, 2012, Jamaica Pegasus

Presenter
Presentation Notes
1. We are often fed a
Page 19: Investment Readiness of Jamaica for Global ITeS marketspace

THE CONVERSATION silburn clarke [email protected]

UWI SALISES 50|50 Conference, August 20th – 24th, 2012, Jamaica Pegasus