BANGKOK: Thailand’s outsourcing services sector has maintained its position globally, but it faces significant challenges and competition, the Bangkok Post reported, citing a study by consulting firm A.T.Kearney.
Although the country maintained its 7th place ranking on A.T.Kearney’s 2011 Global Services Location Index (GSLI), the report warned that ‘despite Thailand’s high ranking in the index, the country’s actual level of activity in the outsourcing industry pales in comparison to industry leaders India and the Philippines. Thailand’s potential has yet to be realised.’
Thailand’s high ranking on the GSLI index was attributed primarily to its lower level of compensation in comparison with other countries.
However Thailand ranked much lower than other countries in terms of skilled workers and the business environment as factors in capturing business from the outsourcing industry.
“The challenge for Thailand is to provide a more conducive environment to support the services industry such as a larger pool of talent and world class infrastructure,” the GSLI report said.
“The increasing use of English, which is the main language for global services transactions, will also help drive investment in this sector.”
Source: The Bangkok Post
