South African SoluGrowthputs the final touches to start operating its branch in Egypt

The South African company SoluGrowth will finish establishing its headquarters in Egypt soon before the end of this year, and will begin its actual activity early next year.

The company is currently working on finalizing its strategic plans in the Egyptian market.

According to Hany Moneim , the Country Head Egypt, the company intends to use Egypt as a base to provide its services to the company’s current international clients, as well as to attract new clients from the local and international markets.

Moneim explained during his interview with the Ta3heed newsletter that the company is developing an ambitious plan for the Egyptian market, which consists of employing more than 1,500 employees to provide high-value outsourcing services.

Moneim believes that Egypt has competitive advantages and exceptional capabilities in the outsourcing industry compared to the markets of India, the Philippines, and Eastern Europe, which is evident in the investment of many international companies in outsourcing services to the Egyptian market.

Egypt has exceptional capabilities that enhance its position as a global destination for the outsourcing industry

What are the features that make Egypt an investment opportunity for the outsourcing industry?

Egypt is a large and promising market, with many suitable incentives for the growth of the outsourcing industry.

Perhaps one of these incentives is the availability of a human worker capable of speaking different languages, as more than 600,000 people graduate annually from universities who can speak various languages.

There are human cadres available in Egypt who are capable of training and developing skills, and they are fluent in a number of languages, such as “English – German – Spanish – French.”

Another catalyst for the growth of the Egyptian market is that the added value provided by Egyptian market employees is the competitive cost compared to other markets.

But what are the challenges facing the Egyptian market?

Among the most prominent challenges facing not only the Egyptian market, but any destination for business and outsourcing services, are the turmoil, economic instability, and geopolitical changes, which I believe have had a positive impact on the Egyptian outsourcing sector as a result of the tendency of a large number of clients to diversify their service centers and move to Egypt as an alternative to countries in the East. Europe. Therefore, we hope that the conflict currently taking place in the Middle East region will not expand so that investments in sectors such as tourism and of course outsourcing in countries such as Jordan, Egypt, Lebanon and other surrounding countries will not be affected.

Also, one of the main challenges facing the industry is enhancing the positive mental image of Egypt and intensifying efforts to promote Egypt in foreign markets as a global destination for the outsourcing industry.

The truth is that the Information Technology Industry Development Authority (ITIDA) plays a strong role in marketing Egypt abroad, but we need more promotion of Egypt as a destination for this industry in new markets such as Russia and Latin America.

Tell us about SoluGrowth Company?

SoluGrowth was the outsourcing services arm of Deloitte South Africa, a subsidiary of Deloitte International, which is the largest global company in consulting of all kinds. SoluGrowth remained part of Deloitte for 15 years, before it was separated five years ago, to be transferred to… All outsourcing services provided by the parent company, Deloitte.

Currently, the company offers a wide range of outsourcing services, including “financial outsourcing services, accounts, payroll, HR, call centers, and technological solutions.”

We have many major clients in all parts of the world to whom we provide our services, including “MasterCard America – Nissan Africa” in addition to more than 220 other clients in various parts of the world.

We now have a presence around the world, in the United States of America, Australia, and Britain, in addition to our branch in Egypt, which will be opened within a few weeks.

What is your vision for the Egyptian market?

As we talked about, Egypt is an important and strong market, and we have several goals for our entry into the Egyptian market, perhaps the most important of which is the use of distinguished Egyptian human resources, which supports our plans to provide high-quality services as well as providing job opportunities for Egyptian youth.

We also aim to work on providing our services to our current and future customers through our branch in Egypt, as well as working to attract new customers from the Gulf market, the Egyptian market, Europe and USA through our marketing offices.

We also aim for the majority of our customers to be external customers, which will support an increase in industry exports and the entry of hard currency into the country.

We are currently in the process of developing an integrated strategy for the Egyptian market and international markets, especially the Arab Gulf region

Why did you choose the Egyptian market to expand into?

Before we made the decision to enter the Egyptian market, we conducted a study of several markets, including India, the Philippines, and some Eastern European countries, and these are the competitive countries in terms of prices for outsourcing services.

This study resulted in the competitiveness of the Egyptian market price compared to these markets, as a result of the quality of services provided in exchange for the price.

Competitive price was not the only reason we preferred the Egyptian market over other markets, as Egypt has a distinctive geographical location that allows it to provide its services easily and with high quality to European markets, as well as to Gulf markets.

What also supports our decision to go to the Egyptian market is the presence of a broad base of young people capable of speaking multiple languages with high quality, which is not available in Eastern European countries.

In addition, the Egyptian economy is achieving accelerated growth, which is a positive indicator that also supports our decision to be present in the Egyptian market, as well as the clear development of the technological infrastructure in Egypt.

When will the establishment of the company headquarters be completed?

We are currently in the final preparations for the company’s headquarters in Smart Village, and it is expected to be opened very soon.

Moneim: We target 1,500 seats in the first phase…and we focus on providing high-value services

What are your plans for the Egyptian market in terms of the number of seats and the quality of services provided?

We have an ambitious plan to provide our services through 1,500 employees over several years, through a building that has been equipped in the Maadi area at the current stage.

We also have sufficient flexibility to rapidly expand buildings if required by clients.

In terms of services, we do not aim to focus on “call center” communications services, but we want to provide services with high added value, such as information technology solutions, accounting system outsourcing and human resources, especially since human cadres in Egypt have high skills in these fields.

We also have plans to expand our centers in a number of governorates and cities outside Cairo, including Alexandria, due to the presence there of a large number of trained human cadres with limited jobs available.

We also include Assiut Governorate in our plans, especially in the technology zone, which is characterized by the presence of a large number of good skills, while facing a challenge related to the accent. Tanta is also one of the cities targeted for expansion.

What are the average employee turnover rates for the outsourcing industry?

The distinctive percentage usually ranges between 8 and 10%, but this depends on the work environment and the presence of distinguished managers who can deal with employees professionally, and in some companies it may exceed 20%.

Artificial intelligence has recently penetrated various aspects of life.. Can it replace the employee in the outsourcing industry?

Artificial intelligence (AI) is spreading and penetrating rapidly, and it is a frightening technology because its limits are unknown, but the human element remains the most important.

For example, the automated response feature has been around for years, but it was not a substitute for the employee, it is an auxiliary factor, and therefore I believe that until now artificial intelligence cannot replace humans in outsourcing services, but in the future no one guarantees the limits of the development of artificial intelligence.

Despite these advantages, Egypt’s ranking in the Kearney Index as a destination for the outsourcing industry declined. What is your explanation for that?

It is not clear to me the reason for the decline in the classification. The indicators about Egypt in this industry are positive. Egypt’s capabilities as a center for this industry are increasing, and the investments pumped by foreign companies are increasing. We see many international companies heading to Egypt in this industry, and therefore I do not find a logical reason for this decline. In the classification.

Are the prices for connecting circuits reasonable?

In the outsourcing industry, the human factor is the most important, as it represents about 80% of the cost. As for the cost of communications, it is competitive compared to Europe, and even if it increases, it will not have a significant impact on the cost.

Call centers are part of the outsourcing industry..but it has a bad mental image among many young people..How do you see that?

The call center job is not a job that young people can work in for the rest of their lives. It is only an entry point to the outsourcing industry, through which the employee acquires new skills to move within the company or another company to higher positions.

Call center services provide the employee with great skills, including the abilities of persuasion, negotiation, and problem solving, as well as sales, and thus are an entry point to the industry and advancement between positions.

There are many cadres responsible for managing major companies in Egypt who started as call center employees.

Usually, the call center employee must gain experience that supports him to move to higher positions after a year or two at most.