In business, not every company has the tools, skillset and capacity to meet their customers’ expectations, there for to ensure that the gaps are filled, many organizations turn to outsourcing these services which is technically called Business Process Outsourcing (BPO).
The term BPO is a driving force in transforming Uganda’s digital economy, offering significant opportunities for its youthful population. In an episode of the Ugandan podcast brought by the Ministry of IT and National Guidance in collaboration with MultiChoice Uganda, Dr Amina Zawedde, Permanent Secretary of the Ministry of ICT and National Guidance and Hassan Saleh, Chief Executive Officer at MultiChoice Uganda shed light on the immense potential of BPO.
Dr. Zawedde defined BPO as a business which involves an entity performing a service or task for an organization or company, typically on a contract or part-time basis, without being a full-time employee. These include, a production team for a show or podcast being an outsourced function, call center services or help desks for telecom companies and banks, telemedicine and services within the FinTech or banking industry, among others. The core reason for outsourcing is to allow the primary entity to focus on other priorities.
In this discussion, Dr. Zawedde spoke to how Uganda is uniquely positioned to be a major BPO destination due to several factors, one being that Uganda has a young and educated population. Out of a 46 million population, over 70% are young, energetic, and educated people.
There is also a growing global demand, she further explained, that countries like Japan have one of the world’s oldest populations and need young people to work and ensure industries continue to thrive. BPO in this case allows Ugandans to work for foreign companies from their homes, earning revenue and contributing to Uganda’s GDP without having to migrate. “Ugandans speak very good English and the country’s equatorial time zone is favorable. It allows Ugandans to support the US, and other foreign countries because we effectively match time differences.”
“The Ministry of ICT is actively creating a database, the Business Process Outsourcing portal on its website (ic.go.ug), where young people can register their skill sets to be matched with companies seeking to recruit and hire. An initiative that has already led to successful matches with companies in Japan and an American firm, Helpware, which has hired over 600 Ugandans with a target of 5,000. To date, 50 companies have registered for BPO.” Dr. Zawedde added.
The government of Uganda through the Ministry of ICT & NG has also established the Digital Transformation Roadmap which is a 5-year strategy and a foundation for achieving Uganda’s digital vision by 2040. BPO thrives on the 5 key pillars of this roadmap which include; Digital infrastructure that involves expanding connectivity, data centers essential for BPO. Digital services that focus on digitizing government services and private sector operations. Cyber Security and Data Protection that heavily relies on security and data protection, particularly in sensitive areas like tele-medicine and online financial transactions. Digital skilling that involves basic, intermediate, and high-end skilling and innovation and entrepreneurship that fosters innovation such as the growth of homegrown content.
Businesses can only thrive in an enabling environment which the government has supported with a Business Process Outsourcing Policy. This policy provides progressive policies and guidelines for BPO to thrive, including incentives to attract international companies and encourage local registration.
On how the private sector engagement has played a role, Hassan Saleh, highlighted how MultiChoice is a key player in the digital economy and actively uses and contributes to the BPO space. He delves into how the brand outsources multiple functions, including one outbound and two inbound call centers, employing nearly 300 people.
Local content on platforms like Pearl Magic Prime are a massive BPO ecosystem. Multichoice relies on thousands of outsourced experts, camera crews, scriptwriters, directors, and producers to commission and deliver content, thereby investing heavily in the creative industry.
BPO also plays a vital role in enabling local content creation. “Digital enablement means creators no longer need to fly to Nairobi to pitch content, they can upload their work online. This has led to an abundance of content and the rise of new, great talent at events like the Uganda Film Festival.” Saleh explained.
The brand also employs BPO in other areas of the business, such as installations. Saleh highlighted that MultiChoice uses over 500 self-employed, certified professional installers, who are encouraged to form units/companies. This operates on an “Uber model,” which is directing the nearest qualified installer to a customer’s location for service, effectively outsourcing the installation and customer resolution service.
The government’s BPO push is also sustained through various strategic partnerships working with local associations like the Business Process Outsourcing Association of Uganda and the Private Sector Foundation. Development partners such as the Japan International Cooperation Agency (JICA) to connect local talent with Japanese companies through business matching. Establishing and partnering with innovation hubs in the private sector and universities to tap into and harness young talent.
The opportunities in BPO are vast, but the onus is on the individual to prepare. “You seek and you get,” says Hassan Saleh. Dr. Zawedde adds, “Opportunity meets the prepared.” Young people must prepare themselves to be ready for the immersive opportunities when they arrive.
