South African Trade and Industry Minister Rob Davies was likely to launch a revised Business Process Services Incentive in London intended at attracting investments and create employment in South Africa through off-shoring
activities, his office has said.
Known as re-shoring, as opposed to off-shoring
, the trend will boost jobs.
The jobs targeted for off-shoring
involve administration of the pension funds of high net worth individuals, the report said.
These are among the findings of the sixth annual study on corporations' off-shoring
trends by Duke University's Fuqua School of Business and The Conference Board, an independent research association.
For the past ten years it has been assumed that off-shoring
IT software development to supposedly cheaper locations such as India or Asia makes good business sense.
40 percent believed that the main issue with off-shoring
is a lack of business knowledge.
For purposes of this study, off-shoring
is defined as the procurement of services by CPA (certified public accounting) firms outside the United States through electronic media.
They document that, thanks to globalization, employment has actually increased in the last 20 years and that off-shoring
accounts for a tiny portion of unemployment in Europe.
In the past, off-shoring
has been primarily concentrating on lower-value added service jobs, such as call-centers or the compilation and maintenance of databases.
Abstract: This paper deals with analysis of several European countries in respect to off-shoring
of production by their manufacturing companies.
NTL and Peugeot have also announced off-shoring
A recent study revealed more than 60 percent of Fortune 1000 corporations are off-shoring
to India, either directly or indirectly, further strengthening its position among the top five fastest growing economies in the world.