The 2007 A.T. Kearney Global Services Location Index

Posted by on Feb 18, 2008 in Business, South Africa

In my previous post I documented South Africa’s Ease of doing business rating. The A.T. Kearney Global Services Location Index (GSLI) compares 50 global offshore locations and it contains very interesting information about different offshore and nearshore locations. You can download the pdf here.  Quoted from the A.T.Kearney website:

Findings in the 2007 A.T. Kearney Global Services Location Index reveal that the relative cost advantage of the leading offshore destinations has declined almost universally. Nearly every country in the Index, even those that fell in the rankings, improved their absolute scores, thus confirming that competition among low-cost countries is intensifying. Increasingly, simply maintaining current performance levels is no longer sufficient for countries that want to attract (and retain) the fast-growing remote services business. In addition, this year’s findings suggest that while the wage advantage of offshore locations will continue for 20 or more years, this advantage will diminish as demand for skilled workers increases in offshore locations around the globe.   

In 2007 South Africa is ranked # 31 (moving up a few places since 2005), behind Ghana, Lithuania and Pakistan. Here is the top ten:

  1. India
  2. China
  3. Malaysia
  4. Thailand
  5. Brazil
  6. Indonesia
  7. Chile
  8. Phillipines
  9. Bulgaria
  10. Mexico.

Interesting reading. I don’t think anyone uses this for real decision making.

One Response to “The 2007 A.T. Kearney Global Services Location Index”

  1. I think people do consider this, may be decision makers don’t read this stuff but the people working behind them and who propose the solutions will definitely read it.

Leave a Reply