Blogs

The A.T. Kearney report highlights the impact of automation to low-skilled jobs, especially in offshore, nearshore and onshore countries. The report also presents the list of 55 locations worldwide in term of providing IT outsourcing services.

According to the A.T. Kearney 2017 Global Services Location report, the traditional offshoring model is in danger as technologies are taking over much of business process outsourcing. Automation makes hundreds of thousands of low-skilled and repetitive jobs at risk. In the next five years, more than 1 million low-skilled people are at risk to loose their jobs in 4 countries: United States, Poland, India and the Philippine.

But the automation and technology results in new job creation. As automation must be closely managed, there is an increasing demand for jobs requiring skills to build, train, manage, troubleshoot, and enhance technologies. The report remarks that the employees have to move to higher-value positions instead of being let go. One new automation management position is created for every four positions at automation replaces.

In 2017, Vietnam moves into the top 10 from 11th place in the 2016 GSLI. This upward movement reflects the country’s growing popularity for BPO centers and Japan is the primary client of Vietnam’s BPO business.

Vietnam in Top 10 Global Services Location List

More information about the report can be found at: https://www.atkearney.com/digital-transformation/article?/a/the-widening-impact-of-automati-1