CASE STUDIES FROM AFRICA

Table 3: Information Technology and Business Process Outsourcing
1. Information Technology Services (Computer and Related Services)
Software development and implementation services, data processing and database services, ICT support services,
application development & maintenance, business intelligence & data warehousing, content management, e-procurement
and B2B marketplaces, enterprise security, package implementation, system integration, SCM, enterprise application
integration, total infrastructure outsourcing, web services (e.g., Internet content preparation), hosting of web and
application service providers (ASPs)
2. Business Process Outsourcing
Customer
Interaction
Services
Back-Office
Operations
More Services—
Independent
Professionals or
Businesses
Sales support, membership management, claims, reservations for airlines and hotels, subscription
renewal, customer services helpline, handling credit and billing problems, etc.
Telemarketing and marketing research services
Data entry and handling, data processing and database services, medical transcription, payment
services, financial processing (financial information and data processing/handling), human resource
processing services, payroll services, warehousing, logistics, inventory, supply chain services,
ticketing, insurance claims adjudication, mortgage processing
Human resource services (hiring, benefit planning and payroll, etc.), finance & accounting services
(including auditing, bookkeeping, taxation services), marketing services, product design and
development
Source: Mattoo and Wunsch (2004). This list of activities is not comprehensive and categories do not exclude each other.
Overview of the Evolution of the BPO and ITS Industries
Historical Evolution
Policies targeting the domestic ICT ecosystem in Senegal played a significant role in underpinning
the success of BPO and ITS. To simplify, the ecosystem consists of four distinct layers. Furthest
downstream is the layer of end users (Layer 1), followed by the layer of network operators (Layer
2), the layer of service platform suppliers and intermediaries (Layer 3), and finally, the layer of
content providers (Layer 4). What are the factors that have influenced the evolution of these layers
in Senegal?
Layer 1 includes end users whose devices and terminals (transmission equipment, switches, routers
and servers, landline, mobile, desktop/laptop, software, MP3 players, digital cameras, and
televisions) allow access to basic services offered by network operators or value-added services
(VAS) offered by VAS providers (VASPs). In the third quarter of 2013, the penetration rates in
Senegal were as follows: 2.6% for fixed telephony, 93.8% for mobile telephony, 12 and 10.5% for the
Internet. 13 Key factors characterising the development of this layer include: (a) the Ninth
Orientation Plan for Economic and Social Development (1996–2001), which recommended the
elimination or reduction of tariffs and taxes on ICT; (b) the establishment of two associations to
lobby the government to promote enhanced access to the Internet and its scope of applications—
OSIRIS on March 28, 1998, and ISOC-Senegal on February 29, 1999; (c) the final decision in 1999 to
lower tariffs on computer imports from 26% to 5% 14 ; and (d) a complete liberalisation of the sale of
terminals (see Annex 4b).
12
This rate was at 10% at the beginning of 2005.
13
ARTP, 2013.
14
During the final validation workshop for this study, it was uncovered that Senegal had recently implemented the
ECOWAS CET. As a result, the tariffs on computer equipment were increased to the 18% mandated under the CET.
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