SUBMARINE CABLE IN BANGLADESH PROSPECTS AND POSSIBILITIES IN INFORMATION TECHNOLOGY ENABLED SERVICES (ITES) SECTOR

INTRODUCTIONResearch project on Submarine Cable In Bangladesh Prospects And Possibilities In Information Technology Enabled Services (ITES) Sector Information from relevent sourcesExtensive Interviews for carrying out the the ResearchAnalysis of collected data to prepare recommendations on the field of Information Technology Enabled Services (ITES) Sector

BACKGROUND STUDY

The rapid development in the ICT has ushered in paperless office virtually practiced, even at thousand km apart

Outsourcing has made the whole world a common office

The whole hype of virtual office, e-commerce, tele-medicine, outsourcing etc and a plethora of similar words have been triggered and made possible by submarine communication cables

A submarine cable is a cable laid beneath the sea to carry telecommunications between continents

BACKGROUND STUDY

Bangladesh agreed to be a partner of the South East Asia-Middle East-West Europe (SEA-ME-WE)-4 consortium in 2004 and is logged on to the cable since June 2006

IT services and ITES, commonly known as IT/ITES, are branches of ICT, devoid of the telecommunication sector

IT Services typically include IT applications and engineering services, while ITES include a wide range of services delivered over electronic networks

In this presentation we shall use the term ITES generic to refer both IT and ITES sectors

PROJECT OBJECTIVE AND SCOPEThe primary objective is to make out the prospects of Information Technology Enabled Services sector in BangladeshIt will also make an overview of the current state of Information and Communication Technology infrastructure in Bangladesh The Scope is to analyze the current ITES business trends Identifies impediments to ITES growth.Finally venture on the economic prospects offered by ITES

The study is based on both primary and secondary research. Data required for the primary research will be collected through the interview techniques A number of interviews will be carried out using questionnaires A case study will also be conducted on a local ITES firm Newspapers, magazines, reports and internet sources will be extensively used as secondary research material PROPOSED METHODOLGY

PROPOSED WORK PROGRAM

Primarily the prevailing ICT infrastructures, labour force and the favorable government policy support initiatives for ITES will be studied

Secondly the study will make an overview of the current state of the ITES business trends in Bangladesh, measures the reach of local companies in international and domestic markets and also identifies the impediments to the growth of the potential sector

Finally it will discuss the economic prospect of the ITES sector by analyzing the global market trends and identifies the ITES sector status of few neighboring

PROJECT ORGANIZATION AND STAFFING

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Documentation controlar

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TIMING AND COST

TIMING - Since it is a simulated research module and considering time constraints in submission of the paper, we would require 30 days from the date of acceptance COSTS - Considering the realistic study the project may require $ 1000.Since its a staged research, requires no cost

SUMMARY OF PROJECT DELIVERABLESThree copies of draft reportEight copies of final reportSoft copy of the report and data base in CDLibrary of literatures consultedFilled in and blank instruments (questionnairs), etc

APPENDICES

The profile of the key personnel's of the firm

The questionnaires for interview

REPORT ON SUBMARINE CABLE IN BANGLADESH PROSPECTS AND POSSIBILITIES IN INFORMATION TECHNOLOGY ENABLED SERVICES (ITES) SECTOR

AIM

The aim of this project is to contour the economic prospects and possibilities of ITES sector in Bangladesh presented by the submarine cable and identify ways to harness its potentials

STATISTICAL ANALYSIS

Tools Used for Gathering Information

Purposive SamplingSnow ball Sampling for interview method

STATISTICAL ANALYSIS

CHAPTER 1 - OVERVIEW OF CURRENT STATE OF ICT IN BANGLADESH

CHAPTER 2 - ITES BUSINESS TRENDS IN BANGLADESH

CHAPTER 3 - ECONOMIC PROSPECTS OF THE ITES SECTOR AND THE WAY AHEAD

STATISTICAL ANALYSIS

COST OF UTILITY SERVICES Dhaka Dalian Hanoi Bangalore Karachi Colombo

Source: Table reconstructed with data from PricewaterhouseCoopers (PwC) as quoted in the Draft Interim Brief: Study on IT/ITES Industry Development in Bangladesh, conducted jointly by The World Bank and International Finance Corporation on December 04, 2008.

ElectricityRate per 1 Kwh0.05-0.120.10.09-0.10.10.06-0.110.15-0.2Water ChargeRate per 1 M0.360.70.471.540.390.45Gas ChargesRate per 1 M0.03-0.120.21.181.43/kg4.63/Min BTU1.34/kgFuel ChargesGasoline (1 ltr)0.970.70.811.290.861.17Diesel (1 ltr)0.580.770.640.90.520.74

STATISTICAL ANALYSIS

GLOBAL TRENDS IN ITES SECTOR

Worldwide Offshore IT Services Share by Region [1] Ibid

:

Worldwide Services Spending (Current and Projected)STATISTICAL ANALYSIS

STATISTICAL ANALYSIS

WORKFORCE DYNAMICS OF ICT INDUSTRY IN BANGLADESH

Number of ICT Graduates/ Engineers[1] per year

YearNo. of professionalsYearly growth200011,440-200115,84038.46%200218,96019.70%200319,7204.01%200420,4803.85%200522,4009.38%200625,20012.50%

Total number available in the countryYearly production of Graduates and/ EngineersComputer Science Graduates / Software Engineers15,0002,500ICT Graduates/ ICT related Engineers 40,0005,500

STATISTICAL ANALYSIS

STATISTICAL ANALYSIS

Industry Profile and Statistics Bangladesh Industry Profile and Statistics Bangladesh Industry Profile and Statistics Bangladesh

STATISTICAL ANALYSIS

Revenue Growth of Graphic People, Bangladesh (in crores BDT)Industry Profile and Statistics Bangladesh Industry Profile and Statistics Bangladesh

STATISTICAL ANALYSIS

Industry Profile and Statistics Bangladesh Industry Profile and Statistics Bangladesh PROJECTED GROWTH OF ITES REVENUE

Source: Table reconstructed with data from the Draft Interim Brief: Study on IT/ITES Industry Development in Bangladesh, conducted jointly by The World Bank and International Finance Corporation on 04 December 2008

FY20072008200920102011201220132014Yearly Growth Rate: projected and Targeted -55%Export (US$ Millions)26406397151233362561Export revenue per employee assumptions10,00010,00012,00015,000Estimated number of employees required2,6054,0425,2216,47510,03615,55524,11137,371Additional number of employees / year-1,4341,1791,2533,5615,5208,55513,261

CONCLUSION

Adequate infrastructures are already in place to achieve a smooth lift off

The security of the submarine cable or its backhaul is a prime concern for the foreigners

CONCLUSION

The government has declared ICT as a thrust sector and introduces favourable policies

Upgrading the capacity of existing fibre optic network and ensure quick introduction of planned ICT parks.

RECOMMENDATIONS

GoB should ensure availability of adequate infrastructure, necessary utility and continue and increase its policy support to the nascent ITES sector. It should also make MoSICT as the apex body for IT matters by smoothing the complex rules of business An expert panel should be formed to establish standardised curricula that suit the needs of the local and international market with qualified NRB representatives which should be followed by all the institutions

RECOMMENDATIONS

GoB should undertake active country branding programme to project Bangladesh as an attractive ITES outsourcing destination with the help of BTRC, BASIS etc NRBs with IT background should be encouraged to settle or invest in ITES sector and pursue to broaden Bangladesh interest abroad from their present positions