GREECE: A global center for GBS and SSCs
Paris, November 2018
www.enterprisegreece.gov.gr LOCATION DRIVERS INTRA-GROUP SERVICE CENTERS IN GREECE LOCATION DRIVERS
Geostrategic location of the country Availability of high - level human capital
Competitive wage rates
Flexible framework
Telecommunications infrastructure
Competitive real estate property market
Excellent climate and living environment An EU member country enjoying stability, security and prosperity GEOGRAPHIC POSITION
Strategically positioned as the gateway to 3 continents 2.000 In a time zone (+/- 2h) Greece covers: km 1.500 2bn people (30% of global population) km 25% of GDP
Flight time from Athens to (app.): New York: 10 hours
London: 3,5 hours
Brussels: 2,5 hours
Moscow: 3hours Dubai: 4hours Beijing: 8,5 1.000 hours km GREECE ADMITTEDLY OFFERS HIGH-CALIBRE HUMAN CAPITAL
Percentage of Population Enrolled in Tertiary Education
Source: 2017 TOPTALENT
Top talent at a highly competitive cost. Greece is in 2nd position globally in the skilled labor readily available (WORLD IMD Talent report 2015) and 3rd in percentage of graduates in Science (ITIF Report Jan 2016).
There is a long tailof hubs THE EUROPEAN with a high density ofdevelopers TALENTLANDSCAPE Density oftalentis keyto Published by Balderton building strong ecosystems Capital % of developers within population
Source: https://talent.balderton.com/European_Tech_Talent_Landsca pe.pdf A MULTILINGUAGE WORKFORCE
Percentage of Managers, Professionals, Technicians and Percentage of Clerical Support Workers, Service & Sales Associate Professionals who speak a foreign language Workers who speak a foreign language
Source: Eurostat, Education statistics 2015 GREECE REMAINS HIGHLY COMPETITIVE IN THE EU ON HOURLY LABOUR COST
Labour Cost per hour in Euro in the Service Sector
40,6 36,1
30,5 28,7 25,8 26,9
20,1 16,3 13,8 14,3
Source: Hourly Labor Costs in the EU, 2018 GREECE REMAINS STRONGLY COMPETITIVE ON AVERAGE ANNUAL WAGE COST
60k
50k
40k
30k 25,1K
20k
10k
0k
Source: Employment Outlook2017 WHY GREECE? TELECOM INFRASTRUCTURE Greece can cover all infrastructure needs, including telecommunications (fixed, mobile, data, fiber-optic networks etc.), hosting and server facilities: International network: Greece is a part of • MedNautilus Submarine System-Sparkle • Asia-Africa-Europe 1 (AAE-1) • The Quantum Cable, a planned subsea ultra high speed fibre-optic cable system connecting Asia and Europe via the Mediterranean Sea Backbone network: OTEGLOBE, WIND, Vodafone, Forthnet, among others Broadband penetration in EU: Greece ranks 10th
Source:https://www.tisparkle.com/greece/sparkle-corporate%20platform https://www.submarinecablemap.com/#/submarine-cable/mednautilus-submarine-system, BROADBAND PENETRATION IN EU 28
Source: Hellenic Telecommunications and Post Commission- May 2017 http://www.eett.gr/opencms/export/sites/default /EETT/Electronic_Communications/TelecomMarket/broadbandServices/Broadband-stats-2016- S2.pdf COMPETITIVE REAL ESTATE MARKET IN PRIME CDB RENTS
Prime CBD rents (€/sq.m./year), Q1 2018
Note: Prime rents refer to modern office space, minimum 1,000 sq m
Source: Market report, European Offices Savills COMPETITIVE REAL ESTATE MARKET IN VACANCY RATES
Vacancy rates, Q12018
Source: Market report, European Offices Savills GREECE A UNIQUE LOCATION TO LIVE
Greece scores high on all major factors taken into consideration when choosing a new country for relocating, such as quality of life, regulated envi- ronment, secure living conditions in urban and rural areas, access to efficient services, residence privileges for family members, freedom to travel:
Great History and Culture
Lifestyle and Best Climate
Gastronomy-Mediterranean diet
A wide variety of Educational options Modern Healthcare Infrastructure and skilled personnel
Multilingual capability
Intellectual capital GREECE AND ATHENS AMONG BEST WORLDWIDE DESTINATIONS FOR 2016 AND 2017
Greece ranks 3rd among the top10 countries with the Best Weather and Climate
Athens the fourth Best European Destination for 2017, according to the results of the eighth online competition organized by the European Best Destinations (EBD) organization.
Greece ranks 2nd among the best http://www.huffingtonpost .com countries in the world AFFORDABLE AND COMPETITIVE LIVING COST IN A DEVELOPED MEDITERRANEAN ECONOMY
Price level index for household final consumption expenditure, 2017
(*) This designation is without prejudice to positions on status, and is in line with UNSCR 1244 and the ICJ Opinion on the Kosovo Declaration of Independence.
Source: (Results are based on price surveys covering more that 2,400 consumer goods and services which were conducted across 37 European countries participating in the Eurostat-OECD Purchasing Power Parities (PPP) program QUALITY OFLIFE…
Greece Ranks 1rst in # of Practicing physicians, per
100.000 inhabitants in EU, in 2009 and 2014 2009 2014
Source : FRAMEWORK, INCENTIVES FRIENDLY AND CONTEMPORARY FRAMEWORK FOR THE ESTABLISHMENT OF INTRA-GROUP SERVICE CENTERS
Intra-Group Service Centers enjoy the following benefits:
Flexibility with regards to the type of the business entity, which can be established either as an office or branch of a foreign company or as a domestic company
Simple, fast and transparent licensing process, through a ONE STOP SHOP service (Directorate for Foreign Capital at the Ministry of Economy and Development)
Legal certainty with pre-defined profit margin on costs, between 5% and 10%, set separately for each company in accordance with the OECD instructions for intra-group transaction charges and updated every five years.
The submission of the necessary documentation can be done electronically. Residence and work permits for its foreign staff for as long as they are employed in the company. The staff is subject to taxes only for the income earned in Greece. ESTABLISHMENT OF INTRA-GROUP SERVICE CENTERS IN GREECE
Intra-Group Service Centers establishedin Greece, under Law 3427/2005, may providethe following services to their head-offices or affiliates abroad, as well as inGreece:
Consulting services
Centralized accounting services Quality control of production, products, procedures and services
Preparation of studies, designs and contracts
Advertising and marketing services
Data processing services
Receipt and supply of Information and
Research & Development services
The entities under this law are obliged to maintain a minimum size regarding the employment and operating expenses, at least 4 employees and €100.000 per year operating expenses in Greece. INVESTMENT INCENTIVES FOR INTRA-GROUP SERVICES shortly available under Law3427/2005
The following investment incentives will be shortly introduced as an amendment to the existing Law 3427/2005 in order to provide a comprehensive investment framework for GBS and SSCs in Greece.
Types of incentives:
Total wage cost (wage and social security contributions) subsidies for the creation of new employment in labor
intensive GBS and SSCs Total wage cost subsidies up to 50% for new scientific personnel and technical staff
Subsidy for research tools and research equipment up to 50%
Provision of tax incentives: Tax exemption of 130% of total annual R&D expenses SUCCESSFUL BUSINESS SERVICES LARGE SIZE CONTACT CENTERS IN GREECE
847 companies offer business services to other companies in Greece
More than 120 are shared service centers, mainly call centers Large size contact centers with over 250 positions operate at full capacity in Greece as regional multilingual hubs, currently employing more than 20,000 highly skilled employees
Smaller size call centers, with 50 to 100 positions, offer services mainly to the Greek market
CONTACTNUMBERS STAFFNUMBER TeleperformanceGreece 6,200 COSMOTE evalue 6,000 Mellon Group ofCompanies 4,500 ICAP Outsourcing Solutions 2,100 First DataGreece 1,100 360Connect 500 Mediatel 500 Piraeus Direct Services 350
Source: ICAP, Findbiz INTERNATIONAL BPOS & CONTACT CENTERS IN GREECE
In 2002 it became the Regional Headquarters for the Teleperformance Operations in South Europe & the Middle-East and in 2004 it started becoming a major Multilingual destination for Europe, the Middle East and Africa, serving currently over 140 markets in 35 languages & dialects and employing more than 6,200 people from 91 nationalities. Teleperformance Greece operates today out of 3 Multilingual Hubs in Athens and 1 Site in Chania.
Accenture Analytics – “Center of Excellence” in Athens, a global analytics centre for Accenture, serving more than 30 markets, doing analytics in all developed and developing markets, such as, US, UK, Italy, France, Germany, Spain, Portugal, Greece, Turkey, Middle East, Japan, India, China.
Mediterranean Shipping Company operating a network of over 480 offices in 155 countries, employing a team of over 70,000 dedicated individuals. MSC has an established fleet of 490 container vessels with an intake capacity of circa 3.1 million TEU and its sailing schedules cover 200 routes, calling at 500 ports.
Oracle opened a new software center in Greece. Oracle’s cloud development hub will develop software applications and tools and provide support for customers of the California-based IT company. This is the company’s second biggest hub out of the five currently in operation. The other four are in the US, the UK, the Netherlands and India. INTERNATIONAL BPOS & CONTACT CENTERS IN GREECE
€43 mil. investment by Coca-Cola HBC for one of the largest private sector ICT projects in Greece, serving 24/7 business transactions for 36,000 employees and 18.5 mil. orders annually
SAP sets up its first global data science delivery hub in Athens. The role of the new hub will not cover just the domestic and wider geographical region and would be the start of a further expansion of SAP’s activities in Greece.
The Coca-Cola Company established in the 2014 the Consumer Interaction Center (CIC), a pioneering social networking hub based in Athens. The CIC is op- erating like a startup, yet in full alignment with the Company’s philosophy and employs a total of 25 people, of which 8 in Athens, where the social media strategy for 26 countries isdesigned.
Nokia Solutions and Networks a wholly subsidiary of Finnish Nokia, launched new activities for its research and development center in Athens. SHARED SERVICE CENTRES IN ACCOUNTING ESTABLISHED BY FOREIGN COMPANIES, L. 3427/2005 FOR INTRA-GROUP SERVICES
NAFTOMAR SHIPPING & TRADING CO LTD INC (OIL SECTOR) has established its centralized accounting SSC in Greece.
Nike Hellas (SPORTS CLOTHING) has established its centralized accounting SSC in Greece.
World Gaz Corporation SA (OIL SECTOR) has established its centralized accounting SSC in Greece.
BMS UNITED BUNKERS (CYPRUS) LTD, (OIL SECTOR) has established its centralized accounting SSC in Greece.
Consolidated Contractors Group S.A.L. (CCC) (CONSTRUCTION SECTOR) has established its centralized accounting SSC in Greece.
PEOPLECERT (SERVICES SECTOR) has established its centralized accounting SSC in Greece. SHARED SERVICE CENTRES IN ACCOUNTING ESTABLISHED BY FOREIGN COMPANIES, L. 3427/2005 FOR INTRA-GROUP SERVICES
CRESCENT HOLDING GHBH (INVESTMENT SECTOR) has established its centralized accounting SSC in Greece.
EPSILON HELLAS OVERSEAS LTD (SERVICES SECTOR) has established its centralized accounting SSC in Greece.
G4S Security SA has established its centralized accounting SSC in Greece.
HILL INTERNATIONAL (CONSULTING SERVICES ) has established its centralized SSC in Greece. Enterprise Greece is the official agency of the Greek State, under the supervision of the Ministry for Economy and Development.
To showcase Greece as an outstanding destination for investment and to promote the highly competitive products and services produced in Greece for export. Athens: 109 Vasilissis Sophias, 115 21 Athens, Greece Thessaloniki: 36 Tsimiski, 546 21 Thessaloniki, Greece Tel: +30 210 335 5700 email: [email protected] website: www.enterprisegreece.gov.gr
www.enterprisegreece.gov.gr