Request for Expression of Interest

Business Environment Technical Assistance Project

(IDA Grant No.H167-0 KOS)

Kosovo Outsourcing Sector Development Plan

The Government of Kosovo is seeking a consulting firm (the consultant) to prepare a comprehensive Outsourcing Sector Development Plan that will be used tohelp guide efforts to attract multinational playersto Kosovo’s emerging offshore services sector. The goal is to prepare a plan that will not onlyput Kosovo on the global outsourcing map, but deliver results both in terms of increased inward investment and partnership opportunities for local firms.

In specific terms, the overarching goal of this assignment is twofold: 1) to provide a solid analysis of the sector and its competitiveness, including policy recommendations as to how to further improve competitiveness, and 2) to provide the basis for promoting the sector to foreign investors, including a marketing plan, key marketing messages and promotional materials.

Thisassignment is being financed by the World Bank’s Business Environment Technical Assistance (BETA) project. The overall objective of BETA projectis to improve the business environment in Kosovo as a means to reducing unemployment and fostering economic growth. More specifically, objectives include reducing burdensome regulatory processes while improving delivery of related services; strengthening property rights, including intellectual property rights (IPR); and increasing transparency and accountability of implementing institutions.

  1. OBJECTIVES

The objectives of this work include (but may not be limited to):

  • To identify those sectors of Kosovo’s economy those aremost attractive for foreign firms, including establishing back-office, creative services and/or third-party operations in the country. Sectors of interest include:
  • Business Process Outsourcing (IT enabled services/Call Centres/Shared Service Centres, etc);
  • To provide a detailed analysis of the BPO sector in Kosovo, including strengths and weaknesses, and an assessment of its competitiveness and potential for investment.
  • To come up with a list of key companies operating in BPO sector in Kosovo, including information on the scope and scale of their operations.
  • To provide policy recommendations – from workforce development to possible incentive packages, that might improve Kosovo’s chances of attracting investors based on the detailed sector analysis.
  • To provide an overview of the general dynamics of this sector and clarity on the future dynamics of it on a global level.
  • To develop a complete list of multinational players engaged in global outsourcing in the above mentioned sector.
  • To provide a direct comparison, from an investor’s perspectives, as to the benefits of establishing an offshore operation in Kosovo versus elsewhere in Eastern Europe.
  • To develop a set of key marketing messages to promote the sector in Kosovo to foreign investors that can be used as the basis for any marketing materials.
  • To develop a presentation and sector brochure that might be used to convince investors to invest in Kosovo and/or partner with local firms.
  1. SCOPE OF WORK

a)Technical Report

The approach to be taken in developing a comparison between Kosovo and surrounding countries will be to create a hypothetical typical investment project, and to create a cost comparison for Kosovo with neighbouring countries. Comparison should be against, at least the following countries: Albania, Serbia, Macedonia, Montenegro, Romania, Greece, and Turkey. In addition names and locations of international investors / outsourcing companies in these countries will also be provided.

Cost comparisons should include: land and building costs; energy costs, labour costs, training costs, taxation costs, etc. In addition, the report will address such matters as: available appropriate skills for each sector, pool of labour, training facilities,issues regarding repatriation of profits, accounting standards, communication infrastructure.

The result of the above comparison will be an objective judgement on whether a potential investor is better to establish operations in Kosovo or elsewhere. The report should make recommendations on which issues must be tackled in order for Kosovo to be competitive.

The approach should also include conducting interviews with key existing investors in the sector in Kosovo. The consultant is expected to collect and report information on the scope and scale of their operations. This information will feed into the development of the promotional materials in the form of success stories of existing investors.

b)Marketing Strategy

The strategy will outline the proposed approach to promoting the sector to foreign investors. As a minimum the marketing strategy will comprise the core marketing messages to promote the sector, the identification of key target markets, a hit list of potential target companies in those markets, and a proposed approach to those target companies.

Furthermore, some basic marketing materials, including a brochure will be presented based on the technical report. In addition, a very high quality presentation in the English language will be prepared, targeting the Outsourcing Sector, and providing a tool that IPAK can use for presenting the opportunities of Kosovo to investors.

  1. EXPECTED OUTPUTS, DELIVERABLES AND TIMING
  • A technical report detailing the potential of Kosovo’s offshore outsourcing sector (s) and providing clarity on the future dynamics of the sector (s);
  • Policy recommendations aimed at improving the competitiveness of Kosovo’s business environment with an emphasis on policies designed to strengthen the country’s emerging offshore services sector.
  • Short profiles of key investors operating in the sector in Kosovo, including information on the scope and scale of their operations.
  • A marketing strategy which will form the basis of an approach to potential investors – to include a minimum, key marketing messages, key target markets, a brochure and Power Point Presentation (s).
  • A hit list of major players in the sector on a global scale as a basis for targeted marketing activities, and

Technical experts will report to IPAK/Ministry of Trade and Industry during the time of assignment. The BETA Project Secretariat will help ensure coordination between the various activities and provide liaison with all key stakeholders and keep them briefed on project progress.

The Consultant will deliver the following:

a)Interim report - no later than one month from project start, with the proposed outline of the Outsourcing Sector Development Plan and general recommendations. The report should also include detailed information of analysis, identified target markets and industries and identified activities to improve business environment. This report will mark completion of Phase one of the project. If comments are not received in ten days, it will be deemed accepted by IPAK and consultant will move to draft the final report.

b)Final report - 3½ months following the Interim report acceptance. The Outsourcing Sector Development Plan will be reviewed by IPAK and relevant institutions and comments will be provided within 15 days. If comments are not received in 15 days, it will be deemed accepted by IPAK and consultant will submit the final detailed Study.

This assignment is expected to start end ofJanuary , 2012. This assignment is to last for 4½ months from the start date

  1. MINIMUM QUALIFICATIONS AND GENERAL ASPECTS

The Consultantshould provide expertise in the following areas:

  • Up to 10 years of expertise and experience on economic sector analysis; as well as in development of investment and business environment development strategies in transition economies. . Experience in south-east Europe is preferred;
  • Up to 10 years of experience in economic and development issues, particularly for the public sector.
  • Experience in investment promotion as demonstrated by work in an investment promotion agency or similar body involved in FDI promotion.
  • This expertise may be encompassed in one or more experts;
  • CVs of key staff (task leader and senior expert) will be examined when selecting best consultant. The Consultant should have available expertise with the following minimum qualification and experience:
  • For key staff (team leader) masters or higher degree, in relevant field (Economics, Finance, Legal, Social sciences); for senior expert BSc or higher, or relevant combination of education and significant work experience; at least 10 years of experience in investment, FDI attraction, export and business-enablement development issues, particularly for the public sector.
  • Experience in working with investment promotion and/or business support agencies in transition economies is needed. Practical and recent experience in south-east Europe will be preferred.
  • Excellent communication and presentation skills, and
  • Excellent writing, editing, and oral communication and skills in English.

The proposal from the Consultant is expected to outline a brief description of the roles, relevant qualifications and responsibilities of the each team member.

Firms interested in providing their services must provide information indicating that they are qualified to perform the services (brochures, description of similar assignments, experience in similar conditions, availability of appropriate skills among staff, etc).

Consulting firms (Consultants) may associate to enhance their qualifications.

The application should include a short summary of the consultant firm and consultants’ experience and expertise in the above listed areas. International Consulting firms should demonstrate significant local (Kosovo or Western Balkans) participation, experience, expertise, and capacity in associating with local consultants / consulting firms.

  1. LEVEL OF EFFORTS AND LOGISTICS

Team leader at senior level will serve as the Project manager and main point of contact for the beneficiary and the Consultant. The Team leader will be responsible for management and completion of the overall project and deliverables. The Consultant is to provide for backstopping from home office throughout the duration of the assignment.

This work is to be performed in the field and from home office. This work would require at least three or more field missions by Team leader and senior expert or short term international consultants.The level of effortsis estimated 75 staff days.The technical assistance team will be provided with working facilities within IPAK and will have IPAK investment officer(s) seconded to the team.

Evaluation Criteria -A consulting firm will be selected based on:

  • Extensive expertise in investment promotion as demonstrated by work in an investment promotion agency or similar body involved in FDI promotion (60%)
  • Relevant work experience with implementation of similar projects in Eastern Europe and/or transition economies (20%)
  • Key professional staff qualifications and competence for the assignment (20%)

A consulting firm will be selected in accordance with the procedures set out in the World Bank’s Guidelines: Selection and Employment of Consultants by World Bank Borrowers, edition of May 2004 , according to selection based on Consultants Qualifications (CQ) method.

Interested consulting firms may obtain further information at the address below during office hours: 08:00 - 16:00 hrs (Monday to Friday)

Expression of interest may be submitted to the below stated address until 19January 2012.

Central Procurement Agency

Emine Masurica, Procurement Officer

GermiaBuilding; Mother Teresa; Fourth Floor A/403

10 000, Prishtinë, Republic of Kosovo

Tel: +381 38 213 057

E-mail: