Centres of Business Services in the Czech Republic and

INVEStOŘI V MSK Centres of Business Services in the Czech Republic and Moravian-Silesian Region The business services sector (BS) is a wide field that provides a large scope of in-house processes. It is the outsourcing of operating activities such as HR, ICT, accounting, legal services, logistics, marketing, facility management, sophisticated construction, project or graphic activities and many more. The BS sector belongs among the most important sectors in the European Union. It contributes 11% of the GDP of EU countries. Employment Growth ofgrowth CZBSS in CZ Employment BSS in of 50 000 55 000 2014 2015 65 000 2016 75 000 2017 89 000 2018 100 000 2019 120 000 2020 130 000 2021 Source: ABSL Survey 2020 Approximately 130,000 employees are employed in this sector in the Czech Republic, and its representatives predict its growth up to 180,000 in 2025. The development regarding the COVID-19 situation proves that this field is progressive and perspective. Despite global economies slowing down due to pandemic, more than half the centres have reported growth and are planning for further expansion. A third of them are keeping the same number of employees as before the pandemic. The opening of several new centres in the three most important business service hubs--Prague, Brno and Ostrava--is planned for this year, which will generate around 10,000 workplaces. The growth potential of the BS sector in the Czech Republic is also strengthened by the existence of the investment incentives, provided by the state agency, CzechInvest. Proportion of Employees in Business Service Proportion of employees in business service to Location Centres According Apart from the traditional Czech hubs of business services (Prague, Brno) that are reaching their limits, the Moravian-Silesian region, and by extension Ostrava, to a large extent offers important potential. centres according to location 2% Pilsner 55% 10% 2% Prague Ostrava Olomouc 22% Brno Source: ABSL’s own study Ostrava offers ideal conditions for the creation of business services centres, which is proved by the fact that it is one of the fastest growing sectors in the city. Thanks to the existence of five universities and its history, the region 36 ǀ POSITIV 1/2021 offers qualified, loyal and very productive workers. These advantages are already being used in the given sector by many foreign and Czech companies, such as TietoEVRY, Siemens, Porsche, CGI, Verizon, ČEZ and more.