1、MALAYSIAN MARKET REPORT 2024STATE OF THE SHAREDSERVICES AND OUTSOURCINGINDUSTRYINCREASE INSSCs 2023-20243%STATE OF THE SHARED SERVICES AND OUTSOURCING INDUSTRY:MALAYSIAN MARKET REPORT 2024In recent years,Malaysia has situated itself as a key player in the shared servicesindustry.With 441 shared serv

2、ice centers(SSCs),according to SSON Research&Analytics,the country ranks 7th for its number of SSCs.Malaysias influence onlycontinues to grow as the number of SSCs is steadily rising,with an approximately 3%increase from 2023,when 428 Malaysian centers were recorded.The countrys potential continues

3、to be realized by organizations,as neighbouringcountries have not seen similar levels of growth.For example,within the year China hasseen a decrease in SSCs by almost 0.7%.Even other key players in the industry areseeing a plateau in growth,such as the Philippines,which only had an annual growthrate

4、 of 0.27%.With these changes in mind,Malaysia is diverging from the general trendin Southeast and East Asia.This positive development perhaps signifies industry leadersturning to industrious locations that are not quite as oversaturated and competitive ascountries like China,India,and the Philippine

5、s.INTRODUCTIONGeographical Trends Within Malaysian Shared Services SSCsNATIONWIDEHIGHEST AMOUNTOF SSCs4417THLooking at the trends on a national level,Kuala Lumpur is the most fertile for SSCs,with294 in this region alone.This makes up a staggering 67%of centers within the country.This is unsurprisin

6、g as many consider Kuala Lumpur“the business hub of Malaysia.”Asthe countrys capital,Kuala Lumpur has an incredibly strong infrastructure,as well asconvenient geographical links.Organizations such as American Express,IBM,andMicrosoft Corporation have already chosen to develop centres in the region.W