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Service Centers:
Success Stories

According to the “2007 Global Services Location

Index” published by consulting firm A.T. Kearney, Invest Chile
Chile ranks 7th among the best locations for
offshore services. The index analyzes 50
program - CORFO
destinations in three major categories: costs,
people skills and availability, and business In 2000 the Chilean Economic Development Agency
environment. “The country offers the best business (CORFO) launched Invest Chile, a high technology
environment and infrastructure in the region, with investment program that attracts and facilitates foreign
a robust digital network…Along with promoting investment. Sponsored by the Ministry of Economy,
language skills, the government is also working the program operates in cooperation with the Foreign
Investment Committee.
on ways to protect intellectual property…These
attributes make Chile a desirable headquarters Invest Chile is positioning Chile as a technology and
for Latin America.” service springboard for companies to launch
investment projects into Latin America and beyond.
The Economist Intelligence Unit (EIU) has The program supports the installation of businesses
published a white paper, “Future Leaders in Global from planning stages through implementation with
a variety of consultation services and practical support.
Offshoring, 2005” that evaluates 60 economies
based on a worldwide survey of 500 senior Additionally, offers a range of financial incentives to
executives. support the realization of investment projects.

The report examines parameters such as proximity,

political and security risk, macroeconomic
stability, regulatory environment, tax regime, labor
regulations, costs, human resource skills and
general infrastructure.

The paper ranks Chile 15th worldwide, saying

“The country outshines its neighbors, luring
investment with educated workers and strong IT
skills. According to UNCTAD’s data Chile is
currently the strongest performing Latin American
IT Centers and Software Development
Software Development Center

Overview Why Chile?

Software AG considered Chile, Venezuela

Year Established: 2005 and Argentina for its software factory. It
chose Chile for several reasons:
Location: Valparaiso
Employees: 50 Government financial support
through Invest Chile - CORFO
Reach: Serves Software AG Region
Country prestige and security
South, which consists of Latin
America, Western Europe World-class technology infrastructure
and North Africa Competitive costs

Functions A Growing Project

A world leader in XML and e-government With their software factory still in its initial
stages, Software AG predicts a large and rapid
p r o g ra m s , S o f t wa r e AG o p e ra t e s t wo growth in its Valparaiso operations, with a
current employee base of 50 engineers, analysts
development facilities in Chile: one in Santiago and programmers.

and the newer “software factory” in Valparaiso.

Pioneers at the Valparaiso Technology Center
Projects developed in the Santiago office include
Software AG is bringing its growing operations
a database system with online support services
to the Chilean government’s new technology
for the Chilean postal service. The software center in Valparaiso. Developed by the Chilean
Economic Development Agency (CORFO)
factory will be developing a range of products with a US$6 million investment, the building
enjoys the latest technology in network and
for businesses on several continents, including communications connectivity, and offers a
multitude of additional services on-site.
content management software, a Help Desk

product for IT call centers, and a pilot project “Chile has made important efforts in implementing
IT and e-government solutions and one of those
in Chile to bring online a municipality’s services. projects is the CORFO initiative to launch an IT
pole in Valparaiso. We plan on being the first
Software AG Chile develops programs in English company to arrive at the technology center.”

and Spanish. Planning and Control Manager

Chile Development Center (CDC)

Overview Why Chile?

Location: Santiago After evaluating other possible Latin American

locations, Citigroup chose Chile for several
Year established: 2002 reasons:

Employees: 120 Cost savings

Government financial support through
Invest Chile - CORFO
Reach: 22 Latin American
countries and the USA Excellent telecommunications infrastructure
Time zone equivalent to USA
Low country risk
SIGNIFICANT COST SAVINGS* Sustained economic growth
Quality of life, attractive to foreigners
US$2.5 million saved in 2003 by centralizing Few natural disasters
Latin American operations in Santiago
US$3.6 million saved in 2004
Junior Programmer (3-5 years experience) 66.5% A Growing Project
Project Manager 65%
Help Desk Support Senior 60% What began as a pilot project of 30 people in
2002 has expanded to a team of 106, with 84
*Compared to prior cost
people working on software development and
22 in the technical help desk. The center
recently expanded its activities to include
software development for Citigroup entities in
the USA, and expects to grow hiring over 100
Citigroup operates several Latin American software more employees.
and support projects from its Regional

Development Center in Santiago. The center English Capabilities

handles software development for Citibank and
Knowledge of English is a requirement at the
runs a technical help desk to ensure high quality Citigroup Development Center, and 60% of
operations throughout their Latin American their employees speak English fluently. The
entire help desk is bilingual, and they also
branches. Advanced telecommunications allow have speakers of French and Portuguese.
them to access remotely and modify systems

located in different data centers managed by “Chile offers an optimum combination of appropriate
costs and a secure business environment.”
Citigroup, whether to add functionality to an

existing product or to introduce new services. Citigroup Chile representative

Software Development Center

Overview Why Chile?

While other locations were considered, Chile

Year established: 1995
offers several important advantages:
Location: Santiago
Country safety and stability
Employees: 350 A transparent business environment
Reach: Global Human resources with technological
Investment: US$8 million Competitive costs
Double taxation agreements
Country image as a leader within Latin America

In 1999 Soluziona acquired a software factory in
Santiago, which it has since expanded into the Whereas many countries are just beginning to
company’s principal platform for software launch e-government services, Soluziona is
development in Latin America. Soluziona provides looking ahead to the next generation of high
solutions to businesses and governments tech services: mobile-government. The next wave
of high tech innovation will see products and
worldwide, with the private sector comprising
transactions brought directly to cell phones,
60% of their revenue and governments an accessible wherever and whenever. Soluziona
additional third. Its services include IT consulting, is working with governments to make services
the implementation of SAP, and the development available from the average mobile device.
of e-government, internet banking and other
software products. Approximately 35% of
Alliances with Major Universities
Soluziona Chile’s current revenue comes from
within Chile, and the remainder comes from the Soluziona invests in partnerships with Federico
exportation of products around the world. Santa Maria Technical University and Adolfo
Soluziona is currently developing projects for Ibáñez University, viewing student development
countries as distant as Iraq and Macedonia. as an integral part of its human resource formation
strategy. The company provides internships for
some of the area’s best engineering and
programming students, and annually hires a
A Growing Project
considerable number of new graduates.
As part of Soluziona’s corporate strategy, Chile
was recently selected from among their worldwide
“The vision, knowledge, and rigorousness of the
operations as a target for increased investment. Chilean workforce make for strong investments. Chile
The company is using Santiago as its platform for as a country has a vision of where it wants to go, and
Chilean professionals are of a very high quality.”
expanding further its e-government business lines,
which will experience an anticipated 30% growth. Business Development Manager

Latin American Headquarters
& IT Development Center

Overview Why Chile?

While other locations were considered, Chile

Year established: 1997 ( paperwork started two
years earlier) offers several important advantages:

Location: Santiago Economic and political stability

Employees: 30 Excellent telecommunications infrastructure
Growing economy
Reach: Supervises operations in 19
countries throughout Latin America Qualified human resources
& Caribbean Quality of life
Good flight connections within Latin America

A Growing Project
ReadSoft main focus is document automation, which
is performed by an in-house built software platform. ReadSoft is not shy about expanding their
operations: they would like to have presence in
In fact, the company makes sure that 15% of their
all 45 countries of Latin America and the
revenue goes to R&D. Caribbean. That’s in line with what the company’s
doing on a global basis, with aggressive growth
The center in Chile is in charge of supervising plans. For instance, last year they acquired
operations in the Americas, with the exception of companies like Consit, an Oracle certified
solution provider of workflow and approval
the US and Canada. The office in Chile has seen software that works with ReadSoft documents
the development of new regional offices in Brazil for invoices product to automate financial
(2000), Mexico (2001). In all other countries they transactions inside of Oracle E business suite
rely on official representatives, which are not only applications, and Ebydos. ReadSoft Ebydos is
the leading solution provider for automation of
supervised, but also trained by the Chilean branch.
invoice processing in SAP environments. As an
In fact, they perform the same complete service internationally acknowledged solution expert,
given by the company abroad: analyzing document ReadSoft world-leading SAP integrator in
processing needs, customizing the solution if electronic invoice processing
necessary, training clients in the use of products, The acquisitions of ReadSoft Ebydos and ReadSoft
and giving support with technical expertise. Consit has taken ReadSoft from just a pure image
capture and transaction company to now being
a true document automation company
Furthermore, is ReadSoft office in Chile the one in
specializing in transaction processing inside of
charge of customizing ReadSoft technology for all Oracle and SAP.
countries in Latin America and the Caribbean, so
that it meets the requirements of clients in each of Together with the company's new software
platform this gives the right conditions for further
the countries they’re in charge of (e.g., tailoring the growth.
software according to local regulations). For that
task, ReadSoft counts on a select group of Chilean Within Chile, they are looking forward to
strengthening the development area, as well as
engineers. the department in charge of quality control.

Latin American Technology Center

Overview Why Chile?

Year Established: 2001 After considering several Latin American

countries for its technology center, Santander
Location: Santiago chose Chile because of the following strengths:
Employees: 589
World-class telecommunications
Reach: 9 banks in Chile, Mexico, infrastructure
Puerto Rico, Colombia,
Argentina, Uruguay, Brazil, Political stability and legal security
Venezuela and Spain. Low costs

Investment: USD 23 million Double taxation agreements with Mexico

and Argentina
Strong university system with highly skilled
Functions graduates
Ease of obtaining visas
ALTEC is a shared service center for Santander’s
technology development operations in eight
countries. In 2004 ALTEC rendered USD 49 A Growing Project
million in services throughout Latin America,
making it one of Chile’s top exporters of ALTEC’s rapid growth has led the company to
professional services. The center had provided outsource a substantial amount of work. The
2.4 million hours of systems maintenance,
center estimates that it currently subcontracts
software development and technical support.
over 500 additional engineers and developers
ALTEC is one of a handful of software developers
in all of Latin America to achieve level 5 CMM via external companies. Small companies have
certification. sprung up in Santiago to handle the additional
demand for software development.

Cost Savings and Product Improvements

Over 100 university graduates have already

Before establishing ALTEC, Banco Santander had benefited from ALTEC’s Young Professionals
14 banks in Latin America, each handling its own Training Program. Successful applicants receive
software development. By centralizing development three months of training and then undergo
in Santiago, the company is:
one month of on-the-job practice before joining
Realizing significant annual cost savings the ALTEC team.
Standardizing technology products throughout
the bank, which results in higher quality services.
Almost 30% of employees are foreign citizens,
graduated from the most prestigious Latin
“Our Chilean software center has performed even better American universities, therefore allowing a
than we anticipated.” better understanding of the needs of different
General Manager clients from different countries.

Software Development Center
for Latin America

Overview Why Chile?

Year established: 2006 Economic and political stability

Location: Santiago Chilean government support through

Invest Chile - CORFO
Employees: 5 (bilingual, English-Spanish)
Strong local ITC market
Reach: Spanish-speaking American
countries, except Mexico. Simple tax structure

Investment: USD 5 million (projected) Expected growth of the health care market

Functions A Growing Project

Intersystems are mainly focused in technology Intersystems is planning on adding more people
transfer. They are looking forward to training
to their Chilean workforce, as well as
people in Chile, in order to create support centers
establishing a growing network of partners to
within the country and be able to work in other
market their products. They plan on bringing
sorts of innovative projects. The company is

especially interested in developing IT solutions international partners to establish in Chile in

for the health market. order to operate with them.

A strategic country

Intersystems has declared Chile one of its four strategic centers worldwide, alongside the US, the UK

and Denmark. The goal is to establish a place for excellence in the development of high-impact projects

for the corporation.

R&D Center


Year established: 2006

Location: Santiago Synopsys’ center of R&D of high technology is

mainly dedicated to software development, later
Employees: 100 projected
included in products commercialized by
Synopsys The company is the leading provider
Reach: Worldwide
of electronic design automation (EDA) software
and services used to design complex integrated
Investment: USD 3.2 million, approximately
circuits (ICs), field-programmable gate arrays
(FPGAs) and systems-on-chips (SoCs) for the
Why Chile?
global semiconductor and electronics industries.

Economic and political stability

The center in Chile will be actively devoted to
Availability of highly-skilled human capital defining and developing specific lines of products
for the company, as well as supporting
Competitive costs
commercial activities. This is Synopsys’ first
Open to the rest of Latin America center in Latin America. Products developed in
Chile will be sold worldwide, particularly in
North America, Europe, Japan, Asia/Pacific and
Part of a global network
Israel. In the future, and based on market
development, they could be sold in Chile and
Synopsys has a worldwide presence (with sales,
the rest of Latin America.

support and R&D offices) currently spanning

Synopsys Chile R&D Center will develop projects
across 60 plus countries, including China, India for 2 business units, SEG (Silicon Engineering
Group) and IG (Implementation Group). Those
and Israel, all of which are regarded as projects are: CATS (Mask data preparation),
PRESTO (Language conversion) and TCAD
technological poles.
(Technological Computer Aided Design)

IT Service Center for Latin America

Overview Why Chile?

Year established: 2006 Economic and political stability

Location: Santiago Business environment
Employees: 26 Cost-saving location to operate in, both in
terms of infrastructure and salaries
Reach: Provides in-house technology
services to Mexico, Colombia, Personal security
Brazil, Argentina and Chile Own infrastructure already in place in Chile
Investment: USD 600,000-700,000 allowed for fastest implementation

New Opportunities Functions

At first, Santiago was chosen to replace Miami This technology hub based in Chile is in charge

as home for in-house developed IT services only of developing and adapting corporate

because it was a cost-wise decision to make applications aimed to support two areas,

(Santiago was evaluated alongside Buenos Aires). namely trading desks and back-office

So operations started with 10 employees, same operations.

number as Miami. It was after establishing in

Chile that the company found a new opportunity:
changing platforms for back-office operations, A Growing Project

which led to the hiring of additional personnel.

This year the center should incorporate JP
This would have never been possible in the US,
Morgan’s operations in Brazil to its network
since costs are just too high (especially office
of clients, therefore fulfilling its goal of serving
space and salaries).
all Latin American operations.

IT Center for Latin America

Overview Why Chile?

Year established: 2002 Economic and political stability

World-class technological and
Location: Santiago
telecommunications infrastructure
Employees: 180 (both internal and Competitive operational costs
external) Oldest private pension funds system
worldwide (that being the core business)
Reach: Chile, Argentina, Mexico, Peru,
Colombia Great quality of life for expatriated executives
Santiago’s the safest capital city in Latin
Investment: approximately USD 80 million America

Functions A Growing Project

CMA (Centro de Mantenimiento de AFP, or CMA wants to consolidate itself as the software
Pension Fund Administrators Maintaining Center)
is responsible of developing and maintaining all factory for developments pertaining Nacar
information systems for BBVA’s Pension Fund
Administrators (PFA) in Latin America. Recently, Ligero for BBVA worldwide. This will carry an
it also has been chosen as the software factory
for BBVA worldwide for all components developed increase in the number of expert professionals
in Nacar Ligero, a technology developed by BBVA
with support from the main technological hired, all of which are trained at CMA.
consultants around the globe.

CMA is in charge, at first, of implementing the

Also a learning center
Unified Pensions Platform (developed at CMA)
and, when that is already operating, moves on to
the maintaining stage, which includes all tasks At CMA, two courses concerning the training
involving software development, whether it be of new interns have already taken place. There,
for legally mandatory procedures or because
with help from consulting companies that
evolution, automatization or modernization of
operations make it necessary. For all of this, CMA provide services to CMA, young professionals
relies on national and international experts in the have acquired training related to the
pension funds sector.
technologies used by CMA and the pension
CMA executes, annually, more than 320,000
fund business overall. Over 70% of those
hours of system maintenance, software
development and technical service/support. trained have joined CMA’s team.

IT and BPO Center for Latin America

Overview Why Chile?

Economic and political stability

Year established: 2002
Excellent business environment
Competitive costs
Location: Santiago with branches across the
High-quality & professional human resources
World Class infrastructure
Recognized hub for Latin America
Employees: 1,500 (10% approx. bilingual,
A platform for TCS
Reach: Provides technology services (BPO
& IT) to over 100 clients including TCS chose Chile to be its BPO hub for Latin
Chilean, Regional & Global America. Having already set up a successful
companies IT business in 2002, in November 2005 it
acquired a leading Chilean BPO firm,
Investment: Over USD 30 million
Comicrom, to set up its platform for serving
clients in Latin America and eventually in the
US & Europe. The firm also intends to
consolidate Chile as a global Banking &
TCS maintains a BPO (Business Process Financial services expertise center.
Outsourcing) center in Santiago which
comprises over employees providing diverse
services to over 1500 clients, including
“In line with our global ambitions, we intend to be
financial institutions, pension funds, public
sector, health insurance institutions, retail firms market leaders in Latin America as well. Towards
and small & medium-sized companies. this, Chile is an important base for us since it
Services include Documents Management, provides a solid platform for growth, with a superior
Check Processing, Finance & Accounting mix of talent, infrastructure and business conditions.”
Outsourcing, Customer Care, Transactions
p r o c e s s i n g , I T S e r v i c e s & O p e ra t i o n s Chief Executive Officer
outsourcing among others.

A Growing Project

Already the leading IT (Information Technology) firm in India, the company has ambitious global plans,
planning to jump from 3 billion dollar revenues to 10 billion in the next 5 years. In Latin America TCS
intends to become a leading firm in the future and has been growing its operations at over 100% every
year. The firm employs almost 4,000 people in Latin America, a number projected to grow by 4 to 5
times by 2010.

IT and software development

Overview Why Chile?

Year Lowest country risk

established: 2007
Best business environment ranking
Location: Santiago Fewest incidences of political corruption
Very competitive cost structure
Employees: 300 (projected 450)
Best IT infrastructure
Reach: USA
Best availability of senior management
Investment: US banks, financial services Strongest financial industry presence
organizations, telecommunication,
media, insurance companies, and US
Consumers among others
A long term solution

The operation will grow to 450 employees

by mid-2008, all fully bilingual with
Experian’s first services and operations center in background in IT and customer service. “The
Latin America provides software development and magnitude of our investment in people,
maintenance services, IT applications update and capital and one time set-up charges in
support, financial data analysis, risk management, f a c i l i t i e s a n d h i g h - e n d t e ch n o l o g y
marketing, support for the global technological infrastructure is a clear indicator that
infrastructure and database management, as well Experian has come to Chile as a very long
as back office customer support services, attending term solution to its near shore servicing
thousands of digitized requests received daily needs”, explains Carlos Medina, Vice
from customers in USA. President and General Manager of Experian’s

Latin American Operations.

A good start

Experian has found excellent cost savings and other advantages in Chile, including a well educated,

high work ethic labor force with excellent and diverse experience and backgrounds, as well as a great

infrastructure.Experian also enjoys partnerships developed at CORFO, Chile’s Development Agency, as

well as The Santiago Chamber of Commerce, AmCham Chile, and various Universities among others.

Shared Service Centers
Financial Shared Service Center

Overview Why Chile?

Year Established: 2001 Chile was selected over other Latin American
locations for the following reasons:
Location: Santiago
Competitive operating costs
Employees: 76 Availability of qualified human resources
Professional standards
Reach: South America Political stability
Security and safety
Technology infrastructure
Functions A globally connected country

BHP Billiton’s shared service center provides

administrative support to several of the Excellent Human Resources
company’s businesses located in South America.
The operation centralizes transactional functions “The capacity of Chilean professionals is excellent
ranging from supply processes to accounting. and Santiago possesses an ample labor market
that makes easier the search for qualified people.”
The office also handles human resource
responsibilities such as personnel maintenance, Manager
benefits, recruitment and management of
international assignments. BHPB’s center is one
of the company’s four shared service operations A Favorable Business Environment
around the world, which all operate at a “best
business practice” level of excellence. Santiago “We have not encountered any obstacles to
operating in Chile, and I think that the present
shares this distinction with Houston,
government’s efforts to strengthen Chile as an
St.Johannesburg (South Africa) and Adelaide international business platform have strongly
(Australia). promoted and facilitated the installation of similar

Cost Savings and Improved Efficiency

Through its shared service center, BHP Billiton A Growing Project

is able to reduce costs, improve the quality of
its services and strengthen its competitive BHP Billiton began its Santiago shared service
position. The centralization has resulted in the center with 36 employees and 1 client, and
realization of economies of scale derived from now it has 5 clients and annual revenues of
processing large volumes of transactions within US$5.7 million. The company plans on
extending the center’s reach to the rest of its
a simple structure. Consolidation has also
South American businesses, and will continue
allowed BHP Billiton to improve its efficiency
to pursue innovation as it increases the range
and more easily apply methodologies such as
of services offered.
Six Sigma.

Global Support Center

Overview Why Chile?

Year established: 2007 Economic and political stability, plus

Location: Santiago advantageous regulatory framework

Employees: 100 (200 projected) Country takes advantage of technological

Reach: Services for Oracle and its
clients in the Americas Low labor costs
Investment: almost USD 3 million Excellent ICT infrastructure
NRI Index ranking Chile as 29th worldwide
A Growing Project Same time zone as clients bound to serve
Spanish language skills (as opposed to
Oracle plans to add 200 new employees in the next
countries like India)
two years, more than doubling their current payroll
in Chile.
On a first stage, people will join back-office
operations for Oracle University, serving both Latin
Oracle will set a shared services center for
America and the US and Canada. Second stage is
Oracle University that will do back-office work
about implementing Oracle University Sales in
Santiago. The third part of this project, will incorporate regarding sales in Latin America and auditing
people for certifying programs, as well as web and for the US. They will also build a call center
software developers.
for Oracle University’s sales representatives.

A platform for Oracle Moreover, a Global Operations Center for

Oracle University will be inaugurated. It will

Oracle’s plan is to centralize in Chile a diverse
series of services currently being provided from certify programs, plus web and software
a variety of countries, including Colombia,
developers from Oracle University.
Argentina, India and the United States.

By delivering all of these services from one place,

the company is looking forward to taking Finally, some areas belonging to other divisions
advantage not only of Chile’s competitive labor within Oracle will also set forth operations
costs, but also from a highly-skilled pool of eligible
workers, an internationally praised business from Chile, namely Oracle Support, Oracle
environment, political stability and Direct, On demand and Oracle University.
state-of-the-art telecom infrastructure.

Financial Shared Service Center

Overview Why Chile?

Unilever chose Santiago through a rigorous

Year established: 2002
selection process in which
Location: Santiago PriceWaterhouseCoopers evaluated 12 different
locations in 7 countries: the USA, Mexico, Costa
Employees: 200 Rica, Brazil, Uruguay, Argentina and Chile.
Chile’s winning characteristics included:
Reach: Latin America and Caribbean
Competitive costs of high-quality human
Investment: US$11 million World-class telecommunications infrastructure
Political and economic stability

A Growing Project
Unilever’s Financial Shared Services Center is part
Unilever’s Santiago center has steadily
of Harmony, an ambitious project integrating the
continued integrating Latin American territories
entire company’s information systems throughout
into its services since the center’s inception in
Latin America. The Santiago center manages
2002. Today the center attends Chile, Peru,
accounts receivable, accounts payable and other Ecuador, Uruguay, Paraguay, Venezuela,
financial processes for Unilever’s businesses Argentina and Mexico, Central American and

throughout the region. Caribbean countries. Unilever plans to

continue building on its successful shared
services platform and is studying expanding

World-Class Shared Services the services it offers from Santiago.

Unilever’s Santiago facility is leading the

“We wanted to be closer to our customers and
company’s efforts to centralize services worldwide.
found that Santiago offered the best combination
The center is Unilever’s best practice model for
of cost and quality of life. Chile has emerged as a

shared service operations in other regions, very competitive regional business platform.”

including Europe and the United States. President of Unilever Bestfoods Latin


Back-Office Operations Center

Overview Why Chile?

Year established: 1999 Desire to have 2 global processing centers

instead of one (the other one is located in
the Philippines, serving all countries outside
Location: Santiago the Americas).
Lowest unit cost for processing files
Employees: 80 originating from North/South America
Experience with SGS Chile office (high
Reach: the Americas quality / professional service)
Good supply of qualified labor
Good network communications


A Growing Project
SGS’ back-office center in Chile is mainly

devoted to issuing pre-shipment certificates for Since its inception in 1999, this has been an
ever-growing endeavor for SGS, including what
countries in the Americas exporting to any other
now amounts to 80 jobs arising directly from
that has a contract with the company for these this back-office center arrival in the country.
At first, the center started serving only a handful
duties (import verification). SGS-IVP programs
of South American countries. Then, it
enable the proper identification of goods prior incorporated the rest of South America. After
that, came Central American countries and,
to shipment, with regards to quality, quantity,
finally, North America. For the near future, the
tariff classification, import eligibility and the firm plans to add around 10 new employees,
since new operations are to be added soon,
provision of valuation information for customs specifically attending Portugal.
purposes. These programs allow for the correct

assessment of import duties and taxes by

One of two worldwide centers
customs to the advantage of both government

and trade. Since 1965, over 40 countries have The center set up in Chile is of critical importance
for SGS, since it is one of only two operating at
adopted SGS programs to protect government
the time to provide the described services. The
finances and/or facilitate trade. Currently SGS other one is located in Manila (Philippines) and
is in charge of operations in Europe, Asia, Africa
holds 21 mandates for IVP programs which
and Australia. But now they are relying on the
incorporate a large array of services both in the Chilean-based office to handle some of their
work load, which further stresses the importance
country of export and import.
of operations in Santiago.

Shared Service Center

Overview Why Chile?

Year Study conducted by Spanish consulting firm

established: 2006
Capgemini among Latin American countries
Location: Santiago concluded Chile was best option for several
factors (some mentioned hereinafter)
Employees: 10
Economic and political stability
Reach: Currently, Chile, Honduras and Mexico Excellent business environment
Competitive labor costs
Investment: USD 800,000 only in new infrastructure
(main infrastructure already in place, Availability of qualified human resources
since Lafarge acquired Chilean Telecommunications infrastructure
company Melón)

A Growing Project
Lafarge, a world leader in terms of building
Lafarge’s Shared Services Center in Chile mainly
materials, currently has operations in the
serves three purposes, all meant for the company’s
own productive units (i.e., it does not sell its following countries from the region: Mexico,
services to other companies). First, it helps with Honduras, French Antilles, Ecuador,
management activities (using Oracle’s JD Edwards Venezuela, Brazil and Chile. Today, the
EnterpriseOne), ranging from sales, acquisitions, center only serves Mexico, Honduras and
inventories, payrolls, payments, collections, etc.
Chile. But there are ambitious growth plans
Secondly, it helps units in different countries with
everything related to managing physical assets, to incorporate, in the future, each and
namely its operation and maintenance (using everyone of the above mentioned countries
MRO’s Maximo Asset Management). Finally, it to the list of “clients” the center provides
provides managers with business intelligence
services to. For example, Venezuela should
(using Cognos), mainly statistical summaries of
critical information (e.g., sales figures sort out by be incorporated, an important addition since
region, type of client, dates, etc.). Users can it represents a market nearly the size of
connect and access any of these services from Chile. By 2008, Brazil and Ecuador should
their respective countries at their need. be added as well.

A diverse working place

Lafarge plans to bring in professionals from around the region to work at their Shared Services Center.
They plan to have Honduran nationals and new additions will be evaluated as new countries get
incorporated to those served by the center.

Back-Office Operations Center

Overview Why Chile?

Year established: 2006 Economic and social stability

Location: Santiago
Trust-worthy Justice System

Employees: 21
Government support for foreign investment
Reach: Central America, Venezuela,
Colombia, Ecuador, Peru and Chile. Available professional talent

Functions A Growing Project

The center established in Chile manages Growth plans include new offices for 2008,

accounting- and financial-related tasks for the plus 15 new employees projected to join the

company, such as accounts payable, travel

company gradually until 2008. Moreover, the

expenses, Treasury operations, consolidated

company plans to add Argentina to the list of
accounting and payrolls.
countries served by this center.

About the country

Merck has found in Chile a great business environment, in which they underline business ethics as a

key feature. In terms of human resources, they are satisfied about local available talent. Finally, Merck

says expatriated employees have adapted well to Chile and its way of life.

Shared Service Center

Overview Why Chile?

Year established: 1992 High political stability

Excellent availability of high quality human

Location: Santiago
Employees: 80
Competitive costs
Reach: Chile, Peru & Congo

A long term solution
The center provides most of the services
The Shared Services Center in Santiago began as
needed by each mine, including legal,
the first mining services provider in Chile, an
accounting, purchasing, global supply chain,
independent unit of Phelps Dodge providing
communications, IT, human resources
services to its mines in Chile including legal,
management and financial services. It
accounting, and treasury services. As Phelps
continues to do so now that the operations
Dodge expanded its operations in South America
have become part of Freeport-McMoRan
the center provided services to an increasing
Copper & Gold Inc.
amount of mines, extending its operations into

Peru and growing its offer of services to include

A Growing Project
purchasing, global supply chain management,

human resources centralized IT and financial The center will provide an increasing amount
services. Chile’s center is currently also providing of services as the new operation in Congo
services for a mining project being developed in expands, as well as possibly providing
Congo, called Tenke Fungureme. services to other new projects worldwide.

Customer Service and Technical Support
Latin America Reservation Center

Overview Why Chile?

Year Established: 2001 Air France evaluated several possible countries,

including Argentina and Mexico. The airline
Location: Santiago
ultimately chose Chile because of:
Employees: 41
Political and economic stability
Reach: Argentina, Chile, Colombia, Chilean government financial support through
Venezuela and Mexico Invest Chile - CORFO
Call Volume: 30,000 monthly World-class telecommunications infrastructure
Investment: US$1.3 million Competitive costs

Functions Centralization and Standardization of Services

Air France’s call center handles a variety of Motivated to improve services and achieve
cost efficiencies, Air France began
reservation and sales services for the airline’s
centralizing its telephone reservation and
Latin American operations, attending the general sales functions in 1998. The company
public and a range of travel agencies. The consolidated its European and North
Santiago site acts as an internal cost-saving American services into 3 locations and in
2001 turned to Latin America. The company
center for the airline, centralizing services that
now provides uniform services across its
were previously done at the local level in each South American territories and has gained
country. strategic flexibility by centralizing operations
in Santiago. Its other centers are located in
Wembley, Montreal and Ft. Lauderdale,
A Growing Project servicing Europe, Canada and the USA,
What began as a pilot project with 5 employees
has since added 36 additional workers, with A Good Decision
significant expansion plans in the works. In
April 2005 Air France merged with KLM airlines, “Country stability and telecommunications quality
were key factors in the decision to locate our
and the Santiago call center has begun attending Latin America Call Center in Chile. The country
KLM customers in Chile, Peru and Ecuador as has proven to be a good platform for regional
activity in South America, with high tech
well. Air France intends to hire another 45
development and air connections that have
employees by 2008 - 2009 to accommodate allowed us to expand our activities.”
the additional call volume and develop an
internet services platform.

Latin America Contact Center

Overview Why Chile?

Year established: 2000 Delta also considered Peru, Panama and Costa
Rica, but ultimately chose Chile because of:
Location: Santiago

Employees: 98 bilingual Government financial support through

Invest Chile -CORFO
(Spanish-English) Low telecommunications costs
Reach: Latin America and Caribbean Political and economic stability
Availability of skilled human resources at
Call volume: 70,000 monthly competitive wages
Excellent quality of life, including very low
Investment: US$3 million crime rates

Functions A Growing Project

Handling Delta’s phone reservations for all of The center has been a clear winner for Delta Air
Lines, reflected in its ongoing growth with the
Latin America, the contact center plays an incorporation of the Mexican reservation services
and the help desk service previously run from
essential role in generating Delta’s US$33 Miami. The center is also ready to begin receiving
calls from the Caribbean. Other current projects
million annual Latin American sales. The facility,
include implementing a Vendor Call Transfer
which consolidated operations from 6 countries Service with, a Sales Support Center
for Mexican sales and marketing, and additional
into the Santiago center, uses state-of-the-art functions for the Sky Miles Support desk. Delta
will continue to capitalize on the center’s large
technology to provide the entire range of Delta call capacity and may use it to serve additional
markets within the western hemisphere, such as
reservation services. Belize. The center also has the capacity for
attending calls from Brazil and the Spanish-
speaking population in the USA.
State-of-the-Art Telecom Infrastructure

“Chile’s robust information technology and Confidence in Chile

telecommunications infrastructure provide the reliable
“Delta Air Lines’ decision to establish its call center
voice and data transfers that are the lifeblood of any
for Latin America in Chile was a clear sign of confidence
contact center. Furthermore, Chile’s communications in the country. Chile’s political and economical stability,
the high technological capacity and cultural diversity
costs are among the most competitive in Latin America.”
were the main factors considered for this important
investment in the region.”
General Manager Manager

Client Service Center

Overview Why Chile?

Year Established: 2003 Shell considered other locations, but Chile

presented several attractive strengths:
Location: Santiago
Competitive costs
Employees: 60 Government financial support through
Invest Chile - CORFO
Reach: Argentina and Chile
Political stability and legal security
Call Volume: 28,000 monthly World-class telecommunications
Availability of skilled human resources
Strategic geographic location

Shell’s call center handles client inquiries regarding

Higher Quality Services
fuel and lubricant orders, dispatches and a variety
of customer accounts, including the company’s Shell decided in 2003 to consolidate its client
services in Latin America, motivated by a desire
credit card businesses. It receives calls from
to standardize quality and reduce costs. Now
throughout Argentina and Chile, and provides
delivering from Santiago a range of offerings
24-hour attention for some services. across two countries, Shell can easily track
customer needs and maintain statistics to
continuously improve its services throughout
A World-Class Center
the region.

Shell’s center is one of several shared service

facilities the company employs around the world. Excellent Human Resources

Santiago is in the prestigious company of select

“Human resources availability in Chile is a critical
cities that host Shell’s client attention centers. factor to our success, given that our client service
center requires professionals with a high capacity
for adapting to technological, commercial and
organizational innovation. We find these qualities
A Growing Project
in a country like Chile that maintains a high level
With call volume continuing to increase, Shell of development and growth.”
anticipates hiring additional workers for client

International Center of Excellence

Overview Why Chile?

Year established: 2002 While other locations were considered, Chile

was selected based on several key factors:
Location: Santiago
Stable long-term economic outlook
Employees: 70 Availability of well-educated technical
workers with English language skills
Reach: Worldwide
Offset program credit through CORFO
Low costs
Ease of implementing the project in Chile
Functions Time zone

In 2002 General Electric Company opened a

center dedicated to generating the sophisticated A Growing Project
technical manuals that accompany each aircraft
engine GE manufactures. Once approved by Its International Center of Excellence has
GE engineers and the United States’ Federal proven to be a very successful investment for
General Electric Company, based on the high
Aviation Administration, the digital manuals
quality products consistently produced by its
are exported to countries all over the world.
team of bilingual engineers, designers, and
The center is owned by GE and outsourced to aerospace technicians. GE is committed to
Adexus, an experienced Chilean IT integration continuing the center’s growth, and will have
company. 200-300 workers operating at the Santiago
location in the coming years. The company
hopes to take advantage of the center’s
State-of-the-Art Center excellent technical platform and expand the
services it offers to other GE businesses.
“The benefits that GE’s center brings to Chile include
having a local center associated with state-of-the-art
Enriching Chile’s Workforce
knowledge and technology from the aerospace industry,
the creation of new jobs within this field, the development General Electric Company provides funding
of products aimed at an important export market, and to Federico Santa Maria Technical University
the strengthening of professional capacities in the industry.” for aerospace courses. One of Chile’s most

Regional GE Executive prestigious universities, UTFSM trains

aerospace engineers in studies essential to the
work done at GE’s Center of Excellence. Each
“Chile wins, GE wins, my customers win, and it’s year several of the program’s graduates go on
going to grow.”
to internships at GE.
President and CEO, GE Transportation

Center for In-Spanish News and Services

Overview Why Chile?

Year established: 2005 Legal framework

Personal security
Location: Santiago
High quality of life

Employees: 25 Telecom infrastructure/costs

Investor friendly
Reach: Worldwide Low costs relative to US

Functions More Than Just A News Agency

Reuters center in Chile receives reports from Although mostly known as a news agency,
journalists throughout Latin America. These reports
Reuters also provides news services for the
are processed and edited in Santiago, after which
they are transferred onto Reuters’ global network,
financial world. In fact, more than 90% of
in both English and Spanish.

worldwide revenue comes from financial

Furthermore, the center in Santiago receives
reports from all over the world (already written services. Economic, financial and political

in English) that are to be translated into Spanish,

news aimed for investors are also processed
therefore serving both Latin America and Spain.
Facilities in Chile include state-of-the-art from Santiago. Plus, new services are now
technological and communicational equipment,
stressing the long term character of this project. being developed from their offices in Chile.

Help Desk for Latin Ameica

Overview Why Chile?

Year established: 2000 Presence of important potential clients, many

of them multinationals
Location: Santiago with branches across Economic and political stability
the country Excellent business environment
Employees: 200 approx. Recognized hub for Latin America

Reach: Chile, plus services for Latin

America & Caribbean A Growing Project

Unisys is a multinational company, with world-

Functions wide sales around USD 6 billion. Latin America
contributes with USD 500 to 600 million, with
sales in Chile in the order of USD 20 million.
The main idea was to build in Chile a Help Currently, operations in Latin America are divided
Desk, sort of a high-tech call center oriented to into 3 areas: Mexico, Brazil and the rest of
the region.
solving problems of final users from different
countries. Unisys policy is to continually invest as projects
undertaken by the firm require those investments.
In Chile, the core business are outsourcing
To give an example, currently they work for
operations, representing 60% to 70% of sales.
Endesa España, via Synapsis, in Chile, Perú and
As new outsourcing contracts are signed, new
Colombia; they also serve Dell, giving services disbursements are required to comply with the
in English, Spanish and Portuguese, monitoring new obligations imposed by those agreements.
over 150,000 calls annually. A single project may require Unisys to invest
from USD 200,000 to 1 or 2 million.
The company also manages servers and networks
from its offices in Chile for clients within Latin Following Clients
America, excluding Brazil.
A paramount reason for Unisys to operate in
Finally, they work with the Argentinean branch Chile was that many of their international clients,
of Unisys, managing phone calls from clients the ones they cooperate with on a world-wide
there that come in after labor hours (i.e., 6 p.m.). basis, where already doing business in the country.
Around 70% to 80% of their customers in Chile
are firms with which they already operate overseas.
“Being based in Chile gives you a lot of credibility when
As Francisco Guzmán says, not being in Chile
talking to foreign investors” means you putting at risk global relations with
some of their best clients. Examples of these types
Commercial Director of contracts are Dell, Lexmark and Telefónica.

Call Center and BPO Providers


Place of origin Canada

Start-up date 2006
Location One center in Santiago
Employees 1.000
Serves Spain
Operations in Latin America Colombia, Mexico, Panama, Brazil and


Place of origin Sweden

Start-up date 2006
Location Two centers in southern Chile
(Concepción and Valdivia)
Employees 550
Serves Spain
Operations in Latin America Only Chile


Place of origin Spain

Start-up date 2006
Location Two centers in Santiago
Employees 641
Serves Spain
Operations in Latin America Only Chile


Place of origin France

Start-up date 2006
Location One center in Santiago
“Being based in Chile gives you a lot of credibility when
Employees 1,450 (250 bilingual)
talking to foreign investors”
Serves Spain and USA
Operations in Latin America Argentina, Brazil, Mexico, El Salvador
Commercial Director
and Dominican Republic

Call Center and BPO Providers


Place of origin Spain

Start-up date 2006
Location Two centers in Santiago
Employees 1,400
Serves Chile and local market
Operations in Latin America Argentina


Place of origin Spain

Start-up date 1999
Location Four centers in Santiago
Employees 7,600
Serves Chile
Expansion plans To serve the US and Spain from Chile
Operations in Latin America Argentina, Peru, Colombia, Brazil, Venezuela,
El Salvador, Guatemala, Mexico, Puerto Rico


Place of origin Spain

Start-up date 2006
Location 1 center in Santiago
Employees 900
Serves Spain
Expansion plans To serve Colombia, Guatemala, Mexico
and US from Chile
Operations in Latin America Office in Miami

Knwoledge centers
Research Latin America

Overview Why Chile?

Main reason: Chile’s status as a leader

Year established: 2006 in Spanish-speaking South America in terms
of research and computer sciences. Only
Location: Santiago other plausible and competitive alternative
is Brazil (but obviously lacks the necessary
Employees: 10 PHDs language skills).

Reach: Worldwide
Output & Worldwide Reach

Functions Results of its work are shown in the form of

publications, patents and, most importantly,
Hosted in the Engeneering School of the University
through new software developed by Yahoo, based
of Chile at Santiago, and under the direction of
Ricardo Baeza-Yates, this lab will concentrate on on info provided by the lab. There is no
research in the areas of web search and mining,
harnessing the strengths of the Latin American development involved, just research, although
a c a d e m i c s e a rch c o m m u n i t y t h r o u g h this one is meant to being applied in the
collaborations and joint projects, in particular
with the Center for Web Research of the CS Dept. development of products later on. Therefore, it
of the University of Chile. Yahoo praises this center
could be said this project has worldwide reach:
as one of the few places where “people
‘understand’ the internet”. a product coming out from its work could easily

Their main focus is to analyze what people do reach millions of users per month (500 million
on the web, therefore analyzing web contents, unique users estimated to use Yahoo on a monthly
its structure, links, etc. Yahoo states that “our
scientists focus on data-driven analysis, high- basis, which is half of the internet community).
quality search, algorithms and economic models”.
The lab set up in Santiago in January, 2006, is
Yahoo Research’s only in Latin America, being
A Growing Project
one of two based outside the US, alongside the
Although the amount invested is confidential one already installed in Barcelona, Spain.
for contractual reasons, Yahoo invests around
USD 400 million annually in R&D, expected
to grow in the future. Mr. Baeza-Yates confirms
“The main reason to be in Chile is the local talent. He
growth plans for the Chilean lab as well,
especially by incorporating new local talent to reaffirms this by saying that Yahoo’s strategy is to go
their team. He is confident due to the amount wherever talent can be found, and not just remain
of talented professionals he knows are available bounded to the US.”
in Chile, stating it will be a challenge to attract
them to join their efforts. Director of Yahoo! Research

Latin American Center

Overview Why Chile?

Business environment
Year established: 2006
Chilean government support through
Location: Region of Valparaíso Invest Chile - CORFO
Social, political and economic stability and
Employees: 15 stable inflation, which gives the company
a better idea of costs in the future.
Reach: Latin America Outstanding personal security level
Investment: USD 1 million, approximately Almost same time zone as in the US

Functions Part of a worldwide strategy

Evalueserve has opened a Latin American The company is the first Knowledge Process
operations center in Chile with the declared
Outsourcing (KPO) firm to invest in a delivery
objective of capturing the huge market potential
center for the region. Evalueserve was also the
and offer a global delivery platform. Evalueserve’s
first KPO to have a multi-delivery location in
Chilean operations will start with an offering of

investment research services, which include equity India and China, two of the world’s most

research and financial modeling provided on rapidly growing economies.

behalf of global investment banks.

A Growing Project
"It is a high growth industry and we are one of the

Evalueserve plans to employ 120 professionals in largest players. Our plan is to grow to about 2,500

Chile by 2008 and subsequently add around 60 or 3,000 people by 2008 and then probably launch

professionals every year. “The company believes the an IPO. We also have plans to open a delivery

country could represent 10% of global revenues by 2008, center in Eastern Europe in the future, thereby

and also add business for the India and China operations” building a seamless global delivery platform,"

Vice President Chile’s Country Manager.

Assembly and Repairing Facilities
International Technical Service Center International Technical Service Center

Overview Why Chile?

Year established: 2003 Cellstar considered Chile, China and Mexico as

locations for its center. Chile offered a winning
Location: Santiago combination of advantages:
Highly skilled human resources
Employees: 53
Government financial support through
Reach: USA, Latin America Invest Chile - CORFO
Low labor and logistics costs
Repair Volume: 1,000 wireless devices monthly Macroeconomic stability
Excellent infrastructure
Investment: US$1.1 million
High quality of life

Functions Cost Savings

Cellstar’s international repair center imports, 38% lower costs: Each wireless device
repairs, and then exports within 15 days wireless repair (including transportation and
logistics) costs Cellstar approximately 38%
devices from the USA and Latin America. The less in Chile than in the USA, largely due
center performs a variety of repairs ranging to Chile’s competitive labor costs.
from the cosmetic to the highly complex on
approximately 30 different cell phone models, Free Trade Agreements: Cellstar pays
0.175% import duties on cell phones and
and is certified for work by industry leaders 0% on parts, and pays no export taxes on
such as Kyocera, Motorola, LG, Audiovox, and repaired goods.
Rent: On their Santiago facilities is
significantly cheaper than in the USA.

A Fruitful Partnership with Chile

A Growing Project
Cellstar has training agreements with several
technical institutes whereby students gain essential Cellstar Chile’s Technical Repair Center is a
hands-on experience working in Cellstar’s repair leader in wireless device repairs, having earned
facility for up to 6 months. Many then go on to ISO-9000 certification. Since opening, the
full-time employment. The company is looking center has advanced from performing 10,000
to expand further its training alliances with local level I and II repairs monthly to 1,000 level III
and IV repairs, which require much greater
technical education centers.
technical sophistication and skill. Its facilities
include state-of-the-art technical laboratories.
“In Chile we have highly skilled labor at fair rates with
Cellstar Chile is looking to capitalize further
overhead costs that are very reasonable.” on its successful operation by expanding repair
CEO Cellstar Chile services to a wider range of IT products.

PC and Notebook Assembly Plant

Overview Why Chile?

A fully modern financial structure

Year established: 2000
An excellent customs system
Location: Santiago
The most advanced infrastructure in the
Employees: 130
region, including telecommunications, ports,
Market Composition: 70% of sales within Chile,
30% to the rest of Latin airports and highways
America, primarily Transparent laws with little corruption Low
Argentina, Peru and country risk
Products: PCs, notebooks, digital
home entertainment A Sales Platform for Latin America
By assembling their products in Chile, Packard

Functions Bell enjoys the significant advantages of rapid

access to Latin American countries. It can

A licensed distributor of Packard Bell products in
respond quickly to changing consumer
Latin America since 1993, this joint venture
demands and technology improvements, giving
between NEC Corporation and Chilean investors
Packard Bell greater flexibility than companies
began assembling PCs in 2000. Today the plant importing completed products from outside

also assembles notebooks and home entertainment Latin America.

devices, and offers product repair services.

A Rapidly Growing Market

Excellent Human Resources in Chile Packard Bell expects to produce 25,000 PCs and

30,000 notebooks to meet the continuously

“Human resources in Chile are of a very high quality
in comparison to the rest of the region and other growing demand. The company has experienced
countries that we compete with in the production of
increases in production of approximately 20%
technological products, such as Brazil and China.”
every year since 2000, and will likely see growth
General Manager
above 50% this year.