IBA Group Celebrates Team Spirit at Tourist Rally

From June 21 to June 23 this year, the 16th IBA Group’s tourist rally took place 70 km away from Minsk. Over 1,000 people got together to enjoy nature and sports. The participants of the rally ranged in age from several months to their 70s. The organizers of the event did their best to meet the needs of such a versatile audience.

IBA Group’s tourist rally is an annual tradition for the IBA Group’s community. It is a time when IBA Group’s employees, their families, and friends gathered to celebrate team spirit, endurance, nature, and sports. It is more than just an annual celebration. It is a spotlight on what these values mean to each IBA Group’s employee.

The expectations from the event were far from being optimistic as the weather forecast promised heavy rains and windstorm. That was the first challenge to overcome for most of the participants. They got through the heavy rain on the way to the venue of the rally and were rewarded by fantastic weather on the days to follow.

The IBA tourist rally has longstanding traditions that developed together with IBA Group. What started as an 87-people event in 2005, grew into a massive 1,000+ participant rally. This year, the organizers welcomed a new participating team Lemmingi that defied such veterans as Pertsy, Dynamit, Dobry Vecher, Belki, and Smarch Cats. The bike biathlon was added to the list of competition categories. Other team categories included obstacle racing, mud racing, volleyball, badminton, rock climbing, draniki (potato pancakes) contest, and some individual disciplines such as ropes course and darts.

On Friday evening, to warm up and to dry up the atmosphere, a culinary draniki competition was held under the guidance of an experienced chef. All participants and viewers\tasters enjoyed every minute and bite of the contest. The Mammoth team won the first place.

The opening ceremony of the tourist rally took place at 09.30 am on Saturday. At the opening ceremony, Sergei Levteev, IBA Group Chairman, made a welcoming speech. According to the tradition, Alexei Tereschuk, the captain of Smart Cats, the last year’s winning team, opened the rally by raising the flag.

The rally program was diverse and manifold. Each participant found an occupation to his or her taste, be it an athlete, a fan, a guest or a child. The program of workshops was varied. One could opt for an individual pottery class, take part in a tea ceremony, master a new style of calligraphy, make a nesting house, or compete in funny duo contests. The strongest could go up against Vyacheslav Khoroneko, the six-time record holder of the English Guinness World Records, and a repeated world champion and a record holder in free weight lifting.

Other activities enjoyed by the rally participants included a ride on a trolley, a walk on the rope course, a wall climbing, and a ride in a BRDM-2 military reconnaissance vehicle. Everyone received a charge of positive emotions during a Fun Starts relay race. Wellness lovers could indulge themselves in saunas, bathe in a nearby lake, and get a Hawaii-like suntan.

Our top management at this year's tourist rally

On Saturday, all participants and guests enjoyed breakfast and lunch.

Throughout the day, the kids danced and played with animators, took rides on catamarans and canoes, played in an inflatable castle, rode a merry-go-round, and watched cartoons in the karaoke tent.

In the evening and throughout the night, the teams had wonderful bonfire parties accompanied by shashlik and guitar songs.  Everyone could unwind at the disco and demonstrate their vocal abilities in the karaoke tent. The Saturday night also hosted Bez Bileta, a well-known Belarusian group, and the DeTroit cover band. That was one of many moments when members of competing teams celebrated the company’s spirit and unity.

This feeling of being a part of IBA Group’s global family was somehow complemented by the atmosphere of solidarity inside each team. Most of the teams comprised colleagues of the same department. The tour rally for them is another chance to strengthen the team spirit and extend the relationships beyond the working environment.

Each team had a motto, a flag, and a designated territory. The teams’ captains did their very best to win the contests and to feed the teams. Each member of the team was assigned a task, the teams‘ cooks used their creativity and experience to appeal to the taste of each team’s member.

As the tradition has it, there are no ex-employees at IBA. Many retired and ex-IBAers come to the rally to feel themselves a part of the IBA Group’s family. They are the tradition keepers of the rally. On the other hand, we saw many new faces this year who have brought enthusiasm and changes to the company’s life. Tradition and innovation, youth and experience is what makes us so similar and so unique.  

The nine teams competed in the multiple categories, including obstacle racing, mud racing, water relay race, rowing slalom, volleyball, bike biathlon, rock climbing, and badminton. Rope course, darts, and weights lifting were available for individual competition.

The award ceremony took place on Sunday morning. Winning teams, Lemmingi, Dynamite, and SmartCats and prizewinners in individual categories received medals and prizes. Gennady Makeev, HR Director, made a closing speech where he summed up the results of the rally and thanked the organizers and the participants.

You can get a glimpse inside the 16th IBA tourist rally by visiting our Facebook and Instagram.

IBA Group's tourist rally 2019

IBA Hosts Rocket.Build Local Hackathon

From January 24 to January 25, IBA Group hosted the Rocket.Build Local 2019 – Minsk, Belarus hackathon. For the first time, the annual event took place at the IBA Group’s High-Tech Park campus. Rocket.Build is a Rocket Software’s annual hackathon. This event brings together engineers and programmers from around the world to work in teams to develop new products that help Rocket customers solve their business and technology challenges.

IBA has been cooperating with Rocket Software since 2016, the primary area of cooperation being mainframe products. Rocket develops products in diverse fields, including analytics, networks, data, storage, and enterprise software. The firm’s products are designed to run on mainframes, Linux/Unix/Windows, IBM i, cloud, and hybrid/virtualized systems.

IBA Group specialists who are involved in Rocket Software projects took part in the hackathon. All 90 participants were divided into teams, each team consisting of two to four members. The teams came up with 26 various ideas to solve production issues.

Having finished working on projects, the participants presented their ideas to the customer. In a strictly limited three-minute presentation, the teams had to convey the value of the proposed solution to the audience and the customer, and to demonstrate its functionality.

Anjali Arora, Chief Product Officer at Rocket Software, chose the winner of the main prize, the CPO Award. The winning team is expected to travel to Boston to participate in Rocket Build Global to be held from June 9 to June 13 at Rocket Global Headquarters. In addition, a peer voting was held at Rocket.Build Local 2019  and three teams were selected as winners.

The hackathon was a delightful event for IBA Group employees, giving them an opportunity to demonstrate their skills in a friendly and innovative atmosphere.

IBA Group hosts Rocket.Build Local hackathon

RPA Has Truly Arrived

IBA Group
Mark Hillary

When I recently visited IBA Group in Minsk I was expecting to hear about their Cloud Computing solutions and some of their more recent developments in Machine Learning, but I was surprised to hear exactly how developed their Robotic Process Automation (RPA) expertise is today. I was surprised because their approach to RPA is not typical. They have experience of delivering real projects to real clients in multiple countries using the top 4 RPA software platforms.

Now contrast this to the typical RPA story in the media. Robo-bosses, robots taking over, and other mentions of robots replacing humans. When reading about RPA we usually read hype and grand claims of digital transformation, often from experts or IT companies with very little track record in this area. Yet IBA has been quietly developing expertise in all the major RPA platforms all over the world and there is no hype at all. They have just been getting on with the job.

RPA is now (almost) a $2bn a year marketplace and it’s growing fast. This area of business is only going to get more important as we move into 2019. HFS predicts that we are looking at $2.3bn revenue in RPA technologies in 2019 and this will grow to $4.3bn by 2022.

Traditionally HFS has been the least bullish of the analyst community. For a long time they criticised analysts such as Gartner for hyping the RPA market, but now even the HFS predictions look exciting. Gartner predicts that spending on RPA software is growing around 57% year on year, which is a phenomenal increase for any market, but what is really interesting is how all the analysts seem to be agreeing that RPA is no longer in the Hype Cycle and is now being accepted as a regular business process automation tool. Even the forward projections of Gartner to 2022 feature year-on-year growth of 41% – RPA has arrived.

When I arrived at IBA, I never expected to hear such a solid RPA success story – case study after case study of real RPA deliveries. I did a detailed interview with Vjacheslav Mikitjuk, director of Internet Technologies, that I intend to publish in the new year.

The RPA world is full of hype. HFS Research has been a vocal critic of the RPA hot air and fake news for the past few years, but even they now acknowledge that there are real solutions being delivered that are adding value all over the world. I witnessed this up close when I went to visit IBA Group and it was not even something that I had expected. They have kept their RPA expertise fairly quiet, but I’m hoping to change that in 2019 by telling the world what they have been doing.

To listen to the CX Files podcast featuring Andrei Lepeyev from IBA Group, click here.

Mark's visit

IBA Spends A Day At The Zoo

On September 2, IBA Group organized a family festival for its employees and their children to celebrate the beginning of the new school year. The celebration took place at Minsk Zoo, much to the delight of young visitors and their parents.

This year, IBA invited children, their parents, and their grandparents to spend a sunny Sunday at the zoo, where they could get acquainted with various animals in enclosures, as well as at the terrarium, aquarium, and exotarium. The icing on the cake was a show at the dolphinarium.

IBA Group’s management congratulated children on the beginning of a new school year. First graders received makeshift medals and gifts with the IBA logo. All attendees got lunch bags and could satisfy their sweet tooth with ice cream.

As a part of the entertainment program, children could see exciting chemical experiments and use a trampoline, an inflatable slide or a swan ride.

Earlier, IBA held another festival called Igropolis (Game City) to celebrate Knowledge Day in 2017. In 2016, IBA Group invited children to City of Professions, where each child could try out a profession of his or her choice. In 2015, the company built IBA Eco City to share eco-knowledge among kids.

First graders received makeshift medals and gifts with the IBA logo

Robotics And Cognitive Technologies Change Your Business Forever

IBA Group
Mark Hillary

The growth in corporate robotics feels rather like an overnight trend, but automation using robots has been changing the manufacturing industry for at least three decades. The difference today is that robotics is no longer restricted to factory production lines. Automation today is far more advanced than a machine capable of spray-painting car parts.
The reality in today’s environment is that several technologies are blending together to create new possibilities and solutions. Robotics, machine learning, and Artificial Intelligence are naturally connected because automation no longer has to just be the simple repetition of programmed bots – we can now ask the system to learn how to get better.
The IBM Watson system is a great example of this. Watson is capable of reading 800 million pages of data a second. This capacity to absorb new information constantly makes it incredibly useful for complex environments that are constantly changing. Cancer diagnosis is a good example because a traditional doctor will train for many years and then will work with patients in a hospital so their capability to absorb new research is limited. By training real doctors to work with AI systems such as Watson we can support and enhance them – allowing doctors to access a second opinion that includes knowledge of all published research.
Softbank in Japan has connected their Pepper ‘general purpose’ robot to a Watson ‘brain’ creating the possibility for intelligent assistants that actually have a physical form. It’s easy to imagine nurses treating patients with Pepper offering additional advice, or a bank advisor explaining a mortgage to a potential customer and Pepper offering further information and automatically checking compliance to legal regulations.
But this convergence of technologies is not taking place at the same speed in every company, or even in every industry. EWeek magazine recently summarised five important trends that give a good oversight on the growing importance of robotics in industry today:

  1. Most companies are not yet using Robotic Process Automation (RPA), but are noticing those that are using it; Capgemini research suggests that 39% of companies are already using RPA and many are talking of extremely positive results – such as a reduction in repetitive work and an improvement in quality. The companies that have not yet tried RPA are noticing these reports and will move quickly.
  2. RPA works best when used to create a Centre Of Excellence (COE); RPA requires a cultural change so it helps to create a mindset that you are not just automating existing tasks, rather the plan is to improve how the company works.
  3. Once companies explore RPA they deploy it everywhere; companies that have piloted RPA initiatives find that it is not just useful in the back office – automation can be deployed everywhere.
  4. Human jobs are changed, not eliminated; as with the Pepper examples, in most cases RPA enhances and improves what humans can do rather than just eliminating their roles. In research published by McKinsey, they estimated that around 90% of work functions cannot be automated 100% – the role of automation is to increase quality and productivity, not eliminate humans from the workplace.
  5. RPA plus AI will lead to new cognitive opportunities; by created automated systems that can learn we are entering a new cognitive era of business. Research by OpusCapita suggests that 81% of executives believe that this combination of RPA with AI will significantly change their business inside the next 5 years.

This highlights two extremely important – and opposing – points. Executives mostly (81%) believe that automation and AI is about to dramatically change their business, perhaps even their entire business model. However, only a minority (39%) of companies have already launched an RPA project.
It’s clear that this is where the future lies for companies across all industries so the future seems bright for service companies with expertise in both these areas. I even think that the 5-year time horizon is rather long – in my opinion this will all change before 2020. RPA and cognitive systems are about to change your business forever – are you exploring the possibilities today?

Exploring Projects Where RPA Really Did Change A Business

IBA Group
Mark Hillary

Why do companies really implement Robotic Process Automation (RPA)? The technology journals endlessly talk about robotics, framed by ‘Terminator’ images, but what are the benefits reported by those companies that have already explored RPA? According to the robotics consulting firm Symphony, these are the main benefits found after RPA has been deployed:

  • 86 per cent say RPA significantly reduces costs
  • 86 per cent feel RPA reduces risk and improves compliance
  • 86 per cent believe RPA improves process effectiveness and efficiency
  • 89 per cent believe RPA improves the quality of work
  • 91 per cent say RPA saves companies time on repetitive tasks

As you might expect from a system that is focused on automation, the focus is on saving time, improving quality, and reducing risk. RPA is often talked about as a technology that can replace people, but it is smarter to think in terms of how it can help people to do their job better – to always remain inside compliance regulations or to consistently deliver processes without errors.


This feature in IT Pro explores several RPA deployments and asks why the projects were successful and whether the companies involved achieved what they expected. Examples include:

  • A car manufacturer offering a bot that could answer questions about their vehicle, such as what a light on the dashboard means. Additionally the messenger bot maintains a relationship with the customer and sends reminders such as when it is time for maintenance or tasks such as an oil change.
  • A recruitment company used a bot to analyse CVs automatically and submit only those meeting all the required criteria. This allowed the recruitment consultant to scan far more CVs than would be possible manually.
  • A bot that could add information on music concerts to a website focused on music events. Instead of manually Googling for information on events and then copying information to the database, the bot could just search and populate the database automatically.

What’s interesting here is that these are all very different projects, but they previously required a large amount of repetitive manual work – especially the recruitment and music examples. In these examples, people would be performing repetitive manual searches many times. The bot allows them to focus more on the search results, rather than wasting time performing the searches. The car example shows that with a little thought, an existing process such as sending reminders to a customer can be performed in a more interactive way that actually should help to build a closer brand to customer relationship.


HfS Research believes that the RPA market will be big – around $1.2bn by 2021 – but they also exercise some restraint. HfS believes that many of the predictions linked to RPA are ‘ridiculous’ and typical of the hype we see whenever a new technology becomes trendy. This is always a danger when new technologies become popular. They are often seen as a solution looking for a problem. Executives start asking why we don’t have an RPA strategy without identifying where RPA can actually help to improve their business processes. However, as the IT Pro case studies demonstrate, it is possible to take specific processes and to automate them so quality and efficiency is improved.

RPA is not about a robotic takeover and a complete end to all manual work, but it is an opportunity to dramatically increase efficiency in any part of your business that suffers from a need to perform repetitive manual tasks. It will be an important business strategy, but let’s stop framing discussions about robotics with ‘Terminator’ images.

Click here for information on how IBA Group can help design an RPA solution that works for your business.

IBA Group Celebrates 25th Anniversary

On May 17, IBA Group celebrated its 25th anniversary with a big celebratory event in Minsk, Belarus.

Located at a picturesque lake, the venue included indoor and outdoor entertainment zones. Guests had a chance to interact with robots, try a variety of fast food from food trucks outside the restaurant, or indulge in molecular cuisine. They could relax and sit on bean bags, have a walk on the riverbank, and chill out inside the restaurant.

The newly gathered band Soft Skills, which consisted of IBA Group’s employees, performed for the first time to the public. Covering a kaleidoscope of hits, the band acquired a number of fans among their colleagues and was greeted with enthusiasm.

However, the real highlight of the celebration was a live set of the Belarusian State Academic Symphony Orchestra. Performing on the riverbank, the orchestra played a number of classical pieces, as well as soundtracks of modern movies and TV shows, such as Skyfall, Pirates of the Caribbean, and Game of Thrones. When the music started, the night sky of the lake lit up with fireworks, making the orchestra’s performance truly magical and unforgettable.

In his speech, Sergei Levteev, IBA Group CEO, thanked the company’s customers and employees, saying that 25 years many people doubted the company’s success, but IBA Group overcame all obstacles to be where it is now.

The party concluded with a discotheque, where employees of IBA Group could dance the night away to the sound of electronic music.

Belarusian State Academic Symphony Orchestra

 

 

 

 

 

 

 

 

 

Belarus Drives IT Services Value

Peter Ryan

Technology is inherently democratic in nature.  There are very few countries in which a person cannot take an interest in IT from a hobby all the way to a prosperous career.  However, the global technology services market has never been more competitive, and standing out in a crowded field is challenging at best.  This is where forward-looking stakeholders in Belarus are coming to the forefront, in the provision of various technology offerings that are definitively oriented to export markets across the globe.  The Belarusian economy is steadily being moved toward technology, and there is a quiet confidence among its players that it will be successful in this modernizing agenda.

What immediately strikes any business visitor coming to Belarus is that the country is truly connected.  It should be remembered that Minsk was designated as the USSR’s technology hub in the 1970s by the then-Soviet government, and this culture continues to permeate.  With an estimated 100,000 IT experts living in Belarus, there is a vibrancy in the country’s atmosphere. Conference rooms and cafes bristle with lively discussions that take on both tech and entrepreneurial flavors.  And, forward-looking leaders in this space have laid the groundwork for both ongoing development and profit.

Consider the recently completed Hi-Tech Park Belarus, a modern facility that acts as a strategic incubator for entrepreneurs across the IT value chain. Current tenants include application developers, hardware manufacturers, and prospective disruptors, many of the latter focusing on crypto-currencies, an area in which Belarus’ IT sector is targeting for future growth. Each takes advantage of recently-passed tax abatements designed to help boost Belarus’ IT space.  Housed on the outskirts of Minsk, such a development would easily fit into Silicon Valley or Austin’s technology hub. But despite being uniquely East European in its flavor, the aim of the majority of this initiative’s members is to firmly implant their products and services in western markets.  And, based on historic precedent, there is reason to believe that they will achieve this end.

The ongoing success of Belarus-based IBA Group is testament to the opportunity that technology players from this country can find overseas.  With a list of services ranging from transportation management solutions through to RPA for leading financial services providers in South Africa, this company (which incidentally recently celebrated its twenty-fifth anniversary) has become an example of how IT services can be successfully exported from an emerging European location.  That IBA Group has recently opened a brand new campus in Minsk’s technology hub speaks to its success.

Read the full article at Ryan Strategic Advisory.

Peter Ryan visits High-Tech Park

Why Won’t Robots Replace Human Workers?

IBA Group
Mark Hillary

The business journals used to say that outsourcing and offshoring was replacing the need for companies to hire people. Now it’s the robots that are supposed to be taking our jobs. Business journals and commentators across the world are suggesting that a wave of automation driven by smart Artificial Intelligence (AI) systems will largely replace the need for workers.

But what is the reality? Forrester Research does believe that a big change is coming, especially to highly developed markets like the US. Their latest study on the global workforce suggested that in 2018, 9% of US jobs will be lost to automation, partly offset by a 2% growth in jobs supporting this automation – the systems need to be managed. The most impacted areas will be back-office and administrative, sales, and call centre employees. A wide range of technologies, from Robotic Process Automation (RPA) and AI to customer self-service and physical robots will change how people are hired and will create a need for different skills.

Analysis by McKinsey is cautious. They warn that just because it is technically feasible for tasks to be automated does not mean that every company will do so. This is similar to the earlier concerns about outsourcing. It is technically feasible to outsource almost every function of a company, yet few companies outsource everything.

McKinsey says that when planning what is possible to automate, first you need to rate jobs and tasks by their technical feasibility – is this a repetitive process that a robot or software bot could perform? For example, when thinking about manual work tasks such as a factory assembly line or food packaging are predictable and it is possible to consider how these tasks could be automated. Construction, forestry, or working with animals is highly unstructured and not predictable and therefore almost impossible to automate.

Let’s consider a simple example. IBA Group created an email bot that sorts incoming emails at the customer support centres. The EmailBot processes typical customer requests, grouping these by content, sending automatic responses, creating tickets, and gathering statistics. However, even a constantly-learning robot cannot process all customer requests. Roughly 50-70 percent of incoming emails are processed automatically and the rest are forwarded to the appropriate employees. Nevertheless, in this case the employees are relieved from repetitive operations and are able to focus on more complicated tasks so value is created.

But factories and manufacturing are just one part of the economy. In most developed economies services are a greater part of the economy. Here there are clear examples of how some automation can be introduced. Look at how customers in McDonald’s are now comfortable using a screen to order their own meal. Amazon has proven that an entire supermarket can be automated, so not even checkouts are required.

Computer Weekly recently published an interesting study of automation that draws the conclusion that the real story is not that robots will cause jobs to vanish. Some jobs will go, but millions will also be created because of the automation. The real story is that many of the jobs we are familiar with today will be transformed.

This rings true. Think about the skills needed by a finance assistant or Human Resources professional in an environment where many business processes will be automated. These office professionals need to be able to control the automation systems and improve them – the back office professionals you are now hiring probably need to be able to code software. That never used to be a requirement in HR, but it will be soon.

The McKinsey research analyses over 800 different types of job and explores the possibility of robots replacing these tasks. You can read the research here, but to my mind it is the transformation of skills that is the real story – not robots replacing workers. Workers need to understand how to work with the robots and control them so they can be more productive.

Essential Expansion of MS Power BI for On-Premise Environment

Šimon KvíčalaŠimon Kvíčala
The author of the article is Solution Architect of IBA CZ. The article was published in the BI supplement of IT Systems 9/217.

BI is an integral part of managerial decision-making. Šimon Kvíčala, Solution Architect at IBA CZ, writes about the benefits of a newly released component.

On September 5, 2017, Microsoft released an essential component of its Business Intelligence Infrastructure – the Power BI Report Server – that enables the Power BI to run On-Premise. The company expanded its portfolio to allow its customers to obtain all the benefits of interactive work with web and mobile devices without using Power BI cloud services and therefore without leaving sensitive data from internal company systems.

What is Power BI Report Server?

The Power BI Report Server offers a significant amount of Power BI features, namely:

  • Generation of reports using Power BI Desktop
    • Connection to data models of Analysis Services (spreadsheet or multidimensional)
    • Data visualization using built-in or custom visualization components
    • Creation of custom visualization components, which is an important difference from SQL Server Mobile Reports
    • Display and interaction with reports through a web browser
    • Export of report data to CSV
    • Print report pages
    • Display and interaction with reports in Power BI Mobile.

Please see the full information, documentation, and guidelines for users and developers on the Microsoft website.

License model of Power BI Report Server

The license model of Power BI Report Server offers two options.

The first option is for existing users of SQL Server 2008 R2 and higher Enterprise editions with active Software Assurance where it is possible to use the existing licensed kernels for Power BI Report Server. In addition, Power BI Report Server expands the existing portal environment of SQL Server Reporting Services, so there is no need to run two separate solutions (for paged reports and for web and mobile views).

The second option is to license Power BI Premium with Power BI Report Server. Power BI Premium delivers a dedicated cloud capacity and higher performance than Power BI Pro while not requiring individual user access licensing and includes Power BI Report Server for On-Premise reporting.

A common feature for both variants is that every author who hands over his/her reports for further processing to other users should also have the Power BI Pro license.

Alignment of Power BI Report Server with the Microsoft BI presentation tools

Alignment of Power BI Report Server with the Microsoft BI presentation tools

IBA Supports Sick Children

This year, the Belarusian children newspaper Polosataya Gazeta (Striped Newspaper) organized a charity event to support children who spent the summer in medical institutions. The list of institutions included the Republican Burn Center, Republican Scientific and Practical Centre for Traumatology and Orthopedics, and Republican Scientific and Practical Centre for Pediatric Oncology, Hematology, and Immunology, as well as long-stay patients of children’s hospitals in the Belarusian cities of Grodno, Gomel, Brest, Vitebsk, Mogilev, Minsk, Bobruisk, Orsha, and Mozyr.

IBA Group took part in the event, buying all 1170 new issues of Polosataya Gazeta, and sending the newspaper to the children’s hospitals. In addition, IBA employees wrote warm messages for little patients.

Anna Granovskaya, editor-in-chief at Polosataya Gazeta, said that the children received the messages and were touched by the kind words in them. She thanked IBA Group for the help. Anna also highlighted the importance of those messages, saying that parents were thankful for them, as the messages brought joy for their children in such difficult times.

IBA Group strives to contribute to the sustainable development of the communities in which it operates, improving the quality and well–being of these communities. This provides a source of pride in the company for our employees and a focus for their involvement in community life. You can learn about IBA’s CSR endeavors on our website.

We would like to say thank you to everyone who participates in our charity events. It is always a pleasure to work with such caring and kind people.

IBA Group employees send warm wishes to sick childrenIBA Group employees send warm wishes to sick children

How Is Nearshoring Changing?

IBA Group
Mark Hillary

The British technology magazine Computer Weekly recently published analysis by Professor Ilan Oshri of Loughborough university on how the European nearshoring market is adjusting to a more mature environment. In particular how different markets are aiming to distinguish themselves from the pack.

I wrote about this research from Loughborough university last month, but the constant push to regionalisation rather than globalisation – as I mentioned in my last blog – made me find this research again. In the context of the political activity in Europe and the USA, this is worth visiting again as it is taking on increased importance.

Anyone who has attended a nearshoring or outsourcing conference in Europe knows how the various regions promote themselves. PowerPoint slides are loaded full of statistics demonstrating government support, a steady flow of graduates, great local companies, and a low cost of doing business. In most cases though, the consistently positive messages from one presentation could be used by another country without anyone noticing that the message had changed – because the message in each pitch is largely the same.

Professor Oshri suggests that we should take it as read on the basic measure. Most European countries have good airports and a supply of graduates, so anyone considering nearshoring will be looking at other factors – the companies and trade bodies in those regions should appeal to these factors:

– Higher Value; what higher value can working in your region offer? What sets your companies or country apart? Are there particular industries you excel in or skills that are hard to find?

– Ability to partner; suppliers today need to move on from the traditional client-supplier relationship and become a part of the value chain. They need to be true partners, not just hired help.

– Innovation; many companies today are looking to their suppliers for advice on innovation. Innovating throughout the supply chain is becoming much more common – are you able to innovate for your clients?

In short, Professor Oshri is suggesting that when companies look to nearshoring regions they are looking for much more than just a low cost place to do business. If you are still marketing your region as low cost with a great airport then you might be losing business just because you are not looking ahead to the type of relationship companies really want.

In an environment where managers are thinking in detail about how to ensure processes are closer to home, this is more important than ever.

Try thinking of how your location is different. What differentiates you from the others? Focus on this, even if it is a niche difference. It will make all the difference in a nearshoring market that is growing fast as companies focus more on developing regional partners rather than long distance offshoring.

IBA Group Wins Second Place at IT Spartakiada 2016

On November 27, the organizers of the 13th sport competition among IT companies IT Spartakiada 2016 announced the results of this year’s tournament. IBA Group won the second place, following their successful performance in 2015.

Sixteen teams participated in the competition this year. For the first time in its history, IT Spartakiada was held in two stages, with the tournament starting in spring and finishing in autumn. In its spring stage, the participants competed in laser tag, swimming, poker, and indoor football. In autumn, the teams clashed in karting, kicker, bowling, table tennis, volleyball, and basketball.

IBA won the tournaments in kicker and bowling and occupied the second place in laser tag, poker, and swimming. The karting, table tennis, and indoor football teams finished fourth, while the basketball team ended the competition at the fifth place. This allowed IBA to finish at the second place in the overall standings.

Winners of IT Spartakiada are determined by the minimal sum of points scored by teams in their top seven sports. EPAM was the winner of this year’s competition, while ISsoft won the bronze.

Congratulations to our colleagues! We are proud of their success and wish them many more great achievements in the future.

IBA Group Wins Second Place at IT Spartakiada 2016

IBA Group’s CSR Project Offers Opportunities to Disabled People

IBA Group
Irina Kiptikova

On October 6, the Global Sourcing Association (GSA), formerly known as the European Outsourcing Association (EOA), held the Global Sourcing Leadership Summit and announced the winners of the 2016 EOA Awards. IBA Group was selected the winner in the category Award for Corporate Social Responsibility (CSR). The news is really exciting. The project that earned the award is really special.

IBA Institute, a member of IBA Group, trained 120 disabled people in system administration. Entitled Promotion of IT in Belarus among People with Disabilities, the award-winning project was the first IT education project for disabled people in Belarus.

As many people with disabilities were unable to attend in-class trainings, IBA Group conducted distance training. The students could see the teacher’s desktop, ask questions, make presentations, and prepare lab works on network behavior in Cisco Packet Tracer.

Following the training, IBA Group organized a contest among the graduates of the course to attract employers’ attention to the newly educated system administrators. The idea was to show that people with disabilities deserve praise and well-paid jobs.

The contestants were to troubleshoot network connection problems and to get access to web resources within two hours. The winner solved the task in one hour. Alexander Makarchuk, a completely paralyzed resident of Borisov, left behind the runner-up by 40 minutes. From an outsider’s viewpoint, it looked like he was singing canticles: e-e-e and the curser jumps up, a-a-a and it moves to the right…Technically speaking, Alexander manages the cursor using the software Vocal Joystick that ‘memorizes’ the entered words.

It was the first project in Belarus to socialize people with disabilities through IT education. As a result of the project, a community of learners with an immersive environment was created. Six project graduates, including the contest winner were offered IT jobs!

students

In addition to CSR, IBA Group submitted Belarus in the category Outsourcing Destination of the Year. Although Egypt was selected the winner, it is a big boost for Belarus to be shortlisted in this important competition.

As for the Global Sourcing Leadership Summit, it was held in Sophia, Bulgaria. Rosen Plevneliev, President of Bulgaria, opened the summit. After Bulgaria was selected the Outsourcing Destination of the Year in 2015, a letter of the Bulgarian President came to Kerry Hallard, NOA and EOA CEO. He invited the association to organize the 2016 summit and awards in Sofia. It goes without saying the invitation was accepted.

Bulgaria boasts the same competitive advantages as Belarus or Czech Republic. President Plevneliev mentioned qualified resources and political stability, calling Bulgaria “an island of stability” in Europe. People of different religions and politics co-exist in the country.

Kerry, now the CEO of GSA, announced that after 29 years the NOA brand stopped its existence and the NOA was transformed to the Global Sourcing Association (GSA). The new association signed cooperation agreements with Russian and Chinese outsourcing associations and adopted its Global Sourcing Standard.

The most popular discussion topics at the summit were gender equality, robotic process automation (RPA), digital technologies, and the meaning of Brexit for the European sourcing market.

See the full list of 2016 GSA European Award Winners

GSA Shortlists Belarus For Best Outsourcing Location Award

IBA Group
Mark Hillary

I blogged several encouraging reports from my visit to Belarus a couple of months ago including an interview with Valery Tsepkalo from the Minsk Hi-Tech Park (HTP) and Sergei Levteev, the IBA Group Chairman, however there is now some exciting news that verifies what these experts have been saying for years – Belarus has been noticed and recognised by the Global Sourcing Association (GSA), previously known as the European Outsourcing Association (EOA).

GSA Awards

Specifically, Belarus has been shortlisted as one of the best outsourcing destinations in Europe and IBA Group is shortlisted for the best European Corporate Social Responsibility programme.

The final decision will be announced at the awards ceremony in Bulgaria tonight. Whatever happens at the awards ceremony it’s a big boost for Belarus to be noticed in two important awards categories in this way. The best location and the company that is most responsible – all important, but given the information supplied by Valery and Sergei in those earlier interviews I’m sure that Belarus has a serious chance of winning the best location in Europe category.

Belarus has big local companies offering complete end-to-end solutions and expertise in systems integration, but the local startup scene is also extremely strong too. Companies like Viber and Wargaming are innovative and are defining the markets where they operate. Many services are now distributed via the app store for Apple and Android users and therefore the country of origin is noticed less than before – local players can quickly become global in this environment.

Government tax breaks and services such as the HTP are showing that even smaller nations can make a big impact in the global technology marketplace. Shortlisting Belarus as the best place in Europe for IT outsourcing is just one more step towards a more general recognition that this is a great place for running technology projects – good luck to everyone in the Global Leagership Summit & Awards tonight!

IBA Invites Children to City of Professions

On September 25, IBA organized an interactive family festival entitled City of Professions for its employees and their children to celebrate the beginning of the new school year. The festival was held at the Dream Land amusement park in Minsk.

Young visitors had a chance to learn about different professions. At the entrance to the festival, a special Job Center offered children various career opportunities.

The city comprised 15 educational stations where each child could try out a profession of his or her choice. Future workers received their employment record books, a bag of delicious treats, and ibucks – a special currency created for the participants of the festival. Children could exchange their ibucks for hot chocolate and rides.

Everything was ‘real’ in the City of Professions. To start working, youngsters had to wear special uniform and listen to safety instructions. Future firefighters trained in fire extinguishing using hoses, doctors learned to perform closed-chest massage and artificial respiration, pastry chefs baked muffins and cooked pancakes, artists painted their masterpieces, and detectives had to solve crimes. For their work children received ibucks.

Alongside with employees and their kids, IBA Group also invited children from the Social Pedagogical Center of Minsk’s Soviet District, the 410th daycare center, the 2nd gymnasium of Novopolotsk, and home for senior and disabled people of Logoisk.

Last year, IBA held another festival to celebrate Knowledge Day – Eco City.

To see pictures from City of Professions 2016, visit our Facebook page.

city of professions 2016

Why Using Cell Phones at Work Can Be a Good Thing

The recent Innovation issue of PULSE Magazine, a bi-monthly e-zine created by and for IAOP’s members, published an article by Sergei Zhmako, IBA USA General Manager. The publication titled Why Using Cell Phones at Work Can Be a Good Thing focuses on social and mobile tools and their place in the corporate strategy of an enterprise.

According to the article, mobile and social technologies, being a strong trend in the consumer market, have become a top priority for most enterprises. With two billion people across the globe using social media and half of the web traffic coming from mobile devices, organizations actively employ these technologies in their work environment.

Mobile and social technologies enable easier communication and collaboration between employees and provide an instant access to business information and learning materials.

Despite bringing exciting opportunities, social and mobile technologies may also bring a number of challenges, as transition to them requires additional skills and effort.  The article gives ten recommendations to consider in a mobile or social engagement. Here are top three of them:

1. Engage Users Early – companies must strive to engage users at the early stages of the project lifestyle, including prototyping and receiving quick feedback from focus groups.

2. Consider Added Features – new features, such as a GPS location sensor, camera, or mike, could be added to solution if such need arises.

3. Change Your Culture and Make It Fun with Games – gamification can contribute to easier transition to enterprise mobility.

You can read the full article here.

IBA Group Employees Successfully Run Minsk Half Marathon

On September 4, IBA Group participated in Minsk Half Marathon 2016, an event dedicated to the Minsk City Day. Over 20 thousand people, both professional and amateur runners, took part in the marathon.

This year, the marathon gathered participants from 42 countries, including Russia, Ukraine, Costa Rica, Kenya, and Japan.

IBA Group didn’t remain indifferent to the event and joined Minsk Half Marathon. Fifteen employees of the company participated in the marathon, choosing one of three available distances (5.5km, 10.55km, and 21,097km) and successfully completing them. Congratulations to our colleagues on their achievements!

Healthy lifestyle is encouraged at IBA Group. The purpose-built fitness center offers classes in aerobics, pilates, and yoga. Employees can visit a gym, play mini-football, basketball, volleyball, and tennis.  Rooms for billiards and table tennis are also available in the fitness center.

IBA Group frequently participates in various sport events, including IT Spartakiada, IT Karting, and other championships. The company organizes Tourist Rally, an annual two-day camping trip for employees, which includes sport activities and teambuilding.

In 2015, IBA Group took the first place at the 12th IT Spartakiada sport competition, winning gold medals in karting and bowling, as well as bronze medals in kicker and volleyball. The table tennis and basketball teams finished fourth and fifth respectively.

IBA Group Employees Successfully Run Minsk Half Marathon

Click here to see more photos from Minsk Half Marathon.

Interview: Valery Tsepkalo, Director of Hi-Tech Park in Minsk

Mark Hillary

I recently visited Minsk in Belarus as a guest of IBA Group. They were opening a major new facility in the city to expand their capacity and to boost their cloud capabilities globally. The new IBA Group facility is located inside the Belarus Hi-Tech Park (HTP), a venture partially funded by both the public and private sector to help boost the wider IT industry in Belarus.

I met up with the HTP director Valery Tsepkalo to ask him about the technology industry in Belarus and how the park fits into the wider development of an industry that is rapidly changing and expanding. Initially I asked about the park itself and what can be found at the HTP in Minsk. He explained: “We have been operating for a decade now, but it’s not just IT park facilities, it is also a wider concept of the companies and the park – like a representation of the entire IT industry. It’s like a club. Belarus is quite a small country and Minsk has most of the national IT industry so this park pulls everyone together and offers some physical infrastructure. We have the administration of the park here and our offices, but also a business incubator, education centre, and the individual company offices.”

After we talked, Valery gave me a tour of the incubator. It was an impressive area where the HTP offers office infrastructure to startups at a very low rate to help get them started and potentially become full-price HTP customers.

“We have 153 companies in the HTP with 24,000 software engineers. All of the companies are independent and all are privately owned, the government has no stake in them. We [the HTP] are an agency of the government and have an agreement with the member companies so they can take advantage of a special tax regime. We do demand an annual audit and an update on the companies every three months so our members are very open with their information. It’s important for potential clients to see this level of transparency in the IT industry. Big companies like Epam or IBA have their own international reputation, but being here helps the smaller member companies to build trust,” Valery explained.

So the HTP offers physical infrastructure, but also offers a chance for many people in the same industry to work in close proximity, creating opportunities for networking and sharing information on business trends. I asked Valery if the HTP is involved in the global promotion of the technology industry. He said: “Yes, but we don’t usually promote the HTP alone, we create delegations with our companies so other business owners can see the companies that are using the HTP. Often we work with chambers of commerce or our embassies internationally to create events that promote cooperation. When you are one part of the wider industry it gives everyone more clout than just promoting the HTP alone.”

This is an interesting point because many IT associations find it hard to get companies to cooperate when promoting their national industry overseas. Naturally every individual company is pitching for business, so the harmony they need to promote a region together can be hard to find.

Valery explained that when they talk to overseas customers there is a requirement to sell both the capabilities of the IT companies and Belarus itself: “We need to sell both the country and company. When we had quite strained relations with the US and Europe we asked clients to come and visit. Even if their view is not favourable based on the media then they quickly found that the reality is very different. It’s a normal country with no real difference to Greece or Slovakia. Clients that come here see a normal European country with hard working people. The best marketing is just to do a good job for your customers.”

The political image problem is something that cannot be ignored in Belarus. The nation has famously been called “the last dictatorship in Europe” by many commentators in the European and American media, so how can the companies in Belarus deal with such a negative media portrayal? I asked Valery if the general problem of how Belarus is perceived has been reduced now there are several important companies from Belarus working internationally. He said: “It’s one reason yes, but politically most western countries realise that this political situation is better than our neighbours, like Ukraine. At the end of the day whatever you like or dislike about the way that countries are run, at least if you have people there that you can negotiate with and you know that there will be good outcomes then it is better [for everyone]. In our part of the world the legal system is not quite like it is in the UK; it was basically just criminal law after the Soviet Union ended, but we are well on the way to improving this.”

It’s true that the IT market in Belarus is growing fast. Valery described some of the latest statistics from the HTP: “[In recent years] we were growing 30-40% a year, but it’s a bit less at present with about 20% growth in revenue. The latest figure was about $800m (USD) which is 46 times the entire IT industry here in 2005. So after just nine years of activity we have made an enormous difference – we plan to pass the $1bn figure this year.” He added: “The park is growing at about 3,000 new people each year and this has been a consistent level of growth for about the past five years. It’s a really good growth rate because [the industry analyst] Gartner suggests that most IT markets are growing 3,4, or 5% and in the last year the global IT industry actually declined by about 1.5%, yet here we are still growing at over 20%.”

Traditionally the IT outsourcing market in Central and Eastern Europe was all about serving companies in Western Europe, such as the UK and Germany, and being able to offer lower prices, but with a highly-skilled workforce. However the entire IT and IT services market is changing at present. I asked Valery what changes he is seeing from Belarus: “The service companies are moving to offer sophisticated complete business solutions. One of our companies is building the front office for eCommerce companies because many traditional retailers need to fight experts like Amazon – if you can’t match this kind of online service then you are lost.” He added: “The startup culture is an interesting trend too, like Viber [phone app similar to Whatsapp] for example or World of Tanks [battle game produced by Wargaming], one of the most popular games in the world right now. These companies start up and build a product rather than working for clients. Many companies like IBA Group have created start-up garages so their own employees can test out new ideas too. I remember when some of these products launched and they were very local, but many of these products have gone completely global.”

I asked if the app store business model had changed how IT companies in Belarus are delivering their services. Naturally the Apple and Android app stores have created an opportunity for IT companies to develop services anywhere and immediately have a global distribution platform available.

Valery said: “The app store model has definitely changed the market and allowed some of these companies to go global quickly. Even ten years ago I couldn’t expect results like this. When Wargaming entered the HTP they had about 30 developers and now they have over 2000. But now they are not just located here, they have teams all over the world.”

The HTP in Minsk, Belarus is a mix of trade association with physical infrastructure and some government support, but it is clearly supporting a young, vibrant, and fast growing industry in Belarus. What is really interesting though is that companies you might just think of as ‘European’, like Wargaming or Viber, have their origins in Belarus. It’s certainly a market that’s still growing because there is a local culture that is supportive of seeing every ship rise on the same tide.

IBA Gomel Celebrates 15 Years

IBA Group
Irina Kiptikova

On July 27, IBA Gomel, the second largest software development center of IBA Group celebrated its 15th anniversary.

The entire team and numerous guests gathered at the Locomotive Stadium in Gomel, the second biggest city of Belarus.

Igor Khobnya, IBA Gomel Director; Valentin Kazan, member of the IBA Group Board; Valery Tsepkalo, Director of Belarus’ High-Tech Park, Matthias Karius, Supplier Relationship Manager at IBM, and representatives of the Gomel city administration, universities, customers, and partners appeared before the audience.

They recalled the days when they began working with IBA Gomel, linking the company’s history with the history of the global IT industry, and thanked the company for excellent work.

The party was really cool! We all had fun greeting those who were honored for hard and brilliant work, listening to the hearty welcomes from partners and guests, watching the magic show, dancing, and simply enjoying the atmosphere.

Congratulations to IBA Gomel and its director Igor Khobnya! The company is truly happy to have Igor as an unchallenged leader and the IBA Gomel team as one of the best centers of excellence.

About IBA Gomel

IBA Gomel was registered as a legal entity on July 26, 2001, while the official opening was held on December 17, 2001. The founders were members of IBA Group, namely IBA Minsk, IBA IT GmbH, and IBA Intelligent Systems. The goal was to take advantage of highly-qualified human resources of Gomel Region with its long IT traditions and universities providing education in IT specialties. The first IBA Gomel’s project dealt with SAP development for IBM. Implemented in cooperation with IBA Minsk, the project involved ten programmers. Today, the team amounts to 350 IT specialists who work on different projects for local and international companies.

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Click here to see more photos from the party.

In Conversation With Sergei Levteev, IBA Group Chairman

IBA Group
Mark Hillary

During my recent visit to Minsk to see the launch of the new IBA Group campus I managed to find some time in the diary of Sergei Levteev, the IBA Group Chairman. We sat and talked about some of the issues facing technology companies and in particular how strategies such as nearshoring are changing.

I first asked Sergei about the way that IBA, and similar companies, present themselves to their prospective clients. Do they need to focus on the qualities of the company itself or sell the location where they are based?

He said: “There is a combination because if we are selling IBA then we also need to sell development expertise in Belarus, but we invite people to come and see what we do in Belarus and we are happy to introduce them to reference clients.”

He added that reputation and longevity is also important: “A key point is stability. We have been delivering from here for over 20 years. People are worried about various situations, such as politics, but it has been very stable here. Customers think about cost and quality, but they also want stability.”

The reality is that both the location of a technology supplier and the experience of the company are both equally important, as Sergei summarises: “Companies have to be located somewhere so we always invite clients to come and see where and how we work. It’s important to talk about both – give references for the company and show that the country is stable too.”

I was interested in any recent changes to the nearshoring market and as IBA has a particular expertise customising tools such as SAP, I asked how this market has changed. Sergei explained: “Customers always wanted to change products and this needed a lot of programming and changes. Now they often realise that they are buying a good product used by hundreds of thousands of customers so they change their business processes to fit the software. In this case we work more on a consulting basis, to help tune processes to the software product, rather than reprogramming it.”

This is an interesting observation because the customers have led it. As tools like SAP have improved, most customers no longer ask for development work to change the system, they ask companies like IBA to help them change their processes to fit the software system.

Sergei added: “If you compare the situation today to 5 to 7 years ago then it’s true, the customer would say that we know best and you should just do what we ask – the customer is always right. Today there is less programming and more of a focus on the vertical expertise, such as banking or retail.”

But in addition to this change in the nearshoring marketplace there is also the move towards business solutions being delivered via the cloud, rather than customers paying for entire bespoke solutions to be built. How has this trend affected IBA? Sergei said: “The customer no longer wants to pay for the future. They will not pay for infrastructure years in advance. They want to check if you can deliver a business solution and then agree on a monthly payment. They are not asking for a completely new system to be designed and built, they want to subscribe to an existing business service.”

He added: “This is one of the reasons why we invested in our new data centre. It’s not that we just want to have a data centre, it’s because we want to offer services to customers and for them to feel confident that they can pay for a service just like they pay for electricity now. IBM was talking about Software as a Service (SaaS) more than 10 years ago, but it was mostly theory then – now it’s a reality.”

So there are various trends reshaping the nearshoring market, such as the cloud, pay as you go business solutions, and a move to consulting rather than just software development, but has the nearshoring and offshoring debated changed completely?

Not so much. Sergei explained: “Software development is still a focus area for IBA Group. As for sourcing, the customer is always looking for the right mix of on-site, nearshore and offshore IT. We are working on a project in Lithuania and that’s really nearshore because people can come and go easily, but nearshore is more expensive than a completely offshore project. In the past few years we have seen many companies exploring in-sourcing, where they create new internal technology teams, but this is rarely economical and I think that it is a temporary idea.”

He summarised the big change ahead for the rest of 2016: “The cloud is still quite new, but it will be the future. The mentality of the customer has to change to use more cloud-based services. In Western Europe the cloud is mature, but here in Minsk there are many managers who would like to keep the technology in their office. However, I believe it will be the main form of IT service delivery in the next 2-3 years.”

The nearshoring market used to be focused on lower cost software development, but this is changing in several ways. Customers are looking for solutions they can rent more than building their own systems and when they do decide to buy a software solution, they are using IT companies for business process alignment, rather than making changes to the software.

All these changes suggest that cloud-based services really are the future for IT service providers, but not all of them will be able to build off-the-shelf solutions they can rent. Those who cannot win this new type of business will face ever-decreasing rates, as the customers look more to service quality without a big financial risk, rather than slashing the cost of developing new systems.

Click here to see images and videos from my visit to IBA Group in Minsk this month…

Launching The New IBA Group Campus in Minsk

IBA Group
Mark Hillary

I flew to Belarus recently to be at the launch event of the new IBA Group campus on June 8th. The new campus includes a large new office building housing over 900 team members, a data center, a fitness center, parking, and accommodation.

Of course, travelling from Brazil to Belarus is a long way to go just for a party, but there were some special guests at this event including Sergei Levteev, IBA Group Chairman, Sergei Nalivaiko, Minister of Taxes and Duties for the Republic of Belarus, Cesare Baroni, Vice President for Transformation and Operations, Systems & Supply Chain at IBM, and Valery Tsepkalo, Hi-Tech Park Director.

The IBA Group leaders and VIP guests all participated in a ribbon-cutting ceremony at the entrance of the new campus, which was also captured by a drone buzzing over the head of the crowd. When Sergei Levteev lifted up a symbolic key to the building over 300 balloons soared into the sky.

The new campus comprises these different areas:

1.    A 6-storey building with around 900 workplaces equipped with the latest engineering and telecommunication infrastructure
2.    A fitness center with a gym, a large game room, fitness rooms, and a table tennis room
3.    A data center built in accordance with modern international standards of reliability and performance and using modern energy-saving technologies of operating energy-intensive equipment. The heat generated by computer technologies of the data center is recovered and used to heat the fitness center
4.    Three-level parking lot for 400 cars.

The fitness center was impressive, with several basketball courts and facilities for 5-a-side football as well as other games such as pool and table tennis. All modern offices are now finding it essential to offer these spaces where tired techies can escape from their code for a while.

The office was modern and featured elegant transparent elevators that allow passengers to watch the horizon as they ascend to the top floor. It’s also possible to access the roof, where artificial grass creates another area for relaxation.

What I found most impressive on the tour of the new facilities though was the data center. I haven’t been to a data center for some time because most companies I know now outsource this requirement. However this is exactly what IBA Group is offering to their clients, a secure data center facility.

The data center had two completely separate power supplies from different substations on the power grid and they charged up two separate battery units. This allows the mains power to be used even if one section of the city grid fails and if there is a complete failure of the grid then the significant battery power storage allows the entire campus to keep on running for many hours – so the servers can be shut down in a controlled way if there is no chance of the mains power returning.

In most older data centers I have visited, the entire room is cooled, but in the IBA Group’s new data center every rack has fridge-style cooling in addition to the room being cooled. This kept the room impressively cool, even with a large party of guests opening and closing doors. Huge pipes pumped coolant around the facility with the excess heat being transferred to the fitness center.

A character from the future called “I” came and joined the launch event, bringing a celebration cake and a string quartet entertained the guests as they painted their own vision for the campus.

The launch event was both entertaining and informative. I have worked with IBA Group for several years now, but I was impressed to see that their abilities and scale keep on improving. This campus has only just opened and they already have another that will accommodate another 1,000 people being planned and ready to be launched as quickly as that one can be constructed.

I’m grateful that IBA Group allowed me to attend their launch event. It gave an incredible insight into the ambition of this company. Congratulations for this new campus launch and I wish them all the best for the new launch – when the campus that is still being planned is ready to launch then I’d love to return to see how much further the company has travelled.

Click here to see images and videos from my visit to IBA Group in Minsk this month…

Gartner Highlights Advantages of IT in Belarus in New Report

IBA Group
Mark Hillary

The analyst firm Gartner recently published their latest evaluation on offshore outsourcing for the EMEA region in 2016. The report paints a positive picture of nearshoring within Europe with labour rates substantially lower than most western European countries.

Gartner found that the Eastern European countries can also compete on their geographic and time zone proximity to other nations within Europe, and on the availability of language skills beyond just English. Countries such as Poland, Czech Republic, Hungary, Romania, and Bulgaria also offer political and economic stability through EU membership and close cultural affinity with Western Europe and the U.S.

What is interesting for companies such as IBA Group is that Gartner did explore the options further east. When commenting on countries such as Russia, Belarus, and Egypt the report says: “[these countries] offer lower labour rates, but entail higher risks concerning legal maturity, intellectual property protection, security and ease of doing business.”

Belarus scores well on several measures that Gartner mention in their analysis, particularly the high level of government support for business and the low local labour cost. The Belarus government has invested in education to create a workforce skilled in IT – it has been growing at 35% per year since 2006. Some of the government incentives include a 0% corporate tax rate and a flat 9% income tax rate – for companies using the Hi-Tech Park Initiatives.

Gartner cites the Payscale index and suggests that a software developer in Belarus earned $14,000 to $16,000 per year based on data from last year. The labour inflation in Belarus is 5% per year and employee attrition/turnover rates are also around 5% per year – both figures are relatively low compared to other European countries.

Most IT activity in Belarus is focused on Minsk, but other locations are rapidly growing and also featuring technology parks, such as in Gomel, Grodno, Brest, Vitebsk, and Mogilev.

The Eastern European nearshoring is well known already, but it’s exciting to see that companies such as Gartner are now seriously covering locations such as Belarus.

IBA Group Wins IT Spartakiada

On November 15, the IBA Group team won the first place at the 12th IT Spartakiada sport competition. The multi-day event included matches in basketball, volleyball, karting, bowling, table tennis, and kicker.

Nineteen teams from various IT companies participated in IT Spartakiada, with the first competitions starting in September. IBA Group won gold in karting and bowling, as well as bronze in kicker and volleyball. The table tennis and basketball teams finished fourth and fifth respectively.

Winners of IT Spartakiada are determined by the minimal sum of points scored by teams in their top five sports.

Later on November 28, Miss IT 2015 was held a part of the IT Spartakiada. Evgenia Sudakova, a software engineer from IBA Gomel represented IBA Group. Her choreographic piece impressed the audience and jury by its plasticity and artistry.

The originality of Evgenia’s image, her erudution, and ability to present herself were praised by the jury, which named her the winner of Miss IT 2015 and awarded the young woman a well-deserved crown. It was the first crown for a contestant from Gomel.

We congratulate the IBA Group team and Evgenia on their titles and wish them more success in the future.

IBA Group Team Wins Bowling Competition at IT Spartakiada
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