THE Penang government is in the midst of developing a new Global Business Services (GBS) facility to cater to the growing needs of the industry.
The Penang Development Corporation (PDC) has started working on the project – GBS One Mahsuri – which will be located next to the PDC headquarters in Bayan Baru.
Chief Minister Chow Kon Yeow said works were scheduled to complete by the first half of next year (2020).
“Upon completion, GBS One Mahsuri will provide 80,000sq ft of Grade A office space to meet the current needs of the GBS industry.
“It is the state’s plan to offer a conducive enterprise workspace and environment for investors, while supporting talents worldwide,” he said in his speech during the opening of the 5th Penang Global Business Services Conference (GBS) at Hotel Equatorial Penang today.
Chow said the GBS industry in Penang was moving into the next growth phase, driven by the state’s digitalisation initiatives.
“Through investPenang’s initiatives, the GBS industry today does not merely supports the routine functions and transactional services.
“The state government has attracted multinational corporations (MNCs) to set up their high-value shared services operations here.
“Penang has established itself as the ‘Silicon Valley of the East’, with its 50 years of industrial experience.
“Our manufacturing capability, particularly in the electrical and electronics-related sector, is well recognised.
“The manufacturing industry may be Penang’s core economic driver; however, the service industry is equally important,” he said.
Chow added that the GBS operations in Penang complemented and synergised with the manufacturing industry.
“There are more than 60 companies with GBS operations in the state, and about one third of them are captive players with their manufacturing footprint here.
“Among them are B. Braun, Cypress, Intel, Jabil, Motorola, Osram, and Seagate.
“There is also an increasing trend, where MNCs with no physical manufacturing presence in Penang have opted to establish their shared services operations in the state. Among them are Celestica, First Solar, Swarovski, and UST Global.
“These evidences showcase the state’s versatile talent pool, both in technical knowledge and language proficiencies,” Chow said.
Chow also said that the GBS industry has created more than 12,000 high-income jobs.
“The Penang Global Business Services Focus Group (GFG) was established in May this year, with investPenang being the Focus Group’s lead agency.
“The Penang GFG is the first GBS Focus Group outside Kuala Lumpur. It allows various stakeholders to have a platform to share information, ideas and concerns related to the industry.
“This will deliver a channel that provides effective feedback on Government policies, shared studies and reports for benchmarking and best practices,” he said.
Penang GFG chairman Kim Chin Kuang said there were 10 committee members in the Focus Group.
The conference also saw the launching of the Penang GFG logo.
investPenang director Datuk Seri Lee Kah Choon thanked the MNCs and the industry players for their support.
He encouraged more talents to be part of the industry.
Malaysia Digital Economy Corporation (MDEC) and Outsourcing Malaysia (OM), a Chapter under The National Tech Association of Malaysia (PIKOM), were the strategic partners of the 5th Penang Global Business Services Conference.
Also present was investPenang chief executive officer Datuk Loo Lee Lian.
Story by Christopher Tan
Pix by Noor Siti Nabilah Noorazis
Video by Darwina Mohd Daud