Challenges and Opportunities in Times of Change: Highlights of the First Ukrainian Outsourcing Summit

Kyiv hosted a pivotal event for C-level executives, top managers, and founders of service companies — the Ukrainian Outsourcing Summit. The summit brought together leading tech market players, government officials, tech clusters, financial sector representatives, and donor organizations for an open dialogue. Discussions centered on critical issues facing the tech industry, including the challenges of operating during wartime, legislation and taxation, the investment climate, and growth opportunities.

A new tool for global market entry

According to IT Research Ukraine 2024, Ukraine currently has 2,118 active and verified tech companies, with half of them operating in the service sector. This highlights their critical role in the Ukrainian tech industry.

Mykhailo Fedorov, Vice Prime Minister and Minister of Digital Transformation of Ukraine emphasized this during the summit:

“The outsourcing industry has become a vital sector of the economy and a cornerstone for many products. That’s why we are committed to fostering greater freedom for its development and growth.“

He introduced CodeUA, a new project by Lviv IT Cluster developed in collaboration with the Ministry of Digital Transformation. This tech marketplace is designed to connect Ukrainian tech companies with global players. It is an all-in-one tool for finding clients and interacting with companies worldwide.

“This project will enable us to deliver a stronger message to the world about Ukrainian tech,” added Mykhailo Fedorov.

The marketplace was presented internationally at the Web Summit in Lisbon. Oleksandr Bornyakov, Deputy Minister of Digital Transformation, shared initial results:

• 304 companies registered on CodeUA within a week of its launch, with 171 joining on the first day.
• An additional 30 companies are now undergoing verification.
• The platform has already attracted 83 clients and recorded 282,000 visits along with 3.05 million search queries in just seven days.

“We view CodeUA as a powerful new marketing channel for businesses. Our goal is to showcase every company on the platform, helping them generate new leads and convert them into clients,” emphasized Oleksandr Bornyakov.

Data-driven business optimization

At the summit, Yaryna Vozniak, Research Lead at Lviv IT Cluster, presented findings from IT Research Ukraine 2024 – a comprehensive study on Ukraine’s tech industry during wartime. The report covered:

• The role of the tech industry in Ukraine’s economy and the industry’s growth potential.
• Business performance of tech companies and their future prospects.
• Talent availability, income dynamics, and migration trends among professionals.

“68% of tech companies reported stable or increased revenues in 2024 compared to last year, demonstrating the resilience of Ukraine’s tech industry despite the challenges of war,” said Yaryna Vozniak.

The insights offer valuable tools for leaders seeking to adapt to changes and explore new growth directions.

Bridging business and government

The summit served as a platform for discussing key business-government issues. Danylo Hetmantsev, Chairman of the Verkhovna Rada’s Finance, Tax, and Customs Policy Committee, stressed the importance of creating equal opportunities for all market players while eliminating taxation distortions that hinder economic development.

“This does not exclude incentives for industries we consider key drivers of the economy, such as tech, which creates jobs and generates significant tax revenue. Initiatives like Diia.City are a reflection of our policy to support these sectors,” he noted.

Kateryna Chernohorenko, Deputy Minister of Defense, elaborated on the Reserve+ app, a tool for tracking military mobilization.

“The app became the Ministry of Defense’s largest digital product with 3.5 million users, proving Ukrainians’ readiness and demand for digital tools,” she said.

Strategies for navigating challenges

Real-life case studies from leading service companies were also shared. Antonina Skrypnyk, VP of Financial Services and Consulting for EMEA at SoftServe, highlighted key challenges, including high costs, technical debt, low productivity, client loss, and management complexities.

“The solution lies in a holistic approach, including security, regulatory compliance, ESG integration, certifications, corporate culture development, and process alignment,” she explained.

Vitalii Sedler, CEO of Intellias, emphasized the need for CEOs to stay engaged in operations and take on a crisis management role during tough times:

“CEOs must act as the hands of the business to steer it through challenges.”

Viktor Chekh, founder and CEO of Sombra, identified three priorities for scaling businesses: team building, selecting the right clients, and generating quality leads.

“It makes no sense to hire smart people and tell them what to do. We hire smart people to tell us what to do,” he advised.

Organizer: Lviv IT Cluster 

Partners: Ministry of Digital Transformation, PrivatBank, and Visa. 

Media partners: The Page, Mind.ua, Рубрика, LIGA.net, American Chamber of Commerce Ukraine.