Enigma Operations

Virtual Net Plc. provides a service network for IFAs based in the UK. In the last 12 months it had a commission turnover of around £10 million. In October 2006 it became the first adviser firm within the UK to outsource business functions to Latvia.

Enigma Operations based in Riga was chosen primarily for the cost savings it presented to Virtual Net Plc. By outsourcing to Latvia it was able to reduce its central staff numbers by 25% and as a result is expecting to save £400,000 over the next 3 years. In addition, Virtual Net cited several other reasons for its decision to move to Latvia: the vast amount of English speakers, membership of the EU with all the benefits that entails for employment and risk management legislation, and finally, its proximity to England, just two hours flight away.

“We have been planning this for some time based on need to continue to increase efficiency. We now lead the network arena in EDI and commission reconciliation at incredibly low costs. Latvia has highly qualified people who are keen to make a positive input into businesses development.”

“We are now working with Enigma to re-engineer all of our systems to make them more efficient and better for members. We will be able to reduce development costs by up to 70% through this outsourcing relationship, and improve quality.”

Junior Sobowale
CEO of Virtual Net
www.vneurope.com
http://www.vneurope.com/site/pdf/LatviaOutsourcing.pdf