Outsourcing in the Philippines: Why It’s Here to Stay
Believe it or not, when it comes to the most trusted and popular countries for BPO (business process outsourcing), the Philippines has always been the leading and preeminent choice. Apparently, it’s one of the flourishing industries and a major source of employment in the Philippines.
Why Outsourcing in the Philippines is a Viable Choice?
The BPO industry has transformed the geopolitical trend of the country. It’s more than just a profitable and rewarding enterprise as it offers excellent, lucrative jobs to millions of Filipinos. This industry is known for quietly uplifting investments and economic activity.
The Philippines’ boom as a business process outsourcing sanctum has seen its growth as an all-encompassing leader in equipping value added BPO services. According to Tholons, as of 2017, the Philippines ranks as #3 in the Top 20 outsourcing nations in the world.
Factors that Contributes to the Growth of the BPO Industry
There’s a reason why the “sunshine industry” or the business process outsourcing industry in the Philippines is thriving. Over the years, there have been a few aspects which have guaranteed the Philippines’ continuous rise as a world player in BPO services.
Primarily, when the business process outsourcing industry was still in its pioneering stages in the Philippines, Bill Gates handed out free Microsoft Apps Licenses to the personal computers for public schools. In return, it helped the BPO industry to grow in the country, without having many expenditures.
Another key factor for the growth of the BPO industry in the country is the whopping number of incentives given to the investors. It includes tax holidays, simplified import procedures, tax exemptions on foreign equipment, and the privilege to make use of foreign nationals.
It’s also good to stress that Filipinos are not only eloquent in Western-accented English but are also more forbearing and uncomplaining. The Philippines’ close relationship with the Western culture and strong analytical skills set them apart from their counterparts from other countries.
Moreover, the Philippine government is keen to authorize necessary legislative changes which aid international organizations considering to outsource to the Philippines. For example, the Data Privacy Act, which secures sensitive information on a daily basis.
Last but not the least, the Philippines aims their attention on thriving industries in both non-voice and voice sectors. For instance, animation, healthcare information management, GICs ( global in-house centers), and gaming as well.
Benefits of Outsourcing to the Philippines
Businesses of all sizes and shapes have been reaping the rewards from outsourcing to the Philippines for years. Here’s a list of them.
Perhaps the number one reason why companies all over the world choose to outsource some of their operations in the Philippines is the cost. Aside from the low cost of labor, the client doesn’t have to pay for the equipment, office space, HR and legal expenses, taxes, and computers.
If you wish to create and assemble a team in the Philippines equipped with diversified skills, then the possibilities for you is ceaseless.
The Philippines is one of the countries in Asia that’s proficient in English. Thus, businesses of all shapes and sizes can hire a willing and ready workforce easily and quickly. Outsourcing to the Philippines means you have better access to talent, at a small amount.
If you employ the right BPO company, you will, without a doubt, reap exceptional service concerning your operations. Your outsourcing partner will manage and supervise the management, as well as the internal problems.
According to the Philippine Statistics Authority (PSA), the median age in which Filipinos start working is 23 years old. This demographic complies and tailors to the demanding needs of the market, remaining sharp and adaptable so your company can too.
The BPO industry has shown impeccable growth over time. It has become crucial to the Philippines’ economy, cited as an “economic lifeline” and “major economic pillar.” With lower taxes, firm and stable government, investor support, and risk environment, Philippines is undoubtedly an outsourcing destination like no other.
Outsourcing in the Philippines
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- Outsourcing in the Philippines: Why It’s Here to Stay - September 19, 2018