Offshore Business Processing
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Why Philippines?

The Business Process Outsourcing (BPO) industry in the Philippines has become one of the pillars of its economy. It has been growing in strength for the past 10 years with an annual growth of 46% since 2006. In 2012, the BPO industry achieved a stellar growth of 26%, with its generated export earnings reaching $9B. The following factors contributed to this success:

  • Reduced labour costs
  • Positive work ethics
  • Skilled and globally competitive professionals
  • High-degree of proficiency in the English language
Why Philippines


Make an Inquiry

Contact us to find out more about how we can help your business maintain a competitive edge.

 

Advantages of Offshoring
in the Philippines

Cultural Compatibility

Cultural Compatibility

The country's cultural affinity with Western customs and traditions and its strategic geographical location has made it the most ideal offshoring destination in the world. This cultural compatibility ensures that you can direct, coordinate and communicate with ease . Filipino professionals work the same hours and practice remarkable work ethics, whilst retaining their polite and humble demeanour.

Impressive Digital Connection

Impressive Digital Connection

The Philippines has distinguished itself as having the best telecommunications infrastructure in the Asia Pacific region. This superiority, spearheaded by the tremendous investment of the Philippine Long Distance Company (PLDT) in enhancing the country's digital connectivity, guarantees efficient communications throughout your offshoring operations.

In 2013, Telstra Global partnered with PLDT to deliver international Ethernet Private Leased circuits (EPL) to the country. With this, the Philippines was included in Telstra's growing list of Ethernet enabled countries.

Strong Government and Industry Initiatives

Strong Government and Industry Initiatives

The Philippine Government and the BPO Industry join forces in further developing the country's role as the number 1 offshoring destination through the following industry efforts:

  • Huge investment in Next Wave Cities
  • 8% to 10% cost reduction impact incentives
  • Creation of regional Information and Communications Technology (ICT)
  • Active participation in Advanced English Pre-Employment Training (AdEPT) and Expanded Learning on IT Services (ELITES)

These initiatives secure the Philippines as a global competitor in the BPO industry.

Highly Skilled and Available Workforce

Highly Skilled and Available Workforce

Generally, there are six (6) basic skills which are required from any aspiring remote staff professional. These include:

  • Critical thinking skills
  • Agility and adaptability
  • Creativity and innovation
  • Collaboration across networks
  • Accessing and analysing information
  • Effective oral, written, multimedia and multilingual communication skills

The Philippines continues to elevate the workplace performance of its pool of professionals. It aims to better its literacy rate of 95.9% in 2013 by adding the above mentioned traits to its population. It plans to do this through the following efforts:

  • Huge investments in education and training of technical skills and basic core competencies
  • Reputable universities providing large numbers of candidates entering the workforce every year
  • Continuing support from government agencies and departments in enhancing and promoting 21st century skills and ongoing professional development
Low Costs and Increased Conversion Rate

Low Costs and Increased Conversion Rate

India and China may be considered as the top two BPO countries offering the lowest rates, but taking into consideration the above mentioned offshoring advantages, it remains clear that offshoring to the Philippines remains the best choice.

  • The Philippines is consistently placed as one of the most cost competitive destinations for BPO services, particularly IT-BPO industries.
  • Total labour costs at a small percentage of the cost of equivalent jobs in Australia and the USA
  • Outsourced teams operate less than 50% of onshore costs
 

Offshoring Philippines:
Australia's First Choice

Other countries which offer business offshoring services include Vietnam, Thailand, Indonesia, India and China. However, the Philippines remains the first choice for many, including large Australian companies such as:

  • ANZ
  • Jetstar
  • Salmat
  • Telstra
  • Macquarie
  • Comscentre

The main advantages that the Philippines have to offer include:

  • Established itself as a mature destination in a competitive global environment
  • Secured itself as one of the most cost competitive destinations for IT-BPO services
  • A high degree of proficiency in English language skills
 

Outsourcing Advantages in the Philippines for Australian Companies

Recently, many Australian companies of all sizes have been offshoring office jobs to the Philippines. Major advantages of the Philippines include its location and similar time zone to Australia:

  • Same time zone with Western Australia
  • Two (2) hours behind the East coast of Australia (AEST)
  • Four (4) hours behind the New Zealand
  • Short flying time of only 7.5 hours from Melbourne
 

Offshoring Philippines:
UK's First Choice

Large migration of skilled, semi-skilled and unskilled jobs from the Philippines to the UK has been recorded in history. However, the rapid growth in technology and the heightened English proficiency of the Philippine workforce triggered a shift from this trend.

In the year 2009, the National Outsourcing Association (NOA), UK's only outsourcing trade association, awarded the Philippines as the Offshore Outsourcing Destination of the Year beating Egypt, Malaysia, Russia and Sri Lanka. Today, we see more and more companies from the UK relocating their jobs offshore to the Philippines, most of which specialises in :

  • Direct Response Television (DRTV)
  • Customer Service
  • Billing Service
 

Offshore Outsourcing Advantages in the Philippines for UK Companies

Aside from the impressive pool of experienced and qualified professionals in the Philippines, some of the major advantages that makes it stand-out from the competition are:

  • Low wage and telecom costs
  • Specialists in application developments and legacy application maintenance
  • Close cultural affinity to the UK
  • Good command of the English language
 

Impact of Offshoring in the Philippines over the Past Five Years

The BPO industry in the Philippines is:

  • The third largest export earner on net value add basis
  • A major contributor of 4 to 5% annual GDP of the Philippines
  • The catalyst for the growth of 10+ Next Wave cities adding over 50,000 jobs
  • The largest private sector new job creator, with approximately 300,000 direct jobs and over 700k to 1M indirect jobs generated
 

Forecast of the Offshoring
Philippines Industry

In 2016, the IT & Business Process Processing Association of the Philippines (IBPAP) predicts that industry earnings could reach $20B. As it is expected, the industry will continue to expand at rate of 15% annually. With the creation of approximately 1.5M new positions by early 2016.

However, the trend transfers to non-voice BPO against the once dominating voice BPO accounts. Moreover, a shift to banking, media and healthcare industries from the traditional finance and accounting as well as human resources will also be seen.

Taking these points into consideration, the Philippines was the obvious and number one choice for OBP.

Enjoy all the advantages of offshoring in the Philippines. Call us today on +613 9975 7040 or contact us online. We are happy to offer you a free consultation to show you the ease and convenience of relocating your back office jobs offshore. Make the change and aspire to be a more productive, more efficient and more convenient business operation with us.


Make an Inquiry

Contact us to find out more about how we can help your business maintain a competitive edge.

 
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