For decades, small, medium, and large businesses have relied on outsourcing to scale their teams, cut operational costs, expand their global footprint, and leverage a global knowledge base over their competitors. Among other countries considered as Business Process Outsourcing (BPO) hubs, the Philippines stands out. Numerous companies are shifting their operations to the country and the number of investors continues to grow. Last year’s revenue from the BPO industry was around $24.5 billion. By 2022, the industry experts predict the BPO industry will produce a whopping $38.9 billion in revenue. Find out the main reasons why the Philippines’ outsourcing is the world’s hotspot.
Native English skills
Aside from Tagalog, English is considered the official language of Filipinos. With over 90% of the country’s total population having English as their second language, the Philippines is considered one of the largest English-speaking countries in the world. The English language is incorporated in the everyday life of Filipinos from the product labels, traffic signs, to educational materials. Filipinos are also known for their neutral accent and knack of quickly imitating English accents, making the country more attractive to businesses.
High Literacy Rate
Ninety-five percent (95%) of BPO professionals are college graduates, with varying degrees from sciences, engineering, communication, IT, finance, to business. This educational advantage set the Philippines apart from other outsourcing countries because of its ability to cater to a wide range of BPO sectors from education, finance, banking, healthcare, software services, IT, energy, insurance to real estate.
Readily Available Workforce
Millions of Filipinos are employed in the BPO sector and thousands of fresh college graduates apply to call centers each year. This offers a pool of fresh talents eager to prove themselves and experienced call center professionals well-versed in the BPO industry. Aside from having a readily available workforce, Filipinos also have a reputation for retaining long relationships with their employers, further decreasing hiring costs for businesses.
With the BPO industry as one of the top revenue generators in the Philippines, the government provides ample support and resources to further propel the industry. Through training programs, the establishment of better policies for foreign investors, and continuous infrastructure improvement, the government is taking various steps to encourage the growth of call centers in the country.
Decades of American colonialism in the Philippines is proving to be another edge for the Philippine BPO industry. The country has the most Western-oriented culture in Asia, making it easy for businesses to work alongside Filipinos. The Philippine workforce easily adapts and understands Western culture, which translates to an easy familiarity and relatability when dealing with clients.
Proven Track Record
Outsourcing in the Philippines started way back in 1992. Up until now, the industry is still steadily growing. This year, 17% growth is expected. Data and statistics prove that the process of outsourcing in the Philippines is effective and successful for businesses.