What is the relationship between BPO Philippines and Indian service providers? How do these two interact and what are their common benefits? The BPO (business process outsourcing) industry in the Philippines has emerged as a major engine for growth of the local economy. This offshoring activity has opened new doors for both domestic companies and foreign ones to tap into the massive potential of the market. Offshore outsourcing leads to considerable cost savings, and also creates a much more flexible workforce, skilled in both technical and non-technical aspects of business operations.
In the Philippines, there is a very active private sector which is contributing to the country’s economic recovery, and this contributes in large measure to the country’s overall growth and dynamism. But outsourcing is not just about private companies. Large multinational companies have been venturing into the Philippines in large numbers, particularly in the last decade or so. One of the driving forces behind the Philippines’ decision to open itself up to international services providers is its recognition that it has a lot to offer and is ripe for development, specifically in the realm of BPO. The private sector is now playing a bigger role in the government’s plans for economic uplift offshore outsourcing.
As far as the BPO Philippines is concerned, this is an industry where you can tread on water. You can easily establish your presence here without having to spend huge amounts of money on setting up facilities. There are also a lot of corporate service providers who have decided to establish their own head offices in the Philippines. Even service providers from foreign countries such as India, the United Kingdom, and Germany can be found here.
So what makes the Philippines so attractive to outsourcing firms? First of all, it offers competitive advantages, and these are in the area of cost effectiveness. The Philippines has one of the lowest labor costs in the world, and this accounts for its low equipment rental – the country also boasts of an infrastructure well suited for BPO. In addition, there is also a low population density, and its infrastructure is mostly consisting of roads and railways; compare that to other outsourcing destinations like India and the United Kingdom, where the infrastructure is often considered to be mediocre at best. As far as the cost of establishing an office in the Philippines, the main reason why people choose this country for BPO is because the government has exerted a lot of effort to promote business in the country.
BPO in the Philippines has also attracted large corporations due to the presence of a well-developed logistics industry – the lack of which would no doubt hinder BPO in the Philippines. It is due to this that the Philippines is able to maintain competitive advantage vis-a-vis other outsourcing destinations in the global market. Another important advantage that the Philippines has over other countries when it comes to BPO is the government’s ability to encourage the development of private businesses.
One of the most important areas in which BPO in the Philippines excels compared to other outsourcing destinations is the quality of the service providers it gets. There are major corporations in the country that operate by using back office services to handle the day-to-day operations of their company. A lot of time and money is invested on research, and the best service providers are often selected – this ensures that your company remains competitive in the global market. The Philippines is also a preferred location for outsourcing IT related tasks like website designing, website development, web application development and programming, and server provisioning – all these services make BPO in the Philippines a viable option for most business process outsourcing service providers.