Outsourcing can help startups or established businesses. Moving your business processes to third parties in some of the top countries for outsourcing, like India and the Philippines, offers a ton of opportunities.
You can save costs, hire from a skilled talent pool, complete projects quickly, access flexible staffing, and much more.
Like India, the Philippines is one of the best countries for outsourcing services in Asia. It’s the 2nd biggest BPO sector in the world.
The country has held the title of ‘The BPO Capital of the World’ for over a decade. Several international companies, including Microsoft, IBM, UPS and Wells Fargo, outsource to the Philippines. The Philippines is now the world’s top destination for business process outsourcing (BPO), accounting for nearly one–fifth of the global BPO market.
With great talent, lower salaries and a supportive government, it’s no surprise that the Filipino outsourcing industry is booming!
Before going into why the Philippines is perfect for outsourcing solutions, it is important to cover why you should outsource in the first place:
One of the key benefits of outsourcing is that it helps you instantly improve any business process for better economic growth.
You are not wasting time and resources training your current staff to handle these activities. Instead, you are directly leveraging experts for the task.
By outsourcing your business activities, you’re not only saving money, but you’re also optimizing them too!
Tons of companies outsource activities to give them more time and resources to focus on their core tasks. For example, if you’re a recruitment agency, you can outsource your talent sourcing services to help you focus on finding great talented people.
This way, you can focus solely on your core activities while ensuring that the non-core tasks in your roadmap are performed as well.
Another wonderful thing about outsourcing around the world is that you can always have someone working.
For example, if you are a US-based company, your outsourced Filipino staff can handle customer calls when you’re asleep! This ensures that you are able to cater to customers 24×7 without overworking your employees and compromising on quality.
The outsourcing industry in India offers several cost-saving opportunities for businesses. The hourly rate for many skilled professionals in the Philippines is significantly lower than other western countries. This is primarily because the country has a low cost of living, and an abundance of skilled labour.
Filipinos are known to have high English fluency.
In the European Fellowship’s (EF) English Proficiency Index for 2021, the Philippines ranked 18 amongst 100 countries worldwide. Additionally, the country has an impressive literacy rate of 98.18% as of 2021.
The English language fluency helps Filipinos carry out customer service jobs with ease, especially for businesses with an English-speaking target audience.
The Philippines has favorable tax laws that help its outsourcing industry attract businesses worldwide. The Philippines government introduced the Philippine Economic Zone Authority (PEZA) to help businesses, including outsourcing companies, receive tax exemptions.
Outsourcing activities eligible in PEZA registration include software development, BPO services, IT outsourcing (Information Technology), and more.
The most outsourced services to the Philippines are customer services, data entry, and other BPO services.
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