Business Process Outsourcing in the Philippines

  • February 10, 2011
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By Chiena Bondoc

In the Philippines, an industry is rapidly emerging. This is the Business Process Outsourcing (BPO). The industry itself was regarded as one of the fastest growing industry in the world. Its sudden increase was led by the claim for offshore call centers.

BPO as an industry has become a great benefit in the economy of the country. It was calculated approximately that 112,000 people who were working in call centers in the Philippines in the year 2005, bringing in profits of US$1.12 billion for the year. This is a sharp increase from 2000 when call centers employed 2400 people and earned US$24 million.

When outsourcing is being talked about, the first thing that comes in people’s mind is call center outsourcing. Primarily because there are a lot of call center companies here due to the proficiency of Filipinos in English ans Spanish. As a result, the call centers form the largest part of the BPO in the country. But besides call center, there are still others that are being outsourced. Some of these are data analysis, research process, IT operations, engineering design, medicare, legal support services, art,animation,editorial and DTP work, software development and environmental services.

Here are some information about few outsourced works:

IT Operations
In the field of outsourcing, this is considered to be one of the newest. The activity basically includes the management of IT assets of corporations from a remote location.

Medicare
This is often advertized as the most promising yet debatable area of outsourcing. The services that can be outsourced in Medicare could be anything from the trivial keying in of the physicians transcript (in audio) of the treatment records into a structured documents to physically sending the patients to another country for treatment. Other services include utilizing the service of radiologists at a remote but competitive country to interpret scan images such as CT or MRI.

Art,animation,editorial and DTP work
This is where the creative business finds its overseas partners at a competitive country. Anything from apparel design to cartoon animation in the creative business is outsourced.

Software Development
This must have been the most talked about subject in the outsourcing field. Most likely because of the very nature of the software, outsourcing in software development has quickly evolved as compared to other fields of outsourcing.

In the country, areas such as Baguio City, Bacolod City, Cagayan de Oro, Cebu City, Clark, Davao City, Dumaguete City, and Iloilo City are being improved for offshore operations. This just simply shows that truly BPO is emerging. And not just that, we are really doing good. The Philippines’ Center for International Trade Expositions and Missions (CITEM) report for 2004 cited the Philippines as among the top 10 choices for offshore operations. Besides that, a survey by Kelly Services, Inc. based in Michigan, showed that India is no longer the first pick of U.S. companies looking to setup their offshore backroom operations. The study also mentioned companies eyeing the country as the better location due to quality.

SOURCE:
http://en.wikipedia.org/wiki/Outsourcing

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