During an economic briefing, to improve its information technology business process outsourcing industry it should push towards the lucrative are of writing software will be Cebu’s strategy. The Cebu Investment Promotions Center managing director, Joel Mari S. Yu stated that the thrust is also in line with the recommendation of the international research firm Tholons for Cebu. This is to improve its knowledge process outsourcing capabilities and make inroads in information technology outsourcing. Based on CIPC, the Information Technology Business Process Outsourcing is one of the two fast growing sectors in Cebu with an export sales increasing from barely $200 million in the year 2005 to $1.5 billion in the year 2011 and during the 2012 Cebu Annual Economic Forum and Investment Briefing initiated by the Cebu Business Club and the University of San Carlos Economic Department. Cebu has 126 foreign direct locators which employ around 65,000 workers, that is the records from the Philippines Export Zone Authority. In Cebu City, 72 in Asiatown Information Technology Park and eight in Cebu Business Park, then one in HVG IT Park in Mandue City and 45 in different other buildings.
Base to Mr. Yu, the bulk of service providers and employees is concentrated on the Business Process Outsourcing sub group which is the lowest level in the sector an d deals with routinely call center work at 72 percent. The KPO has a 13.5 percent share while the ITO has 14.5 percent. In a Tholons global study as ninth of top 10 emerging outsourcing cities. By putting in the investment in Infrastructure as well as developing organizations and creating policies that would support the sectors growth. To develop a constant supply of skilled workers, it is also taking seriously the recommendations of Tholons to maximize also its customer support and the call center services and to improve the knowledge process and Information Technology Outsourcing capabilities.
He also said that Cebu is growing phenomenally, they must cope with the growth but they are bot doing very well in the directions. They have a product that sells, they are a world class service providers for the English speaking call center and Information Technology enabled services. The comparison study that they asked Tholons to conduct showed Cebu was way above India in basic and analytical abilities but the miles behind in software development skills.
The assessment tests showed that the gap between the needs of the industry and the skills provided by the academe has narrowed. In the Tholons ranking the Cebu is fourth lower minimum wage, cheaper food and less expensive real estate are its cost advantages over Manila. There has a five biggest call center in Cebu ranked to size Convergys, Qualfon, Stream Global SErvices, Aegies Peopplesupport and Sykes Asia and they employ a total of 17,700 employees. From the US, it would suffer if congress passes a bill restricting offshoring by American firms. There is already an increasing number of KPO and ITO companies from other countries like India, Canada, Japan and Australia. There are lots of people now who want to outsource because they know that in the field of outsourcing they will have a good benefits.
REFERENCE:
http://businessinformationtechnology.org/software-devt-kpos-pushed-to-improve-it-sector-in-cebu-businessworld-online-edition/
http://cebu.spotphilippineislands.com/2012/02/21/software-devt-kpos-pushed-to-improve-it-sector-in-cebu-%C2%BB-the/
http://cebu.spotphilippineislands.com/2012/02/22/software-devt-kpos-pushed-to-improve-it-sector-in-cebu-the/
http://www.bworldonline.com/content.php?section=Economy&title=Software-dev%92t,-KPOs-pushed-to-improve-IT-sector-in-Cebu&id=47069
http://thesauce.net.au/2012/02/software-devt-kpos-pushed-to-improve-it-sector-in-cebu/
