A recent study by Everest Research Institute showed, the Philippines would soon overtake India as the call center capital of the world. This year the Philippines’ call center revenues are expected to reach $5.7 billion or $200 million higher compared to India’s $5.5 billion. The BPO revenues are forecast to hit $9.5 billion, playing catch-up to India’s $12.4 billion. According to the Business Process Association of the Philippines or BPAP, they said that beating India in the call center business was not far-fetched as more companies based there start moving their operations in the Philippines. More clients is going in the Philippines now.
To several factors, the shift to the Philippines is attributed, the country’s workforce has better English-speaking skills. With the American culture, the Philippines’ telecommunications network is superior to that of India, higher incentives for companies setting up business in the Philippines and Filipinos affinity with the American culture.
In the younger Industry, in terms of scale, the India’s sheer size far outweighs the Philippines. It has began exploring the Business Process Outsourcing industry ten years ahead of the Philippines. Given the total population of 92 million and 1 billion, the Philippines’ workforce is no match to India, this is stated in a previous interview with Business Processing Association of the Philippines.
In the Low-margin entry point, the menu among of services is currently offered by outsourcing and offshoring firms. The voice-based or the traditional call center sector has one of the lowest profit margins. The Indian could be the best realized in the non-voice sectors such as financial, legal, medical engineering and editorial services. To have the low-end call center services in the Philippines is the several permutations of the Business Process Outsourcing business model, which has a cultural affinity with the mostly American clients while the up-market technical services are based in India. For Business Process Outsourcing firms concerned about managing their business country risks the multi-country model also bodes.
The Business Processing Association of the Philippines keep ties for partnership and business exchanges and the Indian industry group National Association of Software and Service Companies or NASSCom. Most of the Business Processing Association of the Philippines or BPAP members firms still offer call center services however, considers this as simply their entry point to get a biggest slice of the clients’ to be more profitable non-voice services.
For the Employment boon, call centers may be low-end margin and low-margin. For the Philippines it meant an employment boon. The growing local Business Process Outsourcing industry Crisostomo noted that the industry should not only translate to a higher economic growth, but also more jobs. By next year, in the call center sector alone some 60,000 jobs will be up for grabs. Its revenues and workforce are targeted to reach $25 billion and 1.3 million, the Business Process Outsourcing industry has just released its latest roadmap from $9 billion and 500,000.
All countries has a chance to be beat India as a world’s call center capital. Most of the people now outsource inside and outside the country. If you think that this is hard you should think positive because things are possible when you do something for it. Outsourcing helps the world to be a better one but to be effective people should do the best thing for it.
REFERENCE:
http://www.abs-cbnnews.com/business/12/01/10/philippines-overtake-india-worlds-call-center-capital
http://globalnation.inquirer.net/news/breakingnews/view/20101206-307374/PH-overtakes-India-as-call-center-capital
http://www.dr-langguth.com/de/news/worlds-call-center-capital.html
