One of the fastest growing industries in the Philippines today is Business Process Outsourcing or BPO. Covering about 15 percent of global outsourcing markets and boasting a steady growth in annual revenue. In Southeast Asia, a prime outsourcing destination, Philippine Business Process Outsourcing employs 708,000 full-time employees with 350,000 working in the country’s call center industry. It is about 61 percent of Philippine BPO workers are employed in the call center industry, 18.5 percent in back-office KPOs, 9.5 percent in Information Technology software development and maintenance, 5.4 percent in increase in the coming years according to the Business Processinf Association of the Philippines or BPAP. The numbers are still expected in increase in the coming years.
Large multinational companies outsource in-house parts of their operations to the Philippines, the Philippines’ offshoring or outsourcing industry is composed of shared services offices and independent companies. The international third party providers offer services from the Philippines to foreign multinationals and independent Philippine companies provide services to international clients. Because of the options, many offshore outsourcing services performed in the Philippines, this can be offered to companies of all sizes and needs. The Contact Centers and Business Process Outsourcing or BPO is the two main areas of expertise. The second in outsourcing worldwide is the Philippines after India. But, according to the data from IBM’s Global Locations Trend, the developments in the global outsourcing industry have propelled the Philippines to the top spot.
The Philippines has now overtaken India as the worlds number one country to shared services and business process outsourcing or BPO. For the first time, the Philippines has topped the industry of outsourcing. The Philippine software development medical and legal transcription, engineering design outsourcing and animation have also grown steadily over the past few years.
It is considered that the Business Process Outsourcing is the one of the fastest growing industries in the world. The Philippine country will rake in an average revenue of $11.6 billion and employ 708,000 full time employees by the year 2011, this is predicts by the Business Processing Association of the Philippines. The development continues to strengthen the Philippines positions as an emerging global leader int he BPO and KPO industries. The industry experts are seeing a shift from cost-effectiveness to skills quality and competence.
By demand the demand for offshore call or contact centers, the Business Process Outsourcing in the Philippines is currently led. In 2006, the Philippines raked in offshore service generating revenues of $2.1 billion, placing third behind India and China. In 2004 it gained about 62 percent over the $1.3 billion and a large increase from the start of the decade when the outsourcing industry in Manila employed in just2,400 people and the industry and revenues of merely $24 million. The Philippines employ 350,000 employees in the local call center industry and the Philippines over took India as the call center capital of the world. If you compared to India’s 330,000. In the year 2010, the PHilippine call centers generated roughly $6.3 billlion revenues with the association estimating a 15-20 percent increase by 2011.
Now, the India-based call centers and BPOs are also expanding operations tot he Philippines. This includes the big name companies such as Compvue, OminiGlobe and TCS. An outsourcing company, headquatered in Bangolore , India has already set up a cente in the Philippines.
REFERENCE:
http://www.kittelsoncarpo.com/outsourcing-philippines
http://www.microsourcing.com/
http://en.wikipedia.org/wiki/Business_process_outsourcing_in_the_Philippines
http://www.123employee.com/articles/
