The Business Process Outsourcing or BPO companies addresses the annual loss of an estimated 84,800 workers from the resignation. It faces a massive shortage of workers five years from now. The president of Business Process Outsourcing firm of SPI Global Solutions Corp. said at the public forum that they need to do that or else the industry will be short of 400,000 workers by 2016. To attain the lower end of the target, it would take a zero investment on the part of the government. The companies need to take three steps to address the situation such as creating value for clients instead of cutting costs, focusing on people in the company and fostering entrepreneurship.
The SPI Global Solutions president, Maulik Parekh addresses the Asia CEO Forum at the Tower Club in Makati City. The Philippines is growing faster globally in the Business Process Outsourcing services, however it should address the talent crunch that afflicts the sector in many countries.
From the cost cutting strategies it happened that the shift developed countries clients companies even before the 2008 financial crisis and it has been a predominant phenomenon. The crisis probably accelerated that thing. The clients of Business Process Outsourcing may have also influenced the strategy to create value.
The SPI Global is owned subsidiary of ePLDT Inc. The ultimate parent is listed Philippine Long Distance Telephone or PLDT Co. Base on the report, the latest report to the securities and exchange commission SPiGlobal’s cash in bank was only P12,500 as a December 31, 2009, the company aims to post a 14 percent to 15 percent growth this year. In Dumaguete City, the company has recently added 9680 seats in their facility which opened in 2009 of October with 548 seats. To increase 1, 800 seats is there goal, they are the city’s largest employer. They also plan to grow in Iloilo City, wherein they started the operations in 2005 of March.
Through the exists, ever since work specialization, it is rather than manufacturing screws and bolts. The company might outsource their production to some of the other company that specializes in making a screws and bolts. The outside companies or firms is providing an outsourcing services are referred as a third-party providers.
The outsourcing became the hottest trend nowadays, this is because of the things that it gives in people or in businesses. Information Technology has a big impact in the society and also the Business Process Outsourcing. Everyone can outsource but of course everything should be plan first. You should plan first before you act, so that things will be properly done. Outsourcing has lots of benefits including that outsourcing is a cost savings, it also focus on core business, you can improve your skills, it has a capacity management, it is also a operational expertise, it reduce time to market, the outsourcing has a tax benefits also that the countries offer tax incentives to move a manufacturing operations to counter a high corporate taxes within another country. Outsourcing is something that has a really great way because of it helps to improve things and it find solution in everything.
REFERENCE:
http://www.businessmirror.com.ph/home/top-news/6393-talent-crunch-still-biggest-risk-to-robust-bpo-growth
http://www.abs-cbnnews.com/business/01/19/11/talent-crunch-still-biggest-risk-robust-bpo-growth
http://www.linkedin.com/groups/Talent-crunch-still-biggest-risk-1780674.S.40886072
http://businessmirror.com.ph/home/top-news/6393-talent-crunch-still-biggest-risk-to-robust-bpo-growth
