Executive Boutique

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Why The Philippines is Considered a Powerhouse of Outsourcing Services

Why The Philippines is Considered a Powerhouse of Outsourcing Services

The multi-billion dollar BPO industry in the Philippines has been growing exponentially over the years and is projected to double again by 2020. 

The 2017 A.T Kearney Global Service Location Index named the Philippines as an “industry leader”. We also occupied the number seven spot for financial attractiveness, people skills, availability, and business environment.

Asia’s Outsourcing Powerhouse

Although outsourcing has only been around in the Philippines for the past two decades, we remain a top choice for BPO services. And even with the threat of automation and AI (Artificial Intelligence) looming, we continue to gain ground and keep our momentum.

Here are the reasons why the Philippines is considered a powerhouse of outsourcing services.

Proficiency in the English Language

At the turn of the 20th century, when America took possession of the Philippines, English was instituted to be the official language to be taught in schools. It remains to this day, and we are the only country in Asia to do so. As a result, we are the third largest English speaking country in the world.

Most Filipinos speak with a neutral English accent, which makes communication clear and easily understood.

Cultural Fit

The ethical values, traditions, customs, and behavior imbued by the modern-day Filipino are a result of different influences – from Spanish to American to Japanese. 

We are one in a few Asian countries that has a healthy mix of both Southeast Asian and Western influence. We grew up watching Western media and therefore have similarities with their culture. 

Our exposure to different influences from our colonial past has created compatibility among most foreign cultures, making it easy for us to relate and engage with international customers. It gives us the edge in providing excellent BPO services.

Exemplary Work Ethics

Filipinos are recognized for their excellent work ethics, values, integrity, loyalty, and service-oriented mindset. We foster a fun-loving work environment without forgetting what responsibility entails and high regard for professionalism.

Cost Efficiency

Since living costs in the Philippines are relatively cheap, companies save tremendously in operational costs. The same goes for the salary paid out to workers. A full day’s wage is comparable to an hourly wage in the EU or the US.

Large Talent Pool of Highly Skilled Workers

A huge chunk of our country’s GDP is thanks to the BPO industry. To further the growth of this industry, the Philippine government came up with initiatives and policies in place. This includes partnering with universities to create BPO specific curriculum and setting up TESDA (Technical Education and Skills Development Authority) to produce graduates who are highly trained and skilled in BPO jobs such as customer service, IT, etc.  

On average, we produce 500,000 college graduates in a year resulting in a workforce of about 42.2 million (as of July 2017) with a median age of 23 years old. These are young professionals who have grown up with technology and are flexible in any work environment.

Government Backing and Support

With the BPO industry being a strong economic pillar, government agencies such as the Bureau of Investments (BOI) and Philippine Economic Zone Authority (PEZA), are encouraging foreign investors to outsource to our country.

To lure them in, tax incentives and exemptions such as 50% tax deductions, import duty exemptions, permanent resident status, etc.  have been implemented to benefit them.

What’s Next?

Executive Boutique is your offshore Philippines business process outsourcing call center offering unparalleled expertise in training, customer service, technology, creative solutions, and problem-solving.

Our team of experienced professionals guarantee high quality service that is both affordable and flexible.

Contact us today for a free quote.

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