Knowledge Center Article

Why Outsourcing to the Philippines is a Smart Business Move

By Grace N / 4 February 2020

Outsourcing to the Philippines has become a popular business strategy for companies around the world, and for good reason. The country offers a number of advantages that make it an attractive location for outsourcing, including a large pool of English-speaking and technically skilled workers, a favorable time zone, and a pro-business environment.

One of the main reasons for outsourcing to the Southeast Asian BPO powerhouse is the large pool of English-speaking and technically skilled workers. The nation has a population of over 100 million people, and a significant portion of the population is fluent in English, making it a desirable location for companies looking to outsource their business processes. The country has a strong education system, which has produced a large number of graduates in fields such as engineering, computer science, and information technology. This has resulted in a large pool of highly skilled workers who are able to perform a wide range of tasks, from basic customer support to more complex software development.

Another advantage of outsourcing is the favorable time zone. The country is located in the Asia-Pacific region, which means that it is in the same time zone as many of the world’s major business centers, including Singapore, Hong Kong, and Tokyo. This makes it easy for companies to communicate with their Filipino employees and enables them to take advantage of the Philippines’ night shift to provide 24-hour customer support.

The Southeast Asian archipelago also has a pro-business environment, with government policies that are designed to encourage foreign investment and support the growth of the outsourcing industry. The government has established a number of economic zones and special economic zones, which offer tax incentives and other benefits to companies that operate within them. The government has also established a number of institutions and programs to support the development of the outsourcing industry, such as the IT and Business Process Association of the Philippines (IBPAP).

Outsourcing to the Philippines can also help companies to reduce costs. The cost of labor is significantly lower than in many other countries, which enables companies to save money on wages and benefits. The cost of living in the country is also lower than in many other countries, which means that companies can save money on things such as rent and utilities.

Outsourcing is a smart business move for companies around the world. The Philippines offers a number of advantages, including a large pool of English-speaking and technically skilled workers, a favorable time zone, a pro-business environment, and cost savings. These advantages have made the country one of the world’s leading locations for outsourcing, and a destination of choice for many companies looking to expand their operations or reduce costs.

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Success in outsourcing isn't a matter of chance, but rather the result of a meticulously defined process, a formula that Fortune 500 companies have diligently honed over time. This rigor is a significant factor in the rarity of failures within these industry titans' outsourced programs.

Having spent over two decades partnering with and delivering Business Process Outsourcing (BPO) solutions to Fortune 500 clients, John possesses an in-depth understanding of this intricate process. His comprehensive approach incorporates an exhaustive assessment of outsourcing requirements, precise vendor sourcing, and a robust program management strategy.

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