RAMP-UP FOR OUTSOURCING IN THE PHILIPPINES
21 01 2008When it comes to outsourcing, India is dubbed as the “King.” Many developing countries witnessed the growth of India and were impressed when they proved to the world that their capabilities in outsourcing is effective and is now trying to follow its trail. However, after the drastic success of India, it is now experiencing such a dramatic slow growth, even major pull-outs. Companies claim that costs in India are now increasing disproportionately, that it’s already too crowded and with numerous companies all scrambling to hire from each other. The result is destructively high staff turnover rates, mounting salary costs and poorer English communication skills.
These factors causing negative feedbacks to India opens doors to the Philippines, showing companies all over the world that our country is the next BPO capital, and surely our talents aren’t going unnoticed. Slowly, major companies are now either pulling out or retracting employees in India and starting anew here on our shores.
A good example proving that the Philippines is India’s biggest contender are companies such as Sykes, GXS (formerly know as GE Information Systems), DELL, IBM, ICT Group Inc, Ambergris, and ClientLogic, which is quoted by CNN as saying that “Philippine call centers have higher average staff tenure and better customer satisfaction ratings than in India. All said companies either outspokenly bypassed India or discreetly and slowly moving their operations in the country. These companies claim that moving their operations in the Philippines resulted in improved efficiency and reduced risks, even saying that the Philippines is overwhelmingly superior to those other outsourcing companies.
Consulting firms like Gartner Group recently released a report that predicted India “would lose significant market share to countries like Philippines because it doesn’t have a long-term plan for improving infrastructure and increasing the supply of quality employees for the BPO industry.” Additionally, XMG Global, another consulting firm, predicted that as a provider of Call Center Services, Philippines will surpass India by 2008.
The Philippines is this year’s fashion when it comes to outsourcing, for reasons such as the country’s ability to provide agents of better qualities, the availability of human resources, better communication skills, quality customer service mind-set and are more culturally attuned with the west. Expatriates also report a much improved lifestyle in the Philippines as compared to India.
As opportunities for this industry continue to grow, we must harvest as much as we can. It’s time for the Philippines to be dubbed the new “King of Outsourcing.”[CPL]
Links:
http://hardzegtoxuxv.blogspot.com/2007/10/outsourcing-in-philippines.html
