Call centers in the Philippines to thrive amid economic hurdles

OABPO Blog Team Published on February 13, 2014

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Call centers in the Philippines have been leading the country’s business process outsourcing (BPO) industry to achieve its growth driver status in and outside the country.

Their performance at the beginning of 2014 alone could provide enough proof of the industry’s important role in the Philippine economy and the global outsourcing arena. BPO firms opened the year by reporting a total of $13.5 billion earnings from 2013, a rate they reached through a 15% increase. They then concluded the month of January by placing almost 10 Philippine cities in the outsourcing rankings of offshore advisory firm, Tholons.

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As opposed to the robust performance from the outsourcing sector, other components of the economy seem to be lagging, and they could drag the BPO industry down with them.

The surplus of Philippine balance of payments has been continuously shrinking since 2006. It amounted to a little over $5 billion last year, which is almost a 50% markdown of 2012’s $9.2 billion. The Philippine central bank even claimed that the decline could even reach $3 billion because of the country’s manufacturing, energy, and raw material imports.

Causing even more panic is the imminent market integration of the Association of Southeast Asian Nations (ASEAN) in 2015, which endangers the position of local businesses against competition in neighboring countries.

Although these conditions seem to cause challenge and worry, outsourcing firms and call centers in the Philippines expressed confidence — the same confidence that the government and other business sectors have for the BPO industry.
The outsourcing sector would not likely be dragged down by economic anchors; it would work the other way around by pulling fellow trades up to the surface.

Philippine BPO revenues will serve as a mitigating factor in surplus turndown, as they promise to reach $15.3 billion by the end of the year and even $27 billion in three years if the industry continues adding 120,000 new BPO jobs each year.

Furthermore, the free market poses no threat but rather promise to the outsourcing sector. A good combination of product cost and quality is the winning factor in the laissez-faire environment. And the BPO industry is positive that this is what Philippine firms offer, making the country the most ideal outsourcing destination in the ASEAN region, particularly for English and multilingual voice services.

Open Access BPO grew from a telemarketing startup to an all-around outsourcing firm that provides its clients voice and non-voice solutions including web development and rich media development.

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