Philippine BPO industry sees dynamic growth with strong government support

Philippine BPO industry sees dynamic growth with strong government support

June 26, 2015

businessman-opening-jack-to-reveal-the-Philippines-flag
It seems as though the Philippine business process outsourcing (BPO) sector is unstoppable, with continuous growth forecasts for the medium term of this year. To brave this path, the whole industry is counting on sustainable support from the government as well as improved economic policies.

According to industry expert Rainerio Borja, the broadening of tax incentives and the establishment of the Call Center Association of the Philippines attracted more customer service investments in the country. He also said that the nation is capable of driving further industry growth, thus making call centers and outsourcing companies top economic contributors.

The government’s role in BPO growth

With the right industry policies, experts are confident that the outsourcing sector in the country will continue to expand. Recently, the Department of Trade and Industry (DTI) of the current administration has been laying the blueprint for further BPO developments, which is expected to be continued as a new management lineup rolls out next year.

male-female-call-center-workers-pointing

Aside from the DTI, the Department of Science and Technology is also set to create a separate agency that would concentrate solely on information technology in the country. Pending approval from President Aquino, the new Department of Information and Communications Technology is expected to host a wave of developments both for consumers and investors in the BPO industry.

Bright forecasts for the industry

According to the Information Business Processing Association of the Philippines, the IT-BPO industry aims to employ 1.21 million professionals by the end of the year, as guided by their Vision 2020 Roadmap. This figure is about 200,000 higher than 2014’s employment statistics, which amounted to 1.03 million. These numbers remain true to trends indicating a regular, yearly employment increase in the Philippine BPO sector.

businessman-looking-over-city-from-building-rooftop

Aside from targeting higher employment rates, the outsourcing capital is also expected to generate $40 billion in revenues and more than two million jobs by 2020. According to Bernardo Villegas, co-founder of the University of Asia and the Pacific, transcription services and other non-voice segments are growing steadily by 20% and 17%, respectively. Voice services of call centers, on the other hand, remain robust.

Last year, the industry posted $18.99 billion in revenues and a 16% year-on-year growth rate. If it tops these figures and hits Villegas’ prediction five years from now, the entire local industry is set to surpass the nation’s income from remittances.

Other factors that are driving up the BPO sector, according to Villegas, are cost-competitiveness, a growing talent pool of educated workforce, and dedicated IT parks in business districts.

Faith is a digital media enthusiast aiming to become an active part of the tech world by sharing her insights. She likes to blog about everything digimarketing, technology, and social media.

Leave a Reply

JOIN US ON FACEBOOK
Open Access BPO
Open Access BPO11 hours ago
Planning to set up your own team of #CallCenter agents? Get familiar with these 5 key #hiring strategies before outsourcing your business needs to a #BPO company: https://zcu.io/FHNE

#WeSpeakYourLanguage
Open Access BPO
Open Access BPO3 days ago
How can you cultivate #inclusivity in a diverse workplace—or any workplace, for that matter? Listen, then learn.

When we practice active open-mindedness, we can find common ground despite our differing cultures, languages, ages, races, genders and abilities. We learn to overcome the unconscious bias often deep-rooted in our values and transform these differences into strengths.

#WeSpeakYourLanguage #OACelebratesDiversity #GlobalDiversityAwarenessMonth
Open Access BPO
Open Access BPO5 days ago
User-generated content may provide marketing opportunities, but they can also affect your #brand reputation. Amp up your #ContentMarketing strategy while ensuring those content submissions comply to ownership policies with an expert #ContentModeration team: https://zcu.io/5Arf

#WeSpeakYourLanguage
Open Access BPO
Open Access BPO5 days ago
Looking for a #ContentModeration solutions provider? Check out these different moderation options before tapping an expert to manage your website or community forum: https://zcu.io/rIx0

#WeSpeakYourLanguage #Outsourcing
Open Access BPO
Open Access BPO5 days ago
A Microsoft study revealed that 21% of customers hate having to contact brands over and over regarding the same concern. Follow these 8 #CustomerService tips to reduce repeat complaints! https://zcu.io/dGT5

#WeSpeakYourLanguage #CustomerSatisfaction #CustServ
Open Access BPO
Open Access BPO7 days ago
There are two types of #CallCenter agents for businesses looking to outsource: the #generalist and the #specialist. Get a closer look at their strengths to determine which type can help you deliver superior multilingual #TechSupport: https://zcu.io/ckQi

#WeSpeakYourLanguage