Outsourcing to the Philippines:
The Benefits and Its Edge
With its low labor market rate, skilled workforce, and agreeable laws, the Philippines offers promising advantages for strategic partnerships with developed countries. This e-book dives deep into the realm of outsourcing to the Philippines. We aim to discuss the following:
I. The Philippine Outsourcing Industry Overview
II. Benefits of Outsourcing to the Philippines
III. The Filipino Labor Market
IV. Support From Government Agencies
V. Finding And Selecting The Right Service Provider
VI. Certifications You Should Look For
VII. Pros And Cons Of Different Outsourcing Business Models
VIII. Importance Of Company Culture To BPO Companies
IX. Common Concerns When Outsourcing To Philippines
X. Related Laws And Labor Practices
XI. The Art Of Strategic Shift Scheduling
XI. Is The Philippines Outsourcing Industry Ready For Automation?
XII. Inside The Four Corners Of A BPO: Recruitment, Training, QA, Support System
OUTSOURCING TO THE PHILIPPINES:
A CLOSER AND DETAILED LOOK
Overview of the
Philippines' Outsourcing Industry
Outsourcing in the Philippines started with a call center in 1992. Back then, it only provides basic services such as email response and service management. This is considered as the First Wave of outsourcing.
With the support of the government and a good economic climate, it has grown into a billion-dollar industry. During this Second Wave, top global firms started to operate in the country. The Philippines also surpassed India as the top outsourcing destination.
Today, hundreds of BPO companies deliver call center services, back-office support, data transcription, engineering development, animation, and digital content services to various businesses around the globe. Now on its Third Wave, many companies saw the need to shift to offering higher-value services to keep up with the age of automation. By doing so, local and international companies will keep on outsourcing to the Philippines.
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Benefits of Outsourcing to the Philippines
In 2018, the eCommerce giant Amazon.com opened its first customer service center in the Philippines. In a statement, Amazon vice president for Worldwide Customer Service Tom Weiland said that they are “excited to be investing in Cebu and working with such talented people, especially since Filipinos are known to bring high levels of experience and passion to their work.” So what exactly makes Filipinos world-class?
Hospitality & Politeness of Speech
In the same journal, Weiland explained that Filipinos feel secured with their kin (cultural or national affinity) and family. Meanwhile, relationships between non-kinsmen are delicate and insecure. To connect the social distance with their non-kinsmen, they use hospitality, politeness of speech, and indirection of interpersonal behavior. As a result, many Filipinos can connect and provide effective service to customers and clients worldwide.
Understanding Western Culture
The Philippines has been colonized by America and its education system is based on the US'. Moreso, much of the American culture is fed by the media consumed by most Filipinos up until this age.
Strong Sense of Community
Known as Bayanihan in their native language, it pertains to the attitude of helping each other “without expecting anything in return.”
Filipinos' Preference to Work in tTeams
In most cases, it works for them — not against them — especially when the team formed a strong bond in a healthy working environment. For instance, call center agents usually need to hit a quota of support tickets per day which measures their KPIs. If he/she couldn’t hit it due to acceptable reasons, he/she can ask his/her teammates to finish it. In return, he/she will have a sense of gratitude and will do the same in case the same thing happens to another teammate.
High Level of Empathy
Commonly known as empathy, this attitude enables them to sense what another person feels. In return, they can respond to it as appropriately as possible, making them highly flexible and adaptable in social situations. Filipinos understand that inappropriate remarks and thoughtless criticisms can break relationships. Using their empathy, they can work with clients and customers well despite their differences in culture.
OUTSOURCING TO THE PHILIPPINES
OVERVIEW
Outsourcing in the Philippines started with a call center in 1992. Back then, it only provides basic services such as email response and service management. This is considered as the First Wave of outsourcing.
With the support of the government and a good economic climate, it has grown into a billion-dollar industry. During this Second Wave, top global firms started to operate in the country. The Philippines also surpassed India as the top outsourcing destination.
Today, hundreds of BPO companies deliver call center services, back-office support, data transcription, engineering development, animation, and digital content services to various businesses around the globe. Now on its Third Wave, many companies saw the need to shift to offering higher-value services to keep up with the age of automation. By doing so, local and international companies will keep on outsourcing to the Philippines.
.Benefits of Outsourcing to the Philippines
In 2018, the eCommerce giant Amazon.com opened its first customer service center in the Philippines. In a statement, Amazon vice president for Worldwide Customer Service Tom Weiland said that they are “excited to be investing in Cebu and working with such talented people, especially since Filipinos are known to bring high levels of experience and passion to their work.” So what exactly makes Filipinos world-class?
Hospitality & Politeness of Speech
In the same journal, Weiland explained that Filipinos feel secured with their kin (cultural or national affinity) and family. Meanwhile, relationships between non-kinsmen are delicate and insecure. To connect the social distance with their non-kinsmen, they use hospitality, politeness of speech, and indirection of interpersonal behavior. As a result, many Filipinos can connect and provide effective service to customers and clients worldwide.
Understanding Western Culture
The Philippines has been colonized by America and its education system is based on the US'. Moreso, much of the American culture is fed by the media consumed by most Filipinos up until this age.
Strong Sense of Community
Known as Bayanihan in their native language, it pertains to the attitude of helping each other “without expecting anything in return.”
Filipinos' Preference to Work in tTeams
In most cases, it works for them — not against them — especially when the team formed a strong bond in a healthy working environment. For instance, call center agents usually need to hit a quota of support tickets per day which measures their KPIs. If he/she couldn’t hit it due to acceptable reasons, he/she can ask his/her teammates to finish it. In return, he/she will have a sense of gratitude and will do the same in case the same thing happens to another teammate.
High Level of Empathy
Commonly known as empathy, this attitude enables them to sense what another person feels. In return, they can respond to it as appropriately as possible, making them highly flexible and adaptable in social situations. Filipinos understand that inappropriate remarks and thoughtless criticisms can break relationships. Using their empathy, they can work with clients and customers well despite their differences in culture.
