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Over the years, the Philippines has consistently showcased the spectacular and pristine beaches of the country. With crystal clear water, a lush greenery scene, and postcard-worthy surroundings, it is truly something Filipinos should be proud of. Besides the refined beaches, there are several more top tourist destinations in the country, like the Mayon Volcano, the Taal Volcano, and the Banaue Rice Terraces. The country’s diverse culture, tropical climate, and English-speaking population make it an ideal location for businesses looking to reduce costs. In recent years, the Philippine government has been working to attract more foreign investment and improve the country’s infrastructure. According to Tholons, the Philippines has been the second-top globalization destination in the world, which shows a great advantage to BPO firms. These efforts have made the Philippines an even more attractive destination for outsourcing. Now, when it comes to outsourcing destinations, the Philippines has to be one of the top choices. The Philippine workforce in the BPO industry is competent, sharp-witted, and adaptable to any business situation. Outsourcing companies will not make a mistake in choosing the Philippines as an outsourcing destination. The country may be on the top list, but the cost of labor, office space, and other business needs is reasonable without sacrificing service quality. Whether you are looking to outsource your business operations or simply searching for a new destination for your next vacation, the Philippines is an ideal choice. The country is home to a large number of outsourcing companies, making it a convenient location for businesses to get their work done. Additionally, the Philippines is a beautiful country with a rich culture and plenty of activities to keep visitors entertained. Running a business process outsourcing company is not easy. For starters, at least. If you are considering establishing your firm or are curious about the top outsourcing destinations, we have provided a guide for you.

Benefits of Outsourcing to the Philippines

Foreign companies all over the world choose to outsource their tasks offshore for several reasons. The Philippines has been a huge contributor to the success of the BPO sector. They have been a reliable outsourcing partner in terms of IT solutions, customer support, data recording, and a lot more. With the established trust and promising quality of service, the Philippines will prevail to aid business operations all over the world. Below are some of the Philippines’ outsourcing benefits that help businesses function smoothly.

Cost-efficient

The biggest reason why companies in various parts of the world choose to outsource is because of the price itself. Outsourcing has become a popular way for businesses to save on costs. Philippine outsourcing is considered to be a cost-effective way to get the services you need without breaking the bank. Companies will surely always choose the offer with the lowest cost without compromising the quality of the deliverables. That is what makes the Philippines a great choice outsourcing destination: inexpensive services with high-quality results.

English proficient staff

The Philippines is also consistently regarded as having a high level of English proficiency. Along with the primary Filipino language, English has been the Philippines’ second official language. Filipinos often utilize English in higher education, business, print and broadcast media, and even in their usual daily conversations.

Driven, highly skilled, and dedicated employees

Filipinos always convey creativity, deftness, resiliency, dedication, and resourcefulness, which are deeply admired by other countries. They are hard-working and can easily adapt to changes in the work environment. Employees keep the company operations going. Thus, choosing the cities in the Philippines as outsourcing destinations will show how driven Filipino employees are to deliver only the best value in service.

Excellent access to talent

The Philippines has a large pool of propitious and skilled candidates who are always a good fit for the job. The country always shows off exemplary university-educated Filipino individuals with great oral and written communication skills. Be that as it may, in different industries in the country, Filipinos continuously surprise the world with the awards and recognitions they receive from prestigious international entities. In the BPO sector, Filipino workers are highly recognized, especially for their admirable work in voice-based services such as call centers.

Exceptional deliverables

The outstanding work results of the working Filipinos in the Philippines have been recognized by BPO companies. The Philippines consistently ranks first in the world for providing superb customer service. With a top-notch BPO workforce and BPO services, it is no wonder why the sector is constantly growing in the Philippines.

Top Outsourcing Destinations in the Country

The yearly Tholons Global Innovation Index was issued in June 2017 by the London-based Tholons strategic consulting and advising firm. It is an eminent touchpoint to evaluate the global digital transformations of various industries and services. Tholons Global Innovation Index assesses the ranks and supplies strategies to investors, multinational companies, analysts, multi-lateral agencies, governments, and countries to survive the emerging digital phenomenon. The location strategies empower operations, deliver value over businesses, and re-imagine consumer experience. Five Philippine cities were listed among the Top 100 “Super Cities” in the aforementioned study which also has a huge contribution to the growing BPO sector in the country.

outsourcing destination philippines

Manila

The City of Manila is the capital of the Philippines which is also one of the preeminent regions in Asia. Manila shelters 16 cities namely:

  • Manila
  • Quezon City
  • Caloocan
  • Las Piñas
  • Makati
  • Malabon
  • Mandaluyong
  • Marikina
  • Muntinlupa
  • Navotas
  • Parañaque
  • Pasay
  • Pasig
  • San Juan
  • Taguig
  • Valenzuela.

It also comprises 1 municipality, which is the municipality of Pateros. Manila is not only the capital of the Philippines but also is center of finance and trade as well. Makati, which is located in Manila is considered to be the business capital of the Philippines with more than 80,000 business establishments while housing a handful of influential financial institutions like the Philippine Stock Exchange and Makati Business Club.

The capital city has been an excellent venue for commercial spaces and viable offices. It is designed to present a mixed-use urban development environment. Manila also provides a cosmopolitan setting that helps it turn into an investment place and an outstanding global business destination.

Manila has impressive records, data, and resources to help businesses like outsourcing companies thrive in the industry. One of the top reasons why companies choose to outsource work to Manila is due to its advanced ICT business solutions. Manila crawled its way up to the yearly globalization index of Tholons with a score of 3.16 (84%). This score is accumulated in terms of innovation and capital. Manila is the country’s capital which is given how there is a wide range of technological services. The city is also associated with the BPO Services Association (BSA/U). BSA/U is a private sector company that was founded in 2006 to represent the objectives of distinct call centers in the National Capital Region of the Philippines.

outsourcing destination philippines

Cebu City

Cebu City, the Queen City of the South, has overtaken Manila as the second-oldest established city. It has been highly urbanized to go along with the changes in the business industry which provides businesses connected with the industry of information technology.  The sector including software development, telecommunications, call centers, and outsourcing is increasingly contributing to the city’s economic growth. According to Britannica, in 1860, the commercial and cultural core of the central Visayan region which is Cebu was opened. Cebu was also deemed to be associated with multinational companies that prefer to settle down or establish their businesses in Luzon. Due to the abundance and accessibility of resources, including people and materials, Cebu Province provides an excellent environment for all types of commercial ventures. Both domestic and foreign entrepreneurs and business moguls find the increasing range of economic and commercial advances to be quite encouraging.

Cebu is also affiliated with the Cebu IT-BPM Organization (CIB.O), Cebu’s Information Technology and Business Process Management Organization. According to a recent report by PEZA, Cebu City is home to more than 400 IT/BPM locators. As of December 2019, the sector was projected to employ about 170,000 people directly. Most of the major outsourcing companies based in Metro Manila, including Concentrix (formerly Convergys), Teleperformance, and Accenture among others have settled in Cebu.

outsourcing destination philippines

Davao

Davao City is situated on the Philippines’ southeastern Mindanao Island. Davao is the largest city in the Philippines with a land size of 244,000 hectares. It is located at the Davao River’s mouth, not far from the Davao Gulf’s head. Also, popular for the title of Orchid Capital of the Philippines with an immense plantation of rare orchids like Waling-Waling. With over 50 small ports included in its commercial area, the city serves as the primary regional hub for southeast Mindanao. According to the DICT‘s record, Davao is persistent in being in the top spot in the Next Wave of Cities. Davao is known not only for its tourist attractions but also for the multinational corporations that have set up companies in the city. When the COVID-19 pandemic came and when the surge in India happened, multinational companies considered moving their business operations to Davao. This is according to the BPO Association of Davao City. Some advantages of choosing Davao City as an outsourcing destination are its flourishing economy and lower overhead expenses. The official government-accredited website of Davao has presented the breakdown of expenses in rental spaces, land leases, and electricity rates. The city is also one of the most heavily populated cities in the Philippines and always involves well-educated labor in different business industries in the Philippines.

outsourcing destination philippines

Santa Rosa Laguna (Metro Laguna)

Next to Calamba, the City of Santa Rosa in Laguna is the province’s second-largest governmental entity. In the CALABARZON region, Santa Rosa City is a fast-growing city that is known to be the prime part of the Laguna province. The city, known as the “Motor City of the Philippines,” is home to Toyota and Coca-Cola facilities, as well as Paseo de Santa Rosa, the third-largest complex in Laguna.

Santa Rosa is a global destination and it has been the center of excellence for the ICT industry in the region of CALABARZON. It succeeded hosting ICT-enabled business and itself is a business model in the industry. A strength and a reason on why we focused on it.

-Marilou Toledo, Regional Director of DTI CALABARZON

Multiple investors in various enterprises are attracted to the city due to its admirable developments and promising potential. Another city’s highlight is the Laguna Information Network and Knowledge in Information Technology (LINK-IT). It aims to support the academe to focus on entrepreneurship, which aids the ICT services to further help micro businesses.

outsourcing destination philippines

Bacolod City

The Province of Negros Occidental shelters the City of Bacolod also known as the “City of Smiles” due to its friendly and accommodating attitude. It is the metropolitanize, and the center of communication, trade, and service of the province. The city has greater economic growth that expedites a promising commerce and business industry for local and global entrepreneurs and business owners. Because of its continuous improvement and economic dynamism, Bacolod is set to provide ease to operating business and delivering remarkable output. Other than that, the city is also connected with the BPO local association, BNEFIT. This stands for Bacolod-Negros Occidental Federation for Information and Communications Technology. According to the Inquirer, Bacolod City was acknowledged as a key investment location outside Metro Manila. Due to the accessibility of qualified employees, many BPO companies have selected Bacolod. The rebuilding of the city’s real estate market and the influx of large national developers with experience in creating integrated communities with office, residential, hotel, and retail buildings.

The Ideal Outsourcing Destination in the Philippines

The outsourcing industry in the Philippines is truly remarkable. Apart from that, the Philippines makes an important contribution to the BPO sector. Ever since the rise of the BPO industry in 1992, a lot more BPO companies line up the Philippines as their outsourcing destination. In considering the ideal outsourcing destination, always take into account certain factors for your business. This includes language issues, time zone differences, and cultural mishaps. With this in mind, it is crystal clear why the Philippines and its top 5 cities would be excellent choices for outsourcing destinations. The country’s lower cost of living and dynamic and proficient labor in the Philippines help businesses around the world improve their productivity and operations. Any entity or large firm would be delighted to land among the top 5 outsourcing cities. Each of these has unique characteristics and benefits as an outsourcing provider. Indeed, the Philippines is one incredible outsourcing country that provides better business solutions for most existing industries. Bacolod City, which is mostly known as a core for contact centers, has begun to establish itself as a source of higher-value outsourcing services such as software engineering and health information management (HIM). Given the number of nursing and related medical graduates the city generates each year, it is one of the pioneering provincial sites that has been successful in luring international outsourcing corporations.

Benefits of Outsourcing Services at Prime Outsourcing

The Philippines is now one of the world’s leading providers of BPO services. Prime Outsourcing has been part of the sector for 17 years. We have successfully helped clients make their operations productive, and we want to do the same for your business today. In case you need some advice on the benefits of outsourcing to us, here is a short rundown of the details you need to know before choosing us.

  1. Lower overhead and manpower costs
  2. Excellent management and technical team
  3. Quick deployment of skilled staff
  4. No hidden charges
  5. Affordable rates

Contact us now and let us discuss how we can help you be more productive with your day-to-day business operations.

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About the Author: Leanne Danielle Marquez