by: Karen Cayamanda
IT managers are concerned about IT security, but companies still opt for providers that offer low-cost services even if they cannot prove their IT security credentials.
According to the YouGov survey commissioned by the NCC Group, 20% of survey participants said the IT processes that they outsource are less secure compared to those done in-house. On a separate PA International Outsourcing Survey 2009, 31% said they will outsource more IT processes over the next year. These results show that low costs outweigh IT security when it comes to outsourcing.
“The security industry and IT managers are calling for suppliers to prove they are secure, yet companies choosing to outsource business critical systems simply aren’t asking the right questions, and are putting business critical functions at risk as a result,“ said John Redeyoff, head of 365 Assured, a new security and performance certification program from NCC Group. “Businesses that fail to check their suppliers’ credentials, choosing cost and convenience over security, are investing in false economy.”
In the third Global Outsourcing Summit held in Jiangsu, East China, government leaders and outsourcing executives said more cooperation is necessary towards a new economy.
"Outsourcing is a gateway leading to a new economy," said Dominique de Villepin, former French Prime Minster and current global president of the Asia-Pacific CEO Association. "We should be committed to improving operating efficiencies through strengthening dialogue in order to create a shared, bright future for all of us."
He added that infrastructure and education are two crucial elements in outsourcing, that is why government support will play an important role in the growth of the industry.
Executives from multinational outsourcing companies also shared their insights in a forum held at the said summit.
Within one year of opening, Megaworld's McKinley Hill Cyberpark has expanded operations to 29 corporate locators - employing over 8,000 outsourcing workers. The IT park is Philippines Economic Zone Authority (PEZA) accredited; joining current PEZA-accredited IT outsourcing leader, Eastwood City Cyberpark. Of the 29 locators at McKinley, 19 are reported to have grown into premiere business process outsourcing (BPO) firms.
The park boasts a unique open-plan office layout for multiple modular workspaces. Within three months of operations, McKinley Hill Cyberpark had already registered $10.7 million in outsourcing service exports. Among the major outsourcing players investing in the park are Accenture, Thomson Reuters, 3M and Colgate-Palmolive.
“The initial figures, which we have generated by polling out locators for their employment figures, prove how successful McKinley Hill Cyberpark is. This is proof of its great location and great concept as a vital jobs generator,” quoted Jericho Go, Megaworld FVP of business development.
by: Karen Cayamanda
Knowledge process outsourcing (KPO) is poised to emerge as the next focus of the outsourcing sector, and the Philippines must have enough engineering and MBA talents that will meet the demand of KPO firms.
According to Larry Jones, CEO of StarTek, Inc., the country has what it takes to be an ideal KPO destination and meet the increasing demand in the industry that involves analytic-intensive tasks such as planning and research.
While the country has a constant supply of young and skilled individuals, Jones said lack of enough workers from the engineering and MBA fields poses a problem. Aside from education issues, “lack of assertiveness and accountability” of potential KPO workers must be addressed.
by: Karen Cayamanda
With the increasing number of customers who prefer to use the internet instead of the phone in different transactions, computer literacy of applicants will be a more significant requirement than voice talent when it comes to hiring call center agents. This is what a BPO executive said in the International Outsourcing Summit held last Wednesday.
"There is more use of the Web and customers, especially younger customers, are using the phone less and are increasingly going on the Web. This means that agents may soon be hired based on their technical skill and computer literacy than voice skill," said Larry Jones, CEO of StarTek, Inc.
He added that while the employees will still undergo the same training, being computer-savvy will increase your chance of landing a contact center job.
by: Karen Cayamanda
The National Outsourcing Association (NOA) in Britain awarded the “Best Offshoring Destination of the Year” title to the Philippines at the 6th Annual National Outsourcing Destination Awards held at the Park Plaza Riverbank Hotel in Central London. This was the second time that the country received the award - the first was in 2007.
“The award highlights the tremendous achievement of the BPO industry which was attained in a very short time. It is a testament to the country’s healthy economic environment that attracts foreign business to locate their operations in the country,” said Peter Favila, Secretary of the the Department of Trade and Industry.
The Philippines had outdone Egypt, Malaysia, Russia, and Sri Lanka in terms of advantages and appeal of the country to companies in the UK, level of market penetration, as well as availability of outsourcing areas.
NOA is an independent body in UK that is involved in all aspects of outsourcing.
The peso climbed to 46.43 per dollar on Wednesday; it's strongest since it reached 46.45 per dollar on January 7. Wednesday garnered a massive turnover of $1.2 billion – 85% higher than last session's $647.5 million. The Bangko Sentral ng Pilipinas spurred debate over it spending heavily to slow the USD's slide as the peso moved back to 46.45 at the end of the session.
Remittances are predicted to register especially high numbers with offshore workers sending relief money back to the Philippines following typhoons, Pepeng and Ondoy. The Philippine's Business Process Outsourcing industry is among the 8 “sunshine industries” expected to generate a collective $80 to $90 billion worth of revenues for the country to remain on course to recovery following the national calamities.