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BPO Advantages in the Philippines Outweigh Risks

by: Sidney Liquigan

Thursday, March 15, 2018 | Outsourcing News |

On March 8, 2018, the second IT-BPM Business Resiliency Summit was held at the Manila Marriott Hotel. During the Pacific Strategies Assessments' (PSA) presentation, Managing Director Mark Condon said that despite the global news reports on terrorism, crime, and corruption in the Philippines, the negative perception is outweighed by the fact that BPO is a successful industry in the country, as reported by Malaya Business Insight. This means that businesses overseas are confident in outsourcing to the Philippines, mainly due to the quality of service that Filipino workers provide and the competitive wages.

In advising foreign clients, Condon said that the two key issues that these clients always raise are 1) the safety of the workers and exports and 2) the local ownership required when setting up a business here. He continued that PSA advises foreign clients to perform due diligence, which is an essential element to understand the people they are dealing with. Due diligence will help businesses identify "what the drivers are to be successful to operate in the Philippines."

Condon added that to be able to avoid compliance issues and to be prepared for threats when outsourcing to the Philippines, foreign businesses should learn to adapt and understand the environment and how things work in the country. He also advised to think about the competitive advantage of outsourcing to the Philippines – including the quality of Filipino workers and their proficiency in the English language as well as the lower labor costs – if these can overcome the risks.

In the same event, the IT and Business Process Association of the Philippines (IBPAP) President Rey Untal said that despite the technical issues and weather hazards that Philippines-based BPO firms face, Filipino BPO workers proved to be resilient and the firms have the ability to recover quickly from any adversary, not letting anything hinder their growth.

"The Philippines should focus on how to be resilient whether in disaster risk management or protection from terrorism and violence," Untal said.

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