| Outsourcing has been a key business strategy used | | | | and buying, tele-marketing and e-campaigns. The |
| by companies in various industries for more than a | | | | second factor is procurement thinking. Large |
| quarter of a century. Automotive companies have | | | | corporate organizations often subscribe to the large |
| been outsourcing manufacturing operations, business | | | | agency model for their marketing supply chains. But, |
| services, back-office tasks, and even entire lines of | | | | with the global credit squeeze, businesses across the |
| business since the 80s. More recently, business | | | | globe are looking to realize cost savings that do not |
| processes such as information technology, logistics, | | | | impact negatively on their business. |
| printing, human resource management, payroll, | | | | |
| e-Commerce and marketing, consultancy, and certain | | | | The Philippines is a strategic location for outsourcing |
| elements of procurement have also been outsourced. | | | | – especially call centers - for a lot of reasons. |
| | | | | Aside from the cheap price of labour, another edge |
| Across the globe, competing pressures and the | | | | that the Philippines has is proficiency in the use of the |
| necessity for financial improvements, and high quality | | | | "language of business" – English. Filipinos are |
| outputs are driving an increase in the magnitude of | | | | known to adapt easily to accents, dictions, and |
| outsourcing. Factors as to why companies are | | | | registers of prospect clients – be it in American |
| executing outsourcing plans include reduction and | | | | English or the Queen's. Currently, the Philippines enjoy |
| control of operating costs, gaining access to world | | | | a large market for call centers, probably even the |
| class capabilities, accelerating reengineering benefits, | | | | largest in the world. |
| shared risks, and cash infusions. | | | | |
| | | | | Why the Philippines over others? If affordability and |
| For many Filipinos, synonymous to outsourcing are call | | | | competency is not enough, one can look at the |
| centers. Though outsourcing (a.k.a. BPO) generally | | | | prospects of quality, the environment, and piece of |
| covers a wider scope, call centers dominate the bulk | | | | mind of one's business. With the call center industry |
| of the industry in the country. Despite the recent | | | | over 15 years old and governed by the same |
| collapse of the giant economies in the West, market | | | | business rules, regulations and legislation as the call |
| players are now restructuring their workflows. One | | | | centers back in the West, the Philippines represents |
| avenue where they can maximize their company | | | | as low-risk a destination for your outsourcing |
| potentials is by embracing outsourcing. In fact, almost | | | | requirements as is possible to find. Along side cost |
| 50% of USA companies outsource most of their | | | | and quality considerations, experts know that any |
| services. Moreover, at the rate outsourcing is going, | | | | modern call center and other outsourced industries |
| forecasts show that at least 8.3% increase will be | | | | attach great importance to environmental concerns |
| seen by 2010. | | | | – something that the Philippines is truly strict with. |
| | | | | Lastly, intellectual property rights are protected. In |
| There are two chief reasons why there is a global | | | | the first line, by local government laws and secondly |
| rise in interest to outsource: one reason is the | | | | by the fact that virtually every outsourced industries |
| increased number of global brands. This requires | | | | are under the auspices of the World Trade |
| brand consistency throughout all marketing | | | | Organization and the World Intellectual Property |
| communications. While marketers are experts at | | | | Organization. |
| guiding the brand from concept to final output, they | | | | |
| realize that ensuring consistency of the output and | | | | Call centers were forged in the fires of the last global |
| delivery of the work is not usually an area of their | | | | recession. Given the current economic upset, the |
| expertise. This is where e-Commerce comes in. In | | | | Philippines should be a good destination for more |
| the Philippines, e-Commerce comes in the form of | | | | outsourced services. |
| inbound/outbound call transactions, direct online selling | | | | |