Benefits of Outsourcing To The Philippines

Outsourcing to the Philippines has become a popular trend over the past few decades, particularly in the business process outsourcing (BPO) sector.

The country has emerged as the largest and leading contact center outsourcing destination in the world. According to the Phil Star, the BPO sector in the Philippines employed more than 1.3 million people in 2022.

One of the significant benefits of outsourcing to the Philippines is the substantial cost savings.

The cost of labor in the Philippines is lower compared to many other countries, and outsourcing can save companies 40-50% compared to premium onshore programs. By outsourcing to the Philippines, companies can afford to double their production and save on other resources, which also assures better quality of services as BPO and KPO firms in the country invest greatly in training their people.

The average hourly rate for outsourcing in the Philippines is $4-14 per hour, making it a low-cost outsourcing destination. The Philippines is quickly adapting to the changing business environment, as seen in its BPO sector, and is exploring the future of outsourcing in an age of automation and artificial intelligence.

The reasons to outsource a company’s processes to BPO companies in the Philippines are numerous, and these include the high linguistic and cultural compatibility between Filipinos and their clients.

This factor not only affects the quality of service provided by the workforce. It also plays an important role in how office dynamics work, all the more post pandemic as filipinos increasingly start to work from home.

To conduct a harmonious and effective working relationship, both parties should take the extra mile in familiarizing themselves with the culture and values of the people they are working with.

To understand the Filipino talent and the BPO industry in the Philippines, one has to take a look at the country’s history and understand Filipino culture and traditional values.