Business Process Outsourcing in the Philippines

Philippines, considered as one of the fastest growing economy in South East Asia, One of the most robust industry right now is the business process outsourcing sector also dubbed as the “sunshine industry of the country”.

But what exactly is Business Process Outsourcing or BPO for short?

By definition, BPO is all about contracting a specific business tasks or services to a third-party provider. BPO that is contracted far outside the business country is called Offshore Outsourcing, and contracting to nearby or neighboring country business is called Nearby Outsourcing. It is divided into two categories: Back Office which includes internal business functions such as human resources, finance and accounting and Front Office which includes customer-related services such as Contact Center, customer supports and call centers. Often the business processes are Information Technology-Based often called (Information Technology Enabled Services) ITES-BPO, Knowledge Process Outsourcing (KPO) and Legal Process Outsourcing (LPO).

The Philippines Business Process Outsourcing sector is fast growing with an annual growth of 46% since 2006, It has surpassed India as the Call Center capital of the world and ranked 3^rd in the world as the global outsourcing destinations. Industry experts estimated the industry revenue to reach $25 billion by 2016. The demand of low cost labor, highly skilled workers, educated work force and high proficiency in English catapulted the country the top of this industry.

Call Center Industry
Philippines- the world's call center capital, this sector of the country comprises 80% of the total BPO industry, began as providers of business email response and managing services. Growth of the Call Center industry is due to the lower costs of labor and operation and high proficiency in spoken American and British English and idioms, stream of college level and graduate applicants, and highly skilled motivated workforce.

Information Technology
The Philippines ITES-BPO sector has been growing on an average of 46% per annum, due to its high-end outsourcing services such as Web Development and design, software development and programming. 

It is also doing well on the global market of gaming and animation, which is growing due to increasing popularity as an entertainment. Major animation studios have offices in the country like Marvel, Disney and Warner Bros. Some popular animations such as Pixar’s Finding Nemo, Barnyad and Anastasia has a touch of Filipinos animation skills.

Legal And Medical Transcription
Many companies mostly do medical reports, therapy notes, rehabilitation reports, hospital and clinical reports. With its large number of nurses and medical professionals, Philippines has been providing quality services in this sector.

Finance and Accounting
As a leading BPO services provider, Philippines is becoming a global hub for shared services center corporate back office operations, especially financial services such as bookkeeping, accounting, account maintenance, payroll processing, financial analysis, financial analysis and auditing, inventory control and purchasing.

As one of the world’s top BPO services provider, Philippines is poised to become a global location of choice and its BPO sector is committed to give the world it high-end services.