BPO

7 Biggest Successes of Philippines BPO in 2014

The year 2014 will come to an end in a few weeks and we can’t help but look back at how the Philippine business process outsourcing industry has fared throughout the year. Let’s take the time to review its biggest successes in 2014.

1. Ideal Investment Destination

A Singaporean government agency called the International Enterprise Singapore (IES) revealed that the Philippines is an ideal investment hub for businesses because of the country’s strong economic growth potential. The BPO industry in the Philippines is one of the top growing segments in the country, which attributed to the increase in the demand for office and commercial infrastructure. The IES also stated that the country’s talented workforce is also another big contributing factor.

2. Increase of Call Center Business

A statement released by the Associated Chambers of Commerce and Industry of India (ASSOCHAM) stated that India is losing 70% of its call center outsourcing business services to the Philippines and Eastern Europe. This could lead them to lose up to $30 billion in foreign exchange revenue if the trend continues. The Philippines’ quality manpower, lower operating costs, and high-quality services are the top three reasons seen to have contributed to this.

3. Cost-Effective Hub

Cushman & Wakefield published a research paper entitled “Should MNCs Stop Paying Rent Overseas?” It forecasted that the Philippines may soon join China and India in the ranks of viable hosts for MNCs overseas operations. Presently, China and India remain at the top for overseas operations. However, there is expected to be a shift towards other markets because of the increase in rental rates in these countries’ central business districts.

4. Improved Rankings

Despite a controversial video released by BPO company, Aegis Malaysia, promoting Malaysia as a better outsourcing destination that the Philippines, a survey conducted by A.T. Kearney revealed that the latter has actually improved its ranking against 50 other countries. The 2014 A.T. Kearney Global Services Location Index stated that the Philippines ranked seventh among 51 countries, which is two spots above its 2011 ranking, where it ranked 9th out of 50. It further indicated that despite falling in the financial attractiveness factor, the country improved significantly in people’s skills and availability.

5. Improved Global Competitiveness

The Global Competitiveness Report by the World Economic Forum (WEF) ranks the economies of 144 countries. It stated that the Philippines’ Global Competitive Index jumped 33 places this year and is now in 52nd place. The country’s ranking has had a steady upward climb since 2010 but this year’s improvement is the highest in the region since that year.

6. Significant Increase in Employment

The BPO Philippines industry has helped provide better-paying jobs since it started in the early 1990s and it looks like it will continue to do so in the coming years. It has been credited for providing jobs to one million Filipinos is targeting to provide jobs to 1.3 Million Filipinos by 2016.

7. Expected Increase in Revenues

During the International IT-BPM Summit held in Manila, Vikrant Khanna of Tholons stated that the country’s information technology-business process management industry will soon become the Philippines’ biggest earner. Its revenues are projected to hit $48 Billion by 2020, which will account for 19% of the $250-Billion global outsourcing industry.

All these achievements by the Philippine BPO industry this year goes to show that the country is indeed growing by leaps and bounds and that it is truly a prime location for outsourcing. It is exciting to see how much of the industry predictions will be realized in the coming years.

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Philippine BPO Off to a Promising Start in 2015

Experts and business forecasters agree: the BPO Philippines industry is off to a bright start. Here are three articles we’ve compiled for the week that shows us an even rosier outlook for the BPO industry. One article gives us a report on how the BPO industry will impact the local real estate market and how it is viewed as a viable contender in the Asia Pacific as an investment and development prospect. Another shows us the latest Tholons report that includes Metro Clark among its list of BPO hubs in the country. And lastly, Credit Suisse tells us why it foresees a strong 2015 for the BPO Philippines industry.

Why the BPO Sector Continues to Drive the Philippine Property Market

A report by the Urban Land Institute and PriceWaterhouseCoopers predicts that the real estate sector will continue to grow alongside the growth of the BPO industry in the Philippines. Also, the Emerging Trends in Real Estate Asia Pacific reports Manila to rank higher as an attractive investment and development prospect, higher than its neighbors Bangkok, Singapore, and Taipei.

8 Philippine Cities Now in Top 100 Hubs as Metro Clark Enters List

The 2015 Tholons International Top 100 Outsourcing Destinations report reveals that the Philippines now has 8 cities in its list, with the inclusion of Metro Clark recently. Metro Manila is still going strong at second place, with Metro Cebu on no. 8.

Credit Suisse Sees Strong 2015 for the Philippines

The bank stated that the continued strength of the BPO companies in the Philippines are leading the country’s consumption-led economy as it relies less on remittances and more on revenues brought about by compensation being spent by young professionals. This is leading to “structural changes” in the investment front of.

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Philippines’ Healthcare BPO Industry: 100,000 Employment Opportunities and $1 Billion Revenues By 2016

According to the January 2013 report of international business advisor and research firm Everest Group, the healthcare BPO is a “hidden jewel” of the Philippines, having grown fourfold over the past two years. The Philippines healthcare BPO’s revenues increased from $102 million in 2010 to $460 million by the end of 2012, making it one of the fastest-growing sectors in the IT-BPM industry of the country.  And it’s not slowing down anytime soon — the report also cited that by the end of 2016, the Healthcare Information Management (HIM) sector targets to achieve $1 billion in revenues and employment opportunities to 100,000 Filipinos.

The 4th Healthcare Information Management Outsourcing Services Congress (HIMOSC) last November 12, titled “Intensity 10: Propelling Healthcare Information Management to Exponential Growth”, provided a venue for key industry players, providers and the larger business community to address issues and trends in healthcare outsourcing towards exponential industry growth. One of which is the impact of healthcare reforms on the healthcare industry, that was discussed in the session “Harnessing Opportunities in Healthcare Policies.”

Addressing Challenges in Healthcare Reforms

Healthcare regulations and laws such as ObamaCare, Medicare Modernization Act, Health Insurance Portability and Accountability Act (HIPAA), and the recently-signed Philippine Universal Healthcare law, are opening up great opportunities for the continued growth of HIM industry in the Philippines. But how will the industry deal with the challenges that arise from it?

According to Jeffrey De Jesus, Infinit-O’s VP for HIM and Client Solutions Group and a panelist for the healthcare policies discussion, the projected 100,000 employment opportunities and $1 billion revenue by 2016 are doable, “as long as we have the proper information, formation, transformation, and education. The Philippines has to become an ideal place for HIM. We have to help people understand that there’s a job opportunity here.”

Information

De Jesus was joined by the Department of Health (DOH) Undersecretary Hon. Teodoro Herbosa and HCCA Health Connections Vice President for PH Operations Michael Burbach in the panel. The discussion included queries about several regulations and laws related to the global healthcare industry, specifically ObamaCare.  De Jesus states, “It opens a new horizon of opportunities. There are US companies that are looking for services that don’t yet exist.”

For proper information, the industry must have all the details to provide the best possible solution. DOH’s Undersecretary Herbosa says, “Understand what the government is doing for healthcare so you can offer the right solution”.

Transformation

For proper transformation, De Jesus cites a challenge of, “making the Philippines as the ideal place for HIM”. In an article citing Dr. Josefina Lauchengco, president of the Healthcare Information Management Outsourcing Association of the Philippines, she said that “The Philippines’ competitive advantage in the growing Healthcare BPO sector is built on the availability of talent pool, strong cultural affinity with the United States, and medical know-how that leads to good customer interaction skills and efficient delivery of niche services.”

Raise Awareness of Alternative Career Opportunities

De Jesus also adds that there’s a need to “help healthcare/medical people to understand that there’s a job opportunity here in the Philippines.” Since 2001, the Philippines has produced over 1,000,000 nursing graduates, yet a lot of them are forced to take a different path because of the lack of job openings in their chosen degree. There is a need to raise awareness among unemployed Filipino in the healthcare industry that there are alternative career opportunities provided by the HIM sector.

No matter how cliché the statement, “Health is wealth” can be, it is definitely something that each individual should take into account. Need not worry though, because we can provide your medical institution all the assistance you’ll need through our exceptional patient services such as billing, coding, and even back-office responsibilities.

6 months ago No Comments Views

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