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Using Serviced Offices as a Quick Start for Your Philippine Offshore Team

Globally, the BPO industry is referred as an economic pillar, lifeline and powerhouse. Offshore outsourcing companies became an integral contributor to world economies. Oxford Business Group (OBG) even described it as “one of the largest white-collar employers” in many countries. The Philippines ranks third in the BPO industry. There are countless hubs in and around Metro Manila; economic zones and provincial metropolitan districts catering and garnering high satisfaction ratings from serviced offices. More so, voice-work here has the highest position in the outsourcing industry, evidenced by the top 16 offshore call center projects the country secured in 2016 and registry of 3 new outsourcing companies weekly.

The 2017 A.T. Kearney Global Services Location Index reported that the Philippines steadily remain a leader in the service industry. This is a very good indicator that the Philippine BPO industry has a strong foothold in the global outsourcing market.

The Philippine macroeconomic model pays close focus, gives leeway and incentives to promote the expansion of global in-house call centers in the country. Initiatives have been undertaken in high-value fields like engineering and legal BPO to design mechanisms that will hinder the threat of automation. It is also proactive in giving the sector all the necessary support including tax shields or incentives.

The country aims to maintain its position in the global market and gain advantage over worldwide competition.  Today, BPOs significantly improved their services by merging human and artificial intelligence in their service protocols. This further lure new investments; ensuring millions of jobs and other employment opportunities to citizens while having the success of investors in mind.

Visa, a leader in the Banking and Finance Industry, opened a number of centers in the country to service millions of their clients. Investments like these from major industry players reflect highly on the viability and profitability of setting up inbound offices and having offshore teams here. The country even doubled the World Bank’s estimated lifetime BPO revenue of $50B to more than a $100B.

Aside from language skills, Filipinos are highly educated with strong customer service orientation. They are capable not only in handling diverse customers, knowledge-intensive IT and business services but also research and project development. Filipino workers have proven themselves to be easily and highly trainable. This is a big save on training cost specially, in the IT field.

IT training, for the average Filipino, starts in secondary school. Continuous IT education is later given in college. It is integrated in university curriculums in all fields of learning; making Filipinos computer-literate, even proficient, at the time of employment. This is an advantage investor appreciate.

These factors make Filipinos desirable employees to foreign employers. Many skilled graduates and workers are funneled out of the country by multinational corporations. They have seen and experienced the promising potential Filipino talents contribute to business growth. Philippine GDP Report shows that overseas remittances from migrant Filipino workers account for the 10% of the country’s GDP over the past decade while BPO income contributes 5%.

Further, the Philippine IT-BPM alliance had given the industry a voice. They collaboratively seek to further improve the country’s service quality to secure 15% global outsourcing market share as stated in its Roadmap 2016-2022.

Roadmap22 aims to further improve the skills of BPO agents to become globally competitive. It will arm Filipino talents with multi-industrial expertise, keep up with technological innovations in AI, software, analytics, big data and use them to the benefit of the emerging sectors serviced worldwide. This assures growth and profitability to the country and to all inbound offshore operations. They project that this will further boost the country’s market standing globally. For inquiries, you can write to


Publish Date: February 19, 2019

Facilities Outsourcing in the Philippines

Managing your facilities is not just about having a group of people maintain your work area or do maintenance activities on your AC. It is a huge responsibility which, if not done right, can have a significant impact on your day to day operations.

But why should you outsource your facilities services to a vendor, and what is it?

Facilities outsourcing is a process in which you hire a contractor to take accountability of your facilities management arm. It includes maintenance services and ensures that the work environment is safe.

But what are the benefits of doing this?

Legal Compliance

Facilities outsourcing in the Philippines is a growing industry because the vendors know what they are supposed to do. The mechanics and facilities experts are not just those who know how to fix your plumbing system; they are also trained to comply with the expectations laid out by the law in relation to environmental hazards.

Depending on your city and industry, the government may require you to comply with L.E.E.D standards, which includes legal expectations when there is a repair or renovation needed.

Better Dependability

If you hire your facilities team internally, chances are one is going to be out sick one day. Or there could be an emergency. Whatever happens, one absence can impact your sanitation or the safety of the work environment, let alone making sure that all the equipment is in the proper working order.

This will not happen with outsourcing facilities teams. If someone is out, they have a healthy roster of employees who can serve as a temp to replace the absent employee assigned to servicing you. Because of this back-up system, you can expect an uninterrupted service.

More Efficient

Facilities management require skill. The employees who belong to this organization need training. If you hire your own, chances are you do not have the expertise to keep these employees up to date with trends and legal expectations.

But if you outsource, you can expect that the services are at par with your standards. If you manage your own facilities group, there may also be non-performing employees that you cannot remove immediately for fear of the impact on your daily activities.

But with an outsourced group, you simply have to report the erring employee, and he may be replaced immediately.

Have Business Focus

Managing your facilities team can take you away from more important matters—the business operations and your customers. You have to meet your facilities team, deploy them to their specific tasks, check their work, compare it with the standards, manage their sick days, rotate their schedules, determine costs of repair, and so much more.

A facilities team is like any other team. They need guidance. And if you have an in-house facilities department, you will not be able to fulfill you’re your other duties.

You are better off hiring a facilities manager and having him work with an outsourced group.


An outsourced facilities group has several benefits. You can reduce the work of your staff, save on the costs of paying for employee benefits, and decrease legal risks if there is an injury. For inquiries, write to


Publish Date: February 19, 2019

Incubation Set Ups in the Philippines for Offshore Companies

A business incubator works in a similar manner with a baby incubator. When a baby is born, you need to put him in an incubator as he adjusts to his environment after birth. In business, an incubation set up is a place where a new entrepreneurial can receive management training and office space.

You can set up your offshore business and seek the help of business incubators in the Philippines.

But why should you do this and what are the services that you can get?

Setting Up the Business

When you start a business in the Philippines, you need people on the ground. And this is where an outsourcing company comes in. First off, you need serviced offices to provide you with seat leasing options.

The outsourcing companies have offices fully set-up for your use. As a business, you need:

  • Office space – can be set up in cubicles or any other way you prefer
  • Utilities like power, water, internet, phone lines – all ready and functional
  • Network Operations Center – includes hardware that is ready for integration with your business
  • Computers and peripheral – state-of-the-art models equipped with modern software
  • Office furniture – comfortable furniture like tables, and chairs
  • Other rooms that you may need such as a board room or training room, pantry

All of these are ready for deployment and are fully functional.

Setting Up the Employee Preparedness

When you open a business or center with outsourcing companies in the Philippines, you will be leveraging the talent of thousands of experts who have been in the industry for decades. This includes shared services like the following:

  • Human Services – experts who understand your hiring needs. They can prepare a document containing minimum skill requirements for hiring, which will be used after your approval.
  • Training Department – adept product and language trainers who will prepare the employees to use your systems, comply with your standards, and perform the duties you expect them to do.
  • Payroll – a shared department for all employees to manage the salary disbursement of the employees
  • Facilities – a department dedicated to make the workplace a safe environment.
  • IT – the department responsible for managing the NOC and fixing hardware or service network issues.

After the set-up, the outsourcing vendor in the Philippines can also provide you with a dedicated managed operations. These are management-level employees who will oversee your daily operations, ensuring that every cog in the operations is working.

You can also expect senior managers to provide support to the operations group. These leaders will be hired in accordance with their tenure as managers, and in relation to your industry.


Every business needs all the help it can get, especially if it is an offshore team. To do it right, you need the support of experts who have been setting up and operating offshore programs.

The Philippines is the go-to country in the world when it comes to outsourced services, including business incubation projects. The country is the global capital of the BPO industry and has been at the forefront of market leadership in the last two decades. For inquiries, write to


Publish Date: February 19, 2019

10 Reasons to Consider Philippines as Your Outsourcing Destination

The Miss Universe Crown is not the only crown the Philippines possesses. As early as 2010, the Philippines was officially recognized as the BPO hot spot of the whole world.

The Philippine outsourcing industry has been around for more than two decades.

Having said that, the next thing we need to discuss is not how this came to be, but why the country is the best choice as far as outsourcing your business is concerned.

So why choose the Philippines?

1. Talent Pool – there are outsourcing companies here that employ more than 15,000 people, and that is just one company. The industry has a presence in the three major islands of the country, and they are all located in top tier-cities like Makati and Ortigas Center. Looking for employees is never a concern.

2. Maintain Core Business – you must outsource so you can focus on your business core like product development, brand strengthening, or service delivery. You cannot make this happen if you have to manage tasks that can be done remotely.

3. Labor Cost – the cost of labor for BPOs in the Philippines is competitive. An hour’s worth of labor in U.S. or Australia is close enough to meet the labor cost of a Filipino employee per day. You will get the same quality of service, or even better.

4. Infrastructure Cost – you do not have to spend building an office or buying equipment. All of these are ready and only needs to be occupied.

5. Education – there are more than 2,000 universities in the country. Every year, thousands of people graduate looking for jobs in the outsourcing industry. You can leverage these talents in customer service, science, technology, engineering, and mathematics.

6. Government Support – if done right, you can enjoy government benefits such as lower taxes and subsidies of some utilities if you do business in the country.

7. Accessibility – the country may have more than 7,000 islands, but there are major international and domestic airports all over it. You can travel to the offices knowing that you do not have to endure long hours of traveling by land.

8. Expertise – the industry has been around for 20 years. Thousands of people are experts in many verticals, including functions critical to your business such as management, customer satisfaction, and sales.

9. Risk Mitigation – if there ever is a calamity in your own place, your business is not impacted since your partners are in the Philippines. And here, outsourcing vendors split the teams into different areas to ensure there is support despite the occurrence of heavy rains or flooding.

10. Resource Allocation – free up your local resources. Pass on the tasks to the outsourcing vendors in the Philippine so you can use the time of your local employees to drive your core businesses functions.


No matter where you look, outsourcing in the Philippines is still the best option if you want your business done right. In this country, you are leveraging decades of expertise in the outsourcing industry to advance your business goals. For inquiries, write to


Publish Date: February 17, 2019

The Rise of Offshore Teams in the Philippines

There was a time when outsourcing was unheard of in the Philippines. But in the early 1990s, the first contact center was established in the country, and since then it has grown into a BPO hub.

The Philippines BPO industry is the second highest revenue generator in the country, with billions of dollars in annual revenue, next only to the money that the overseas foreign workers generate.

Today, the country is home to a myriad of services, not only catering to business process outsourcing, but also to other business activities such as KPO, ITO, and ESO.

How did the industry grow?

The first BPO was launched in 1992 by Frank Holz through the Accenture Global Resource Center. During that decade, the Philippine Congress passed laws that made the country a welcoming  place for businesses to thrive. This law allowed foreign corporations to put up businesses in the country and enjoy low tax rates and government subsidies.

In the late 1990s, companies like Sykes and eTelecare joined the scene, and this was followed by People Support and Convergys in 2001 and 2003, respectively.

As the BPO industry thrived, so did the economy. Real estate companies boomed, and offices were now easier to acquire or rent at affordable rates. And because there was a rise in the country’s economy, more people could go to college, thus giving birth to a pool of talents that can service anything that can be done offshore.

What services can you avail from Philippines ITES companies?

Today, an offshore team in the Philippines is no longer just about contact centers. There are hundreds of services that foreign businesses can outsource here, including back office bank work, payroll, marketing, healthcare, and so much more.

  • Contact centers – these are the largest BPO companies in the country, offering services in various verticals and different customer service channels (chat, email, voice) from telecommunications, healthcare, credit card and banking, utilities, and other businesses that require the support of live agents.
  • Virtual Workers – these are companies that offer services that do not need customer contact but are leaning towards knowledge process outsourcing activities such as payroll, accounting, game development, big data analytics, graphic designs, transcription services, and social media marketing.


The country remains to be at the top of the outsourcing business globally. And as such, you can expect that an entire economy, including the government, fully supports the industry. If you build your team in the Philippines, you can rest assured that you will get top quality services for whatever it is that you need.

You can collaborate with contact center managers, or manage your virtual workers yourself and ensure that they deliver services at par with your expectations. There is no shortage of talent in the country, and more and more new graduates every year are seeking to become part of an offshore team.

It provides them with an avenue where they can exercise or apply their knowledge—which makes them passionate workers—in the STEM industry, which includes not only customer service but technical and mathematical endeavors. For inquiries, write to


Publish Date: February 15, 2019

How Much Do You Save by Outsourcing to the Philippines?

As a medium-sized business, you have to take into consideration that there are several expenses that are not necessary. The processes are important, but there are ways in which you can mitigate costs. One of these ways is outsourcing to the Philippines.

Since there are many kinds of businesses and processes, we will take a small business that requires a 15-seater operation for our theoretical demonstration.

Whether you need contact center agents to serve your customers, or you need virtual assistants, you can use this example to have an overview of how much you can save if you outsource these services to the Philippines.

The Cost of Not Outsourcing

If you do not outsource, the first thing you need to look for is a real estate property. You either build your own, or you rent a facility. Even if you rent, your expenses do not stop there. You need to furnish and build your facility to site your 15 employees. You also have to pay utility bills like the following:

  • Internet
  • Gas
  • Power
  • Water

Since these expenses are subjective and will depend on how heavy your usage is, we will not include this in the equation for now. What matters most is the cost of your real estate. Let us say that you will operate in Denver, Colorado.

Here is a table of a basic projected cost of operating a site with 15 people.



  Notes Cost per Unit
Rent 15 people with a cost of $165 serviced space per person $2,475
Salary 15 employees @ 20 days per person with a rate of $5 per hour $36,000
Computers 15 units @ $1,000 each $15,000
TOTAL   $53,475

Your initial cost is more than $50,000 a month. And you have to pay at least $38,000 in monthly salaries and rent, not including your utility costs.

The Cost of Outsourcing to the Philippines

Here are the outsourcing benefits if you do business in the Philippines.

In the Philippines, the average salary of a person is in the range of $20 per day. Now, compare this to your average American labor cost, and you will see that huge variance in the cost of labor.

You will get the same quality of service, or better, if you choose the right partner. Now, since the outsourcing vendor will shoulder your operational costs, it will be reasonable enough to charge the same amount of salary with a U.S. employee. And with a model like this, below is your total cost.



  Notes Cost per Unit
Rent None $0
Salary 15 employees @ 20 days per person with a rate of $5 per hour $36,000
Computers None $0
TOTAL   $36,000

As you can see, you already have a cost savings of $17,000 right at the start of your operations. As a client, you do not need to worry about utilities, computers, security, gas, power, internet, and all that.

You can still bring down this cost since outsourcing experts know what it takes to add value to your company. There are methods, software, and processes that a vendor can recommend to you to make your process more effective and efficient to drive your bottom line. For inquiries, write to


Publish Date: February 14, 2019

How Outsourcing for SMEs and Mid Corporates Can Benefit Businesses

It is a myth that only large corporations have the need to outsource. Anybody who is operating a business must, one way or another, outsource a job that eats time. But what is outsourcing and how can it benefit a small or a medium-sized business or SME’s?

Outsourcing is a process where you let someone, or a group of people do specific tasks for you. In exchange for that, you pay for the services, but a significant amount of your time is freed up, thereby allowing you to think, strategize and execute.

Tasks That You Can Outsource

To name all these tasks is a gigantic effort. But we shall provide some examples later. Ideally, the tasks that you need to outsource are:

  • Time-consuming tasks
  • Key aspects of your daily operations that can be done remotely
  • Those that are important but are not within the range of your expertise
  • Some tasks that do not require a full-time employee to perform


  • Telecalling
  • Graphic design
  • Inbound or outbound customer service; throw in telesales if you want to so you have an added channel for your sales
  • Social media marketing
  • Payroll
  • Bookkeeping and accounting

There is a whole lot more that you can get done if you outsource to offshore teams of midcorporates. In return, you can focus on the core of your business such as:

  • Product development
  • Order fulfillment and logistics
  • Research and development

Benefits of Outsourcing

Even if you are a single-person business, you can jump into the bandwagon of outsourcing for SME’s, and reap the rewards.

Ask yourself, would you rather make the telemarketing calls yourself for eight hours per day, or have someone do it for you while you focus on creating new products that you can sell?

Apart from getting back your time, here are the other benefits.

  • Reduced labor cost – due to economic differences, you can stretch your dollar and get more value for your money if you outsource to the Philippines.
  • Pay as you need services – do you really need a bookkeeper per day, or do you want somebody who will do it on a project basis? How about the payroll tasks?
  • No infrastructure costs – if outsource, you do not need to pay the rent for an office, let alone the expenses you will typically incur like gas, power, internet, etc. You also do not have to buy equipment like computer, chairs, tables, cabinets, water dispenser, coffee brewer, etc.


So, is it worth it?

It definitely is. Outsourcing for mid corporates is a reasonable and justified investment. The only challenge that many small businesses face is that they want to do these tasks on their own due to lack of funds. But if you perform these duties, you will be stuck to where you are.

And for a long time, too.

Your business will not grow because it has no leader who can strategize. You are using your precious time doing legwork instead of staying at the top and looking at the bigger picture and delegating tasks that your outsourcing vendors must execute. For inquiries, write to


Publish Date: February 14, 2019

Growth Story of the Philippines Outsourcing Industry

Outsourcing was not the key strength of the Philippines back in the 1970s. It was agriculture, and the Philippines was once a top exporter of fruits and rice to many countries in the world. In the 1980s, the country saw a boom in sending Filipinos as overseas foreign workers. It was in the early 1990s that the call center business first saw the ray of light in the country.

The man responsible for it was Frank Holz. He founded the Accenture Global Resource Center in 1992, and the Philippines BPO industry was born.

As the country was trying to deal with the issues that beset the economy, Congress passed an act that would entice foreign corporations to establish their businesses in the Philippines. This act allowed foreign corporations to enjoy low taxes, and some also enjoyed the benefits of having some of their expenses like utilities subsidized by the government.

It was in 1997 and 1999 that other players entered the scene. These were Sykes and eTelecare.

And then came People Support in 2001. The company set up its office in Ayala, Makati, and provided Filipinos more than 8,000 jobs. Two years later, Convergys put up two contact centers in the country, and its then-president announced that the Philippines is going to be a part of the company’s global plan for expansion.

By 2005, the Philippines outsourcing industry accounted for 2.4% of the country’s gross domestic product and had 3% market share in the global BPO industry. The country was competing against BPO giants like Mexico and India.

By 2010, the Philippines was officially recognized as the world’s BPO capital.

Today, the world’s first choice is the Philippines ITES industry. As the BPO industry thrived, the business leaders also ensured that the country is abreast with the demands and the new technologies that the world needs so the businesses here can provide a truly global service.

Among the key business models that the country can offer are:

  • Captive Markets – a system where the BPO is set-up by the parent company itself instead of outsourcing. Examples of these are Wells Fargo and J.P. Morgan.
  • Build, Operate, Transfer – also known as the BOT model. In this system, a company will outsource its business needs to the BPO company. For a specific period of time, the BPO company will consolidate all its processes and best practices and turn over all the assets and employees to the client.
  • Third-Party – this is the most prevalent business model where foreign companies will outsource some of their business processes to either a contact center or a BPO company. Essentially, the employees are under the care of the contact center, but they use the client’s brand name and processes.

There are other models that one can check out, such as the build-from-scratch model, but the three previously mentioned methods are the most prominent.


Today, it is no longer a question of why the Philippines but rather where in the Philippines should you build your contact center. Or if you are dealing with a BPO company, it is a matter of choosing the right partner do business with. For inquiries, write to


Publish Date: February 12, 2019

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