Why Philippines?
The Philippines has been a key player in the growth of offshoring and outsourcing, significantly impacting its economic development. Currently, the business process outsourcing sector stands as the foremost industry in the country, attracting numerous foreign companies to establish satellite offices and leverage the expertise of skilled Filipino professionals for outsourcing purposes.
Why Consider Offshoring to the Philippines?
Outsourcing tasks to Filipino staff has proven instrumental for foreign enterprises, enhancing service quality and reducing labor costs, among other advantages. Additionally, Filipinos exhibit fluency in English, both spoken and written, and excel in adaptable work environments, including remote setups. The Philippine government actively supports outsourcing companies by providing incentives and recognizing the substantial contribution of the industry to the nation's economy.
BENEFITS OF OFFSHORING TO THE PHILIPPINES
COST-EFFECTIVENESS
Foreign companies enjoy a 75% reduction in labor costs when outsourcing to the Philippines, owing to the commitment of Filipinos to delivering high-quality output in their roles as business process outsourcing professionals.
CULTURAL ALIGNMENT
The prevalence of Western culture in the Philippines ensures quick assimilation by Filipinos, fostering harmonious relationships with Western employers and customers.
SKILLED WORKFORCE
With a large pool of highly educated graduates (3 million annually) and a 97.5% literacy rate, the Philippines offers an abundant supply of talented and skilled workers for the outsourcing industry.
24/7 AVAILABILITY
Filipinos are dedicated to providing round-the-clock service, overcoming time zone differences by working night shifts, a norm established over decades in the outsourcing industry.
GOVERNMENT SUPPORT
The Philippine government encourages outsourcing through regulations and incentives, including income tax holidays and the establishment of economic zones.
ENGLISH PROFICIENCY
Since English is the second official language, Filipinos excel in both verbal and written communication, consistently ranking high in English language proficiency among Asian countries.
The Philippines: The IT-BPO Capital of the World
The Philippines' IT-BPO industry has become one of the best in the world, helping businesses create a remote and highly capable business unit at a cost-effective rate. The country’s vast talent pool has made it easier for global companies to drop geographical boundaries, in order to connect with the right talent. With the IT-BPO industry becoming one of the fastest-growing sectors in the Philippines, it has transformed the country into a top outsourcing destination for other global industries.
- One of the Largest IT-BPO Hubs in the World
- Over 700,000 graduates yearly (130,000 IT & Engineering Graduates Annually; 30,000 Filipinos upskilling)
- Third-largest English-speaking country in the world
- Young & digital-savvy talent pool, with Millennials and Generation Z making up over 70% of the population.
- Compulsory education (Elementary to Undergraduate degrees.)
Build Your Dedicated Offshore Team with KMC
While India has a larger and older outsourcing industry, the Philippines boasts a unique advantage, offering a balanced blend of cost reduction, ease of business, cultural alignment, English proficiency, and extensive capabilities. Consider establishing your revolutionary team in the Philippines today!
