5 Reasons Why the Philippines is a Top IT Outsourcing Destination (2022 Edition)

5 Reasons Why the Philippines is a Top IT Outsourcing Destination (2022 Edition)

Before looking for a company to outsource from, you must first choose a country. It is probably more important to find the perfect country that works well for your needs before going in-depth with each company. You need to find the exemplary aspect you have in mind, such as culture, language, and government support, and if it correlates with your company and its need.

One of the top choice IT outsourcing destinations in the Philippines. Many believe that IT outsourcing in the Philippines provides cheap labor, competitive skills, and flexibility. In this article, let’s find out in this article why the Philippines is the top IT Outsourcing Destination in 2022.

What makes the Philippines a top BPO destination?

The Philippines is a Top IT Outsourcing Destination because it has the right mix of talent, infrastructure, and cost. In addition, the Philippines has an excellent telecommunications infrastructure, and the country has a large English-speaking population with a high literacy rate. It is ranked fourth in the world by the number of English speakers.

Likewise, The Philippines’ strategic location in Asia also makes it a convenient place for organizations. Filipinos are globally recognized as excellent communicators who can comfortably work with people from different cultures. This makes it an attractive destination for companies looking to outsource their customer service initiatives.

Below are more reasons why do foreign companies outsource in the Philippines:

1. Filipinos are proficient in English

IT outsourcing in the Philippines is popular due to its English-speaking population. As mentioned earlier, the Philippines is the third-largest English-speaking country globally. The United States colonized the country from 1898 to 1946 and imposed English as a mandatory language in schools. Filipinos are proficient in English, but they are also fluent in Tagalog, their own native language.

They have an established call center industry with skilled experts that are english profiicient, which is the backbone of their BPO industry. Likewise, these facetors makes Philippines an attractive location for English-speaking companies that need to outsource content writing, customer service, and other tasks.

2. The Philippines has an affinity with Western Culture

Another advantage of Outsourcing in the Philippines is its affinity with Western culture. While Filipinos have a deep-rooted culture similar to Southeast Asian countries, it is mixed with western tradition.

The country celebrates many western holidays such as Christmas, Easter, Halloween, and new year. In addition, Filipinos also have a strong kinship with Western media, especially American pop culture. Similarly, they have been exposed to Western culture and ideas through international trade and tourism.

3. Filipinos are flexible and agile

Another reason why IT outsourcing in the Philippines is excellent is because of its people’s flexibility and agility. Filipinos are known for their adaptability to different cultures and strong work ethic. Filipinos are known for their resilience and flexibility. They can change and adapt to any situation, even if it is not the best.

Moreover, most IT outsourcing companies in the country are led through agile management, making them one of the best IT experts that are innovative and independent.

4. The Philippines have modern infrastructure and outsourcing facilities

The Philippines have recently been on the rise to become a central outsourcing hub. Its government supports the IT industry, which has led to an improved quality of life for Filipinos. They has been making giant strides to ensure that the country’s infrastructure and facilities are up to date. In addtition, stakeholders are actively improving the country’s access to high-speed internet.

Likewise, the Philippines has many outsourcing facilities that are very modern. One of the top business center cities in the Philippines, Makati, has implemented Information and Communication Technology (ICT) solutions. The local government ensured that all tech-hub were ICT-ready, making business-related operations easier and better.  

Similarly, the national government established laws and regulations to protect all Filipino BPO workers and investing companies. The Republic Act 10844 strengthens IT outsourcing companies by enacting a strict data privacy policy and declaring that all information is vital in nation-building. This ensures universal access to affordable, reliable, and safe ICT services.

5. The Philippines is a veteran in the outsourcing industry

The Philippines has been a veteran in the outsourcing industry since 1992. During this year, American companies started to outsource their customer service and tech support to the country.

Likewise, it has been providing services to international companies for years. In recent years, the country has seen a rise in demand for its services. More and more corporations are turning to outsourcing as a cost-effective way of providing high-quality work.

How to start outsourcing in the Philippines?

When you finally decide to IT outsource in the Philippines, start by doing the following steps.

1. Develop a business plan

The first step for IT outsourcing in the Philippines is to develop a business plan. This includes researching potential outsourcing partners, understanding the costs and benefits of outsourcing, and deciding what tasks should be outsourced.

Entrepreneurs need to understand the potential risks of outsourcing, such as security breaches or unfair treatment of employees. It is also vital for them to manage their own expectations regarding how much time will be saved by outsourcing specific tasks.

Entrepreneurs should also have a clear idea of what they want out of the experience before they begin looking for an outsourcing partner.

2. Research for the best provider

This step aims to find the best outsourcing provider who can provide the best services reasonably. One of the most critical features when selecting an outsourcing provider is its location. The closer they are to your company, the cheaper it will be to communicate and work with them.

Another feature you need to deliberate on is how much experience they have in your industry. The more experience the IT outsourcing companies have, the better-quality service you will get.

3. Go in-depth with each company

After researching the outsourcing companies, they are all different in their own ways. They each have their own niche and strengths that make them an asset to businesses.

You may want to evaluate each company that resonates well with your company’s mission and goals. In addition, try to research individual reviews for each company. See their previous services and how they interact with clients. Below are some critical requirements for an outsourcing company:

  • Should be able to handle various projects and deadlines
  • Be able to provide a product of the same quality as the original
  • Have enough employees to produce the desired amount of work
  • Should have an affordable price
  • Have a good reputation in the industry and can provide references

Make sure not to skip this as a step is critical in your decision-making and outsourcing.

4. List down your requirements

Outsourcing is generally used when there are skills that are not available internally or when the company needs to focus its resources on other aspects. A company’s requirements and outsourcing needs depend on its type of business, size, and budget. You should consider these factors before hiring IT outsourcing in the Philippines:

  • Budget: How much are you willing to spend on outsourcing?
  • Skillset: What kind of content do you need?
  • Turnaround time: How much time do you have to complete the content?
  • Project type: What type of project is it, and what is the deadline?
  • Content volume: How much content do you need, and how often will it come in?
  • Specificity: Do you want a writer with a specific background, like journalism or marketing?

5. Be hands-on with recruitment

If you are not hands-on with the recruitment process, you might end up with a team that does not fit your needs. You should be involved in the selection process to make sure that the team will work well together and have the skills needed to complete your project.

Ready to outsource your IT Needs?

If you are looking for a company to handle your IT needs, Flexisource IT can help you! We provide various  IT services and solutions, from software development to digital marketing. We cater to businesses in Australia and New Zealand.

Contact Us for more details.

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