utsourcing trends clearly show that the Philippines has started to close up the lead that India has in terms of viability for BPO businesses. The primary influx came in the form of call centers – even today, contact centers account for a big portion of all BPO ops inside the nation. Nevertheless, IT outsourcing companies are likewise considering the Philippines as a possible choice for their “back office” needs.
Analysts think the adjustment in outsourcing trends can be pinned down to various factors present among the Filipino populace that is tougher to find in places like Hyderabad or Chennai. The first is an appreciation for the words and customs of the U.S. – the land that makes up about 70% of all off-shoring and outsourcing markets. As a former American colony, the native citizenry has a firmer comprehension of American English. Another major issue believed to be responsible for the change is the talent pool. While talent poaching is existing, the regularity is nowhere near that which occurs in India, and the rate for such skilled personnel is also much more affordable.
The principal element that many companies find limiting in outsourcing to the Philippines, however, lies in infrastructure. Office space leases have jumped since the first contact center growth. There is a clear probability of an surge in office space lease in primary business locations such as Makati City rising even more as a result of a shortage of supply to satisfy the demand. There are developers eagerly attempting to carve a piece of the pie, and the government has plans in place to improve existing facilities. For the time being, office space is slowly reaching an expensive premium.
It isn't just in Makati – the financial capital of the country – where BPO is turning into a frequent customer of office space, though. Makati also does not hold a monopoly on office space for BPO and IT outsourcing businesses. Low-rise properties just outside of the city limits are also known to be attractive to outsourcing companies because of the alternative to occupy the full building all by themselves. Business centers such as Ortigas, Eastwood, and Alabang have managed to keep the rental rate of competing locations from becoming too costly. Developers have also been building in other big locations in the nation to sustain the requirement for additional office space.
BPO and outsourcing in the Philippines take between 7 to 15% of the world market, second only to India. Knowledge process outsourcing is also on the increase, specifically in the legal transcription areas. The Philippine legal structure is very comparable to that of the U.S., so regional legal talent has a far better understanding of significant scenarios and legal precedents than their counterparts in other places. The Philippines is also beginning to leverage its local innovative talent pool, furthering the growth of offered services from simple call centers to areas such as web design and content development.
This heightens the desire for much more office space, and developers are starting to notice. Low-rise structures in suburban BPO areas are starting to be more populated, with other firms such as fast food stores showing up close by to cater to what is almost a pre-built client base. High-rise complexes are also becoming progressively populated by BPO and IT outsourcing companies, even outside the monetary and commercial enterprise center that is Makati.
A lot more regular office space occupiers will most likely remain the majority, but outsourcing companies are preparing to connect the gap. These organizations are rapidly becoming a significant economic element in the region, and the investment of both private and public agencies in improving and boosting the availability of office space in Makati is viewed as being highly advantageous.
Author Resource:
Percy Jackson is a property expert focused on BPO office space . He now aids individuals who desire to rent an office space in Makati .
![[Valid RSS feed]](http://www.look4articles.com/images/icon_Rss.png "XML Feed For RSS"){kind=icon}
Category Rss Feed
Print This Article
Add To Favorites
![[Valid RSS feed]](http://www.look4articles.com/images/rss.jpg "XML Feed For RSS")