Philippines Remains a Global Outsourcing Leader

The Philippines remains a global outsourcing leader despite a global slowdown, with the industry projected to grow by 7 percent in 2019, according to Contact Center Association of the Philippines (CCAP) chairman Benedict Hernandez.

 

Continued Growth

A report from Texas-based consulting firm Everest Group showed that the 2018 global growth in IT and business process outsourcing (BPO) has dropped to 3 to 4 percent. This occured as many companies postponed outsourcing decisions while figuring out how to integrate automation, artificial intelligence and analytics in their shared services strategy.

Meanwhile, the Philippine BPO sector continued to grow faster than the global market at 5.1 percent in 2018 and provide direct employment to 1.23 million workers.

 

Global BPO Market on the Rebound

Everest Group global sourcing head H. Karthik said the global BPO market appears to be on the rebound, with a projected 4 percent growth this year. The uptick in the global market and shift to digital have also increased opportunities for call centers in the Philippines. CCAP president Jojo Uligan explained that digitization means higher value and higher margin opportunities that will benefit the country.

In addition, the real estate take up from IT-BPO firms remains strong and is back to historical high levels, pegged at 126, 000 square meters for the first four months of 2019.

Sourcefit Philippines Outsourcing News: Philippines Remains a Global Outsourcing Leader

 

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