8 Positive Effects of Outsourcing Jobs to the Philippines 

8 Positive Effects of Outsourcing Jobs to the Philippines 

outsourcing jobs to the Philippines

outsourcing jobs to the Philippines

Dubbed as the new call center capital of the world, the Philippines has become a household name among countries like the US, UK, and Canada. This is due to its world-class customer service and other specialized professional services. Also, it’s known for its educated workforce, efficient labor practices, industry expertise, low labor cost, and strategic location. There is no doubt why developed countries worldwide started outsourcing jobs to the Philippines. 


Positive Effects of Outsourcing Jobs to the Philippines

The future of the business process outsourcing (BPO) industry in the Philippines remains promising. While the workforce of other industries is slowly dwindling, the Philippine BPO industry appears to be stable enough amidst the economic downturn. In fact, its IT-BPO is projected to continue a robust growth through 2022

So why is it a great deal for companies around the world to outsource to the Philippines? Let’s walk through these positive effects of outsourcing jobs to the Philippines that have been proven by many business leaders:


Low cost of doing business

The Philippines offers top-notch sales and customer support services at a lower cost as compared to the ones provided by other countries. The cost of labor in the Philippines is almost half of that in the US or UK. Its cheaper labor rate helps companies to save a huge chunk of money. Also, businesses can save on other tertiary costs by not splurging on rent expenses and office equipment. 

Moreover, outsourcing to the Philippines helps businesses to cut employee benefits that add up in their payroll expenses. Also, it enables them to work with professionals without recurring benefits. Also, the outsourcing provider will be the one to take care of the expensive and tedious processes of hiring and training the agents.


Improved focus and efficiency

Businesses of all shapes and sizes aim for efficient business operations, and outsourcing jobs is proven to be useful. As more and more companies are outsourcing their tasks to third-party professionals, they can focus on their core tasks while their outsourced staff expertly handles the non-core aspects of their businesses.

This opportunity to leverage time contributes to higher productivity and organizational strength. When you put together all these benefits with better performance, it leads to an overall improvement of their particular industry. As a result, this opens up new doors for the industry’s growth.


Western culture influence and language fluency

Foreign countries prefer to outsource jobs to the Philippines because of its high exposure to Western culture, especially that of the United States. Its BPO industry is full of workers who can speak English fluently with a neutral accent. Americans may not even notice that they are talking with a Filipino representative over the phone because the English fluency of Filipino agents is similar to the US. 

Furthermore, the Philippines is receptive to western culture, thereby making it a country of choice for businesses wishing to set up a call center hub.


Greater access to world-class talents

While there are numerous freelancers out there to choose from, finding and getting access to world-class talents in different time zones won’t be that easy. 

The Philippines has a well-educated workforce compared to other outsourcing destinations. Given this advantage, universities build and produce many skilled and trained workers every year. This helps companies to hire a skilled, ready, and willing workforce at a much faster rate. Its government also funds the country’s BPO sector and sponsors technical education to train potential workers in the BPO industry.

So if you are planning to set up a talented team abroad, you may consider the Philippines to get the highest level of professionalism and expertise — at a fraction of the cost.


Minimize legal liabilities and management issues

One of the downsides of running a business is being vulnerable to legal liabilities and frivolous lawsuits filed by in-house staff. With this in mind, many businesses opt to outsource to minimize legal liabilities and management issues.

Moreover, service provider can help your business reduce the likelihood of risks such as customer slip and falls and the loss of confidential information. It can also provide a strong HR and management team that can help you easily set up and assign training projects, task allocation, tax returns, etc. Not only does outsourcing to the Philippines absolve you from facing lawsuits, but it can also allow you to focus more on your crucial tasks.


Ensured data security and privacy

Most importantly, security concerns are a concern for small businesses. Most often, they are at risk of cybersecurity threats and attacks which makes it challenging to maintain their IT infrastructure. If you don’t want to shoulder the responsibility of protecting your personal information and your customers from threats, then outsourcing to the Philippines could be a huge help.

Furthermore, the Philippines’ data privacy law ‘Data Privacy Act of 2012’ has significantly increased the position of its IT-BPO sector in the market. This law obliged BPO firms in the country to ensure the protection of personal data from unauthorized access. With the creation of this act, it prompted foreign investors to grow their outsourcing requirements in the country. Equipped with the best data security practices, the IT-BPO industry has seen to be one of the successful and fastest-growing sectors in the country.


Superior customer service skills and hospitality values

One of the reasons why foreign countries build businesses in the Philippines is the hospitality values that Filipino agents possess. Foreign countries are attracted to the politeness of speech of Filipino agents which makes them feel welcomed. When they are served with such a customer-centric approach, they are more likely to be converted as loyal customers. 

Also, by outsourcing to a country that provides only superior customer service, you’re not only adding real value to your business. You can also create positive word of mouth advertising as your customers refer your business to other people.


Increased customer satisfaction

Because of the increased operational efficiency combined with expert knowledge, skills, and values, businesses that outsource jobs to the Philippines have higher chances of boosting their customers’ satisfaction levels. In turn, this gives their businesses plenty of opportunities to grow and expand.

In addition, an improved customer service resulting from all the improved business processes brings in more customers and repeat business. From the industry perspective, business expansions contribute to healthier competition and serve as successful models for others to emulate.


Magellan Solutions’ Outsourcing Jobs in the Philippines

Outsourcing to the Philippines means outsourcing to the world’s largest destinations for business processes outsourcing and staff leasing. This includes outsourcing virtual assistance, customer support, IT, software development, social media services, and lead generation. So, now you know that outsourcing to the Philippines has numerous advantages, what’s next? The answer is to find a reliable outsourcing company to get off to a good start. 

Magellan Solutions, a BPO company based in the Philippines, has been in the outsourcing industry for almost 15 years. Trusted by thousands of small businesses worldwide, we offer a wide range of inbound and outbound call center services. Our outsourced team provides multilingual customer support and round-the-clock assistance to provide you high-quality contact center services. Plus, we are ISO and HIPAA certified to guarantee the safety of your data. 

Do you want to reap the benefits of outsourcing to the Philippines? Fill out the form below to get a free consultation.


Contact us today for more information.