Over the past decade, the Philippine outsourcing sector has significantly matured. It involves high-value functions like accounting, animation, software and applications development, and medical and legal services among others. These services are often referred to as “non-voice” or back-office services. These are services outside of the usual call center and customer and IT support services. This is what is also known as Knowledge Process Outsourcing (KPO).
KPO began in India during the 1980s. This was when the Philippines were just starting to plant seeds in the BPO industry. However, during the 90s, KPO took the Philippines by storm. 2018 recorded that KPO holds over 40% of the outsourcing market in the country.
Most of the outsourcing companies are in the capital city, Manila. But even this has expanded. Now there are outsourcing companies in Pasig City, Quezon City, Easton, and Mandaluyong City. Other areas of the country are growing rapidly as well.
KPO utilizes expertise and knowledge. Furthermore, it expects service providers to possess both analytical and technical skills. Here we have listed most of the sectors competing for the KPO industry:
The Philippines are already competing strongly with India when it comes to legal and paralegal services. Their main target is, not surprisingly, the United States. Because the Philippines was a US colony in the past, the laws are similar. This makes it easier for the lawyers to carry out their work.
One of the leading Knowledge Process Outsourcing jobs in the Philippines is in the finance and banking sector. Financial institutions provide many services, including underwriting, training, consulting, risk mitigation, and profit and loss. They also provide analytical research on financial matters, such as payroll.
The Philippines has over 250,000 nursing graduates at its disposal for Knowledge Process Outsourcing. With proper training, the Philippines is set as a leader in the healthcare services industry. In addition, Chinese pharmaceutical firms which specialize in research and development have set up offices in Manila. The cost of rent and operating costs in the Philippines has been a huge enticement.
This requires knowledge in CAD/CAM, applications, product design, and drafting and modeling.
Business leaders are scrambling to keep up with the content demands in an era where content drives marketing and sales. The Philippines is an option for many. You can find very good qualified writers at a fraction of the cost of similarly qualified writers in the US.
The global animation industry has been growing at 20-30% over the last few years. As a result, it has created a demand for a low-cost, but highly skilled workforce. The Philippines has become a very successful animation and design outsourcing destination. By 2008, the country had over 50 animation companies.
KPO is utilized when companies are in search of specialized knowledge and expertise. However, companies that engage in KPO offshore also typically do so in order to reduce costs. They hire skilled workers earning lower wages in another location instead of hiring one directly as an employee. Ideally, companies look to KPO to simultaneously obtain a highly skilled workforce at a lower cost.
The growth of Knowledge Process Outsourcing in recent years is due to the advancements in technology and the increased need for skilled staff.
And Magellan Solutions can offer you our best employees that will not only meet but exceed your expectations. So contact us today or leave us a quote by filling up the form below!
Contact us today for more information.