It’s official: PH bests India as No. 1 in BPO
Philippine Daily Inquirer
First Posted 02:51:00 12/04/2010
MANILA, Philippines—After challenging India for the top position for several years, the Philippines is now the world leader in business support functions like shares services and business process outsourcing, according to the latest reports and trends analyses.
In fact, the country overtook India in these categories last year, according to IBM’s latest Global Locations Trend Annual Report, released recently in New York.
India now ranks No. 2, the first time it was not in the leading position for these activities, according to the IBM report, launched in October but made available online last month.
“The Philippines has taken over the lead in the global ranking from India,” the report said.
The IBM report said the Philippines offered a similarly attractive business environment for international business support functions as India. Unlike India’s BPO hot spots, however, labor costs here have not increased as much.
On Thursday, the Contract Center Association of the Philippines said the country had become the call center of the world, with around 350,000 Filipinos working in call centers against India’s 330,000-strong workforce.
Revenues from the country’s call center industry are also expected to reach $5.7 billion this year, higher than India’s $5.5 billion, the CCAP said.
The call center industry, which provides so-called “voice” services like customer support and sales, is part of the BPO industry.
Call centers make up 70 percent of the BPO industry in the Philippines.
Currently, there are 600,000 Filipinos employed in the country’s BPO industry, according to the Business Processing Association of the Philippines.
Following India in IBM’s ranking of BPO leaders were the United States, Poland, China, Britain, Columbia, Costa Rica, Fiji, Ireland, South Africa, Sri Lanka, Hungary, Australia, Egypt, Chile, France, Canada, France, Singapore and the Netherlands.
The IBM report said Sri Lanka was another Asian country that had succeeded in positioning itself as an alternative to India. Reports from Cynthia D. Balana and Lawrence de Guzman, Inquirer Research