26 October 2015
WASHINGTON, D.C.—The Philippines continues to have competitive advantage over the rest of the world in the information technology and business process management (IT-BPM) industry, making the country an ideal place for foreign investors to do business.
In just over a decade, the Philippine IT-BMP industry has steadily grown to become an US$18.9 billion dollar industry, showing the continued and growing interest of international companies to invest and put up operations in the country. The IT & Business Process Association of the Philippines (IBPAP) projects that 1.3 million people will be directly employed in IT-BPM by 2016, with the industry generating US$25 billion in revenue.
Most of the headcount distribution and generated revenue of the IT-BMP industry in the Philippines is from contact centers, followed by knowledge process outsourcing (KPO), information technology outsourcing (ITO), healthcare, engineering services outsourcing (ESO), animation, and game development.
In a presentation during the 4th Philippine Private Sector-led Investment Roadshow in Seattle, WA on 23 October 2015, Mr. Jose Mari Mercado, President and CEO of the Information Technology & Business Process Association of the Philippines, talked about the competitive advantage of the Philippines in the IT-BPM industry.
According to Mr. Mercado, American companies prefer doing business in the Philippines because of the country’s scalable and educated talent pool, cost competitiveness, excellent infrastructure, government support and public-private partnership, and a proven track record.
The talent pool of the Philippines is continuously growing, with over half a million students graduating from college and more than 7,000 accountants certified per year.
In the same forum, Mr. Engelbert Camasura, Partner at Ward Howell International Consulting Firm, described “Filipinos as a global resource,” being highly trainable, proficient in English, having an affinity with Western culture, having good customer service orientation, and having a high level of commitment and loyalty.
The Philippines’ educated and highly skilled talent pool gives international companies investing in IT-BPM the advantage of scale. Companies outsourcing to the Philippines are no longer only looking at investing in Metro Manila but are now also considering the areas of Metro Cebu, Metro Clark, and Metro Bacolod. This domestic growth is pushing up the number of people being employed in other Next Wave Cities.
With everything the Philippine IT-BPM industry has to offer, the country still has one of the lowest operating costs, making it the number one voice outsourcing destination and 2nd overall global outsourcing destination in the world.
The conference in Seattle is the final leg in a three-city Private Sector-led Investment Roadshow. It was made possible with the cooperation of the Philippine Consulate General in San Francisco, Philippine Trade and Investment Center San Francisco, Filipino Chamber of Commerce of the Pacific Northwest, Greater Seattle Trade Alliance and Seattle Metropolitan Chamber of Commerce. It was also supported by the Washington State Department of Commerce, National Center for APEC and Puget Sound Regional Council.
Other members of the Manila business delegation led by Dr. Bernardo Villegas, Visiting Professor at IESE Business School in Barcelona and Professor at the University of Asia and the Pacific, includes Mr. Ronaldo Elepaño, 1st Vice President for Business Development International at DM Consunji, Inc.; and Mr. Juan Olondriz Peña, President of RAJI INC. The delegation was accompanied by Ambassador Jose L. Cuisia, Jr.; and Consul General Henry S. Bensurto, Jr. ###