BPOs confident of redundant system vs. earthquake damage

Posted at 03/18/2011 12:28 AM | Updated as of 03/18/2011 1:13 AM

MANILA, Philippines - Barring any cataclysm, the crisis in Japan is expected not to affect business process outsourcing (BPO) companies in the Philippines as most of them have redundant systems in place.

“It all depends on telecommunications companies, if their services are not interrupted,” Mike Perry, vice president for international operations, told the BusinessMirror when asked on the impact of the three disasters that have hit Japan last Friday.

Perry said there is not much effect on their business “unless all four locations—Hong Kong, London, Canada and the US—where we have a data center experience a crisis of that magnitude.”

The company provides cloud-based services for BPOs and call centers by removing the need of the latter to buy hardware and equipment.

InContact claims to be “the leading provider of on-demand contact center software and agent optimization tools.”

Likewise, executives of Brussels, Belgium-based Arinso International NV also said their backup servers—one of which is in Singapore—and data centers like in Adelaide, Australia, ensure continuous operations for clients, mostly companies outsourcing payroll and human resource management functions.

InContact formally inaugurated on Wednesday a 24-employee facility and data center in Makati City while Arinso executives announced the rollout of their software developed in the Philippines.

Executives of both companies said they remain optimistic of growth and regard the disaster in Japan as a temporary setback for the region.

Japan, the world’s third-largest economy, is grappling with a nuclear disaster after an earthquake and tsunami hit the country last week.

Interconnectivity has been a concern since undersea earthquakes have disrupted international communications in the past few years.

In 2006, an earthquake in Taiwan disrupted telecommunications operations as it damaged the Asia-Pacific Cable Network 2, a submarine telecommunications cable linking several countries in the Asia-Pacific region.

Disruptions that cause “downtimes” impact on revenue of BPOs that rely on information and communication technology for their businesses.

Perry said the company is talking to all telecommunications companies in the country to ensure connectivity.

“We can’t put all our eggs in one basket. Our agreement [with Bayan Telecommunications Inc.] is just one of the multiple partnerships we’re aiming to secure in the next months.”

Perry said redundancy is the key to smooth operations of BPOs like InContact.