Opportunity seen for BPO amid crisis
abs-cbnNEWS.com | 12/05/2008 3:24 PM
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The Philippines should focus on improving its education system to remain as one of the top destinations for outsourcing solutions delivery and software development, an executive from a business process outsourcing firm said.
Victor Lee, country head of Affiliated Computer Services, Inc-Philippines centers for solution excellence said the country needs to ensure that the education system, especially in the field of computer science, can produce enough graduates suitable for the BPOs providing software development and solutions delivery.
“Competition for labor is getting stronger each day,” said Lee adding that the one of the concerns of companies in this sector is getting enough talent from the market.
Opportunity amid slowdown
Charlie Bognot, ACS Philippines country director said that the ongoing financial crisis is an opportunity for BPO firms since a number of companies will outsource their functions to cut costs.
“It may be good for us because it means companies may need to outsource more,” he said adding that around 95 percent of their clients are based in the United States.
ACS also provides transaction services like finance and accounting client services, mortgage insurance claims processing, inbound credit card acquisition, travel sales, healthcare provider customer service, among others.
Malaysian experience
Lee also said that the Philippines can learn from the measures taken by Malaysia to develop talent for this sector. Malaysia, he said, has a multimedia development corporation that provides incentives and training to workers.
Lee said that while the company has established presence in Cebu, they can still find enough talents in Manila. “For now, the talents we want are now in Manila.”
Affiliated Computer Services employs around 2,400 workers, primarily in Manila and Cebu. On September, it opened its 8,582 square meter facility in OneE-Com Center at the Mall of Asia Complex in Pasay City.
'Watch out for China'
Lee said that the Philippines should watch out for China because it is the biggest emerging competitor in software development.
“There are so many graduates that come from China,” Lee said adding that the sheer number of graduates, the right education system and the training of workers in China make it one of the fastest growing players in software development.
Microsoft, he added, is putting research centers in China because it sees the potential of the country. He added that even software companies from outsourcing giant India has also seen the potential of China.
“Indian BPO companies have realized its [China’s] potential that they are either going to China to buy some local companies there and develop them or they establish their own development centers them.”
