Phillipines Overtake Indians in BPO Sector

By siliconindia   |   Tuesday, 29 November 2011, 01:26 IST   |    1 Comments
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Bangalore: Philippines are witnessing a major spur in its economic development as more and more American Business Process Outsourcing (BPO) companies are investing in the country. This is seen as a drawback of India’s slow moving bureaucracy and legal system along with numerous fearful terror attacks making the global firms to think twice about investing more funds in the IT sector.

The U.S. concern on its former colony confined to the Philippines fight against terrorism and obviously the improving role of America’s business in its commercial life. India struggles to improve the infrastructural developments like transportation, as the burdensome nature of India for its implementation of developmental works. Counting the slothful legal issues, poor management, and organization structure, most of the business ventures scared to approach India.

The U.S.-Philippine collaboration starts on the agricultural issues in 2009. And this collaboration between these countries resulted in more progression. These positive discussions on agriculture trade issues courage U.S. for further invest in Philippines.

Today, the lightly accented English speaking Philippine youth is reshaping the call centre business and bringing out a new revolution in the sector. Most of the American customer care service providers such as airlines, telephone firms and banks are being operated in Philippines.  Compared to Indian BPOs - who had stepped into the U.S. culture, Americans prefer to speak with Philippines.  

The latest reports say that about 400,000 Phillipines are employed in various U.S. customer care services. This number indicates the number of Phillipines is higher than the Indian BPO employees. The companies like AT& T, JP Morgan Chase and Expedia have taken more Phillipines into their call centres as they plant their BPO sectors in Philippine.  Today, the BPO jobs from U.S. and European outsourcers opt for Phillipines than Indians.

According to the various industry statements, India had lodged about 350,000 call centre agents in the emergence of BPO business. Executive director of the Contact Center Association of the Philippines, Jojo Uligan said that Philippine has overtaken India in the BPO sector.

This tremendous change came as the outsourcing programme has come up with a new parameter which prefers U.S. English accent speakers. Earlier call centre business simply focused on the countries where a large English-speaking population is present and can do business with low labor costs. The higher demand on U.S. English speakers attracts people to Philippine.  Though the call centre scenario is under a remarkable change, business industry reports that India remains as the very prominent destination for software outsourcing.