March 18, 2012, 12:07am
MANILA, Philippines — The Philippines is positioned to expand in
non-voice services and narrow India's lead in business process
outsourcing, the Asian head of the world's largest provider of contact
services Teleperformance said.
"The Philippines is certainly ready for non-voice services. It is
already demonstrating its capability for non-voice activities, be it IT
engineering service offering support, animation, human resources and
knowledge process outsourcing," David Rizzo, president for Asia-Pacific
of Teleperformance, said during the Asia CEO Forum. "There are companies
that specialize only in non-voice. I would expect the Philippines to
grow well in this market in relation with India."
The Asia CEO Forum is the largest networking activity for multinationals
and local business leaders organized to promote the Philippines as a
leading business destination in Asia. At the March 15 edition, some 150
leaders of top business organizations were in attendance at the
DusitThani hotel in Makati.
A growth in non-voice activity would help the Philippines grab a bigger
share of the global outsourcing and offshoring industry that research
company Everest Group estimates to expand up to $280 billion this year.
The Philippines last year overtook India as leader in call center
services in revenue and employment.
Everest Group estimated the Philippines' contact services to have earned
$7.38 billion in exports last year, surpassing India's $7 billion. The
Philippines' call centers employ about half a million, compared to
India's 350,000. However, India's BPO industry still led the market with
nearly $15 billion in income, versus the Philippines' $9 billion. A
Philippine industry road map aims to double the country's revenue and
number of seats by 2016.
Teleperformance, which operates its largest English contact services
location in the Philippines, is bullish on its growth prospects here.
"Our growth strategy is continue to focus on the Philippines being a
premier solution for English language offerings for our markets in the
US, United Kingdom, Australia and Canada," Rizzo said yesterday. "We are
identifying new field locations across the country to support the
expected growth of demand in market."
Rizzo, an American who has stayed in the Philippines for nine years and
also oversees Teleperformance's operations in China, India, Vietnam and
Singapore, said confidence in the industry is being boosted by efforts
of the government and the private sector to address the labor supply lack.
"Fortunately, there are industry association groups like the BPAP
(Business Process Association of the Philippines) that are going through
the appropriate channels to bridge the gap and ensure that the pipeline
is extended," he said. Rizzo said the government's plan to introduce two
additional school years in the basic education system, with emphasis on
English education, will "open up annual available labor supply beyond
what it is today."
The Asia CEO Forum focuses on key issues that cut across various industries.
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