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PITON Releases Philippines’ first BPO Capabilities and Vendor Landscape Analysis
Manila, Philippines (January 4, 2007) – The Philippine IT Offshore Network, Inc (PITON), a strategic offshore BPO consulting firm specializing in providing strategic business process outsourcing (“BPO”) advisory and project management services to North American and European corporations released today its annual ‘Philippine BPO Capabilities and Vendor Landscape Analysis’.
The research substantiates the phenomenal growth of the BPO industry in the Philippines over the last five years. The industry growth is so robust that the total market size has now ballooned to roughly $3 billion from mere $350 million in 2001.
“This tremendous growth is triggered by the increasing number of companies realizing that offshore BPO is a key strategy for keeping up with stiffer global competition; as well as the growing awareness of the Philippines as the preferred destination for voice-related BPO services”, according to Ralf Ellspermann, Chief Executive Officer of PITON.
The influx of North American and European companies to the Philippines for various BPO services in order to reduce costs, expand capabilities, and optimize their global footprint, is well-complemented by the Philippines’ innate competitive advantages. The country’s close cultural affinity to U.S. (resulting from being a U.S. protectorate for over five decades); the Filipinos’ world-class “American English” proficiency; the availability of highly educated and skilled workforce; the fully-redundant and cost-efficient telecommunications infrastructure; and above all, the country’s competitive cost structures have become the key drivers for BPO growth in the Philippines.
The BPO market is largely composed of call center operations. Other BPO-related services like medical transcription, financial and accounting support, back-office processing and others, only account for 20% of the over-all market. All these BPO sub-sectors have manifested exponential revenue growths in the last five years.
According to PITON, 60% of the total call center industry is pure play outbound centers offering services such as telemarketing and lead generation to small and medium enterprises. While the rest are also into outbound, they are heavily concentrated on providing inbound services such as customer care, technical support and others to medium and large enterprises. This segment employs about 80% of all call center agents in the country.
Today, there are approximately 230 BPO service providers operating in the country employing a total of about 130,000 highly-educated and proficient workers. Main hubs for these providers are in central business districts of Metro Manila such as Makati and Ortigas. Other business parks within and outside Metro Manila, regional growth centers such as Cebu and Davao, and other geographic areas are also becoming home to various BPO players.
The Philippines ranks as one of the leading global services locations in terms of financial structures, people and skills availability, and overall business environment. The opportunities for the Philippines, however, are still far-reaching as the global BPO industry is predicted to achieve even more unprecedented growths in the coming years; and as more and more companies recognize the unique ability and competitiveness of the country for BPO. With these, the Philippines is likely to emerge as the best location for call centers and other BPO services, posing serious threat to the supremacy of India, China and Malaysia.
About PITON
PITON is a leading Philippine-based consulting firm specializing in providing strategic business process outsourcing (“BPO”) advisory and project management services to North American and European corporations. PITON’s offshore BPO services are designed to help companies to successfully migrate various business processes to leading Philippine-based BPO vendors in a risk-free environment. With a 100% on the Philippines’ BPO industry PITON’s key value proposition lies in its unmatched market and vendor expertise. Backed up by a network of the country’s premier BPO service providers PITON ranks as the largest and leading BPO vendor network in the Philippines.
For more information, please visit our us at www.piton-global.com
For additional information please contact:
Denise White
VP-Public & Media Relations
Email:denise.white@piton-global.com
URL://www.piton-global.com
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