The future of the call center industry in the Philippines

SPI - Iloilo: One of the Oldest Contact Center in Iloilo

The call center industry in the Philippines has been developing rapidly since 2000. Call center professionals amounting to only a few hundred were already being employed in several contact centers in the country in 2000. Some of the established BPO firms then included Accenture, SYKES, eTelecare and PeopleSupport. (PeopleSupport had moved all of its operations in Los Angeles to the Philippines in 2000 and 2001.) The total revenues from the BPO and call center Philippines industries reached up to $24 million at the end of the said year. During the succeeding years, the call center Philippines industry’s revenue had grown along with the number of call center professionals working in different business process outsourcing (BPO) companies.

According to reports, the call center Philippines industry has been growing at a rate of 100% annually since 2001 in terms of employment and revenues. Offshore outsourcing services offered by Philippine call centers were ranked as number one in the Asian region in 2003. The number of call center Philippines professionals rose to 112,000 in 2005 while the total revenues of the industry correspondingly increased. Total revenues amounted to $1 billion in 2005. Currently, the entire BPO and call center Philippines industry holds between 7 to 8% of the global outsourcing market. In 2009 alone, the BPO, KPO, call center and ICT sectors contributed to the entire industry’s total revenues of $7.3 billion.

Many professionals have begun to realize the advantages of working in the call center Philippines industry. Most BPO firms are paying above the country’s standard wages and there is enough room for growth in call center Philippines companies. Some call center Philippines employees even perceive working in call centers as a valuable experience as they learn new and different skills which they can use later on if they choose to change career paths. Foreign investors and clients alike have also seen the advantages of outsourcing in the Philippines. The country has a large talent pool that is highly skilled and speaks English fluently. Filipinos are also known to be adaptable and have a close cultural affinity to the American culture which gives them an edge over other countries in the field of business process outsourcing.

Offshore outsourcing has made it possible for a lot of small- and medium-sized companies as well as large corporations worldwide to survive the global financial crisis in 2009. Many foreign firms chose to move many of its back-office operations – including customer support and technical support – to offshore sites that offer certain services. The Philippine call center industry felt the financial crisis both ways. Some client companies pulled out accounts in outsourcing companies, resulting to a significant number of call center agents loosing their jobs. Other foreign firms chose to outsource many back-office services in offshore locations such as the Philippines, leaving only their core services in their main offices. As a result, the call center industry in the Philippines employed many professionals to fulfill vacancies in many of the Philippine BPO firms.

Philippine economists, businessmen, analysts and the Philippine government realize that the BPO industry of the country still has aspects that can be improved on to make the Philippines the best BPO destination worldwide. The call center Philippines along with other sectors is targeting to get a bigger chunk of the global outsourcing market in the following years. Analysts realize that fierce competitors like India, China, Brazil and South African countries can either stimulate or get in the way of the Philippine call center industry’s growth. India plans to take 71% of the global outsourcing market in 2010, while China and several South African countries have emerging BPO industries.

Many business associations like BPAP and the Philippine government realize that several steps must be taken to ensure that the country’s call center, BPO and KPO sectors take 10% of the global outsourcing market. The industry is also targeting to outdo its 20% revenue growth in 2009 and up its growth to 26% in 2010. Over the last few years, many locations outside of Metro Manila’s business districts that cater to BPO firms have been established. Major cities such as Baguio City, Cebu City, Davao City, Laguna and Angeles City house offshore outsourcing companies. Advances in technology – specifically Internet technology – have allowed other cities to become BPO destinations. As these locations house more call centers, next wave cities like Iloilo City are being developed to provide more room for new BPO companies and businesses.

Aside from developing next wave cities in locations outside of Metro Manila, businesses and government alike should focus on sustaining and strengthening the current business environment. Presently, legislation in the country offers non-fiscal and fiscal incentives to IT service exporters, export producers and developers of economic zones. This particular legislation can fuel the steadily growing BPO sector by attracting more foreign investors and multinational firms. The call center Philippines sector as well as the KPO, ICT, game development and animation sectors will find it favorable if more and more investments enter the country and stimulate the growth of the Philippine economy.

http://www.callcenterphilippines.org/articles/the-future-of-the-call-center-industry-in-the-philippines.html

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Phl seen as next 'dragon' in BPO industry

By Danny B. Dangcalan (The Philippine Star) 

BACOLOD CITY, Philippines  – The information technology – business process outsourcing (IT-BPO) industry in the Philippines is growing by about 25 percent a year, and investors see the country as the “next Asian dragon,” Commissioner Ivan John Enrile Uy of the Commission on ICT (information and communications technology) said last week.

Uy said many of the world’s largest companies operate the biggest services centers in the Philippines, which is why the IT-BPO industry here continues to grow.

As of last year, the industry employed about 525,000 people and had generated more than $9.1 billion in export revenues, he added.

Uy, who was in Bacolod for the Negros Occidental First ICT Summit last Thursday, lauded Bacolod for being cited as the 3rd Next Wave City in the Philippines and Tholons International’s top 100th city in the world for outsourcing.

“That is a very, very good accomplishment for Bacolod to be ranked among the top 100th out of thousands of cities around the world,” he said.

Uy foresees that with the support of local officials the growth of the IT-BPO industry in Negros Occidental and Bacolod City will progress very fast.

Uy said it is the goal of CICT to strengthen the readiness of cities and regions outside Metro Manila to become preferred destinations for IT-BPO investors.

 “With this strategy, we will decongest Metro Manila, spread economic growth opportunities to other parts of the country, and capitalize on the abundant and globally competitive workforce available in many parts of the country,” he said.

Approximately 20 percent of the IT-BPO industry is now located outside the main metropolitan areas of Manila and Cebu and this trend is expected to continue, he said.

The country is now witnessing the impact of the IT-BPO industry on rural communities, as other cities outside Metro Manila emerge as new IT-BPO hubs or the Next Wave Cities, he said.

Uy pointed out that Tholons, a renowned international research firm, in its 2010 Top 100 Cities in the World for Outsourcing ranked Manila as No. 4 and Cebu as No. 9.

The country’s Next Wave Cities that also made it on the list, are Davao - No. 69, Sta. Rosa (Laguna) - No. 88, Iloilo - No. 98 and Bacolod - No. 100.

Meanwhile, Gov. Alfredo Marañon said the construction of IT buildings on lot properties owned by the Negros Occidental provincial government is expected to create about 41,000 new BPO jobs here.

SM Prime Holdings has proposed to put up 10 buildings for BPO companies on a provincial government property along Gatuslao St. that will provide 40,000 jobs, he said, adding that the buildings will surround a convention center that SM plans to build in the area along with two hotels.

The provincial government is also establishing the Negros First CyberPark, a mixed-used complex consisting of more than 12,000 square meters of space for BPO services at a three-story building to be built at the Paglaum Sports Complex, which will provide more than 1,000 jobs, he added.

Rep. Alfredo Abelardo Benitez (Neg Occ., 3rd District), who was also at the summit, said he will help tap government resources for infrastructure and academic support for the IT-BPO industry.

Benitez also said he is supporting the efforts to create a Department of ICT, and the passage of bills to ensure data privacy and to curb cyber crime.

source:

http://www.philstar.com/Article.aspx?publicationSubCategoryId=66&articleId=693354#comments

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Philippine Independence Parade-NYC

iReport —

With Summer fast approaching, in NYC almost every weekend there is a parade happening. As it happened this weekend there were two. The Israeli on 5th Ave and this one on Madison Ave.

The Philippine parade was lead by Grand Marshall Mr and Mrs Libramonte with guest Philippine's Vice President and Ambassador to the US.

The parade started on Madison Ave and 38th St. and ended with  a street fair and cultural show which featured the talent of the dance group Dinagyang of Iloilo as well as several bands, singers young and old. The crowd started to sing along with the Philippine's grand dame of Pinoy Jazz  Ms. Annie Brazil who is 78 years old and still performs in NYC.

source:

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http://ireport.cnn.com/docs/DOC-618388

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Ideas in the Hotel Business

WE have counted 23 good hotels in Iloilo City, with a new one added on Gen. Hughes St. near Sagrado College and expected to open for business soon, with its beautiful building finished.

As it is now, there are two hotels on M.H. del Pilar St., Molo; three at Smallville, B. Aquino Avenue, Mandurriao; three on Gen. Luna St.; two on Fuentes St.; two on Jalandoni Street; one on J. de Leon St. (near Aglipayan Church); one on Quezon St; three on Iznart St.; one on Yulo St.; one on Aldeguer St.; one on J. Rizal St.; one in La Paz, Iloilo City; one in Brgy. Tabuc Suba, Jaro; and now, the newest, one on Gen. Hughes St. which is walking distance from Plaza Libertad.

With the 22 others already established with regular patrons, this new hotel has to do some creative “inviting” to get a good share of the business.

We have our experience working with a hotel that hosted the national convention event of a large group during the heydays of the sugar industry. Perhaps because of the big volume of food handled, a complaint of food served as allegedly not fresh was received from a group of guests during one function. While the particular item was immediately withdrawn and replaced, negative news spread in town after the event, possibly fueled by competitors. Later, we felt its negative effect on the declining patronage of our restaurant outlets. We needed to think fast of ideas to bring back business.

What we did was to hire a new chef, a German national from a small hotel in Ermita, Manila. It was a good decision because Ilonggos were generally curious but friendly to foreigners. One thing more, this man had good PR and came out every time to personally greet important guests in the restaurants or at functions.

We held a campaign to show his culinary talents by lining up for lunch invitation in the hotel a list of leading Ilonggos in government, business, industry and the academe, including those in the civic and social clubs. When a guest came, we met him at the door of the restaurant and introduced our new hotel chef. We saw to it, too, that we had a good team of waiters serving. Sometimes our President in the hotel would join us at the table and meet the guest, too.

After lunch, we invited the guest for a hotel tour, continuing our friendly conversation as we walked around. In the end, we thanked him for honoring our invitation and, finally, the clincher question that we asked towards the door:

“We hope that you enjoyed our food and service. If you did, will you please tell others? However, if not, we will appreciate very much your advising us where we need improvement.”

We noted that the customer was greatly complimented by our asking his advice. We listened.

The strategy was a good moral booster to us and the result of the campaign was terrific. In less than six months, we were able to introduce to our patrons our new chef, the various food menus that we served, and our dining and accommodation facilities.

Our chef was also able to concoct and discover new menus for the hotel, with an increase in the number of guests that later came to dine with us.

Ilonggo customers were generally a grateful lot and came back to bring along someone or his group to eat again at the hotel.

At one time, our guest was the President of the local Bankers’ Club and, pleased with our food and service, asked us to reserve for the club to transfer their coming week’s meeting with us!

You will note that 80 percent of hotel revenues come from food and beverage, and guest room facilities usually contribute no more than 20 percent. It is therefore very important that the restaurants, cocktail lounges and bars which are usually the first contact points of the hotel with the general public, should be given good attention by the management.

The patronage of the guest and function rooms for large groups would just follow.

source:

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Panay News
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Iloilo Ready for Sunrise Industries

Iloilo is ready to host sunrise industries but need promotions in the national level to prop up the city and province as investment havens

This was pointed out by former Tourism Secretary Narzalina Lim during the general assembly meeting of the Iloilo Economic Development Foundation (ILEDF) held in Iloilo City recently.

Lim, an Ilongga from Antique, is currently the president of ILEDF and a recognized champion of tourism promotions.

The former tourism official said that Iloilo can be an important site for of the multi-million-peso sunrise industries such as tourism and business process outsourcing (BPO). Iloilo has a pool of qualified human resources as the city is the educational center of Western Visayas hosting several universities and colleges.

Similarly, Iloilo and Guimaras Island if promoted well, can host several investments in eco-tourism as well as high end tourism needs comparable to other countries in Asia, Lim said.

ILEDF and other non-government organizations are strongly making efforts to make the city and province as a priority destination of BPOs. So far, Iloilo City is ranked as a next wave city by hosting seven BPO call centers here.*PNA

source:

http://www.iloilonewstoday.com/index.php?option=com_content&view=article&id=2010:iloilo-ready-for-sunrise-industries&catid=108:business-pna-pia

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Iloilo’s old rehabilitation jail to be converted into a regional museum

ILOILO CITY, May 31 (PNA) – The provincial government is eyeing the conversion of its old rehabilitation center into a regional museum.

This was disclosed recently by Governor Arthur Defensor Sr. before members of the Iloilo Economic Development (ILED) Foundation even as he urged their support in the endeavor recently.

The old rehab center is situated at the back of the regional office of the Department of Tourism (DOT) and adjacent to the new provincial capitol.

“We will retain its original façade but we want it to be a museum. We want it to be a regional museum that will house all the artifacts, treasures and works of art not only of the city and province of Iloilo but for those willing to participate from provinces like Aklan and Antique and hopefully of Negros Occidental,” he said.

Defensor also asked the support of former tourism Secretary Narzalina Lim, Ilonggo Senator Franklin Drilon and affluent Ilonggos who believe in art and history to extend support to the endeavor.

Meantime, Defensor announced that the restoration of the old provincial capitol to its original design which is expected to boost the tourism industry in this city, is set to commence next month.

“We want to restore it to its original. We want it to be a proud symbol of the glorious past of the province and city of Iloilo,” he said, as he urged the business and private sector support especially on logistical needs.

The old building was already declared as a historical site by the National Historical Institute (NHI). The structure was built during the Spanish era and was the official house of the provincial government since April 11, 1901.

To complement the restoration of the old provincial capitol, Defensor said that he is asking a master planner to prepare a master plan covering the entire capitol area from the Metro Iloilo Water District (MIWD) area towards the Arroyo Fountain.

“It turned out to be a beautiful place and will become part of the tourist attraction not of the province but of the city of Iloilo,” he said. (PNA)

source & related story(s):

http://www.pna.gov.ph

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South Korean funding sought for P15-B Iloilo river project

ILOILO CITY -- The planned P15-billion Jalaur River Multipurpose Project II in Iloilo province may soon secure South Korean government assistance, Senator Franklin M. Drilon said in a public meeting here last Saturday.

Mr. Drilon said he presented the project to Joong-Kyung Choi, South Korea’s minister of knowledge economy and former ambassador to the Philippines, during a meeting in that country two weeks ago.


"I presented the project to him last week for possible funding by the Korean ExIm Bank (Export-Import Bank of Korea). The project has quite a big funding requirement," Mr. Drilon said in his speech during the 4th general membership assembly of the Iloilo Economic Development Foundation, Inc. last Saturday.


Mr. Drilon said a seven-man technical team from that country inspected the project site in Calinog, Iloilo last week.


Once the technical team submits its report, the Korean ExIm bank will bid out the contract on the work to revalidate the project’s feasibility study.
The revalidation report will pave the way for the signing of an agreement between the Agriculture departments of Korea and the Philippines on the implementation of the project, Mr. Drilon said.


The project will also be presented to President Benigno S. C. Aquino III this week.
"I hope to get his go signal before we can proceed further," Mr. Drilon said.


He added that he was hoping a memorandum of agreement on the project would be signed between the two countries when South Korean Lee Myung-bak visits the Philippines this November.


"I am confident that, if plans do not miscarry [sic], we can start the execution of the project by January 2013," he said.


The project aims to irrigate year-round an estimated 34,430 hectares of farmland in 24 towns.


It can also generate about 11.5 megawatts of hydroelectric power and provide potable bulk water supply of up to 100,000 cubic meters for household and industrial use in nearby towns, including Iloilo City. -- Francis Allan L. Angelo

source & related story(s):

  http://www.bworldonline.com/content.php?section=Economy&title=South-Korean-funding-sought-for-P15-B-Iloilo-river-project&id=32242

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Top traders to grace Iloilo Business Summit

TOP business leaders in the country are expected to grace the Iloilo City Business Summit slated on July 29 at the Sarabia Hotel.

“We are ready to present to the world the potentials of this southern city as the next important hub for business and priority destination,” said Felix Tiu, chairman of the Iloilo City Trade and Investment Promotions Board.

Tiu said that among those invited to grace the business summit are the Philippines’ top businessmen and industrialists Fernando Zobel de Ayala of AyalaLand; Manuel V. Pangilinan of PLDT; Amb. Jess Tambunting, Loida Nicolas Lewis, Tessie S. Coson of SM Prime Holdings, and Edgar “Injap” Sia of Mang Inasal.

The business summit is also expected to draw participation from other countries. (Lydia C. Pendon)

source:

http://www.sunstar.com.ph/iloilo/local-news/2011/05/30/top-traders-grace-iloilo-business-summit-158343

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2011 Philippine Independence Day Celebration in New York City

 PIDCI’s Independence Day takes place on the first Sunday in June every year, this year on June 5, starting with an early morning (8:30 a.m.) Flag Ceremony at the front of the Philippine Center at 556 Fifth Avenue, between 45th and 46th Streets, immediately followed by an Independence Thanksgiving Mass at Kalayaan Hall on the second floor of the Center. At 10:00 a.m., after New York Police has closed Madison Avenue from 23rd Street to 42nd Street from vehicular traffic, the Independence Day Street Fair opens on the Avenue from 24th to 26th Streets. It’s an all-day (until 6:00 p.m.) virtual Filipino Food Festival and a Mini-Expo.

At 11:45 in the morning, brief opening ceremonies are held at Madison Avenue at 38th Street after which at the stroke of 12:00 o’clock noon, the Independence Day Parade gets under way heading South (downtown). Marching contingents in brightly-colored costumes, others in uniforms, floats and open cars stop very briefly in front of a Reviewing Stand on the West side of the Avenue between 29 Streets before proceeding to the dispersal point at 27th Street. At 2:00 p.m., the Cultural Festival opens on an open air stage in the center of Madison Avenue north of 23rd Street. The Festival features Filipino and Filipino-American talents and performing artists until 6:00, which marks the closing time for the whole day’s festivities.

Organizations or groups wishing to participate in PIDCI’s Independence Day Parade may contact Committee Chairs Fe Martinez at (973) 222-0085 or Dr. Benjie Santos, Jr. at (347) 255- 0826, or Co-Chair Ner Martinez at (347) 837-5853. For booth rentals at the Street Fair, the contact is Chairman Raul Estrellado at (201) 421-6187 and for the Cultural Festival, the contacts are Chair Cathy Uy at (732) 687-2413 or Co-Chair Hector Magno at (908) 229-0155.

The culminating event of the commemoration is the Philippine Independence Ball, this year to be held at the Hilton New York Hotel at 1335 Avenue of the Americas, New York, NY 10019-6012 on Saturday, June 11, from 7:00 p.m. to 1:00 a.m. of the actual anniversary date of Independence Day of June 12. The Ball will feature an authentic Rigodon de Honor. For information or invitations, please call Independence Ball Committee Chairperson Tess Lobo at (917) 783-8673. For any and/or all matters you may call PIDCI President Joji Jalandoni at (201) 401-7559 or any member of the PIDCI Board of Directors.

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Gawad Kalinga now serves poor families in 8 towns

ILOILO – The strength of Gawad Kalinga (GK) is “growing exponentially” and currently, its presence can be felt in eight Iloilo towns, according to GK-Iloilo coordinator Joey Mempin.
GK now has 16 villages in the towns of Ajuy, Concepcion, San Joaquin, Pototan, Barotac Viejo, Janiuay, Dingle and the latest is New Lucena.

Another village will soon be established in Dumangas.

“Here in Iloilo, the number of poverty incidence is a little bit high. We hope to eradicate poverty by 2024 by providing not only decent homes (but) livelihood and education,” he said.

GK is planning to cover the entire province even down to every barangay.
“GK is becoming like an infectious disease…people are starting to believe in the spirit that we need to solve the crisis of poverty,” he added.

Mempin explained that GK Villages in Iloilo are established through counter-parting between the local government unit s(LGU) which provide the site and GK which look for funds and target beneficiaries with the sweat equity.

However, he said GK is also making available its Legacy Village for private persons who wish to help where they purchase the lot and build houses. The GK just comes in to manage and operate.

Mempin stressed that beneficiaries of the GK Village are carefully screened to ensure that those who will be awarded are deserving poorest of the poor.

source & related stories:

http://panaynewsphilippines.com/

http://www.iloilonewstoday.com/index.php?option=com_content&view=article&id=1783:gk-village-to-rise-in-new-lucena&catid=98:local-news

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History 101: May 27, 1883 - Magdalena G. Jalandoni was Born

On May 27, 1893, Magdalena G. Jalandoni, a Hiligaynon poet, playwright and novelist, was born in Jaro, Iloilo City.

Her works span from the coming of Malay settlers in the Middle Ages up to the Spanish and American colonial eras as well as the Japanese occupation of World War II, all portraying the history of Panay and the evolution of the Ilonggo culture.

Her famous poem "Ang Guitara" (The Guitar) is read in classrooms all over the country today.

Her other famous works include "Anabella," "Sa Kapaang Sang Inaway" (In the Heat of War), "Ang Dalaga sa Tindahan" (The Young Woman in the Store) and "Ang Kahapon ng Panay" (The Past of Panay).

She received the Republic Cultural Heritage Award in 1969 for her literary achievements from the government. She died on September 14, 1978 at the age of 85. 

source:

http://www.pna.gov.ph

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