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Outsourcing and the Future of Work

Outsourcing is not entirely a new concept. It has been around for decades, mostly in the manufacturing industry. In the early 1990s, both India and the Philippines were the leading contenders as the BPO hub of the world. It was in the 2000s that the BPO industry in the Philippines took the crown.

Today, the country’s second highest source of revenue is outsourcing, second only to the people working abroad as overseas foreign workers.

For a time, the only three types of services that were often outsourced were customer service, telemarketing, and back-office work like check validation and credit card application processing.

impact of outsourcing

Today, BPO in the Philippines has grown more than this. The country has an emerging economy that is built around outsourced work.

Impact of Outsourcing Jobs

As more and more Filipinos get access to affordable data or internet, there will be more opportunities for the unemployed to look for work. In regard to this, companies that operate managed services, specifically those that employ freelancers, will save massively in the cost of the power, utilities, and real estate.

Companies that offer virtual assistant services no longer need to rent huge spaces because the virtual assistants are located at home. They do not need to go to an office every day, so there is no need for cubicles.

They do not have to pay for substantial electrical costs and much less pay for expensive enterprise level telecommunication services. The virtual assistants buy their own computers, their own software, and pay for their own internet bills.

In addition to this, the companies that hire freelancers do not have the statutory obligation to pay for social security, insurance, and others.

Benefits of Outsourcing to Clients

One thing people are looking forward to is the outsourcing trends in 2020. For now, the world may not be feeling it yet, but there is a massive effort that entrepreneurs are putting in to grow the industry in the country.

While it is true that the Philippines already accounts for a massive chunk of the industry, it is heavily focused on the typical job like customer service, telemarketing, and back office work.

By 2020, shared services in the Philippines will expand to more than these core three. Among the services and skills that many companies are driving are bookkeeping, virtual assistant work, graphic design, content writing, video content, and marketing.

The thrust of the country is to be the leader in many services for small projects that do not require a full-time employee. This way, thousands of mid-sized entrepreneurs, and even the big ones can take advantage of using the shared services of Filipinos who specialize in many facets of their business needs.

Outsource to the Philippines and see for yourself the difference that it will make to your business. There is no need to hire a full-time graphic artist if you only need one marketing advertisement a month. You can pass on this task to a Philippine company and only pay on a project basis.  

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