Exploring the Philippines: A Thriving Hub for Business Outsourcing
In 2010, the Philippines earned its reputation as the global epicenter of Business Process Outsourcing (BPO). Over the years, it has attracted a multitude of companies from around the world, with a continued surge in interest. Today, the Philippines remains at the forefront as the ultimate destination for customer service outsourcing.
In this inaugural installment of our series, "Exploring the Philippines: A Thriving Hub for Business Outsourcing," we delve into the compelling reasons why outsourcing to the Philippines offers a sustainable pool of skilled professionals and talents.
A Wealth of Highly Qualified Professionals
According to the 2020 Census of Population and Housing conducted by the Philippines Statistics Agency, the country boasted a population of 109,035,343 individuals. Remarkably, a significant 63.9% of them fall within the working-age bracket, of which are the median age of 20-30.
Higher Education Graduates
The Philippines takes pride in its higher education system, evident in the diversity of graduates for the academic year 2019-2020. The leading fields of study were:
1. Business Administration and Related Disciplines (26.4%)
2. Education Science and Teacher Training (20.3%)
3. Engineering and Technology (15.4%)
4. Information Technology-related Disciplines (9.6%)
Additionally, for the Academic Year 2020-2021, Senior High School graduates numbered 1,455,527, with the majority, 972,945, having completed tracks related to Business, Accountancy, Management (BAM); Humanities, Education, Social Sciences (HESS); and Science, Technology, Engineering, and Mathematics (STEM).
This trend indicates a promising rise in the labor supply as education and training opportunities expand after the easing of pandemic-related restrictions.
The Philippines also boasts highly regarded educational institutions both in the country and internationally. The University of Santo Tomas, Ateneo De Manila, and De La Salle University are only a few.
Aside from gaining bachelor degrees, many Filipinos are equipped with strong technical skills making them eligible for a wide range of roles in many different industries. Additionally, many are now capable of gaining international education and bringing home valuable skills and knowledge to the local workforce.
Ultimately, lifelong learning is highly encouraged in the Philippines. Many professionals both young and old participate in ongoing training and development programs to stay current in their field. Seeking certifications in their fields to enhance their competitiveness in the job market.
Digital Economy and the Preferences of the Young Workforce
The digital economy experienced exponential growth during the pandemic, driven by the adoption of digital platforms and the increased reliance on gig workers for home deliveries.
In 2022, the Department of Labor and Employment conducted regional consultations that identified top job opportunities in the digital economy, including roles such as:
1. Virtual Assistant
2. Digital Marketer
3. Social Media Marketer
4. Web and System Developer and Programmer
5. IT Specialist
6. Software Engineer
7. Online Seller
8. Logistics Personnel (E-Commerce Platform)
9. Data Analysts
These findings reveal a balanced demand for both consumer interface and backend infrastructure roles, reflecting the robust business process outsourcing industries in both countries.
Moreover, a separate study by Universum Global Talent Research reported in May 2023 unveiled a preference among young Filipinos for remote work or hybrid setups. Surprisingly, 54% of surveyed talents favored private employers over public sector organizations. Notably, 74% expressed a strong desire to launch their careers with globally operating companies, aligning with aspirations for international travel, relocation, and robust career paths.
With the booming digital economy Digital Arts, Graphic Design, Web Design, Animation, and Multimedia Arts are now being offered as both associate and certificate courses in some of the universities in the Philippines.
Looking Ahead
Based on recent data, it's clear that the Philippines is poised for rapid population growth in the next 5 to 10 years. The Department of Education's Basic Education Plan (BEDP) 2030 outlines a commitment to enhancing education quality and accessibility. With the working-age population's inclination toward upskilling and embracing new trades, they are well-positioned to meet the surging demand of the digital economy.
In our upcoming series, we will delve deeper into the Philippines' cultural affinity with the United States and explore why Filipinos excel in adapting to various cultures.
Unlock Excellence with Remote Filipino Professionals
References:
Philippines Department of Labor and Employment
Department of Education - Philippines
Universum Global Talent Research - Philippines 2023
ITBPM Industry in the Philippines Roadmap 2028 by Eric Elnar