Outsourcing is the process of contracting services or goods from a local or international third-party organization. This type of contracting has been popular in the US since the ‘80s. Sometimes, it includes transferring assets to another company and even relocating the business to another location.
By outsourcing, two companies will enter into an agreement of exchanging services/goods. In the early 21st century, to partner with companies abroad for production has become even more popular. This is called as offshore outsourcing.
The main reason why companies outsource is to cut costs. By outsourcing, especially to another country, companies can avoid paying for taxes, regulations, energy costs and paying for benefits that are government-generated. Through cutting the costs, companies can enjoy higher income. Another reason why companies outsource is that they want to focus more on core activities that would generate more opportunities for the business and outsource people to work on non-core activities.
Why outsource to the Philippines?
When it comes to outsourcing, many countries may come to your mind – India, Ukraine, Pakistan and Philippines. But, the country of 7,107 islands and 3 stars & a sun is the top choice among these countries. If you are considering of outsourcing your services offshore, here are 5 reasons why you should get it from the Philippines:
Filipinos are more fluent in English
Filipinos are more fluent in English compared to Indians and other outsourcing races. English has always been part of their educational curriculum. And, their accent is not as strong as the Indians’. Many even do not have an accent at all that you can’t recognize they’re Filipinos when you listen to them talk.
With great English skills, you can assure that there won’t be too much problem in communication. You don’t have to worry about giving instructions, getting lost in translation and end up having the outsource employee do the task all over again or doing it by yourself, because he didn’t understand the instructions.
Filipinos are accustomed to Western Culture
The Philippines have been colonized by many countries. The US in particular, have colonized the country for almost half a century. Because of this, Filipinos are used to the foreign culture. By working with them, you will find out that they speak almost the same as you, they celebrate Mothers’ Day and Fathers’ Day, they play bowling, they love eating burgers and fast food, among others. More importantly, the Philippine government is a bit similar to the US government system. In short, culture shock is not an issue in your business/professional relationship.
Philippines have highly educated & skilled workers
In the Philippines, having a degree is a trend. Filipinos value education more than anything. That is why you can find many people who are willing to do outsource jobs who have a Bachelor’s degree and even PhDs. In March 2013, the country produced 500,000 graduates of IT and Art Sciences degrees. So, you can expect to find many highly skilled workers in the country.
The Philippines have a large outsourcing workforce
If you’re looking for a big team to outsource, you can find that in the Philippines. The country has a large workforce willing to do the job you want. On the other side, if you’re just looking for one Virtual Assistant, you can also find freelancers who are not part of a company who can do various tasks for you.
Outsourcing to the Philippines is cheap
In the US, the usual pay for secretaries is $25/hour. In the Philippines, you can hire a virtual assistant who can do what the usual secretaries do, like email management, booking flights, managing your calendar, and others, for only $5/hour.
If you’re worried about the quality, because they say you get what you paid for, don’t be. $5/hour is already a good rate for Filipinos. So, you can find a lot of good virtual assistants who will rave to get that position. But if your task is more complex than the usual admin support tasks, increase the pay.
Outsourcing to the Philippines is a great idea to cut operational and production costs without sacrificing the quality. If you haven’t done this before, now is the time to find a Filipino web developer, writer, or virtual assistant. Here’s how you should do it like a boss.