Business Scaling

Top 5 Reasons Why Global Companies Choose to Outsource to the Philippines

Top 5 Reasons Why Global Companies Choose to Outsource to the Philippines

Outsourcing has become a game-changer in the business arena.

But why is it that the Philippines is often the go-to destination for companies?

Why outsource in the Philippines when there are many choices worldwide?

Let's unravel the factors that make this tropical nation a hot spot for global outsourcing.

What Makes the Philippines an Excellent Offshore Staffing Destination Compared to Other Countries?

Several factors make the Philippines an attractive offshore staffing destination for businesses worldwide.

Western-style Education

The Philippines' education system takes its cues from the United States. This has resulted in English-speaking workers with high education and skill levels.

Industry experts abound in IT, accounting, marketing, eCommerce, and more. Their strong communication skills and knowledge make them a top choice for offshore staffing.

Low Labor Costs

Hiring costs in the Philippines are low compared to other nations. Companies that employ Filipino workers can save money without skimping on work quality or expertise.

Want to learn more about the potential savings? Check out our salary guide comparing the costs of offshoring to the Philippines and the USA.

Solid Cultural Compatibility

The Philippines shares strong cultural ties with the West. This makes the country a prime pick for companies wishing to sidestep time zone and cultural issues.

It also eliminates possible roadblocks to efficient work. Filipino workers are acquainted with the Western work culture. They can meet foreign businesses' needs and expectations. This cultural match guarantees a dependable work relationship with your offshore staff.

The Filipino Work Ethic

Filipino professionals bring certain distinctive traits to the table. These qualities make them a preferred choice for businesses globally:

  • Hardworking and Devoted. Filipino workers are diligent. They're ready to put in the effort needed to produce high-quality work.
  • Adaptable and Flexible. Filipinos can adjust to various work situations. This makes them a valuable addition to any team. Their flexibility can help in overcoming hurdles and achieving business objectives.
  • Goal-Oriented and Timely. Not only are Filipino professionals goal-driven, but they also respect deadlines. They strive to achieve their targets and deliver work on time. This respect for deadlines ensures steady progress and consistency in business operations.

Specialized Offshore Staffing Companies

Offshore staffing companies in the Philippines act as a bridge for businesses seeking to hire local talent. These companies simplify HR tasks. They make it easier for you to bring talented professionals on board.

Here’s how:

  • Streamlined Recruitment Process. Companies like MultiplyMii fine-tune the recruitment steps. From finding suitable candidates to conducting interviews, we have it covered. This ensures you get only the best fit for your team.
  • Employee Management: Staffing companies don't stop at recruitment. They handle employee benefits, making sure your staff feels valued. Plus, they help with local labor law compliance. They ensure the process runs smoothly and legally.
  • Efficient Onboarding. Getting your new hires up to speed is a breeze. They arrange orientation and training. They help your employees hit the ground running from day one.

Again - why do foreign companies outsource in the Philippines?

Through offshore Filipino staffing companies, businesses worldwide can:

  • effortlessly handle HR processes
  • save time and resources
  • tap into a pool of skilled talent to meet their specific needs

All these make the Philippines an excellent outsourcing choice for global businesses.

Government Support

The Philippine government understands the value of the outsourcing industry. They've set up different initiatives to foster its growth:

  • Special Economic Zones. The government established zones like the Philippine Economic Zone Authority (PEZA). Firms in these zones get tax breaks, simpler processes, and more. This makes it easier and cheaper to outsource to the Philippines.
  • Workforce Training. The government invests in comprehensive employee upskilling. The Technical Education and Skills Development Authority (TESDA) is one example. They provide courses and certificates to improve worker skills. This keeps the labor force competitive and ready to meet outsourcing needs.
  • Infrastructure Improvement. The Build, Build, Build program targets transport and communication infrastructure. Better roads, airports, and bridges make it easier for businesses to operate. It also makes it faster for workers to get to work.
  • Support for Research and Development. The Department of Science and Technology (DOST) funds and supports R&D, especially in IT and BPO. This shows the government's focus on technology and innovation in the outsourcing industry.
  • Economic Benefits. The outsourcing industry contributes to the country's GDP. The government's persistent support for the sector attracts foreign investments. This leads to job creation for Filipinos. It also strengthens the Philippines' position in the global outsourcing arena.

These moves by the government have helped make the Philippines a top outsourcing hub. The outsourcing industry now forms a large part of the country's economy.

Ready to Make the Move?

More and more companies are discovering the advantages of outsourcing to the Philippines. The country offers:

  • skilled workers
  • savings on hiring costs
  • a shared culture with the West

It's easy to see why businesses across the globe are choosing the Philippines. Plus, with the backing of a supportive government, outsourcing here is not only smart. It's also future-proof.

Ready to join these successful companies? If you need to hire for specific roles or build a solid remote team, MultiplyMii is ready to assist!

Schedule a call with us today. We can offer the right HR solutions tailored to your unique needs.

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Frequently Asked Questions

Why is the Philippines famous for outsourcing?

Due to its strategic advantages, Philippine global outsourcing has been the top cost-effective choice of international companies. The country has a well-educated and adaptable workforce, a strong business process outsourcing (BPO) industry ecosystem, cultural compatibility with Western markets, cost-efficiency, and a favorable regulatory environment that supports foreign investment.

Is outsourcing good or bad for the Philippine economy?

Outsourcing benefits the Philippine economy by contributing significantly to employment and economic growth. Philippine global outsourcing provides opportunities for skilled Filipino experts, drives investments in the country’s technology and infrastructure, and enhances global competitiveness in its services sector.