Many companies around the world are choosing to outsource work to the Philippines. The Philippines has a long history of handling other companies’ business tasks. With its booming BPO (Business Process Outsourcing) industry, this country offers a diverse talent pool and cost-effective solutions.
Let’s explore how you can start outsourcing to the Philippines.
Why Choose the Philippines for Outsourcing?
Outsourcing to the Philippines has many benefits. First, it’s cheaper than hiring people in many Western countries. Plus, the English language skills of Filipinos are impressively high, which is a big reason why it’s a top choice for outsourcing. Filipino workers are also excellent in customer service and adapt well to international work environments, allowing seamless integration with foreign companies.
The workforce in the Philippines is not only proficient in English (it’s the country’s second language) but also highly educated. The country has a strong education system; many Filipinos have university degrees and specialised training.
This means that when you outsource to the Philippines, you get cost savings and access to a pool of skilled and knowledgeable professionals.
The Top Outsourced Businesses in The Philippines and Their Salary Rates in 2024
The Philippines has become a hubspot for outsourcing due to its skilled workforce and cost-effective services. It’s no surprise that major companies from both Australia and the US outsource Filipinos to grow their business. Companies like Telstra, ANZ, Westpac, Google, Amazon, JP Morgan & Chase, and more have decided to invest in Filipinos’ skills and services.
These companies have realised that partnering with the Philippines can significantly boost their growth. It’s a wise financial decision, as Filipino workers are talented, versatile, and capable of handling various tasks; it’s just the way to go. Here are some of the top businesses that are commonly outsourced in the Philippines:
- Call Centers (Customer Support and Technical Support): The Philippines is renowned for its many call centers providing customer service and technical support. Filipino workers’ high English proficiency and customer service orientation make them ideal for these roles.
Customer Service Representatives: $3 to $6 per hour.
Technical Support Representatives: $4 to $8 per hour.
- Information Technology (IT) Services: This includes software development, website design, IT support, and maintenance. The country has a growing number of IT professionals with the skills needed for these tasks.
Entry-Level IT Support: $5 to $10 per hour.
Software Developers: $8 to $20 per hour.
- Administrative Support: Tasks such as data entry, appointment scheduling, virtual assistance, and other administrative functions are frequently outsourced to the country.
Data Entry: $2 to $5 per hour.
Virtual Assistants: $3 to $8 per hour.
- Content Creation and Digital Marketing: Companies often outsource content writing, SEO (Search Engine Optimisation), social media management, and other digital marketing tasks to Filipino professionals.
Content Writers: $3 to $8 per hour.
SEO and Social Media Specialists: $4 to $10 per hour.
- Finance and Accounting: Outsourcing finance-related tasks such as bookkeeping, payroll processing, and financial analysis is common due to the Philippines’ pool of accounting professionals.
Bookkeeping: $4 to $10 per hour.
Payroll Processing: $5 to $12 per hour.
- Human Resources: Outsourcing HR functions are common, leveraging the countries’ expertise in recruitment and payroll management.
HR Assistants: $3 to $7 per hour.
Recruitment Specialists: $5 to $10 per hour.
- Healthcare Services: It’s common knowledge that some of the best nurses in America are Filipinos. So it’s a no-brainer that the healthcare sector, including medical transcription and billing, is an emerging area in Filipino outsourcing.
Medical Transcriptionists: $3 to $7 per hour.
Medical Billing and Coding: $4 to $8 per hour.
- Graphic Design and Multimedia: The Pearl of the Orient is home to many talented graphic designers and multimedia artists who provide services like graphic design, video editing, and animation.
Graphic Designers: $5 to $12 per hour.
Video Editors/Animators: $6 to $15 per hour.
- Education and Training: For many years, the education sector, particularly online tutoring and e-learning development, has been a growing field in Filipino outsourcing.
The Philippines has a 97% literacy rate, which translates well in the teaching and training industry.
Online Tutors: $3 to $10 per hour.
E-learning Developers: $5 to $12 per hour.
Of course, these are just general rates seen across many agencies and platforms. As an employer, it’s still important to value and assess an individual based on their skills, culture compatibility, and the value they can bring to your business.
What makes Filipinos great at Outsourcing?
Filipinos have several qualities that make them exceptional candidates for outsourcing roles. As mentioned, the Philippines has a 97% literacy rate, and its government even provides almost free college programs to its citizens. This means that Filipinos can communicate well and become skilled professionals before they hit their 30s. Here are the qualities that make the Philippines a great outsourcing hub for your business:
- Good at English: Most of the population speak and understand English well. This makes it easy for them to talk to customers and clients from other countries, which is essential since some folks would rather speak to someone with a neutral or American accent.
- Similar Culture: The culture in the Philippines is quite like Western cultures, especially American and Australian. This means they understand Western ways of doing business and dealing with customers.
- Well-Educated: Lots of people in the Philippines go to school and college. So, they’re well-educated and know a lot about different work areas like IT, health, and business.
- Friendly and Helpful: Filipinos are known for being friendly and kind. This is useful in Customer Service when they have to help customers and solve problems.
- Willing to Adjust Working Schedule: Filipino workers are known for their flexibility, readily adjusting their schedules to cater to clients across different time zones.
- Affordable: Dollar-wise, living in the Philippines costs less than in many Western countries. So, businesses can hire Filipinos at a lower cost without compromising the quality of work.
- Skilled and Creative: With the rise of the BPO sector, many Filipinos have honed specialised skills, particularly in technology, digital marketing, and creative services. Their dedication often translates into high-quality output.
- Government Support: The outsourcing industry in this country is bolstered by their government, including infrastructure development and training initiatives, enhancing the sector’s global competitiveness.
Do small businesses benefit from Outsourcing in the PH?
Absolutely! Small businesses can greatly benefit from outsourcing to the Philippines. One of the primary advantages is cost reduction; by outsourcing, small businesses can access a skilled workforce at a significantly lower cost compared to hiring locally. This cost-effectiveness can be crucial for small businesses operating with limited budgets.
Additionally, outsourcing tasks such as customer service, administrative support, or digital marketing to Filipino professionals allows small business owners to focus on core business activities and strategy, rather than getting bogged down in day-to-day operational tasks.
Moreover, the flexibility and scalability that outsourcing offers mean that small businesses can easily adjust the level of support they need as they grow, without the complexities of hiring and training additional staff.
Filipino workers’ high English proficiency and cultural compatibility make for smooth communication and integration with business processes in Australia and America. Outsourcing to the Philippines can give small businesses the resources and flexibility they need to grow and compete more effectively in their markets.
Get Started on Outsourcing Your Work In The Philippines
Clearly Define Your Requirements:
Start by precisely outlining what you need from your outsourcing venture. This should include the specific tasks or projects you want to outsource, detailed skill requirements, the scope of the work, expected outcomes, deadlines, and any particular standards or practices your business adheres to.
Providing a detailed , brief and clear objectives helps in selecting an outsourcing partner who can meet your specific needs. It also reduces the likelihood of misunderstandings or misaligned expectations later on. Consider the level of quality you expect, any industry-specific knowledge required, and how the outsourced work will integrate with your existing processes.
With The Outsourcer, you don’t have to do the legwork. If you’re a small business owner or looking to outsource for the first time, you don’t have to worry about finding candidates that will take your business to the moon. We already have a solid pool of highly skilled Filipino assistants so you can focus on what matters the most to you: growing your business.
Choose the Right Outsourcing Partner:
Conduct thorough research to find an outsourcing company in the Philippines that aligns with your business needs. Look for a partner with a strong track record in your industry or in handling the kind of work you need to be done. Assess their reputation by reviewing client testimonials, studying case studies, and requesting references.
It’s also essential to consider their communication practices, confidentiality policies, and any certifications that demonstrate their commitment to quality and security. Make sure they have the infrastructure and resources necessary to handle your project effectively. Choosing the right partner is crucial, as it impacts the quality of work and the overall outsourcing experience.
Establish Effective Communication:
Regular and clear communication is vital to the success of any outsourcing partnership. Develop a communication plan that specifies how often you will hold meetings, the preferred communication channels (such as email, video calls, messaging apps), and who will be the primary points of contact on both sides.
This plan should also include how you will share feedback, how often progress reports will be provided, and the process for handling any issues or changes in scope. Effective communication ensures that both parties are consistently on the same page, reduces the likelihood of errors, and helps build a strong, collaborative relationship.
Understand Cultural Differences:
While Filipinos often have a lot in common culturally with Western countries, being sensitive to and aware of any cultural nuances can greatly enhance the outsourcing relationship. Take the time to understand Filipino customs, communication styles, and work ethics. This cultural awareness can help build mutual respect and a more harmonious working relationship. It’s also beneficial to be aware of local holidays and working norms, as these can affect work schedules and productivity.
Plan for Time Zone Differences:
The Philippines may be in a different time zone than your country, which can affect work schedules and communication—plan by establishing clear expectations around working hours, availability, and response times. Discuss and agree on managing deadlines and turnaround times across different time zones.
Many Filipino companies are flexible and can adjust their work hours to align more closely with your business hours. However, this should be communicated and agreed in advance to ensure smooth operations.
In Summary
There is no better time to look for a helping hand to grow your business than now. Outsourcing in the Philippines has been a great financial decision that even big companies make, so there’s no reason why you shouldn’t either.
The Pearl of the Orient has emerged as a top destination for outsourcing for Americans and Australians for various business processes, from customer service and administrative tasks to IT and creative services. The combination of affordability, skill, and adaptability Filipino workers offer is a strategic advantage everyone should take.
Whether you’re looking to streamline operations, reduce overhead costs, or access specialised skills, outsourcing to the Philippines can be a game-changer for your business. With careful planning, clear communication, and an understanding of the unique benefits and challenges of outsourcing, you can harness this opportunity to drive growth and success in your business.