Myths,Facts or Biased re BPO , 9th Dec, 2015 v2 DLSU-D Demas Cavite Philippines by Prof. Michael...

JFINEX-STUDENT SUMMIT

Investment Insights & Asean Integration.

DLSU-D Cavite Manila

Wednesday 9th Dec, 2015

“MYTHS AND FACTS IN BPO CAREERS”Adjunct Prof. Mike Conroy MBA (DBA)

&

Co Founder/Non Executive Director of Talk Bpo

[email protected]

1

BRIEF INTRODUCTION

Talk Bpo ™ Inc. © All rights reserved, 2008 - 2015 2

TO BRIEFLY DISCOVER AND DIFERRENCIATE THE

MYTHS AND FACTS OF THE BPO INDUSTRY

WITHIN THE PHILIPPINES

1. THE INDUSTRY ITSELF IN COMPARSION TO

OTHER COUNTRIES

2. ASCERTAIN OPPORTUNITIES IT MAY PRESENT

TO ONE AS A CAREER OPTION

3Talk Bpo ™ Inc. © All rights reserved, 2008 - 2015

Brief Video

Booming Philippines

https://www.youtube.com/watch?v=D8_2hKZkb18

World Bank told to stop reporting the WBIR

https://www.youtube.com/watch?v=iEbGflgb4AQ


Quick Definitions of Myth, Facts & Biased

A fact is something that has really occurred or is

actually the case. The usual test for a statement of fact

is verifiability—that is, whether it can be

demonstrated to correspond to experience. Standard

reference works are often used to check facts.

Scientific facts are verified by repeatable careful

observation or measurement (by experiments or

other means).

Source: Wiki



A myth is, broadly, any worldview-based

traditional story, or collection or stories

Source: Wiki



Bias is an inclination or outlook to present or hold a partial

perspective, often accompanied by a refusal to consider the

possible merits of alternative points of view. Biases are learned

implicitly within cultural contexts. People may develop biases

toward or against an individual, an ethnic group, a nation, a

religion, a social class, a political party, theoretical paradigms and

ideologies within academic domains, or a species.[1] Biased

means one-sided, lacking a neutral viewpoint, or not having an

open mind. Bias can come in many forms and is related to

prejudice and intuition.[2]

Source: Wiki

• MANILA, Philippines (UPDATED) – The Philippines' gross domestic product will

reach $1.05 trillion (P22.60 billion) by 2029, an economist said.

• IHS Singapore Asia-Pacific chief economist Rajiv Biswas bared his forecast at

the ongoing World Economic Forum on East Asia 2015 (WEF) in Jakarta,

Indonesia, on Tuesday, April 21.

• Biswas said that the total GDP of the Philippines is predicted to rise from $310

billion in 2015 to $500 billion by 2020, buoyed by the rapid growth of the

information technology-business process outsourcing (IT-BPO) industry and

remittances.

• The country’s per capita GDP is also eyed to double from $3,000 in 2015 to

$6,000 by 2024.

• Source; http://www.rappler.com/business/economy-watch/90650-

ph-one-trillion-dollar-economy-2029


BPO PH - MYTH OR FACT?

Services Provided by BPO –


BPO PH – MYTH OR FACT ?


� India is now the world’s favored market for BPO

companies, among other competitors, such as,

Australia, China, Philippines and Ireland. The BPO boom

in India is credited to cheap labor costs and India’s huge

talent pool of skilled, English-speaking professionals.

Research by the National Association of Software

Services and Companies (NASSCOM) has revealed that

quality orientation among leading BPO companies, 24/7

services, India’s unique geographic location and the

investor friendly tax structure in India have all made the

BPO industry in India very popular.� Source: NASSCOM

BPO PH – MYTH, FACT OR BIASED?


�



�



�

Here are five (5) clear reasons why the Philippines

overtook India in the call center supremacy.

1. Culture Compatibility

Filipinos have the exceptional ability to adapt easily to different

cultures. This is attributed to the fact that the Philippines has a

lot of similarities to Western cultures as a result of influences

from multiple foreign rulers in the distant past.

After the US ruled the country for several decades, Filipinos

embraced American culture instead of rejecting it. This is

evident in all levels of schools where the English language is

used as a medium of instruction. Just look around in any major

city in the Philippines and you will find American lifestyles. A lot

of Filipinos love to eat American food, wear Western fashion,

watch American movies, listen to English songs, and speak

with a neutral American accent. There is clearly a cultural

compatibility between the Philippines and Western countries,

most especially the US.



�



2. Neutral Accent

Although the Philippines has 8 major local dialects, Filipinos

are remarkably outstanding when communicating in English

using a neutral accent. This prompted Jojo Uligan, the

corporate secretary and executive director of CCAP (Contact

Center Association of the Philippines), to comment: “When you

train a Filipino to speak English, you would never know if he or

she is Filipino. I think Americans like to talk to a person they

can understand.”

Indians can speak English fluently but their noticeable native

accent remains problematic. Numerous US companies find the

heavy Indian accent unacceptable to many customers. On the

other hand, Filipinos can immediately adapt to and speak in

different Western English accents.



�



3. English Speaking Workforce

US and UK businesses prefer to outsource to call centers and

BPO Service (Business Process Outsourcing) companies in

the Philippines because of the country’s English proficiency.

ASSOCHAM said that only 10 percent of graduated in India are

readily employable in call centers as opposed to 30 percent in

the Philippines.

The Philippines is a top destination for business outsourcing of

international companies considering the country was named

the world’s best country in business English proficiency when it

earned the highest score in the Business English Index beating

its western counterparts in the US, UK, and Australia. As the

world’s third largest English-speaking country, the Philippines

has a huge talent pool to meet the manpower demands of call

centers and BPO companies.



�



4. Strong Government Support

The Philippine government has given its full support to the

outsourcing industry.

In the past, a lot of Filipinos traveled abroad to seek high-

paying jobs. Now, Filipinos don’t have to leave the country

since many jobs with competitive salary packages are offered

by call centers.

Government support comes in many ways, including offer of

subsidies to foreign investors, reduced cost of facilities, and

provision of tax benefits. Educational programs are

implemented by the government to further enhance English

language proficiency and technical skills with emphasis on

computer technology. The Philippines is an ideal location for

foreign investors as more overseas companies are either

opening or expanding businesses in the country.



�



5. Hospitality and Devotion to Work

Filipino hospitality, which is famous all over the world, and the

Filipinos’ devotion to hard work attract foreign companies to do

business in the Philippines. Filipinos are known to have

extraordinary patience when working on the completion of

complex tasks. Loyalty, another trait Filipinos are known for, is

highly preferred by companies for long term employment.

Source: Brad Norman (Modified by Adjunct Prof. Michael

Conroy MBA)

http://www.takingyouforward.com/blog/sme/call-center-

philippines-overtakes-india-as-worlds-no-1/

December, 15th, 2014

.


MYTHS FACTS

BPO is another dotcom phenomena and all the

euphoria is going to be short-lived, with the current

boom ending in a bust.

BPO is a well-established industry built on solid

infrastructure of people, processes and technology

than the marketing hype that drove the dotcom

boom.

As the BPO euphoria dies down, most jobs will be

at risk and are likely to get eliminated. BPOs have existed in the Western world for many

years, employing a phenomenal three per cent of

the US and UK working population. It's highly

improbable that the current jobs being created in in

the industry will be eliminated.

As the US political backlash against India

intensifies, the Philippines is emerging as the

preferred off-shoring destination for US

corporations.

Election year in the US has made offshore

outsourcing a major political issue. But companies

are still outsourcing non English speaking back

office operations to India. This offers greater depth

and breadth of skill sets than competing countries

like the Philippines.


There are significant quality issues

facing India, resulting in many

companies like Dell, Lehman

Brothers and Microsoft withdrawing

their business from the country.

Some companies have pulled back business from India. But such

instances are few and far between. In fact, many of these

companies have subsequently sent more work to India, despite

initially withdrawing some business.

There is huge attrition in PH BPOs

because the workforce is frustrated

with their jobs and unable to work

odd hours (night shifts) for long

periods of time.

The reason for high attrition in call centres is because of poaching

by competitor BPOs by offering higher salaries and/or

designations. In fact, rather than leaving the industry, most

youngsters are busy job-hopping due to the tremendous

opportunities available within the industry. The difficulties

associated with night shifts are most probably exaggerated.

There are limited career

opportunities within the call

centre/BPO industry; roles are

limited to customer service agents

and team leaders.

The BPO industry offers a huge range of job roles in varied

functions like quality, human resource, finance, IT, project

management, training, facilities management, etc.

BPO PH - MYTH OR FACT ?



Most BPOs in PH tend to exploit their

workforce, forcing them into

monotonous jobs with few facilities or

benefits.

BPOs in PH are today attracting the best talent from various

industries, including hospitality, financial services, retail, medical

transcriptions, travel, etc. This is largely because of better

packages and benefits being offered by BPOs. Examples: home

pick-up and drops, medical insurance, recreational facilities,

range of rewards and recognition schemes.

Working in an IT enabled services

environment results in various

health-related ailments associated

with working for long hours on

computers or talking for long hours

on the phone.

Almost all jobs today involve working on computers or talking for

long hours on the phone. In fact, BPOs tend to be more careful

about proper ergonomics, acoustics and overall workplace

environment than most other companies.

Working in BPOs tends to restrict

future job prospects. There are

limited opportunities to pursue a

career outside the industry.

BPOs provide their people with invaluable international

exposure of working for leading global companies. Also, the

skills developed while working at call centres (eg.

communication abilities, process-orientation, domain knowledge,

etc), are highly desirable, cutting across industries in PH and

overseas.



Most employees treat call centres and

BPOs as a short-term career option,

good for earning a quick buck but not for

building a long-term career.

On the contrary, most employees are building a long-term

career in the industry. In fact, BPOs are attracting the best

talent from other industries that are not able to offer similar

compensation and career growth options

Source: http://www.rediff.com/getahead/2004/sep/01ga-bpo.htm

Zia Sheikh (Modified by Adjunct Prof Michael Conroy) 9th Dec, 2015


“Employment in the business process

outsourcing (BPO) industry hit an all-time high

in August 2014. The growing numbers of

companies drives the growth in the sector,

where employment recently hit 1 million.

The IT and Business Process Association of the

Philippines (IBPAP) says the employment

growth has been phenomenal, from 101,000 in

2004, and 930,000 in the first quarter of 2014.

Size Distribution of Philippines IT-BPO

Industry, by number of FTEs”




Source: FTE Distribution in PH BPAP & Everest April, 2015


BPO PH – MYTH,FACT OR BIAS ?


BPO PH – MYTH, FACT OR BIAS ?


BPO - MYTH OR FACT ?

I would like to leave you with one question today.

Name one Global well known Philippines BPO

company?

?

Are you up the challenge, let’s achieve this, it’s well

over due don’t you think?

The choice is yours, you can choose to be part of the

myths or facts or debunk it!

THANK YOU FOR ATTENTION & BEST WISHES IN YOUR

CAREERS AHEAD & HAPPY HOLIDAYS!

THANK YOU!

TIME FOR QUESTIONS?COPY OF THIS PRESENTATION CAN BE FOUND ON

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TALK BPO MYTHS & FACTS OF BPO

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Myths,Facts or Biased re BPO , 9th Dec, 2015 v2 DLSU-D Demas Cavite Philippines by Prof. Michael...

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