BPOs to 'presidentiables': Are we a priority?

By Reynaldo Santos Jr., Newsbreak | 02/09/2010 8:05 PM

MANILA, Philippines - Business process outsourcing (BPO) specialists lament that they have yet to hear any presidential candidate speak about his or her plans for the sector, saying the disregard is probably because BPOs are not a "political, hot issue."

Gigi Virata of the Business Processing Association of the Philippines (BPAP) said in a conference Monday that none of the 10 so-called presidentiables has presented a program on developing the country's BPO sector. "Maybe at this time, they are busy with other things," she said.

Virata also expressed disappointment that none of the invited presidential candidates showed up in December in a conference where BPAP was supposed to present their e-growth plan and could have asked the candidates about their plans for the BPO sector.

The sector, she said, is looking for a leader who has "a business friendly approach to policy making." The next president "should be acceptable to business and should not pose any major threat to business," should address BPO concerns like setting incentives for companies, guidelines for night shift work, and the effects of having too many special non-working holidays in the country.

"They should show some understanding of the flexibility required by global business," she said.

Local BPO officials are eyeing a 26% revenue growth in 2010, while foreign investors see that the change in leadership will not be a threat to this growth.

Ralph Schonenbach of Trestle Group in Switzerland said the Philippines is in a strategic position in the global industry competition. He noted the US$7.2 billion revenue of the local BPO industry in 2009, constituting a 19% revenue growth from 2008. "We're just beginning in the competition," he said.

Philip Hadcroft of Salmat in Australia added that the Philippines will remain at an advantage, given the "strong service ethics" of local workers, good quality education, and cheap labor market in the country.

Judy Arteche-Carr explained that the country is already recognized as the second largest BPO industry in the world, next to India. She said that the key lies to the country leaders informing people about the said fact. "If people would know that, what more could happen."

Schonenbach noted, however, that the business model of the industry is contantly changing. Hence, candidates should "think of strategies to demonstrate that the needs [of the industry] is being addressed."

But regardless of the change in administrations, Commission on Information and Communications Technology (CICT) commissioner Monchito Ibrahim gave assurances that the industry can expect more support from the government. He said that the government, through CICT, will continue to develop next wave cities.

"The government will be beside the industry to sustain its growth and be in tune with what it needs," he said. (Newsbreak)

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