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Indian SEZ vs. Philippines BPO Next wave cities - A tale of two Outsourcing destinations

Once an unchallenged mighty ruler, India is now getting stiff competition from Philippines.India established itself as a hub of educated, high quality talent at a fraction of cost. However, as time passed by, India took its position for granted, got complacent and is now caught worried in middle of upcoming competition. In addition to economic slowdown, the political climate has begun to give goose bumps to foreign investors. The business scenario isn’t as healthy as it should be. There are reports that Infosys & Wipro may withdraw SEZ projects from West Benga. West Bengal Chief Minister, Mamata Banerjee is principally opposed to the idea of an SEZ, which is expected to employee over 20,000 people. Politics, defies economics.What Can you something about a party which is economically illiterate and plays to the gallery.

 

In sharp contrast we have Philippines. A country, very small in size though crystal clear about what it wants. Despite of having better accent, more proximity with the united states, it was virtually impossible for them to upstage and grab the lion share of voice jobs from India. But they did. All thanks to, business friendly policies.

In another significant development, operations are now being moved beyond manila. “A joint study by the Department of Science and Technology (DoST) and Business Processing Association of the Philippines (BPAP) showed Davao City, Sta. Rosa City in Laguna and Bacolod City as top three BPO locations among 34 domestic locations. In 2011, the $15-billion BPO industry employed about 525,000 Filipinos and had generated over $9.1 billion in revenues.” Experts say, it is on the same concept on which Indian call center outsourcing is working i.e. to develop the tier 2 cities, however the Philippines infrastructure is much better and hence the scope of quick development is realistic.

India will take some to shrug off its image of being entangled in red tape bureaucracy and confusing government polices. India companies have a huge clout, they are one who are driving the growth of the Philippines BPO industry and treat it as just another stop gap arrangement, before they move on to Latin America or Africa to set up other low cost operations. Indian as a country has lot to offer. What they lack is quick execution, effective strategies and clear political will. India need to dust off its image of being a white elephant and need to run like a fierce tiger. Else, it would be, just another tale of lost opportunity.

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Tags: BPO, Philippines, bpo, call, call-center-outsourcing, call-centers, center, centers, contact, india, More…outsourcing

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