Metro Manila named 2nd top site for outsourcing

PH urban center beats Mumbai


MANILA, Philippines—Metro Manila is now the second-most preferred destination for outsourcing services, edging out Mumbai, India, in the Tholons’ Top 100 Outsourcing Destinations for 2014.

Topping the list is Bangalore, India, according to the investment advisory firm.

“The growth rate of Manila’s BPO sector remained consistent with previous years, and while contact support services continue to characterize the location’s identity, a notable increase in finance and accounting outsourced (FAO) services and other higher value processes in the information technology outsourcing (ITO) and other knowledge processes outsourcing (KPO) spaces have also been observed the past two years,” Tholons said.

Six other locations in the Philippines made it to the list, acknowledged as the de facto ranking for outsourcing cities worldwide.

These cities were Cebu, which ranked eighth; Davao City (69th); Sta. Rosa in Laguna (82nd); Bacolod (93rd); Iloilo (95th); and Baguio, which stayed at the 99th spot.

For the tier-2 locations, Tholons cited the concerted efforts by national and local governments, and programs of the Information Technology and Business Process Association (IBPAP), as the key factors behind their emergence.

IBPAP president and CEO Jose Mari Mercado, meanwhile, has committed to ensure that the Philippines strengthens its global leadership position in the IT-BPM space.

“While we are very happy with this achievement, we will continue to proactively undertake initiatives that will further the development and growth of the industry, which we hope will help propel us to the top in the years to come,” Mercado said in a statement.

IBPAP targets $25 billion in revenues and an estimated 1.3-million labor force by 2016.

For 2013, initial estimates indicated a strong finish for the industry, with revenues seen to reach $15.5 billion or a 16 percent year-on-year growth, and full-time employees to total 900,000, equivalent to a 16 percent increase.

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