A leading global outsource service provider has recommended the Philippines as a favorable destination for “out-tasking” — a trend in business process outsourcing (BPO) that involves farming out jobs.
In a recent study titled, “Outsourcing vs. Out-Tasking: Practical Advice,” CompuPacific Europe Ltd., based in the United Kingdom, described out-tasking as farming out business processes or IT functions piecemeal rather than all at once.
“Out-tasking is attracting serious interest as an alternative or complement to traditional outsourcing” that involves wholesale transactions, the study said.
The company explained that out-tasking is quick and cost-effective because it involves contracting out easily defined and measurable activities or processes, while the main function is kept in-house.
Examples of tasks that may be farmed out are data entry, document-based processing, such as claim handling, animation packages, and computer-aided design (CAD) conversion.
“Instead of divesting their back-office functions as a whole, companies contract out in an incremental and manageable way,” it said. “Out-tasking helps cut cost quickly without loss of control or high set-up costs.”
CompuPacific Europe attributed the emergence of out-tasking to “the poor performance of many” large-scale outsourcing agreements.
A second big push is the wave of offshoring among small and medium-scale enterprises that do not have the scale to outsource so much work, and are unable to fund high upfront costs or absorb the disruption to business that is usually associated with traditional outsourcing deals.
CompuPacific Europe included the Philippines among top offshore locations, and possible out-tasking destinations and described the local BPO industry as “a high-value niche player.”
Other destinations in the short list are India, China, Russia and Eastern Europe.
CompuPacific Europe, a division of CompuPacific International, specializes in BPO, CAD, human resource and animation through delivery centers in China and the Philippines. With editing by INQUIRER.net