Economy B.P.O. HUBS' 'NEXT-WAVE CITIES'

Manila, Philippines - Business Process Outsourcing (BPO) hubs in Metro Manila are eyeing relocation to cities and towns outside the metropolis. Metro Manila hosts 85 to 90 percent of BPO companies operating in the Philippines. Relocating them to urban centers outside the metropolis is expected to open more job opportunities and help ensure the companies' 24/7 operations.

Outside Metro Manila, cities are being promoted s alternative sites to ease the congestion in established information technology (IT)-BPO hubs. Urban areas that have efficient infrastructure, connectivity, and available human resources are called "next-wave cities," and they are becoming increasingly attractive to foreign investors. A study identified the 10 "Next-Wave BPO cities" as Davao City; Sta. Rosa City, Laguna; Bacolod; Iloilo; Cavite; Lipa, Batangas; Cagayan de Oro; Malolos, Bulacan; Baguio City; and Dumaguete, Negros Oriental. Other aspirant-cities are Dagupan, Legazpi, Metro Subic, Metro Naga, and General Santos.

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.

The supply of talent was the main determinant for a location's sustainability for hosting IT-BPO operations. In addition, other factors affecting city ranking are infrastructure, cost and business environment. Cities are scored on the quality of their roads, access to international and domestic flights, presence of providers of fiber optic networks, reliability of power supply, availability of property sites, cost of labor and office space, vulnerability to natural disturbances, and peace and order situation, among others.

With Business Process Outsourcing companies expanding out to next-wave cities and other key urban areas, the local Business Process Outsourcing industry expects to earn billions of dollars in revenues and give jobs to an additional half a million Filipinos by 2016. The Business Processing Association of the Philippines wants to double jobs in the sector to 1.3 million in the next five years, a third of which will be in cities outside Metro Manila. CONGRATULATIONS!

Loading...

Editor’s note:Yahoo Philippines encourages responsible comments that add dimension to the discussion. No bashing or hate speech, please. You can express your opinion without slamming others or making derogatory remarks.

  • Indonesia informs convicts of execution, Frenchman excluded
    Indonesia informs convicts of execution, Frenchman excluded

    Indonesia said Saturday it has officially notified eight foreign drug convicts that they will be executed, but a Frenchman was granted a temporary reprieve after Paris stepped up pressure on Jakarta. The eight -- from Australia, Brazil, Nigeria and the Philippines -- have been transported to the high-security prison island of Nusakambangan where they will face the firing squad along with an Indonesian prisoner, despite strident international criticism. "Today, just now, we just finished …

  • Double Celebration
    Double Celebration

    Ropali Corporation, one of the top multi-brand motorcycle dealers in the Philippines, now holds two Guinness World Records. In the span of four days, Ropali Corporation broke two records, namely: The Largest Parade of Motorcycles with Sidecars and The Largest Simultaneous Motorcycle Burnout. As such, it also became the first motorcycle dealer in the Philippines to become a two-time Guinness World Record holder. The record for The Largest Parade of Motorcycles with Sidecars was previously …

  • United States seeks access to Philippine bases as part of Asia pivot
    United States seeks access to Philippine bases as part of Asia pivot

    The United States has asked for access to Philippine military bases in eight locations to rotate troops, aircraft, and ships as Washington shifts its forces to Asia and as China expands its military presence in the South China Sea. U.S. Defense Secretary Ash Carter, in a speech in Arizona, has outlined Washington's next phase in its Asia "pivot", deploying its most sophisticated destroyers, bombers and fighters to the region. The Asia "pivot" has already seen U.S. Marines rotating through the …

  • China's island-building to loom large at SE Asia summit
    China's island-building to loom large at SE Asia summit

    China's creation of new island footholds in contested seas will hover over a Southeast Asian summit that has become an annual test of the region's nerve in standing up to its massive neighbour. The South China Sea hot potato drops this year into Malaysia's lap as the rotating chair of the 10 member Association of Southeast Asian Nations (ASEAN) and host of Monday's meeting. ASEAN states Vietnam, the Philippines, Malaysia and Brunei claim parts of the strategic South China Sea, but Beijing …

  • Philippines, China trade accusations over sea threats

    MANILA, Philippines (AP) — The Philippines accused China of aggressive maneuvers against its reconnaissance plane and fishermen in disputed seas where Beijing has stepped up construction of artificial islands, but China reiterated its claim on the strategic waterways. …

  • Indonesia orders execution of Mary Jane, 9 others
    Indonesia orders execution of Mary Jane, 9 others

    Indonesia has ordered preparations for the execution of 10 drug convicts, including Filipina Mary Jane Veloso, as the Philippine government filed yesterday a second appeal for judicial review of the case to save the maid from death by firing squad. The Attorney General’s Office (AGO) of Indonesia released an official letter dated April 23, instructing prosecutors to prepare for the execution of 10 convicts, the Jakarta Post reported yesterday. The execution would be conducted after the …

  • Noy to visit Canada, Japan
    Noy to visit Canada, Japan

    President Aquino will embark on a state visit to Canada in May and Japan in June to meet with his counterparts and promote Philippine interests. Deputy presidential spokesperson Abigail Valte said Aquino accepted the invitation from Canadian Governor General David Johnston to make a state visit to Canada from May 7 to 9. Tied to this trip is the President’s one-day working visit to the United States to meet with potential investors and with the local Filipino community in Chicago, Valte …

  • Business groups back K to 12 program
    Business groups back K to 12 program

    The government’s K to 12 program adding two more years to basic education received support from various business groups yesterday. However, they urged relevant government agencies to deal with issues regarding the implementation of Republic Act 10533, the Enhanced Basic Education Act or K-12 Law. In a statement, business groups led by the Philippine Business for Education (PBEd) said RA 10533 is a milestone piece of legislation that intends to bring the Philippines up to par with the rest of …

POLL

Should Aquino be held accountable over the Mamasapano operations?

Loading...
Poll Choice Options