| Outsourcing trends show that The the Philippines has | | | | companies. Low-rise buildings outside of the city are |
| begun to close the lead that India has in terms of | | | | also known to be attractive to outsourcing companies |
| viability for BPO companies. The original wave came in | | | | because of the option to occupy the entire building all |
| the form of contact centers - even now, contact | | | | on their own. Business centers such as Ortigas, |
| centers account for a large percentage of all BPO | | | | Eastwood, and Alabang have managed to keep the |
| operations within the country. However, IT outsourcing | | | | rental rate of competing areas from becoming too |
| companies are also looking towards The the Philippines | | | | expensive. Developers have also been building in other |
| as a possible option for their "back office" needs. | | | | major cities in the country to keep up with the demand |
| Analysts believe the shift in outsourcing trends can be | | | | for more office space. |
| pinned down to a number of factors present among | | | | BPO and outsourcing in The the Philippines account for |
| the Filipino population that is harder to find in places | | | | between 7 to 15% of the global market, second only to |
| such as Hyderabad or Chennai. The first is an affinity | | | | India. Knowledge process outsourcing is also on the |
| for the language and culture of the United States - the | | | | increase, particularly in the legal transcription fields. The |
| country that accounts for 70% of all off-shoring and | | | | Philippine legal system is very similar to that of the U.S., |
| outsourcing markets. As a former American colony, | | | | so local legal talent has a better grasp of important |
| the local population has a firmer grasp of American | | | | cases and legal precedents than their counterparts |
| English. A second major factor believed to be | | | | elsewhere. The Philippines is also starting to leverage |
| responsible for the change is in the talent pool. While | | | | its local creative talent pool, furthering the expansion of |
| talent poaching is present, the frequency is nowhere | | | | offered services from simple contact centers to areas |
| near that of what occurs in India, and the price for | | | | such as web design and content creation. |
| such skilled employees is also much lower. | | | | This increases the demand for more office space to |
| The primary thing factor that some companies find | | | | be available, and developers are starting to take notice. |
| limiting in outsourcing to The the Philippines, however, | | | | Low-rise buildings in suburban BPO parks are |
| lies in infrastructure. Office space rentals have soared | | | | becoming more populated, with other businesses such |
| since the initial contact center boom. There is a clear | | | | as fast food chains appearing nearby to cater to what |
| risk of an increase in of office space rent in the prime | | | | is almost a pre-built customer base. High-rise buildings |
| business areas, such as Makati City, going further up | | | | are also becoming increasingly occupied by BPO and |
| due to a lack of supply to meet the demand. There | | | | IT outsourcing companies, even outside the financial |
| are developers eagerly attempting to carve a piece of | | | | and business hub that is Makati. |
| the pie, and the government has plans in place to | | | | More traditional office space occupants will likely |
| improve existing infrastructure, but. for For the time | | | | remain the majority, but outsourcing companies are |
| being, office space is slowly reaching an expensive | | | | starting to bridge the gap. IT outsourcing. These |
| premium. | | | | companies are rapidly becoming a major economic |
| It isn't just in Makati - the financial capital of the country | | | | factor in the country, and the investment of both |
| - where BPO is becoming a prevalent occupier of | | | | private and public organizations in improving and |
| office space, though. Makati also does not hold a | | | | increasing the availability of office space in Makati is |
| monopoly on office space for BPO and IT outsourcing | | | | seen as highly beneficial. |