What Makes the Philippines the Ideal Outsourcing Destination

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Mention the Philippines to a foreigner and the top things that would probably come to that person’s mind are the tropical islands, gorgeous beaches, and pristine waters. In the past decade, however, the country has become more than just a tourist spot; it is now the poster child for outsourcing success stories

Just last year alone, the Philippine’s IT-BPM industry generated a revenue of $22.9 billion, providing direct employment to 1.15 million Filipinos. It is growing continuously and with no signs of slowing down (despite the recent changes in the political landscape, both in the US and the Philippines). According to analysts, the industry can generate up to $55 billion by 2020, which is roughly 11% of the country’s GDP.

BPO companies cite cost savings as the main factors that make the Philippines an ideal outsourcing destination. In addition to its competitive labor cost, the country’s office rental rate is less expensive than anywhere else in the Asia-Pacific region.

However, the benefits that businesses gain when outsourcing to the Philippines go beyond simply cutting costs. There are also other factors why this Southeast Asian nation has become the world’s premier outsourcing hub, and these include the following:

Highly Skilled Workforce

When it comes to the quality of labor force, the Philippines has an edge over most outsourcing countries. Each year, the country produces a large number of university graduates equipped with advanced skills in software programming, mobile app design, and animation, among other fields, and many of them are eager to enter the BPO industry.

English Proficiency

The Philippines ranks as one of the largest English-speaking countries in the world. In fact, apart from Filipino, English is the nation’s official language. It is widely used across the country and even employed as a medium of instruction in all schools.

Affinity with Western Culture

As a result of almost 50 years of American colonial rule, much of the social, political, and educational system of the Philippines was patterned after the US. This makes Filipinos the most westernized people in Asia.

“I have worked in the offshore outsourcing industry for over 20 years and I have worked in geographies including India, Russia, Mercosur, Mexico, Thailand and the Philippines.  And when faced with the decision of where to base the NarraSoft operations, the choice was easy…Manila.  The culture is very western, the language skills are excellent and the workforce is full of excellent candidates across many technologies and competencies. It is also a beautiful island nation and a very fun place to visit!”, says Phil Bartos, CEO and President of the NarraSoft Corporation.

With its cost-competitive and highly qualified workforce, the Philippines offers a wide array of outsourcing services. In the IT field alone, the country takes pride in its large supply of talented and hard-working professionals, which include software developers, web designers and developers, and game developers. At NarraSoft, you have the opportunity to work with some of these experts. Get in touch with us and let’s discuss how we can help you with your software, website, or game development outsourcing needs.



Established in September 2009, NarraSoft is an outsourcing company committed to producing high quality output. We create 3D and 2D art assets, develop software, and provide companies with administrative process solutions, among other necessary business activities our clients seek to outsource and accomplish.