What Threatens the BPO Industry in the Philippines?

Seemingly stable and dependable, the business process outsourcing (BPO) industry in the Philippines also faces various threats. It is important to eliminate the threats because many people depend on BPO companies for jobs. To provide some insights on the status of the BPO industry, below are a few of its major obstacles and ways to overcome them.

Insufficient infrastructure

In the BPO industry, Internet use is essential. The Internet is what allows clients and workers to communicate with each other and to do various business transactions. In addition, the Internet is one of the ways through which companies are recognized by potential clients.

However, BPO companies cannot perform as optimally as they should because of slow or limited bandwidth provision in the country. Limited infrastructure fails to provide quicker data transmission. So to help improve the quality of the output and operations of call centers and similar BPO companies, more capital should be invested on increased and better business resources.

Continuously eroding English training

The ability to speak fluent English is essential in the BPO industry because clients are often foreigners. However, in the Philippines where call centers are booming, very few applicants know how to speak English well. Sometimes in the corporate level and also in the basic education level, people do not receive adequate English training.

The effect of poor English training reflects on the 97% of call center applicants who are unable to speak English fluently. Even if they have the other valuable skills needed in BPO jobs, some applicants fail initial screenings. In addition, the number of applicants who do know how to speak the language fluently is decreasing. So to help the majority of call center applicants possess the key job requirement, English language education should be supported and further improved by the government and educators.

Comparatively low productivity

Without adequate infrastructure, resources and competent workers in the BPO industry, the result is low productivity. BPO companies cannot work efficiently and provide the needs of clients without the essential factors that fuel business operations. So, there is much that should be done to help BPO companies become stable and secure enough for people to have jobs in.

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