Outsourcing has become the wisest diversion of both industrialized and small-scale companies today. Investing at significantly reduced capital and labor costs while enjoying greater productivity and revenue are certainly the main goals. The introduction of this amazing multifunction technology optimizes storage and retrieval of data, dissemination and processing of business information which are readily available anytime, anywhere. But this so called process of transferring business operations to a third party might mean danger, if hastily entered into, as observers said that this could be “time-consuming, complex, and perilous.”
Studies showed common problems that might be encountered by companies who are most eager to jump into outsourcing. Proximity for instance, could be one hindrance as link between the company and the third party is vital. Untimely breakdowns of computer systems may ruin a much needed information not to mention the duration of the breakdown which could result to a great loss. Cultural and language barriers may mean a fulfillment of a company’s goal or could possibly be a terrible nightmare. While the Philippines is known for having people with excellent English communication skills, still this factor cannot be undermined. Differences in culture may also raise ethical and relational problems. Telecom infrastructure is another major factor that should be considered as every detail in outsourcing contributes to the success or failure of the business.
The primary factor to consider would be choosing the best and reliable service provider–it should be able to provide quality, affordable and consistent services. The Philippines, aside from India, is now known as the leading global outsource service provider. As of December 2007, it has been among the list of the top 30 countries who provides unparalleled offshore services. The United Kingdom has voted the Philippines as the most preferred outsourcing location. It has earned its credibility in the field of Information Technology. Thanks to the great influence of the western culture which makes the Philippines more “western speakers” over other Asian neighbors.








