Showing posts with label business process outsourcing. Show all posts
Showing posts with label business process outsourcing. Show all posts

Saturday, July 17, 2010

The Truth About Offshore Outsourced Jobs



I worked for sort of a BPO company for 4 years a few years back, and believe me it wasn't easy. But you know what, the pay was awesome! I had to work really really hard though. And I mean that with 16-hour work days and deliverables up to your neck. Not to mention in-your-face foreign bosses who sometimes just don't get (and don't want to get) the local culture.

This article from Bloomberg Businessweek sums it up quite nicely. Hope you don't mind but I'm reposting it here for those who are interested in working for a BPO or for the appreciation of those who currently are.


Developing countries are benefiting from business process outsourcing jobs (BPO) that are of "reasonably good quality" by local standards, but the industry has some way to go to improve stressful working conditions, according to a study by the International Labour Organization (ILO) released on Monday.

A large number of companies in countries such as the U.S. and the U.K. have outsourced call center and back-office work to low-cost locations such as India, the Philippines and Brazil. A lot of the work gets done at night because of the time zone differences.

Employees have benefited with higher salaries. The wages of Indian BPO workers are nearly double the average wages in other sectors of the Indian economy, according to the study titled "Offshoring and Working Conditions in Remote Work." In the Philippines, BPO employees earn 53 per cent more than workers of the same age in other industries.

On the flip side, the ILO study confirms to a large extent concerns raised by social workers and trade unions in India about stressful working conditions at BPO companies.

Workers have to cope with heavy and variable workloads driven by performance targets, tight rules and procedures enforced through electronic monitoring, and unpleasant tasks such as dealing with difficult customers over the phone, the study said.

Efforts by trade unions to introduce collective bargaining in the BPO industry in some key outsourcing places such as India and the Philippines have not been successful.

"We have not had any success in introducing collective bargaining in call centers and other BPO companies in the Philippines," said Anna Fos, who heads research at the Trade Union Congress of the Philippines, in a telephone interview on Tuesday.

A key reason is that BPO workers in the Philippines find it easy to move to another BPO job if they have a problem with their current employer, Fos said. "They will not come to us, if there is a problem, as there are lots of jobs available", she added.

Workers in BPO companies also do not join trade unions because they are scared of reprisals from employers, Fos said.

Moves to unionize Indian BPO workers have also been frustrated by lack of interest from employees, according to analysts.

The BPO industry employs about 1 million people in India, according to the National Association of Software and Service Companies (Nasscom).

The work conditions faced by BPO workers constitute a "tailor-made recipe" for stress-related hazards, according to the ILO study. These problems are also clearly linked to the high rates of staff turnover in the industry -- which can be as high as 100 per cent annually in some companies -- and represents a serious problem for BPO companies, it added.

The study suggests a number of measures that governments and companies can take to improve working conditions, including measures to protect workers' health and safety at night. It also suggests a redesign of work processes, particularly in call centers, in order to allow BPO employees more discretion to "make use of their often considerable qualifications." ILO also recommends policies and practices aimed at improving workers' dialog with management.

Philippines' Biggest Call Center - Convergys To Hire Even More Agents




I picked up this article from ABS-CBN on Convergys expanding 5 of its existing stations and opening 3,600 additional jobs.

It's amazing how these guys have expanded. With the construction of an additional 2,300 work stations in 5 sites: University of the Philippines TechnoHub, Nuvali, San Lorenzo, Cebu, and Bacolod, more opportunities are opened for more people.

According to the ABS-CBN article, Convergys country manager Marife Zamora said their operations have been “outstanding," prompting the company's expansion. She also cited increasing demand from the US as one of the reasons for expanding in industries like technology, communications, cable, financial services, health care, and retail.

“Our clients demand more seats, more capacities…With the continuous demand, it is logical for Convergys to expand on these areas,”Jomari Mercado, Convergy's director for business development, told reporters on Friday.

Convergys estimates that it can increase its workforce to around 25,000 and open another workstation in a new area by end of 2010. Currently, Convergys employs 21,000 Filipinos in 12 sites in Metro Manila, Cebu, Bacolod, and Laguna.

The Business Process Outsourcing Association of the Philippines (BPAP) earlier reported that the sunshine industry posted P7.1 billion in revenues during the first quarter of 2010.

BPAP estimates that industry revenues will rise to P9.3 billion by the end of this year, and workforce to 550,000 from the current 475,000.

Sunday, March 15, 2009

Where Should You Work? BPO or Traditional Company? Tips From 10 Years of Experience

Hey just because I have 10 years of experience doesn't mean I'm old. I started working quite young. Blame it on old people who made bad investments. But nevertheless, there's no reason I shouldn't put this to good use.

I've worked in a traditional company and I've worked in a BPO company (business process outsourcing). They are very different industries with very different cultures. Where will you fit in? Here are some tips

  • If you want to move up the corporate ladder quickly, try a BPO company - they are usually more open to that. Why? That's because turn-over is slightly higher in a BPO company - dog eat dog world. That's not to say that turn-over is any less in traditional companies, but you'll probably find a lot more older people (people who have been in the business longer) in traditional companies rather than BPO companies, making it rather difficult to move up the corporate ladder
  • If you want higher pay/ salary right now - you'd probably be better off in a BPO company rather than a traditional company. Why again? That's because BPO companies are used to paying in dollars (and most likely receive their revenue in dollars) so compared to what they make, your salary equals peanuts. Traditional companies are more conservative when it comes to salaries
  • If you want just to work days, then you should stick with a traditional company. The very nature with BPO is the fact that their clientele is outside the country (more often than not the time zone probably differs), so this will require some work hours that are rather uncommon (or unholy, however you want to put it)
  • Depending on the how you would like to dress - a traditional corporation will require you to dress up, while a BPO company is not likely to care
  • Also depending on how good your English speaking skills are, a traditional company will be more forgiving of your twang or your local accent, a BPO company on the other hand will be stricter with regards to your communication skills. If your English is deficient then you probably won't get very high in the corporate ladder in a BPO company
  • If you're interested in stability, these days they say that a traditional company would be the way to go. I think it's not much different. Given the economic situation now. Everybody is having some difficulty - BPO and traditional companies.
One thing I've learned though is that if you work hard and go the extra mile, whatever the pay range... whatever the industry, whatever the company... someone will take notice and all that hard work will pay off.