The Outsourcing Week in Review: Wednesday, August 22, 2018
Welcome to Inside Outsourcing: The Outsourcing Week in Review
Slowly, but steadily, progress is being made on a third telecoms company in the Philippines to help competition and drive improved internet connectivity. According to DICT, there are now 10 bidders, both local and international, that meet the recently announced guidelines. Notwithstanding the shortcomings of local online connectivity, BPO companies continue to report strong performances. Datamatics announced it has posted 34% net profit growth. Industry giant Accenture looks set for nearly US$10 billion in sales in its current fiscal quarter, and Concentrix continues its expansion in the country with the opening of another office in Quezon City. Canon Business Process Services has also been named one of the top 10 fastest growing managed services providers in 2018. With a new report just published by Global Market Insights predicting the global outsourced customer care services market to hit $110bn by 2024, confidence in the future of the industry seems well founded.
It was also an active week for industry deals and partnerships, particularly in the IT segment. Irish IT firm Fexco closed a fintech deal with local player MOBI724 for outsourced payments services. Top BPO ranking service Tholons said it had hired Digital Pilipinas as its Philippine platform. Accenture announced it had invested in an AI startup, Malong Technologies. Finally, Teleperformance’s US$1 billion takeover of India’s Intelenet got approval from the Competition Commission of India.
In an unexpected management move, IT star performer Mike Klaus quit his position as applications services boss of DXC Technology, according to an announcement made by the company CEO. There was also news of an interesting partnership forged in the HR sector. Teleperformance and Lazada signed a rewards program collaboration to provide online shopping incentives for Teleperformance’s staff. For Davao-based male BPO workers with a penchant for volleyball, working for Awesome OS may have also one up a few notches. The company has just dethroned Alorica in the men’s competition in the two-month 2018 Davao Inter-BPO League. Alorica defeated Awesome OS, however, in the women’s finals.
The Ministry of Finance continued its campaign to argue against retaining tax incentives. According to Finance Secretary Carlos Dominguez, supporting foreign BPOs with tax breaks not only penalizes those small local businesses who do have to pay, but also distorts the true competitiveness of such businesses that should make their profits on a level playing field with other businesses. Still, countries and not just companies compete. The announcement by lawmakers in India that it needs a coherent roadmap for its BPO industry to address competition from countries such as the Philippines, is a timely reminder that the Philippines is definitely not the only game in town.
News Roundup
20 August 2018
Competitiveness should not depend on incentives – Finance Secretary – read more…
10 firms interested in being third telco player in the Philippines – DICT –
read more…
Global outsourced customer care services market to hit $110bn by 2024 –
read more…
17 August 2018
Datamatics posts 34% net profit growth – read more…
Awesome OS bags Davao Inter-BPO League men’s volley ball crown – read more…
Accenture likely to post nearly $10bn in sales – read more…
16 August 2018
Fexco bags fintech deal with MOBI724 – read more…
Tholons hires Digital Pilipinas as Philippine platform – read more…
To combat competition from the Philippines, India proposes BPO roadmap –
read more…
15 August 2018
Teleperformance, Lazada sign rewards program deal – read more…
Canon recognized as among top managed services providers in 2018 – read more…
Mike Klaus quits DXC Technology – read more…
14 August 2018
Concentrix opens new center in Philippines- read more…
Intelenet’s takeover by Teleperformance gets watchdog’s nod – read more…
Accenture invests in AI startup Malong Technologies – read more…
