The Philippine became most attractive for offshore-business activities, management consulting firm A.T Kearney bared. But, its Global Services Location Index for the year 2011 avoided citing specific reasons for the drop. In general, the fallout from the financial crisis shook up the rankings as once-expensive countries moved up. The Philippines was at the 7th place in the firm’s 2009 ranking, now held by Thailand which also dropped three rungs. The Philippines ninth place in the current ranking was previously assigned to Jordan, which plunged 13 rungs to 22.
Chicago, Illinois-based A.T. Kearney said that while a sluggish recovery continues to create the kind of pressure for economies that drive business outsourcing, an increasingly complex global economic environment has led o major changes in the ranking of the most attractive offshoring destinations.
China, India and Malaysia stays in the top three spots with the positions that they’ve occupied since the inaugural Global Services Location Index in 2003. The Kearney cited a combination of human resources and low cost as a reason for the consistent ranking. The Vietnam rising two notches at eight place, it has overtaken the Philippines while the Chile dropped to the 10th place, having the dropped also two rungs in the ranking.
The Vietnam was given strong scores in terms of financial attractiveness, people skills and availability and business environment for a total score of 5.69 which is just 0.04 point ahead of the Philippines overall score of 5.65. India was given a total score of 8.17. A.T Kearney gave more weight to financial attractiveness, citing that the financial factors constitute 40% of the total weight in the index because cost advantage is typically the primary behind location decisions. The consulting firm stated financial attractiveness included costs in compensation of employees, rent and other infrastructure-related elements and tax strain and other regulations as well as of corruption.
REFERENCE:
http://tcdn04.abs-cbnnews.com/business/02/06/11/philippines-drops-rank-9-bpo-listing
http://www.allvoices.com/news/8125687/video/72440683-call-com-inc—bpo-philippines
http://www.pinoyexchange.com/forums/showthread.php?t=496123
http://www.zimbio.com/Philippine+News/articles/p6SKRTLwc70/Philippines+BPO+Philippines+drops+rank+9+BPO
http://lposervice.blogspot.com/2011/02/philippines-bpo-philippines-drops-to.html
