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With so many candidates to choose from when building your dedicated offshore team, it's not enough to simply look at their education, skills, and experience. You also need to look into their soft skills — which include communication, conflict resolution, integrity, problem solving, and many more.
This article includes a list of the 15 most important offshore staff soft skills to look for when hiring a new team member.
These same skills are more valued than hard skills by most businesses (92%). According to employers (93%), a candidate’s soft skills can influence their hiring decisions. If you’re looking to grow your business with offshore outsourcing, you need people who bring soft skills to the table — not just hard skills and technical knowledge.
Companies want offshore employees who possess both hard and soft skills. Here are the offshore staff soft skills you should expect from offshore professionals:
This soft skill is not about avoiding an actual conflict in the workplace but resolving one in an efficient manner. Employers want individuals who can handle conflicts diplomatically to breed growth and learning in the office.
One of the most important soft skills that every employer seeks. Basically, this means that deadlines must be met. You must accomplish all your tasks before a deadline on top of other time-based tasks, such as meetings and presentations to clients.
Leadership is arguably the most sought-after soft skill that every company wants. It is the ability to influence, motivate, and lead a team to accomplish the final objective. This skill can be nurtured and trained through experience, but employers really want offshore employees to have this right off the bat.
For employers, it is important that offshore employees learn to recognize their own stress triggers and have effective ways to manage these levels and ultimately avoid stress from negatively affecting their lives and work.
Having this soft skill means that you can interact and share effectively with others. Employees must know when to talk, what to say, how to address other employees, and determine what is the right tone and dialogue to deliver the right message.
This skill involves an employee knowing the importance of building the right culture in a company. By knowing and taking into account what the company culture is, you’ll know how to interact with others with the company in mind.
For customer-facing jobs, this skill is the most important. All employees who regularly interact with customers must have the personality and confidence to present the product (product knowledge is a must, too).
There will always be moments when things go south and an employee can only do two things: complain or act. Employers would always prefer the latter, and so would everyone else in the company.
That’s why you should always prepare yourself and practice thinking under pressure and come up with ideas to solve the problem. This is also a surefire way to learn how to take the initiative.
As they say: teamwork makes the dream work — and it’s very true for all workplaces today. Almost all projects in a company will require some sort of teamwork, with each member having a specific task to do.
With a deadline and checklists, everyone in the team is expected to work together to achieve the objectives. This soft skill includes delivering clear communication, empathy, problem-solving, accountability, and adaptability.
Related to problem-solving skills, emotional intelligence is about discerning and controlling one’s emotions. It’s a skill in which you can observe your own and other people’s feelings and emotions, then use them to take a valid and correct action. Always pause when emotions are running wild. Stay calm and meditate, take the problem head-on with a sound mind.
You have to expect that every company is always changing. When something fails or goes out of hand, managers are going to come up with fresh alternatives to improve the work process. As an offshore employee, you must be ready to experiment and try something new.
Even though some jobs don’t always leave a lot of space for creativity, it is still one of the essentials in the workplace. Being creative means that you’re willing to take risks while everyone else would hesitate. However, it also means that you’ll be the one who’s more likely to unlock new and meaningful results.
This is a vital soft skill for the sales side of the company as well as for employees who are going to present and pitch decks to their clients. Having this skill means that you can persuade and even defend a case. You should be able to negotiate well with clients, suppliers, seniors, and competitors.
This ability works hand-in-hand with negotiation. For marketers and salespeople, they need to persuade customers to purchase their product or use their company’s service. As for everyone, an employee is expected to make their case when presenting an idea, present compelling evidence, and ultimately persuade the person on the receiving end to say yes.
Professionalism includes an employee’s personal etiquette, attitude, courtesy, dressing, and work ethic. Employers love it when someone can observe established workplace norms and quickly adapt to them. Of course, respect and courtesy are expected from every employee, so you should strive to dress and act the part even during the selection process.
Building your own dedicated offshore team is a rewarding experience — but only if you choose the right people. Below are four tips for hiring an offshore team member that meets your standards:
A job description can attract the right candidates — or the wrong ones. A clear job description also enables the offshore staffing company to source and match you with the right candidates.
Here are the things to keep in mind when creating a job posting:
The interview is the most important part of the screening process. While face-to-face interviews have their merits, don’t let distance and time zone differences hinder you from conducting high-quality interviews:
Here are general and behavioral interview questions you can ask a potential offshore employee:
While candidates tend to put their best foot forward during the interview (not to mention that their resumes only tell a part of the story), this is also a great opportunity to detect red flags and weed out ill-fit candidates from your team. Below are some red flags to look out for:
Stellar resume? Check.
Great answers to interview questions? Check.
High-quality portfolio? Check.
Despite these, though, you may still be a little reluctant to hire that candidate. The solution? A test task — designed to assess an applicant’s knowledge, skill level, and ability to follow instructions and briefs and meet deadlines.
By giving a test task, you can predict an applicant’s future job performance based on the quality of the accomplished task and gauge whether the applicant is the right fit.
The hiring landscape is abundant in talent, but finding people who are the right fit for your organization has its own set of challenges.
At KDCI Outsourcing, we specialize in finding the right people when building your offshore team in any field, whether it’s accounting and finance, content creation, human resources, marketing, or software development.
With our large database of talent, we are more than capable of finding people who have the skills, experience, and soft skills you're looking for.
Learn more about KDCI's tailored offshore outsourcing solutions. Contact us today!
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The beauty of globalization lies in the proliferation of outsourcing services. As of 2025, the outsourcing industry has an immense market value of $854.637 billion USD, and by 2030, it will skyrocket to $1.11 trillion USD.
Offshore outsourcing is one of the most popular outsourcing models among businesses. With this model, clients offload functions to a country thousands of kilometers away from their home countries. An example of offshore outsourcing is when a US-based business delegates its finance department to a business process outsourcing (BPO) company in the Philippines.
Unlike nearshore outsourcing and onshore outsourcing, offshore outsourcing is the best model for maximizing cost savings. As companies aim to innovate their systems and optimize expenses without sacrificing productivity and quality, they are partnering with offshore outsourcing companies to achieve these goals.
If you already know which business departments to outsource, now’s the time to look for an offshore provider. Check out our round-up of the best offshore outsourcing companies in the Philippines:
Headquartered in Pasig City, KDCI Outsourcing is a reputable outsourcing company that has been providing offshore staffing solutions for businesses since 2011. It is one of the best BPO companies for enterprises and SMEs.
This offshore outsourcing company is versatile, specializing in multiple outsourcing services, such as administrative support, customer service, graphic design, human resources, and many more. Whether your goal is to optimize hiring costs or enhance user experience, KDCI Outsourcing creates tailored solutions according to your business needs and complexities.
TaskUs is an award-winning digital transformation services provider with more than 50,000 employees across 13 countries. It offers offshore outsourcing services in AI, customer experience, financial crime and compliance, trust and safety, and sales in various industries, including healthcare and logistics.
Powered by high-caliber experts and innovative technology solutions, this top offshore outsourcing company helps businesses achieve growth and a positive outsourcing ROI without enterprise-level costs.
Concentrix is an outsourcing company trusted by 2,000 clients worldwide. Though renowned for its expertise in outsourced customer support, it also excels in data and analytics, enterprise technology, finance and compliance, marketing, and sales.
With its expertise in AI solutions, Concentrix stands out as one of the best artificial intelligence companies for businesses looking to access AI-proficient experts, accelerate innovation, and future-proof their operations.
Outsourced is an offshore outsourcing company with ISO certifications, namely ISO 9001:2015 and ISO 27001:2013. It helps clients build high-powered offshore teams composed of cream-of-the-crop talents from the Philippines.
Since 2012, the firm has consistently delivered exceptional outsourcing services, exceeding clients’ expectations without fail. Companies that set high standards for themselves and their future outsourced employees will work best with Outsourced.
Previously named The Outsourced Accountant, TOA Global is an offshore outsourcing company offering a diverse suite of finance and accounting services. These include accounts payable and receivable, auditing, bookkeeping, financial planning, and payroll.
Businesses looking to streamline their finance operations or augment their accounting department make TOA Global a great offshore outsourcing partner.
Telus Digital is a digital solutions company operating in 31 countries, including the Philippines. It offers world-class AI, CX (customer experience) management, data, IT, and trust and safety solutions to businesses in a wide range of industries.
With technology as its backbone, Telus Digital positions itself as a forward-thinking outsourcing partner that helps clients stay ahead of the innovation game.
CGI Philippines is a leading IT and business consulting company dubbed by Time and Forbes as the “World’s Best Companies” and “World’s Best Management Consulting Firms,” respectively. Its suite of end-to-end services includes business consulting, managed IT, systems integration, and business processing.
By staying ahead of technology trends, CGI Philippines drives innovation and transforms businesses into industry powerhouses.
Opti BPO is an offshore outsourcing company consisting of experts who deliver high-quality accounting, customer service, IT support, marketing, and many other offshore outsourcing services.
This offshore outsourcing service provider gradually increases your headcount, making sure that processes are continuously refined to support scalability and growth with minimal financial risk. Opti BPO is a great pick for clients who value the seamless onboarding of offshore employees.
Amped HQ is an outsourcing company powered by elite professionals specializing in accounting and bookkeeping, virtual assistance, customer service, graphic design, digital marketing, web development, and many more.
Promising top-tier productivity, this offshore outsourcing service provider ensures that clients can fast-track their goals and accelerate operational efficiency from day one.
Based in Clark Freeport Zone, Pampanga, Boomering Inc. is an offshore outsourcing company that has worked with businesses from Australia, New Zealand, North America, and the UK. It boasts industry experts in the fields of architecture, accounting, bookkeeping, business support, engineering, marketing, and IT.
With these offerings, Boomering Inc. is an excellent offshore outsourcing partner for clients in and outside STEM fields.
Offshore outsourcing may be thriving, but it’s not for every business. You’ll know if it’s right for you if:
If you tick all these boxes, then congratulations! You can now officially kick off your offshore outsourcing journey.
At KDCI Outsourcing, we empower your business for success by helping you build a dedicated offshore team of professionals. We deliver not just higher metrics, but also long-term value through unmatched innovation and efficiency.
Our commitment to mutual trust and respect has resulted in brands engaging with our services for the long haul.
Whether you need offshore software development, property management, or any service, KDCI Outsourcing is here to save the day.
Want to get started? Contact us and book a meeting with our outsourcing experts!
In today’s interconnected global business landscape, organizations often face the decision of whether to outsource their call center operations to the Philippines. With its renowned reputation as a leading outsourcing destination, the Philippines offers a wealth of advantages that can transform customer service operations.
Dubbed as the “Call Center Capital of the World,” the Philippines is now home to over 1.72 million direct jobs created through call center outsourcing and a number of competent (and competitive) call centers nationwide. With outsourced call center providers who invest in both the training of customer support agents and the adoption of advanced systems to improve customer service delivery, it’s no wonder the Philippine call center industry is continuously booming.
So, if you’ve opened this page because you’re planning to delegate your customer service function to an offshore call center, you’ve come to the right place. In this article, we’ll be discussing the role that call centers play in businesses — helping you assess whether this is an ideal option for your business.
However, as with any strategic decision, there are also potential drawbacks that require careful consideration. To give you valuable insights about the strategy, let’s delve into the role of a call center in your business, as well as the pros and cons of outsourcing your call center to the Philippines in the following sections.
Any business, no matter its size and the industry it’s in, won’t survive without a well-performing call center team. As an effective extension of your team that handles all things customer support, from questions about deliveries, queries about their orders, or product support guidance, call center agents are trained to communicate and connect with your audience — so you don’t have to. Here are the main roles and responsibilities typical outsourced to a call center.
A call center serves as the primary point of contact for customers, addressing their inquiries and providing assistance. Whether it's answering product questions or resolving issues, the call center plays a crucial role in ensuring prompt and accurate responses to customer queries. Imagine all the questions every single customer has in their mind; a call center effectively takes all these off your hands (and mind!)
Call centers are crucial in delivering exceptional customer service experiences. Given the popularity and growth of the Philippine BPO & call center industry, most providers have effective systems in place to ensure high customer service quality. By employing skilled agents trained in effective communication and problem-solving, call centers can enhance customer satisfaction and loyalty, positively impacting the overall reputation of your business.
Call centers often handle order processing and transactional activities. This includes assisting customers with purchases, managing payments, and updating order details. The call center department ensures a seamless and efficient process, contributing to smooth business operations and customer satisfaction.
In today's digital age, call centers extend beyond telephone support. They are equipped to handle various customer communication channels such as email, live chat, and social media platforms. This versatility enables businesses to engage with customers across multiple platforms, meeting their preferences and enhancing overall accessibility. With customer support outsourcing, you’ll be able to connect with your customers when they need you, where they need you.
Call centers play a crucial role in building and nurturing customer relationships. By providing personalized interactions, addressing concerns, and actively listening to customer feedback, call center agents contribute to fostering long-term connections and customer loyalty. This relationship-building aspect is essential for sustainable business growth. In essence, investing in a good call center means investing in excellent customer service.
Compared to managing an in-house call center team, outsourcing your call center to the Philippines poses a lot more benefits, if done correctly. The key being finding the right call center that matches your business’ needs, as well as your customers’ expectations. Let’s take a look at some of the pros below. Here are 8 key benefits of getting outsourced customer service from a trusted BPO call center in the Philippines:
Filipino call center agents are known for their adaptability and ability to connect with customers on a personal level. They are well-versed in Western culture, familiar with common practices, and attuned to cultural nuances. This cultural alignment allows them to quickly establish rapport and build trust with customers, creating a positive customer experience from the very first interaction.
Understanding the cultural context and nuances is crucial in providing exceptional customer service. Agents who share a cultural affinity with customers can easily grasp their expectations, anticipate their needs, and empathize with their concerns. Having been in the industry for years, cultural alignment is already integrated to every customer service operation in the Philippines.
As one of the country’s national languages, English is widely spoken and taught in the Philippines, starting from an early age through the educational system. This focus on English language proficiency ensures that Filipino call center agents possess excellent language skills both in terms of spoken and written communication.
By outsourcing your call center to the Philippines, you tap into a talent pool of English-speaking agents who can effortlessly understand customer inquiries, provide accurate information, and address concerns effectively. This linguistic advantage also helps create a smooth customer experience and minimizes the frustrations that can arise from communication barriers.
One of the primary advantages of outsourcing to the Philippines is the favorable cost structure. The cost of living in the Philippines is lower compared to many Western countries, resulting in lower labor costs. This cost differential enables businesses to allocate their budget more efficiently and achieve significant savings without compromising on the quality of customer service.
When you outsource your call center to the Philippines, you can benefit from a highly skilled workforce at a fraction of the cost. Filipino call center agents offer competitive salaries in comparison to their counterparts in other countries, making the Philippines an attractive option for cost-conscious businesses looking to establish a reliable contact center.
The Philippines is home to a vast pool of talented individuals who are known for their exceptional skills in customer service, chat support services, technical support, and other types of customer interaction. When businesses outsource their call center operations to the Philippines, they gain access to this abundant talent pool, allowing them to benefit from the expertise and professionalism of highly skilled call center agents.
Moreover, Filipino call center agents undergo comprehensive training programs that further enhance their customer service skills. They receive instruction in effective communication, problem-solving, conflict resolution, and empathy. This training enables them to handle customer inquiries with professionalism and efficiency, ensuring that customer needs are met in a timely and satisfactory manner.
Another significant pro of outsourcing your call center to the Philippines (or any other offshore outsourcing partner, for that matter) is the ability to extend customer service availability beyond regular working hours. As businesses in other parts of the world close for the day, virtual call center agents in the Philippines are ready to take over and cater to the needs of customers in different time zones.
The round-the-clock availability of call center support brings several advantages like enhanced customer convenience. Customers no longer have to wait until the next business day to seek assistance or resolve issues. Whether they encounter a problem in the early morning or late at night, there will always be a knowledgeable and helpful call center agent in the Philippines ready to assist them.
Scalability is crucial for businesses as customer service demands can vary significantly over time. During peak periods, such as holiday seasons or promotional events, there is typically a surge in customer inquiries and support requests — this is when outsourced call centers come in handy . On the other hand, there may be periods of lower activity when the call volume decreases.
By outsourcing your call center to the Philippines, businesses can seamlessly scale their call center operations up or down to match these fluctuations in demand. During busy seasons, businesses can quickly ramp up their outsourced call center team in the Philippines. With access to a large pool of skilled agents, businesses can swiftly onboard and train additional personnel to handle the increased call volume.
When businesses delegate their call center operations to outsourcing companies in the Philippines, they can benefit from these technological advancements and reap the rewards of a technologically advanced and efficient call center environment.
Outsourcing providers in the country prioritize investing in robust and state-of-the-art communication technologies, including Voice over Internet Protocol (VoIP) systems, cloud-based call center solutions, and integrated customer relationship management (CRM) platforms. These systems are designed to facilitate seamless interactions between call center agents and customers, ensuring clear and reliable customer communication channels.
Outsourcing call center services to the Philippines presents a strategic opportunity for your business to streamline operations and focus on its core competencies. With this strategy, you can effectively redirect internal resources, time, and energy toward strategic initiatives, product development, and overall business growth.
Managing an in-house call center can be resource-intensive, requiring significant investments in infrastructure, technology, recruitment, training, and ongoing management. By outsourcing these functions, you can offload the operational burden and leverage the expertise and resources of established call center providers in the Philippines.
As beneficial as it is, outsourcing your call center needs to the Philippines can also come with a number of drawbacks. Below are some of the major cons that you need to be aware of, as well as some of the ways you can manage or mitigate these risks by working with the right call center outsourcing company.
When businesses outsource their call center to the Philippines or any other location, they inevitably give up a certain level of control over the operations, processes, and policies followed by the outsourcing provider. This can be seen as a potential disadvantage or challenge, as businesses may prefer to have direct control and oversight over all aspects of their customer service operations.
How to turn this con around? Despite the potential challenges of relinquishing control, successful outsourcing partnerships involve establishing clear communication channels, setting expectations, and maintaining an open dialogue with the outsourcing provider. Regular performance evaluations and ongoing collaboration help bridge the gap and ensure that the outsourced call center aligns with the business's objectives and customer-centric approach.
Setting up an outsourced call center in the Philippines requires businesses to make upfront investments in various areas to establish a strong foundation for a successful operation. One critical area that requires investment in technology infrastructure.
Businesses need to ensure they have the necessary hardware and software in place to support their call center operations effectively. This includes investing in computer systems, telephony systems, headsets, and network equipment to facilitate smooth communication and data management. Additionally, businesses may need to invest in customer relationship management (CRM) software and other specialized tools to streamline call handling, track customer interactions, and gather valuable insights for analysis and improvement.
If you think about it, however, these initial set-up costs only strengthen your call centers and empower you to yield more ROI in the long run.
When outsourcing call center operations to the Philippines, businesses may encounter various transition and onboarding challenges. These challenges can arise due to factors such as geographical distance, cultural differences, and the need for effective knowledge transfer.
One notable challenge is the need for effective knowledge transfer. The business must provide comprehensive documentation, training materials, and resources to ensure that the outsourced team in the Philippines has a thorough understanding of the business's products, services, and customer service protocols. This includes sharing information about the business's target audience, customer data, customer preferences, and specific industry nuances.
Still, with the right outsourcing provider, the challenges are addressed upfront and you get more guidance during the transition process.
While Filipino call center agents are generally proficient in English, occasional communication challenges can still arise when handling inbound and outbound calls due to various factors such as accents, clarity of speech, and subtle cultural differences. These challenges, albeit minor, may require additional efforts to bridge the communication gap and ensure effective customer interactions.
Accents can vary among call center agents in the Philippines, as they may come from different regions with distinct linguistic nuances. Customers who are not accustomed to certain accents may find it slightly more difficult to understand the agents at times. However, it's important to note that the Filipino workforce has been trained extensively to minimize accent-related communication barriers, and their fluency in English generally allows for effective communication.
When outsourcing a call center to the Philippines, businesses must navigate and adhere to different legal and regulatory frameworks that exist in both their home country and the Philippines. This can pose compliance challenges and may require additional resources to ensure that all legal obligations are met.
Each country has its own set of laws and regulations governing various aspects of customer service, data protection, privacy, and labor practices. To address this, businesses must familiarize themselves with these legal requirements and ensure that their outsourcing arrangements align with both local and international regulations.
This lack of industry-specific knowledge can create hurdles in effectively addressing customer inquiries, providing accurate information, and delivering tailored solutions. Customers may have complex questions that require a deep understanding of the industry, product features, or specific processes.
Without the necessary expertise, outsourced agents may struggle to provide satisfactory responses, leading to customer frustration or dissatisfaction. To mitigate this challenge, businesses need to invest in comprehensive training programs for their offshore call center agents.
Customers may feel more comfortable interacting with agents who are based in the same country or who they perceive to have a better understanding of their cultural nuances and preferences. The idea of speaking to someone from a different country, especially one known for outsourcing, may lead to doubts about the agent's ability to address their concerns effectively or provide a satisfactory resolution.
Such reservations can erode customer trust and potentially impact brand loyalty. Customers may hesitate to engage with outsourced agents or choose to discontinue their relationship with a company if they feel that their customer service experience is not aligned with their expectations or values. The growing popularity of outsourcing various business services today makes this less of an issue than it used to be, but it’s still something that businesses outsourcing call centers have to prepare for.
Outsourcing providers typically follow standardized processes and workflows that are designed to cater to a wide range of clients and industries. While this approach offers efficiency and cost-effectiveness, it can pose challenges when businesses require a higher degree of customization that differ from the standard practices followed by the outsourcing provider.
Customization is crucial in customer service as it allows businesses to align their operations with their brand identity, values, and customer expectations. However, with outsourcing, there may be limitations in tailoring processes, scripts, or service delivery approaches to reflect the unique aspects of a business. This can result in a one-size-fits-all approach that may not fully address specific customer needs. You can, however, ask about specific engagement models and find an outsourcing solution that fits your business best.
With all these pros and cons of call center outsourcing considered, there are ways to make sure that this solution works to your advantage. To guide you, we have compiled some of the industry practices in call center outsourcing.
The decision to outsource your call center to the Philippines or any other location ultimately depends on various factors specific to your business and customer service needs. It is essential to carefully evaluate the pros and cons discussed earlier to determine if outsourcing aligns with your objectives and requirements.
Outsourcing to the Philippines can be a viable option if you seek cost savings, access to a skilled English-speaking workforce, cultural affinity with Western countries, round-the-clock customer support, scalability, and technological advancements in customer service operations. This strategy is particularly beneficial for businesses looking to focus on their core competencies, enhance customer experiences, and leverage the expertise of outsourcing providers.
However, it is important to consider the potential challenges involved in outsourcing, such as occasional communication barriers, legal and compliance complexities, training requirements, possible customer perception issues, limited customization options, and the need to manage the outsourcing provider effectively. Businesses that require direct control over operations, have highly specialized industry requirements or prioritize maintaining a close connection with customers may find outsourcing to be less suitable for their needs.
Ultimately, the decision should be based on a thorough analysis of your business goals, customer expectations, available resources, and risk tolerance. It’s best to conduct a cost-benefit analysis, consider alternative options like in-house call centers or local outsourcing, and carefully evaluate the capabilities and reputation of potential outsourcing providers in the Philippines.
Once you decide to outsource your call center needs to the Philippines, you’re already making a business investment. So, it only makes sense that you take all the time you need in choosing the right call center outsourcing company that can cater to your needs.
At KDCI, we offer various packages of customer support services so you can get the right coverage for your business needs. Our customer service team is composed of Ecommerce specialists that can efficiently provide omnichannel support, including live chat, email, and voice channels in your preferred time zone. We even assign you a dedicated account manager to ensure the quality of service is always up to your standards.
Partner with KDCI today and experience the benefits of outsourcing your call center to the Philippines. Get in touch with us now to get started!
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Human resource functions have been tied to the operations of businesses since time immemorial — after all, people serve as the foundation of every business, regardless of the industry or the size of the organization.
With workplaces (and human resource functions) becoming far more complex, with constantly changing labor regulations, challenges in the labor market, rising employee expectations, and the constant need to retain staff, the role of human resources in businesses today has grown beyond its traditional administrative nature.
Over the years, as businesses evolve, approaches to HR have evolved, too.
Among the changes on this front is the rise of human resources outsourcing (also dubbed HRO, HR outsourcing, outsourced HR, outsourced human resources, and other similar terms you’ve probably heard of by now). As a fast-growing industry with a current market value of almost $40 billion, human resources outsourcing is among the most popular services provided by offshoring and outsourcing companies, particularly those based in the Philippines.
When you consider the costs and efficiency that outsourced HR services bring to businesses, it’s almost too easy to think of it as an advantageous option that businesses all over the world can adopt. But it’s business — and in business, you want to make sure that every investment you make is worth every dime.
So, in this article, we’ll provide business owners like you with a guide to Human Resources Outsourcing Services: everything you need to know about the industry from its benefits to the common misconceptions about its nature. From there, we’ll help you as you decide whether HR outsourcing is the best choice for your business, today and long into the future.
Keep reading.
In essence, Human Resources Outsourcing is the business practice of delegating some (or even all) of your organization’s HR functions to a third-party provider. That said, outsourcing HR functions can be done with inshore companies (those also based in the US) or with an HR outsourcing provider offshore, like those based in the Philippines.
Instead of handling every HR process in-house, this option allows your business to partner with the top HR Outsourcing companies in the Philippines that bring specialized expertise, and, as an added (but equally considered) benefit, at a fraction of the costs you would have to pay if you hire an in-house HR expert.
Full-service HR outsourcing is when you work with an external provider (also known as human resources outsourcing companies) who will manage EVERYTHING from payroll to recruitment to employee engagement.
You may, however, also opt for:
This option allows you to outsource specific HR staffing solutions or functions that will augment your current HR team, such as payroll processing, benefits administration, or compliance administration. This is a good option for when you already have an in-house HR professional, but you want to get some of the tedious tasks off their plate.
There are HR outsourcing providers in the Philippines who offer some or all of these functions, it’s just a matter of choosing (1) the right provider and (2) the right engagement model that will work best for your business.
Now that we’ve covered what HR Outsourcing is, it’s also important to discuss what it’s not. Despite growing popularity, HR outsourcing is often misunderstood. Many business owners hesitate to explore it due to myths and hearsay about the nature of this service.
One of the biggest fears business owners have is that outsourcing HR functions will strip them of control. In truth, using HR outsourcing services does not mean relinquishing authority at all. It simply means delegating administrative and compliance-heavy tasks to a specialized partner. As a business owner, you still set the overall HR strategy, company policies, and cultural direction. The HR outsourcing provider’s role is to execute tasks efficiently and in compliance with the relevant employment law, freeing you up to focus on high-value tasks.
While large corporations were the early adopters of HR outsourcing, SMEs stand to benefit just as much, if not more. Small and medium-sized businesses often lack the in-house expertise or budget to build a full HR department. By outsourcing, they gain access to specialized HR professionals, advanced HR technology, and compliance knowledge without the overhead of full-time salaries. IIn fact, for growing businesses, outsourcing human resource services to the Philippines can be a cost-effective way to compete with larger firms when it comes to employee benefits, payroll efficiency, and overall people management.
Some employers worry that outsourcing HR will create distance between employees and the company. In reality, employees often appreciate the improvements outsourcing brings. With faster payroll processing, streamlined benefits administration, and more responsive HR support, employees typically feel more satisfied and secure. Outsourced HR providers also often bring modern self-service portals, allowing employees to access payslips, request leaves, or update records conveniently. If anything, outsourcing HR functions boosts employee satisfaction and experience.
In the end, it’s all about maximizing the benefits that HR outsourcing providers offer. Speaking of which — we now move on to the benefits of outsourcing your HR functions.
In a fast-paced market where your people are your greatest assets, you need a strong team to manage said assets and ensure that they are at their best (because that’s how businesses thrive). Here are the reasons why more and more companies are now opting to outsource their HR department:
With an HR outsourcing service, the need, and subsequently, the associated costs of hiring, training, and maintaining a large, in-house HR department are eliminated. With a solution like this, business owners only pay for the services they need, reducing overhead costs, while maintaining the quality of HR expertise.
HR outsourcing companies in the Philippines employ specialists in people management, compensation and compliance strategies, benefits administration, and workforce management. compensation and compliance strategies, benefits administration, and workforce management. compensation and compliance strategies, benefits administration, and workforce management. With talent from global pools, your business gets a level of expertise that will not be available to you otherwise.
Often, outsourced professional employer organizations utilize human resource information systems (HRIS), applicant tracking systems, and payroll software. When you outsource HR functions, you get to leverage this advanced technology as well, streamlining your HR administration and providing your team with valuable workforce insights.
Businesses are as agile (and sometimes unpredictable) as they are competitive. So, if you are looking for an HR solution that can match your unique business’ needs, HRO is an ideal option. You can use outsourced HR services to onboard seasonal hires and then scale back afterwards, without worrying too much about the costs and implications of hiring (and then firing) internal HR staff.
Business leaders (usually the ones running a small business) tend to spend too much time managing HR-related tasks instead of focusing on growth-focused initiatives. By outsourcing, business leaders can concentrate on their core competencies and delegate the complexities of workforce management to reliable HR specialists.
Of course, while HR outsourcing offers many benefits, it’s not without challenges.
Let’s discuss some of the potential issues that business owners need to be mindful of when choosing to outsource an HR department or specific HR functions. Bear in mind, however, that the best HR outsourcing services providers already have systems in place to address these concerns.
Outsourcing HR requires sharing sensitive employee information including, but not limited to, salary details, tax records, and personal identification data. If not handled properly, a breach could expose employees to identity theft, fraud, or data misuse, while damaging the company’s reputation. To mitigate this, businesses should partner with providers that have robust cybersecurity practices, including encrypted systems, multi-factor authentication, secure cloud platforms, and compliance with international HR standards.
In managing people, culture is quite an essential aspect. If the outsourcing provider does not understand or align with the organization’s values, miscommunication and employee disengagement can occur. For example, how a provider handles performance evaluations or employee conflict resolution may not match the company’s preferred style. The key here is to establish regular communication, clear guidelines, and alignment meetings to ensure the provider reflects your company’s unique culture.
Not all HR outsourcing contracts are straightforward. Some providers may charge extra fees for services like urgent recruitment, advanced training programs, or integration with new HR systems. Without careful review, businesses may find themselves paying more than expected. To prevent this, companies should negotiate contracts carefully, request full pricing transparency, and clarify what is included in the base package before signing an agreement.
If you still have these concerns and are not sure whether HR Outsourcing is right for your business, that’s totally understandable. After all, this is a rather big move as it concerns both your financial and human resources.
To help out, here’s something that can help you out as you explore how to outsource HR services and decide whether it’s right for your business. Before working with an HR outsourcing firm, consider these:
By asking these 10 questions, you’ll move past marketing claims and see whether an HR outsourcing provider can truly deliver the human resources outsourcing services that you need and match the overall, long-term goals of your business.
Ask KDCI these questions today — we’re happy to discuss your HR outsourcing needs.
At KDCI, we specialize in finding HR experts who have the skills and experience you need, as well as the attitude and cultural fit that will allow them to easily integrate with your in-house team. Whether you’re looking to hire one full-time offshore HR generalist, a couple of payroll specialists, or looking to build a dedicated offshore HR department in the Philippines, KDCI has the right tailored outsourcing solution and engagement model for you.
KDCI has options specifically made to support your business’ day-to-day operations and overall growth in the long run. Contact us today to learn more about HR outsourcing and how it can support your growing business.
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The beauty of globalization lies in the proliferation of offshore outsourcing services. As of 2025, the outsourcing industry has an immense market value of $854.637 billion USD, and by 2030, it will skyrocket to $1.11 trillion USD.
Offshore outsourcing is one of the most popular outsourcing models among businesses. With this model, clients offload functions to a country thousands of kilometers away from their home countries. An example of offshore outsourcing is when a US-based business delegates its finance department to a business process outsourcing (BPO) company in the Philippines.
Unlike nearshore outsourcing and onshore outsourcing, offshore outsourcing is the best model for maximizing cost savings. As companies aim to innovate their systems and optimize expenses without sacrificing productivity and quality, they are partnering with offshore outsourcing companies to achieve these goals.
If you already know which business departments to outsource, now’s the time to look for an offshore provider (or providers if you’re also thinking of multisourcing).. Check out our round-up of the best offshore outsourcing companies in the Philippines:
Headquartered in Pasig City, KDCI Outsourcing is a reputable outsourcing company that has been providing offshore staffing solutions for businesses since 2011. It is one of the best BPO companies for enterprises and SMEs.
This offshore outsourcing company is versatile, specializing in multiple outsourcing services, such as administrative support, customer service, graphic design, human resources, legal process outsourcing (LPO), and many more. Whether your goal is to optimize hiring costs or enhance user experience, KDCI Outsourcing creates tailored solutions according to your business needs and complexities.
TaskUs is an award-winning digital transformation services provider with more than 50,000 employees across 13 countries. It offers offshore outsourcing services in AI, customer experience, financial crime and compliance, trust and safety, and sales in various industries, including healthcare and logistics.
Powered by high-caliber experts and innovative technology solutions, this top offshore outsourcing company helps businesses achieve growth and a positive outsourcing ROI without enterprise-level costs.
Concentrix is an outsourcing company trusted by 2,000 clients worldwide. Though renowned for its expertise in outsourced customer support, it also excels in data and analytics, enterprise technology, finance and compliance, marketing, and sales.
With its expertise in AI solutions, Concentrix stands out as one of the best artificial intelligence companies for businesses looking to access AI-proficient experts, accelerate innovation, and future-proof their operations.
Outsourced is an offshore outsourcing company with ISO certifications, namely ISO 9001:2015 and ISO 27001:2013. It helps clients build high-powered offshore teams composed of cream-of-the-crop talents from the Philippines.
Since 2012, the firm has consistently delivered exceptional outsourcing services, exceeding clients’ expectations without fail. Companies that set high standards for themselves and their future outsourced employees will work best with Outsourced.
Previously named The Outsourced Accountant, TOA Global is an offshore outsourcing company offering a diverse suite of finance and accounting services. These include accounts payable and receivable, auditing, bookkeeping, financial planning, and payroll.
Businesses looking to streamline their finance operations or augment their accounting department make TOA Global a great offshore outsourcing partner.
Telus Digital is a digital solutions company operating in 31 countries, including the Philippines. It offers world-class AI, CX (customer experience) management, data, IT, and trust and safety solutions to businesses in a wide range of industries.
With technology as its backbone, Telus Digital positions itself as a forward-thinking outsourcing partner that helps clients stay ahead of the innovation game.
CGI Philippines is a leading IT and business consulting company dubbed by Time and Forbes as the “World’s Best Companies” and “World’s Best Management Consulting Firms,” respectively. Its suite of end-to-end services includes business consulting, managed IT, systems integration, and business processing.
By staying ahead of technology trends, CGI Philippines drives innovation and transforms businesses into industry powerhouses.
Opti BPO is an offshore outsourcing company consisting of experts who deliver high-quality accounting, customer service, IT support, marketing, and many other offshore outsourcing services.
This offshore outsourcing service provider gradually increases your headcount, making sure that processes are continuously refined to support scalability and growth with minimal financial risk. Opti BPO is a great pick for clients who value the seamless onboarding of offshore employees.
Amped HQ is an outsourcing company powered by elite professionals specializing in accounting and bookkeeping, virtual assistance, customer service, graphic design, digital marketing, web development, and many more.
Promising top-tier productivity, this offshore outsourcing service provider ensures that clients can fast-track their goals and accelerate operational efficiency from day one.
Based in Clark Freeport Zone, Pampanga, Boomering Inc. is an offshore outsourcing company that has worked with businesses from Australia, New Zealand, North America, and the UK. It boasts industry experts in the fields of architecture, accounting, bookkeeping, business support, engineering, marketing, and IT.
With these offerings, Boomering Inc. is an excellent offshore outsourcing partner for clients in and outside STEM fields.
Offshore outsourcing may be thriving, but it’s not for every business. You’ll know if it’s right for you if:
If you tick all these boxes, then congratulations! You can now officially kick off your offshore outsourcing journey and enjoy the benefits of offshore staffing.
At KDCI Outsourcing, we empower your business for success by helping you build a dedicated offshore team of professionals. We deliver not just higher metrics, but also long-term value through unmatched innovation and efficiency.
Our commitment to mutual trust and respect has resulted in brands engaging with our services for the long haul.
Whether you need offshore software development, property management, or any service, KDCI Outsourcing is here to save the day.
Want to get started? Contact us and book a meeting with our outsourcing experts!
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The world — especially that of businesses’ — runs and thrives on numbers, and not just any numbers at that. To ensure success in a competitive business world, the numbers in question have to be accurate and compliant. That’s what financial auditing is for.
Given the importance of financial auditing as a core business function, businesses worldwide have been constantly looking for ways to both meet compliance requirements and use it as a competitive advantage in the market. So, for US companies, especially those expanding to conquer global markets and managing complex overseas operations, outsourcing financial auditing has become one of the rising options in the past couple of years.
To shed more light on the popularity of this option (and help you assess whether this is a match for your business), we’ll cover the basics of outsourcing financial auditing and list the top 10 Philippine financial auditing agencies that you can choose from.
Ready? Let’s get started.
Before we cover all the specifics, let us first work on an operating definition of the terminologies, starting off with financial auditing itself.
In essence, this involves a systematic review of your business’ financial statements, records, and transactions to ensure that they are compliant with the relevant standards. The primary purpose of financial audits is to provide stakeholders including, but not limited to investors, regulators, and executives, with assurance that the financial information presented to them truly reflects the financial health of the business.
Seeing how crucial audits are to secure the financial health and credibility of each business, most US businesses turn to offshore outsourcing partners in the Philippines to find in-house and independent auditors from financial auditing agencies to review their financial statements.
The Philippines has emerged as one of the top destinations for financial auditing and accounting outsourcing over the past couple of years, and for good reason. With a pool of certified auditors and public accountants, English proficiency, cost efficiency, and alignment with US accounting standards, the country is now home to global firms and niche providers that cater to American businesses.
Before diving into the list, let’s understand why the Philippines is such a strong player in the field of financial audit outsourcing; here are the key reasons why Philippine financial auditing agencies are preferred by US companies:
Given the fact that audits are a non-negotiable aspect of business operations, it’s no surprise that businesses are looking for more cost-effective options that meet global accounting and auditing standards.
That said, it’s always worth considering that the cost of hiring a certified public accountant (CPA) or auditor in the US is significantly higher than in the Philippines. For example, a US auditor, depending on their experience level, may cost around $70,000 to $120,000 annually, excluding benefits. In the Philippines, equally skilled auditors may cost up to 60% less, giving your business valuable savings, without sacrificing the quality of the audit.
The Philippines produces thousands of accounting and finance graduates every year. Most of these professionals are certified under international standards, with deep familiarity with US GAAP and IFRS, ensuring compliance with US reporting requirements.
By working with auditors from the Philippines, you’ll be able to tap into a large pool of global talent who are well-versed in financial audits, assurance services, and even risk management.
With one of the highest English proficiency levels in Asia, Filipino auditors can communicate seamlessly with US clients. While financial audits are mostly a game of numbers and meeting regulatory requirements, it’s also important to ensure that you are working with professionals who can effectively make sense of your financial information.
In addition to the language match, business processes and corporate culture are also strongly influenced by the West, reducing communication and cultural barriers.
Audits and compliance reports are typically time-sensitive and bound by deadlines. This is where getting an auditor from an offshore accounting firm becomes yet another advantage for your business.
Operating in a different time zone, Philippine auditing firms can provide round-the-clock support. This means US companies can receive updated reports, findings, or progress overnight — effectively speeding up the audit process.
Depending on the business needs, the governmental auditing standards, and the request of stakeholders, financial auditing functions usually vary from time to time.
Outsourcing allows US businesses to scale their auditing functions based on need. Whether single audit services, project-based reviews, or full-scale compliance audits, Philippine providers offer flexibility that in-house teams cannot.
There are far more benefits to outsourced financial audits that we can list here, but these are just some of the key reasons why the top 10 financial auditing agencies that we will list below are preferred by US companies (be it agile startups preparing compliance requirements or multi-national corporations organizing audits to maintain their business’ credibility.
KDCI Outsourcing is a trusted Philippine-based outsourcing company that provides superior finance and accounting services tailored for US businesses. From financial audits by professional audit associates, as well as bookkeeping, compliance support and audit assurance services, KDCI helps companies stay accurate and compliant without the overhead of building large in-house teams.
What sets KDCI apart is its client-first approach, combining global standards, flexible engagement models, and deep expertise in US regulatory frameworks. For firms looking for a partner that blends quality, cost-effectivity, and cultural alignment, KDCI stands out as the go-to choice when it comes to audits and other financial services.
PwC is one of the world’s largest professional services networks, and its Philippine branch serves both local and international clients, offering Virtual CFO and Virtual Internal Audit solutions. With a reputation for rigorous auditing practices and adherence to global compliance standards, PwC is a reliable option for multinationals that need complex, high-level auditing and assurance services. Their global reach makes them a strong choice for businesses with operations spanning multiple countries.
As the largest professional services firm in the Philippines and a member of the Ernst & Young (EY) global network, SGV’s multidisciplinary teams offer comprehensive audit and assurance services. With decades of experience in the local market, SGV combines deep Philippine business insights with global auditing expertise, making it a favorite among both Fortune 500 firms and large local enterprises who need to protect the integrity of their company’s financial information.
KPMG’s Philippine arm, R.G. Manabat & Co., provides auditing services backed by the firm’s global reputation for excellence. Known for its industry-focused audit solutions and assurance service, KPMG is well-suited for companies that operate in highly regulated sectors such as finance, healthcare, and energy. Their integrated technology tools, people-oriented values, and strong focus on instilling confidence in business decisions through efficient and compliant financial reviews help streamline auditing and risk management processes.
Part of the global RSM network, RSM Philippines offers audit, tax, and consulting services with a focus on mid-market companies. With offices all over the world and a client-centric approach, RSM is preferred by businesses who need a more personalized approach to their tax and auditing needs. They are known for being responsive and providing practical, tailored advice that helps businesses meet compliance requirements while also improving operational efficiency.
Grant Thornton’s Philippine member firm, P&A, has built a reputation for combining personalized service with international expertise. They provide a wide range of auditing and assurance solutions including audit and assurance, audit approach reviews, annual and short period audits, and review engagements. P&A’s strength lies in its ability to balance local regulatory knowledge with Grant Thornton’s international resources.
UNA is a homegrown accounting and auditing firm that caters to both domestic and international clients. They specialize in cost-effective auditing solutions that are flexible and scalable, making them ideal for businesses that need reliable audit and assurance services. Their expert skills and personalized approach help clients feel supported throughout the auditing process. The UNA promise: setting up internal controls to improve processes and boost efficiency.
SN Accounting and Consulting focuses is yet another trusted name in the accounting industry, with Certified Public Accountants who have dedicated expertise in accounting, tax, compliance, and audit services. SN Accounting and Consulting highlights a tailored approach to financial services, backed by over a decade of expertise in the field.
The Outsourced Accountant (TOA) Global is an outsourced accounting firm that gives you access to elite offshore auditors. With industry-recognized qualifications who are trained in both compliance requirements and finance software use, TOA offers a wide range of financial & advisory services, as well as solutions such as outsourced accounting, offshore bookkeepers, and executive assistants — all trained in US compliance standards.
Upcloud offers a modern take on outsourced financial auditing with a technology-driven approach. Their services often integrate cloud-based tools, allowing for streamlined collaboration, reporting, and transparency. Upcloud is a good fit for digitally savvy companies that want to leverage both auditing expertise and cloud technology.
With so many options available, choosing the right financial auditing partner comes down to aligning their services with your specific business needs.
To help out, here are a few key factors to guide your decision:
At the end of the day, the right auditing partner should go beyond compliance alone. Since the stakes in financial auditing are high, what with stakeholder opinions and government auditing standards to think of, you want a partner that would help you gain confidence in your numbers, strengthen accountability, and support your long-term growth strategy.
Basically — we can tick all three key factors above.
While there are many firms offering financial auditing in the Philippines, KDCI Outsourcing combines global-quality service with the flexibility and cost efficiency that US companies need most. Our experienced audit associates are well-versed in international financial reporting standards and adapt to the size and scope of your operations, whether you’re a fast-growing startup or a well-established enterprise.
With KDCI, you gain a trusted partner who genuinely cares about empowering your team with the best people; one that values transparency, accuracy, and efficiency at every step.
If you’re ready to explore how offshore financial auditing can strengthen your business, contact KDCI Outsourcing today. Our team will guide you through your options and build a tailored solution that works best for you.
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What sets exceptional HR departments and forward-thinking employers apart is their ability to adapt to change and remain resilient in the face of challenges. According to HR Works, Inc., the most common issues employers encounter include talent attraction and retention (56%), succession planning and leadership development (32%), and employee engagement (31%).
Other notable challenges include keeping up with compliance requirements (24%), navigating uncertainties and change (24%), and implementing automation solutions and HR technologies (16%).
Rather than viewing these as setbacks, high-performing HR teams see them as opportunities to drive growth, strengthen organizational culture, and maintain a competitive edge. One of the most effective strategies for addressing these challenges is human resources outsourcing (HRO).
Currently valued at $276.44 billion USD, the HRO industry reflects a growing global push for stronger compliance, improved employee experiences, and greater use of technology. If you’re considering outsourcing HR functions, this guide will walk you through the essentials — from benefits and services to costs and best practices for HR outsourcing.
HR outsourcing is a strategy of delegating most or all HR functions to an external provider in another country with lower labor costs, such as the Philippines. These HR outsourcing companies help clients build a dedicated offshore team of HR professionals, who will provide them with the expertise, skills, and knowledge to perform the outsourced functions.
Businesses leverage HR outsourcing to access cost-effective talent, integrate new technologies and tools, and invest more resources in high-impact activities.
We often associate (and interchange) recruitment with human resources. However, in the context of outsourcing, these two strategies are different. The main difference between HR outsourcing and RPO lies in their services:
There are plenty of HR responsibilities that an external provider can handle for you. Here are five examples:
Hiring the right people for the job is key to success. Talent acquisition professionals approach hiring more strategically, factoring in long-term talent needs to build a competent and diverse workforce.
They enhance employer branding, create employee profiles, and identify the skills and traits required for the role. Apart from sourcing and screening the most qualified talent, these professionals also network with potential candidates.
Outsourcing talent acquisition can close hard-to-fill jobs faster, enhance talent pipelines, and improve talent acquisition strategies.
Performance management is the practice of evaluating employees’ performance and the value they provide while ensuring their contributions align with the organization’s goals.
This function involves setting and meeting performance expectations, identifying high performers and underperformers, creating consistent feedback loops, and developing skills to improve performance.
Outsourcing performance management to a service provider improves retention and engagement, creates healthy feedback cycles, and equips companies with world-class best practices in employee training and development.
Payroll processing refers to the calculation, management, and distribution of employees’ compensation. Payroll specialists generate payslips, report withholding tax, and create and manage payroll schedules. In this function, accuracy is critical. Nearly half (49%) of surveyed employees will job hunt after only experiencing two payroll issues.
Outsourcing this HR function can help your HR department ensure accurate calculation of taxes, comply with local laws and regulations, safeguard sensitive payroll data, and improve employee loyalty.
Benefits administration is an HR function encompassing the design, provision, enrollment, and management of employee benefits. Benefits administrators also educate employees and coordinate with insurance providers and other vendors.
In addition to reducing costs, outsourcing benefits administration can ensure your company’s benefits are attractive to new and existing employees. It also helps businesses build personalized benefits solutions for staff members, which improves employee satisfaction.
HR compliance managers ensure that a company’s environment, workplace policies, hiring processes, and other matters meet industry standards and comply with labor and employment laws. In addition to conducting compliance training programs, they coordinate with employees from other teams, such as IT and payroll, to strengthen data privacy and maintain payroll compliance.
By outsourcing this function, businesses can collaborate with a skilled HR compliance manager who can help them support their compliance goals and navigate the complexities of HR compliance.
Below are the advantages of outsourcing HR services:
“Slash labor costs by 70%!”
Chances are, you’ve probably come across this claim from many of the best business process outsourcing (BPO) companies, including KDCI Outsourcing. There’s truth in this, though.
Unlike hiring in your home country, outsourcing HR services to a developing country is more cost-effective due to the lower cost of living and labor. This means you can hire specialized HR expertise at a more cost-effective rate compared to local expertise.
Because outsourced HR service providers are up to date with changes in regulations and standards, your company can comply with labor laws and avoid hefty penalties and rocky legal disputes.
According to Auxis, citing Gartner, most surveyed HR leaders (around 76%) said their HR department will be left behind in terms of organizational success if Generative AI or other AI-powered technologies have not been deployed within a year or two.
By outsourcing to an HRO provider, your HR department will be transformed into an AI-powered space where technology and HR professionals work hand-in-hand to deliver operational efficiency across all functions, from recruitment to talent management.
The cost of outsourcing HR functions typically ranges from $45 USD to $1,500 USD per month, depending on your headcount and the type of services you need. If you’re exploring HR outsourcing in the Philippines, here’s how average annual salaries compare with those in the United States:
The provider’s pricing model may also influence your overall outsourcing costs. Here are the most common ones you’ll encounter:
While there is no right or wrong pricing model, some HR outsourcing providers offer custom pricing tailored to your unique business needs.
To better help you anticipate costs, here are factors to take note of when outsourcing HR services:
Outsourcing can be the best decision for your HR department (and your whole business) if you follow these five HR outsourcing tips:
Anyone can be captivated by client success stories, but behind those stories are the goals and expectations set by the clients themselves. Before outsourcing HR functions, ask yourself and your team: Why are we outsourcing?
Take a deep dive into your organization’s HR department and identify all its inefficiencies as well as knowledge and skills gaps. From there, you can determine your whys and goals for HR outsourcing.
For example, if your HR team lacks expertise in certain tasks or the right technology, you can easily determine which functions to outsource to your HR outsourcing provider. This way, you know the kind and level of support you need from the vendor.
Treat evaluating a potential outsourcing partner as you would with vetting a candidate for a role. This means doing a thorough background check of an HR outsourcing provider. While cost is important, it shouldn’t be the only factor for choosing the right outsourcing company.
You should also consider the vendor’s location. If it’s a Philippine-based company, carefully assess the pros and cons of outsourcing to the Philippines to see if the benefits outweigh the risks.
When choosing an outsourcing company, find out if the vendor has experience offering HR services in your industry, or has the right expertise to support your outsourced function. For example, if you’re a US business outsourcing compliance, you’d want to work with an outsourcing company that’s experienced in outsourced compliance services to US clients.
Check employee reviews for negative reviews about the provider. Do these employees complain about toxicity, burnout, or poor career opportunities? If so, these are red flags.
You’ll want a company with high employee retention for stability and consistent quality. You’ll also want a provider who values professional development and work-life balance, so your potential offshore staff can provide the level of service that exceeds your standards.
Reaching out to the provider’s clients is a great way to get unfiltered, objective reviews about your potential HR outsourcing firm.
While outsourcing is cost-effective, you wouldn’t want to be surprised by hidden fees and other expenses associated with outsourced human resources. Before agreeing to a partnership, ask about the human resources outsourcing companies available pricing models. Does the HR outsourcing company charge a flat rate per employee, or does it offer custom pricing?
Regardless of the model, knowing the breakdown of costs — from start-up fees to employee rates — helps you plan for your outsourcing budget, ensure financial stability, and keep expenses to a minimum without compromising business needs.
Did you know that external vendors are the cause of over half of data breaches (62%)? This alarming statistic highlights the importance of prioritizing data security when outsourcing to a third-party provider.
Your potential human resource outsourcing company must have:
Because data security is a deal-breaker (as it should), don’t hesitate to request proof of the provider’s security audits and cybersecurity capabilities. This is to ensure that the HR outsourcing company lives up to its words of data privacy and security.
While human error remains a threat for companies (22%), you can’t work with an outsourced employee who intentionally and maliciously discloses sensitive information. We recommend asking the HR outsourcing service provider about their pre-hiring processes, including thorough background checks.
Outsourcing is also about building a solid relationship with your offshore HR team. To make your offshore staff feel at home with your internal team, learn about your offshore team’s culture not just to smooth out and understand differences, but also to enhance cultural sensitivity and build rapport.
Schedule regular meetings, feedback sessions, and check-ins to improve performance, share insights, and ensure alignment on goals. Most importantly, acknowledge your outsourced HR team’s hard work and contributions in the partnership. Some clients even give tokens of appreciation after busy periods or during holidays.
Remember, how you treat and value your offshore employees plays a role in the success of your human resource outsourcing initiatives.
Overhauling your HR department means embracing the discomfort of change. Fortunately, you don’t have to do everything alone.
At KDCI Outsourcing, we offer outsourced HR roles ranging from background checkers to HR data analysts to support your department. Our experience in working with companies from multiple industries, including finance and healthcare, has helped us understand specific industry needs and create tailored offshore HR solutions that factor in those needs.
If you’re looking for a sign to outsource human resources and build your team of HR staff, now’s the time to do so. Contact us to get started!
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Smart business owners know that one of the best ways for businesses to succeed today is through digital transformation. As we embrace this continuously-evolving digital era, businesses are constantly seeking ways to optimize IT operations, while still managing business costs. It is precisely because of this that offshore IT outsourcing became a popular solution for businesses of all sizes worldwide.
Organizations — from agile startups to well-known corporations — have been tapping into international talent pools to get access to specialized IT skills, round-the-clock data security & productivity, and of course, lower operational costs.
In this article, we take a comprehensive look at the offshore IT outsourcing industry: from the concept itself, its key business benefits, the advantages, challenges, cost considerations and, ultimately, how you can apply industry best practices to maximize ROI and make sure that choosing an offshore outsourcing service works in your favor.
Let’s get started.
Simply put, offshore IT outsourcing (also see: information technology outsourcing) broadly refers to contracting IT services or functions to a company or team located in a different country. Gartner reports highlight that 80% of CIOs are planning to invest more in their business’ IT and cybersecurity functions. As opposed to onshore outsourcing where IT professionals are still within the US, businesses today often opt to outsource IT to countries with lower labor costs and a strong pool of skilled professionals, like the Philippines.
Like most services completed through business process outsourcing, offshore IT outsourcing often involves engaging a third-party company who will handle the hiring, onboarding, and management of your offshore IT team member, while you focus on helping them integrate with your existing team.
According to recent data by Statista, the global IT outsourcing market is projected to reach around $512 billion by 2030, a significant growth that can largely be attributed to the rise of offshore IT engagement models.
India, the Philippines, and Vietnam remain top destinations, driven by competitive pricing, industry-recognized offshore outsourcing companies and large pools of IT professionals. With a wide pool of talent options and strong reputations in business process outsourcing, the Asia-Pacific is currently the go-to for businesses looking to hire remote IT experts.
In addition to working with an offshore provider, there are also organizations that opt for hybrid models. That is, hiring both inshore, nearshore, and offshore for their IT teams — allowing them to balance costs, collaboration, and overall operational efficiency.
There is also a demand for niche information technology skills including, but not limited to cloud computing, AI, cybersecurity, and DevOps. With businesses needing specialized expertise across all IT functions, it’s no wonder the offshore IT outsourcing industry continues to grow exponentially.
Today, quite a number of IT functions are being outsourced, mostly because processes like software development, cybersecurity management, and overall IT support among others can be completed remotely. In our years as a provider of offshore IT outsourcing solutions, we have observed some of the most commonly outsourced IT services.
Offshore software development includes the conceptualization, design, development, and sometimes, ongoing maintenance of web, mobile, and enterprise applications.
24/7 technical support for users and infrastructure and outsourced help desk services are also among is also one of the most in-demand offshore IT outsourcing services.
Since advancements always come with risks, businesses also look for outsourced IT staff who will handle threat monitoring, penetration testing, and compliance.
Migration, deployment, and maintenance are also among the functions that businesses delegate to offshore teams.
Business intelligence, automation, and machine learning (among other similar business activities) are also being outsourced to leverage tech advancements.
There are more IT functions that you can get remote teams for, depending on what your business needs are. At the end of the day, it’s just about finding the right people for the right IT function — so your business can continuously thrive.
Here’s a quick illustration of how working an offshore outsourcing partner works:
A US-based tech startup wants to hire a development team to build a mobile app for their new service. Is offshore IT outsourcing a good option for them? It is! The good thing is, it’s actually a very smooth process, especially if you are working with a trusted outsourcing partner.
Here’s how that would typically go:
Once they have chosen a Philippine offshore IT outsourcing company to work with, the next step is to discuss staffing needs, so the hiring team can find the right talent that will match the team. They can then interview candidates, choose from a pool of qualified options, and let the local team handle the onboarding for them. That’s it! They will already have an offshore team with the core competencies they need to build the new mobile app, at a fraction of the cost of hiring an in-house team (or even inshore outsourcing).
Leveraging cost savings while ensuring high-quality output — that, in essence, is what offshore IT outsourcing is for.
Very much like every other hiring option, working with a remote employee for your business IT comes with a multitude of advantages, and inevitably, challenges. To give you a clear overview of what you’re in for when you choose to work with remote IT teams, here’s a rundown of the pros and cons of working with an outsourced IT expert.
Labor costs in offshore hubs like the Philippines, India, and Eastern Europe can be up to 70% lower than in the U.S. or Western Europe. This enables companies to reallocate budget toward innovation, marketing, or product development.
Offshore IT outsourcing opens doors to highly skilled professionals with specialized expertise such as data processing, content creation and emerging technologies skills. The skills that may be scarce or expensive in domestic markets are often easier to find with a more diverse pool of IT talent options.
Need to ramp up your IT team for a product launch, website (re)design, or new software development? Offshore outsourcing services allow quick scaling without the long recruitment cycles and overhead costs of local hiring.
By leveraging time zone differences, companies can ensure continuous progress on projects, faster turnaround times, and uninterrupted IT support. This way, there is no downtime when it comes to protecting your valuable business data through cybersecurity as well.
Outsourcing software development, cybersecurity, and other IT tasks allows internal teams to focus on strategic initiatives that directly impact business growth. Once you have delegated tedious IT functions, you can reduce bottlenecks and empower your existing teams.
While the benefits are many, the risks are also part of the deal. However, most of these can be mitigated through strategic planning and working with the offshore outsourcing company,
Time zone differences (although quite advantageous, too), language nuances, and cultural differences can create misalignments if not proactively managed.
Sharing sensitive business information across borders introduces data security and regulatory compliance challenges. Because of differing regulations, these aspects may need realignment to ensure smooth business function.
Without clear KPIs and monitoring, the quality of deliverables can vary. You can, however, set clear parameters when you discuss your staffing needs with your provider. It’s just a matter of setting clear expectations.
Since we have already discussed cost-savings as an advantage, let’s discuss that further. If you’re wondering how much hiring an IT team offshore will cost your business, here's the answer.
When comparing offshore IT outsourcing in the Philippines to in-house hiring in the US, the cost differences are substantial. Let’s use the cost of hiring software developers as an example:
In the Philippines, experienced software developers typically charge roughly $20 per hour, depending on their specialization and years of experience. The total rates of offshore IT outsourcing would then be around $30 to $35 an hour, including other expenses such as office space, utilities, and benefits (that your company would otherwise shoulder).
By contrast, a mid-level software engineer in the US earns an average annual salary of around $120,000, which translates to roughly $60 per hour before factoring in benefits, payroll taxes, and other employment costs. When these additional expenses are included, the effective hourly cost in the US can exceed $75 per hour.
This means that hiring a skilled developer in the Philippines can save US-based companies 50-65% on comparable talent, without compromising on quality. Given the Philippines’ strong English proficiency, cultural alignment with US business practices, and well-established IT infrastructure, this cost comparison further strengthens the position of offshore IT outsourcing as an ideal solution.
Beyond cost-savings, outsourcing your software development, cybersecurity, and other IT functions offers more benefits to your business that you can take advantage of today and long into the future.
Offshore teams allow faster product launches by parallelizing work and leveraging time zone differences. Not to mention that even before they work for you, the speed of hiring offshore staff is also significantly faster than hiring (and onboarding) in-house teams.
Offshore hubs often specialize in niche tech stacks, enabling companies to innovate without heavy internal training investments. In the Philippines, there are specialized tech hubs across Manila, Makati City, Cebu, and Davao where you can find IT experts.
Spreading IT operations across multiple geographies can reduce risks from local disruptions. In case of natural disasters, economic challenges, and political issues the fact that you have teams all over the world might just be able to cushion the blow.
Now that IT is no longer just used for compliance, outsourcing can help you take it to the next level. Lower costs, faster delivery, and broader skill access will enable your business to compete more effectively on a global scale.
Now that we have covered all the aspects of offshore IT outsourcing, we’d like to leave you with some tips that will help you fully take advantage of its benefits.
Fortunately, at KDCI Outsourcing, we’re a team that practices what we preach.
We implement these protocols thoughtfully, ensuring that offshore IT outsourcing can accelerate innovation, improve agility, and position businesses to compete globally. If you’re ready to explore how offshore IT outsourcing can transform your operations.
Whether you need a dedicated offshore IT team, specialized developers, or end-to-end IT support, our expertise in software development & IT offshore staffing services ensures you get top-tier talent aligned with your unique business goals.
At KDCI, we specialize in finding developers & IT experts who have the skills and experience you need, as well as the attitude and cultural fit that will allow them to easily integrate with your in-house team. Whether you’re looking to hire one full-time offshore IT specialist or looking to build a dedicated software development team in the Philippines, KDCI has the right tailored outsourcing solution and engagement model for you.
KDCI has options specifically made to support your business’ day-to-day operations and overall growth in the long run.
Contact us today to discuss your offshore IT outsourcing needs.
Companies that leverage outsourcing services get the benefits of increased efficiency, controlled costs, and greater competitive advantage, as they can access specialized expertise they don’t have locally and focus on core business activities.
However, outsourcing is not for everyone, and not all business processes can be outsourced. If you plan on outsourcing your business processes, a good first step to take would be to identify which processes you want to outsource and which ones you are better off doing in-house.
In this article, we listed 10 business activities to outsource to outsourcing providers. But first, let’s talk a bit more about the benefits of outsourcing.
Outsourcing can be a blessing for many companies. Here’s why you should start outsourcing your business activities:
Outsourcing helps you save on labor, training, and overhead costs by working with offshore employees from the Philippines or any developing country — where salaries and cost of living are cheaper than in developed countries.
Whether it’s advanced AI tools or the latest software solutions, outsourcing companies have the right technologies to support efficiency, scalability, and innovation.
Outsourcing exposes your organization to best practices and fresh, out-of-the-box ideas, helping your team create breakthroughs in your industry.
Companies of all sizes are investing in outsourcing today. For example, Clutch found that most small business leaders (83%) from the US are thinking of investing more money or maintaining their current expenditure on this game-changing strategy. In a report by Forbes, more than half of American firms (66%) are outsourcing a minimum of one department.
If you think outsourcing is the right move for you, check out this list of the most commonly outsourced business processes today:
Some of the problems that many in-house accounting and financial departments face include subpar processing, the risk of fraud, and the repetitive nature of their workloads. Outsourcing to the best accounting firms enables your company to meet your accounting goals with the help of professional accountants who are completely focused on their financial tasks without any distractions.
Administrative tasks are generally time-consuming and detail-oriented. They often require a lot of focus, and this makes them difficult to manage — especially for companies without a dedicated team to handle them. Outsourcing administrative tasks can help improve your workflow by taking finicky tasks off your hands, so you can focus on core business matters.
If you own a smaller business, chances are you won’t have the upgraded technological resources and specializations that larger companies enjoy. Outsourcing IT matters to the best IT outsourcing companies with the proper resources is a great solution, as you can get professional results without having to spend on building an actual in-house IT team.
Digital marketing is an important investment for any brand today, and to be able to do it correctly, you will need the expertise of SEO, SEM, SMM, and PPC specialists, to name a few. Through strategic outsourcing, you can get a dedicated marketing team that can work hand-in-hand with your existing marketing department to further boost your digital marketing initiatives and get you the best results possible.
Businesses of all sizes need some form of creative work in one way or another. However, not all businesses need to build an in-house creative and graphics department. Outsourcing to the best creative agencies is a great solution for this, as you can get professional results from expert designers without having to deal with the logistics of maintaining an actual in-house graphics team.
HR departments are facing a host of challenges, from attracting the right talent to avoiding compliance issues with labor laws. With AI taking center stage, adapting to new technologies has become another hurdle to overcome.
By outsourcing human resources and recruitment to the best recruitment process outsourcing (RPO) companies, you can enhance your talent acquisition strategies, hire qualified candidates faster, leverage advanced HR solutions in your workflow, and comply with employment laws while maintaining top-tier operational efficiency.
Customers want fast, responsive, and personalized customer support. Not just that, but they’re also holding customer support agents to a higher standard, expecting them to exhibit emotional intelligence during interactions.
With agents helping multiple customers simultaneously and new tickets coming in at breakneck speed, it’s no surprise that some of these individuals are on the brink of burnout and emotional exhaustion.
That’s why outsourcing customer service to the best customer service agencies is a game-changer. These agencies have technologies such as AI agents for faster, personalized interactions and a tiered customer service system for efficient support. Outsourcing also brings new faces to your team, making customer support more manageable and preventing burnout among in-house agents.
Late payments, low tenant retention, and lack of innovation — the list of challenges goes on. Coupled with evolving compliance standards and a high-stress work environment, you get property managers who’ll quit their jobs — or exit the industry altogether — in no time flat.
When you outsource property management to a reliable outsourcing provider, you can find and work with property management virtual assistants to provide high-quality administrative and tenant support. This translates to higher tenant satisfaction and frees up the workload of property managers.
Data entry is essential, yet it is also one of the most repetitive and time-consuming administrative tasks. For companies with no (or a smaller) in-house data entry team, the amount of data to be processed and handled can pile up quickly. Throw in manual data encoding and fast turnaround times, and you’ll get haphazard, error-ridden data.
Outsourcing data entry can mean an extra pair of hands to assist with encoding. With the help of technology, your offshore data encoders can detect data patterns and extract relevant data from sources — improving speed and accuracy in data collection and processing.
Medical providers typically handle all healthcare operations in-house. But with understaffing and administrative work in the picture, patient care may be compromised as internal healthcare providers are burdened with both clinical and non-core activities.
Thankfully, healthcare outsourcing is a lifesaver. Outsourcing companies have dedicated offshore healthcare experts who provide clinical and non-clinical services, such as medical billing, appointment setting, and telemedicine. By outsourcing healthcare, medical providers can improve patient care and enhance efficiency.
Do you need help with one or more of these business processes? This is where we come in.
KDCI Outsourcing is a one-stop shop for all your outsourcing needs. We are a business process outsourcing (BPO) company in the Philippines that specializes in building offshore teams in creative design, digital marketing, web and application development, back-office support, and many more.
Our offshore professionals have worked with big brands in different industries, delivering only our best work and exceeding our clients’ expectations at all times.
Want to learn what customized solution best fits your business needs today? Contact us to find out!
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Having collaborated with KDCI.co for our creative needs, I can confidently attest to their unparalleled expertise and dedication. Their team consistently delivered innovative solutions that not only met, but often exceeded our expectations. Their professionalism and attention to detail are commendable.
KDCI were able to grow with us with any future requirements. We have a lot to do when it comes to our business, and everytime we come back, they're right there with us and able to deliver.
KDCI's team has been instrumental in helping us not only modernize our platforms but also increase the experiences for the customer, and to deliver on the tsunami of content that came their way.
We had a lot of difficulty finding qualified talent in the United States. Honestly, I don't think we had thought about outsourcing at all as a potential option, but we were very open to it once we heard about it. We love our KDCI team. They're just like a regular part of our team, it's just that they're thousands of miles away.
It's been five years since we started working with KDCI, and it just keeps getting better and better. We've grown together and achieved a lot of shared success. Overall, they're incredibly professional yet fun to work with. We are incredibly happy to have found them.
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