Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
A life insurance plan has always been touted as an investment for families and working adults. It serves as a bugger against unforeseen circumstances, protecting insured clients from significant financial loss. While most sectors have adapted to economic instability and other risk factors, the life insurance industry has not been the most fortunate as it struggles with cybersecurity, technological advancement, market changes, and shifts in compliance and regulations.
Thankfully, insurance companies are leveraging insurance outsourcing. Insurance outsourcing is a business strategy of hiring a third party to perform open and closed-book business processes to reduce costs, increase efficiency, and access specialized expertise. If you’re looking to supercharge your insurance company, now’s the perfect time. Below, we’ll tackle everything you need to know about insurance outsourcing.
There’s no limit to the business processes an insurance company can outsource to a business processing outsourcing (BPO) provider. However — to help you envision which functions are more readily available in the best BPO companies and insurance outsourcing companies — below are the most commonly outsourced insurance business functions.
In insurance claims outsourcing, the service provider handles the entire claims process, from initial intake and verification to assessment and settlement. They also communicate with policyholders about claim statuses and manage disputes or appeals. Additionally, a business processing outsourcing company can process health, property, and other insurance claims.
When outsourcing policy writing and adminstration, service providers process renewals, endorsements, and cancellations as well as manage the issuing of new policies. They also maintain policyholder records and ensure compliance with regulatory requirements.
With insurance underwriting, an insurance business processing company assesses risks, decides on insurance applications, sets premium rates, prepares documentation, and monitors existing policies for changes in risk profiles.
Specialized firms and insurance BPO service companies use analytics to detect fraud, investigate suspicious claims, report findings, implement fraud prevention systems, and provide staff training on fraud detection techniques.
External providers with insurance outsourcing services have actuarial analysts who develop risk models, calculate premiums, forecast financial performance, and offer strategic advice on product development.
Legal and compliance officers in outsourcing providers handle legal issues, ensure regulatory compliance, and provide legal advice to minimize risks and meet industry standards.
Third-party IT or tech support specialists manage infrastructure, develop and maintain software, ensure cybersecurity, and provide technical support to enhance operational efficiency.
Customer service agents in an outsourcing company handle inquiries, provide policy information, address complaints, and maintain high-quality support through various communication channels.
The business process outsourcing industry has been steadily expanding through the years, impacting most, if not all, industries in the market. Even more traditional industries like insurance are outsourcing some of their business functions, driven by reasons listed below.
Like many other industries, companies in the insurance industry face financial pressure and need to improve cost efficiency to increase competitiveness and profitability. And the easiest way to reduce costs is by outsourcing insurance services.
By outsourcing, an insurance agency can leverage the outsourcing partner’s resources, paying only a flat rate while the outsourcing insurance services provider covers everything — including operations, benefits, paid leaves, management fees, etc. This helps an insurance company increase its cost efficiency.
The location of insurance outsourcing companies also influences the amount saved. When an insurance agency outsources to an onshore or nearshore agency, the company can typically save up to 10-20% on operational costs. If insurance services are outsourced to BPO insurance companies in the Philippines, insurance agencies can save up to 70% on operational costs.
Most insurance companies don’t have expertise in functions such as customer service, IT, and marketing. By outsourcing these insurance operations to insurance outsourcing companies, one can increase efficiency — freeing up time and resources and gaining more business focus.
The insurance industry is short on talent, according to ResroucePro. This problem is mainly due to people leaving the industry. As time passes, the job market is becoming younger. Not to mention, over 50% of those in the insurance sector are expected to retire in the next 15 years.
One of the ways insurance companies are filling gaps in their manpower is through insurance outsourcing. Many of the tasks performed in the insurance sector, such as customer service, IT support, and marketing only require general industry knowledge. Hence, these tasks can be easily outsourced for staff augmentation.
Meanwhile, more specialized tasks like claims processing, underwriting, fraud detection, and the like are more difficult to source, so insurance agents partner with an insurance outsourcing company that already has the talent available.
When working with Philippine insurance outsourcing companies, expect them to have a large talent pool so you can skip the recruitment process and only look at the profiles presented to you based on your requirements. Then, BPO insurance companies in the Philippines will train, onboard, and manage these outsourced staff for you, ensuring productivity and alignment with business objectives.
While traditional outsourcing only supported basic roles and wasn’t designed to support long-term success, outsourcing has evolved to offer multiple engagement models and provide more flexibility to serve as business partners rather than mere service providers that help insurance companies scale and grow their operations.
The insurance industry has long been a more traditional industry, relying on manual processes and data analysis. However — as most outsourcing service providers have adopted more robust technological infrastructure and advanced technologies — insurance companies will find it easier to adopt new technologies and change their company culture with help from an experienced outsider who already has the resources and expertise to lead their transformation.
With the growing talent shortage in the insurance industry, many insurance companies are pressed to find permanent solutions outside of staff augmentation and support their long-term goals.
KDCI Outsourcing is more than just a service provider. We’re an insurance business process outsourcing partner that works hand-in-hand with our clients to achieve their business goals. By finding hard-to-source talent that has the experience, expertise, work ethic, and cultural fit, we build excellent offshore insurance teams in the Philippines that seamlessly integrate with their operations and collaborate well with their in-house teams to ensure efficiency and success.
Learn more about insurance back office outsourcing services in the Philippines. Contact us today!
The global IT-BPO market is growing at 4.67% annually, with the Philippines as one of the rising stars with a 7% annual growth. Among the many outsourced IT and technology services in the Philippines, many global brands outsource web development for several reasons listed below.
Hiring skilled web developers who have expertise in the coding language you need can be difficult and expensive. With the going rates for web developers going at over $80,000 per year, many companies are looking for more cost-effective alternatives, such as outsourcing web development to the Philippines.
The average salary of a web developer in the Philippines is much lower than that of the United States. Moreover, partnering with reliable web development outsourcing companies like KDCI Outsourcing takes away the burden of sourcing, hiring, and vetting web developers; so, companies need only pay for a flat outsourcing fee, and everything else (benefits, training, resources, and management) are taken care of by the service provider.
With lower cost of labor, and the beauty of the outsourcing model, companies can work with highly skilled web developers who can help bring their concepts into beautiful, user friendly websites.
The average turnaround time for creating a website from scratch is 8 to 16 weeks. With limited time, and a lot of problem-solving and QA necessary, development can easily fall to the wayside and cause delays.
To prevent this, web development outsourcing companies assign dedicated account managers and QA specialists with extensive web development background, to help ensure the project is on track, and that every detail is spot on. Not to mention, outsourcing web development makes it easy to scale your development operations; with more hands on deck, turnaround times are significantly shortened.
This guarantees an increase in efficiency when producing new websites as seen in this KDCI Outsourcing case study.
More than just cost savings, the struggle in creating websites is finding amazing web developers who can take a concept and code it into a fully functional, responsive, and user-friendly website. As such, willingness to learn and cultural fit are emerging as top priorities, leading recruiters to seek developers with great soft skills.
In this respect, the Philippines emerges as a top choice to outsource web development services as the country is known for its excellent English, high literacy, and large pool of IT and tech professionals, including web developers. These set the foundation for seamless collaboration with Western companies, leading to successful offshoring of development projects.
You can hire any freelance web developer online, but that doesn’t ensure best practices and easy maintenance in the future.
Outsourcing to a web development company ensures adherence to best practices, making future maintenance and edits easier regardless of the developer. These best practices include using version control like Git, following coding standards and conventions, writing clean and readable code, and modularizing code to avoid repetition.
Additionally, professional outsourcing firms maintain comprehensive documentation, employ automated testing, and use frameworks and libraries with robust community support. They ensure environment configuration using tools like Docker and adhere to design patterns and the DRY principle.
They also do standard regular code reviews and refactoring, guaranteeing high-quality and maintainable code. This approach ensures that any developer can seamlessly work on the project in the future, ensuring longevity and ease of updates.
Many Filipino web development teams are well-versed in Agile, Scrum, and other methodologies, which enhances their project delivery efficiency and quality. Agile promotes iterative development and continuous feedback, making it easy to adapt to changing requirements.
Filipino developers excel in Agile practices like daily stand-ups, sprint planning, and retrospectives, ensuring alignment and continuous improvement. Their expertise even extends to Scrum, with defined roles such as Scrum Master and Product Owner, which helps in efficient project management and communication.
Additionally, they are familiar with Kanban, Lean, and Waterfall methodologies, enabling them to tailor their approach to the specific needs of each project. This versatility, combined with technical expertise and a strong work ethic, makes Filipino web development teams highly effective and reliable.
Interested to outsource web development to the Philippines but not quite sure if they know the language you need? Below is a list of the top web developer languages most commonly outsourced to the Philippines!
ReactJS is a popular JavaScript library for building user interfaces, particularly single-page applications. Developed by Facebook, it enables developers to create reusable UI components, manage the state efficiently, and build complex applications with a high level of performance and interactivity.
Python is a versatile, high-level programming language known for its simplicity and readability. It supports multiple programming paradigms and is widely used in web development, data analysis, artificial intelligence, scientific computing, and automation.
C# is a modern, object-oriented programming language developed by Microsoft. It is commonly used for developing Windows applications, game development using Unity, and enterprise-level software solutions. Its robustness and integration with the .NET framework make it a preferred choice for many developers.
PHP is a server-side scripting language designed for web development but also used as a general-purpose programming language. It powers many content management systems (CMS) like WordPress, making it a key technology for building dynamic websites and web applications.
CSS (Cascading Style Sheets) is a stylesheet language used for describing the presentation of a document written in HTML or XML. It controls the layout, colors, fonts, and overall visual appearance of web pages, enabling developers to create visually appealing and responsive designs.
Filipino developers are proficient in JavaScript, the cornerstone of interactive web development. Their expertise allows them to build feature-rich, dynamic web applications that enhance user engagement and functionality.
Filipino developers' proficiency in Java makes them suitable for developing cross-platform applications and large-scale enterprise systems. Their ability to deliver reliable and scalable solutions is highly valued in outsourcing.
HTML is fundamental to web development, and Filipino developers' strong grasp of HTML ensures the creation of well-structured and accessible web pages, forming a solid foundation for any web project.
Filipino developers skilled in C++ are sought after for high-performance applications, game development, and systems programming. Their expertise ensures efficient and optimized code, crucial for demanding projects.
Filipino developers' knowledge of SQL ensures efficient database management and data manipulation, essential for backend development. Their ability to handle complex queries and maintain database integrity is a key asset in outsourcing.
Creating a good website is not just about finding a skilled developer, it’s about finding one who can understand your vision, who can communicate challenges and suggest solutions, and who can implement best practices to ensure the robustness and longevity of your website.
At KDCI Outsourcing, we don’t just find skilled web developers who are experts at your preferred coding language, we build offshore web development teams in the Philippines that can integrate well with your organization. As an outsourcing company offering offshore web development services, we ensure seamless collaboration, so that your offshore web development team can turn your vision into an amazing website.
Learn more about web development outsourcing. Contact us today!
.jpg)
Data entry outsourcing is the process of enlisting the services of a third-party to manage one’s data entry tasks. These typically come in the form of entering data from physical documents into digital formats, managing and updating databases, and processing various forms of information.
In a highly digitized world, data is the lifeblood of operations, strategy, and decision making. However, entering data into systems, ensuring their accuracy, and doing so efficiently can be tedious. Especially with the threat of data breaches and cybercrime, data entry has become more delicate, requiring thorough planning and robust measures for security, risk management, and data recovery.
This is why data entry specialists are one of the most in demand roles in outsourcing. Not only does outsourcing data entry increase efficiency, improve accuracy, and reduce costs, it also puts the burden of data protection on the service provider.
Outsourcing companies that handle data deal with sensitive information, which, when accessed by unauthorized users, can lead to penalties, damaged reputation, and loss of business. As service providers, data entry outsourcing companies are required to maintain robust security measures to protect client data. These include data encryption, secure access controls, and compliance with data protection regulations.
Additionally, outsourcing data entry provides flexibility to scale operations up or down based on needs. It also allows companies to focus on core business activities and makes it possible to access specialized expertise and the latest technologies, ensuring efficient and accurate data processing.
Altogether, the benefits of outsourcing data entry make it a cost effective, low-risk, and efficient method of ensuring data is encoded properly into systems for proper data analysis and utilization.
The Philippines makes up approximately 15% of the global market share for business process outsourcing, with data processing as one of the top outsourced data entry services. At the same time, there are hundreds of BPO companies in the Philippines, making it difficult to choose the right service provider for your data entry needs.
Below is a list of the top 10 data entry outsourcing companies we recommend based on their reliability, digital presence, and Google reviews.
KDCI Outsourcing provides tailored data entry outsourcing services with a focus on accuracy and efficiency, leveraging cutting-edge technology and a highly skilled team. They specialize in creative and eCommerce sectors, building custom offshore data entry teams in the Philippines that not only fit specific industry needs, but also are a great fit for the unique brands they partner with.
As one of the leading Philippine outsourcing companies, KDCI Outsourcing caters to a number of clients from middle-sized businesses to even start-ups who are desperately looking for creative, technical, as well as administrative processes. We recommend them for businesses, especially start-ups and SMEs, looking for the right fit in terms of sourcing offshore talent for better operational efficiency and adherence to data accuracy standards.
Sourcefit offers high quality data entry outsourcing services with focus on quality and customization, and utilizing advanced software to ensure data integrity. They’re known to use advanced software for ensuring data integrity and can scale operations up or down as per client needs, making them an ideal choice for businesses whose work volume fluctuates.
As a versatile outsourcing firm, Sourcefit caters to various industries including healthcare, finance, and telecommunications. They provide tailored solutions to improve productivity and profitability. These can be useful for companies looking for scalable and reliable data entry solutions who need to maintain high data standards across various sectors.
Outsourced provides comprehensive data entry services that prioritize speed and accuracy, supported by a team of dedicated professionals. Their approach involves the use of cutting-edge automation tools to streamline data processes, reducing human error and enhancing efficiency.
They mainly target mid to large businesses across tech, finance, and marketing industries, offering a broad range of outsourcing solutions, thereby making them an excellent choice for companies looking to leverage technology for accurate and efficient data entry.
Flatworld Solutions offers robust data entry services that deliver high-quality results through a combination of human expertise and automated processes. Their edge lies in their global delivery model, which provides uninterrupted 24-hour service with a fast turnaround time.
As they’ve built a reputation for flexibility and their client-oriented approach in industries like healthcare, insurance, legal, etc. They are recommended for businesses that demand round-the-clock data entry services with continuous productivity and efficiency.
OBI Services are known for their attention to detail, providing excellent and meticulous data entry services. They typically work with small to medium-sized enterprises (SMEs), offering customized solutions that address specific business needs.
They usually work with businesses looking for cost-effective and reliable data entry support, making them ideal for SMEs that need personalized and detailed data entry services, ensuring accuracy and tailored solutions to enhance business operations.
Digital Minds BPO provides efficient data entry services by leveraging advanced technology and utilizing a well-trained workforce to deliver fast and accurate results. As a brand, they’re made a name for themselves for being innovative and focusing on continuous improvement.
They cater to companies from various industries such as finance, healthcare, and logistics. They also have comprehensive outsourcing services, and are recommended for companies seeking innovative and high-quality data entry services to streamline their operations and improve overall efficiency.
GoodFirms offers reliable and efficient data entry services with focus on data accuracy and data security. They have a network of experts who provide data entry services tailored to client needs.
As this company primarily serves businesses looking for credible and effective outsourcing services on various fronts, they are best suited for those that value safety and accuracy in data, and therefore want a credible outsourcing partner who can handle their data entry services efficiently.
iSupport Worldwide provides data entry services that use state-of-the-art technology and highly skilled personnel to ensure optimal performance. They have a reputation for building dedicated teams for clients, allowing for seamless integration and consistency in data entry services.
They usually work with mid-sized to large enterprises in the finance, healthcare, and technology sector, making them a good choice for those that need dedicated and specialized data entry services, ensuring high levels of accuracy and reliability.
Magellan Solutions offers high-quality data entry services, backed by a robust infrastructure and experienced team. They are known for their personalized services and ability to cater to specific client requirements, delivering exceptional results.
As a leading outsourcing provider, Magellan Solutions serves a diverse range of industries, including healthcare, retail, and finance, with a focus on enhancing operational efficiency. We recommend them for companies looking for tailored data entry services that align with their unique business needs, ensuring precise and efficient outcomes.
Remotify PH provides efficient data entry services that are known for their flexible and client-oriented approach, ensuring high accuracy and quick turnaround times. Their selling point is their ability to offer highly customizable solutions that cater to the unique needs of each client, particularly SMEs.
This company primarily targets small to medium-sized businesses across various industries, offering cost-effective and reliable outsourcing services, which makes them an excellent choice for SMEs seeking flexible and accurate data entry solutions that can adapt to their specific business requirements.
Ensuring accuracy, efficiency, and security in data entry can be a challenge for most organizations without robust technology and cybersecurity systems. Rather than investing in in-house data management teams, you can save on costs when you outsource data entry services to a trusted data entry outsourcing company in the Philippines like KDCI.
At KDCI Outsourcing, we specialize in building offshore data processing teams in the Philippines, guiding you on what to look for in a data entry specialist to make sure they meet your requirements and seamlessly integrate with your organization. This helps maximize productivity, promotes collaboration, and minimizes error, all of which matter greatly in data management.
Do you want to learn more about outsourcing data entry services? Contact us today!
.jpg)
When was the last time you needed customer service but the agents are already offline and will get back to you on the next working day? The frustration you felt is exactly why companies are starting to offer after hours support.
According to a Salesforce research, as much as 77% of customers expect to immediately interact with a person when they contact a company. But as of 2023, only 54% of companies offer customer service after office hours.
Providing after-hours support not only enhances customer satisfaction but also increases brand loyalty and customer retention, crucial factors in today's competitive market. Extended support hours can lead to higher customer lifetime value and positive word-of-mouth referrals. These give companies that offer extended customer service a competitive edge over other brands.
There are many countries offering excellent customer service. But why does the Philippines hold almost 15% of the global market share for global BPO, with customer service as its leading outsourced service?
Hiring a customer service agent to work after hours costs 10-20% more in the US as night shifts require premium pay. Such additional costs can be too heavy for some companies, especially when there are lower cost options such as outsourcing to developing countries like the Philippines where cost of labor is lower.
In an after hours customer service case study conducted by KDCI Outsourcing, US companies can reduce their staffing costs by 45% while extending their customer service coverage to 24/7 support.
More than the difference in labor costs, the significant cost reduction is attributed to the FTE outsourcing model, wherein companies can build their customer service teams offshore while the outsourcing partner takes care of everything from hiring and training to onboarding and management for a fixed outsourcing cost.
39.2% of companies looking to outsource to the Philippines are interested in customer support services. This is unsurprising considering the Philippines is the world’s call center capital with over 700 call centers and over 1.3 million professionals supporting brands globally.
The demand for Filipino customer service agents can be attributed to their excellent English, high literacy, and hospitality.
Because the Philippines is the 3rd largest English speaking country in the world, ranking 2nd in English proficiency in all of Asia, its customer support professionals are renowned for their excellent communication skills with English speaking customers in the US, UK, and Australia.
It also helps that the country has a very high literacy rate of 97%, and has hospitality ingrained in their culture. Such skills make Filipinos in high demand for BPO, especially as a top destination for offshore customer service.
The benefit of hiring after hours support in the Philippines is not only due to lower labor costs, but also because they are located on the other side of the world, with very different time zones as the US, Europe, and Australia.
It makes outsourcing off hours to the Philippines a viable option since their after hours are normal working hours in the Philippine time zone. Not to mention, customer support outsourcing companies in the Philippines are used to shifting schedules.
This means that companies not only have the option to hire after hours customer service, they can choose to do so for any shift, even 24 hours and during weekends and holidays.
The top customer service outsourcing companies in the Philippines have been operating for years or even decades. They already have systems in place to ensure the highest quality service when it comes to customer support.
To keep up with tech advancements, these firms leverage advanced technologies like AI and automation, which streamline routine inquiries and allow human agents to handle complex issues requiring empathy. They also invest heavily in comprehensive training programs and maintain rigorous quality assurance systems to consistently deliver superior service.
Supported by favorable government policies and initiatives in the Philippines, these companies also benefit from a robust infrastructure, making the Philippines a global leader in customer service outsourcing.
Philippine customer support outsourcing is quickly adopting new technologies in a bid to stay competitive in a fastly evolving digital environment. The best customer service outsourcing companies in the country are using technologies such as artificial intelligence (AI), robotic process automation (RPA), data analytics, blockchain, virtual reality (VR), and augmented reality (AR) for efficient, personalized, data-driven, and secure customer service.
This offers an attractive proposition for global companies looking to leverage the power of technology while also enjoying the other benefits of Philippine customer service.
The Philippines has a long colonial history that “places them in a strategic position where they can relate and understand several nations while still embodying their principles, such as hard work, perseverance, warmth, and friendliness,” according to experts at Outsourcing Accelerator.
This cultural compatibility is especially important in after-hours customer support, where the need for empathetic and effective communication is heightened. During after-hours, customers often face urgent issues and require immediate assistance, making it crucial for support agents to not only understand but also relate to the customers' cultural context and emotional state.
Outsourcing to the Philippines offers significant value in this regard. Filipino agents, with their high level of English proficiency and cultural affinity with Western countries, particularly the U.S., can provide seamless and empathetic support. This reduces the likelihood of misunderstandings and enhances customer satisfaction.
The Philippine government is a proactive supporter of the local BPO industry, creating special economic zones managed by the Philippine Economic Zone Authority (PEZA). These zones offer a range of benefits to BPO companies, including tax holidays, which can last for up to six years, and exemptions from certain local taxes and duties. These incentives reduce operational costs for companies, making the Philippines an attractive destination for outsourcing customer service.
Meanwhile, the IT and Business Process Association of the Philippines (IBPAP) created Roadmap 2022, which was designed to help the Philippine economy rebound and continue growing despite the challenges posed by the global pandemic. The strategies included are aimed at strengthening telecom infrastructure to support long-term remote work, accelerating investments in talent development programs, and enhancing digital and cybersecurity initiatives.
Delight your customers and keep them coming back by providing them the support they need when they want it.
At KDCI Outsourcing, we take after hours support seriously, and make it a point to build offshore customer support teams in the Philippines that not only have the skills and expertise you’re looking for, but also the soft skills and cultural fit needed to integrate well with your organization and serve as ambassadors of your brand.
Learn more about after hours customer service outsourcing in the Philippines. Contact us today!
“The important thing about outsourcing or global sourcing is that it becomes a very powerful tool to leverage talent, improve productivity and reduce work cycles.” said Indian tech magnate, Azim Premji.
In this article, we’ll review research, case studies, and the opinions of industry experts, to gain a better understanding of the benefits of software development outsourcing.
According to Andy Hilliard, CEO of software development company Accelerance, companies can save between 30% to 70% by outsourcing software development compared to maintaining an in-house team. This substantial savings is primarily due to lower labor costs in outsourcing destinations like Latin America, Eastern Europe, and Asia, where the cost of living and consequently, the salary expectations are lower compared to North America and Western Europe.
Moreover, outsourcing eliminates the overhead costs associated with hiring, training, and retaining full-time employees, as well as the expenses related to office space and equipment
Outsourcing allows organizations to leverage the talent and experience of their service providers, which can accelerate project timelines as well as improve project outcomes.
By accessing a larger talent pool, companies can collaborate with experts from different geographies, bridging fresh perspectives and specializations that may not be available in-house. Such a diversity in talent can provide an edge in today’s fast-paced technological landscape.
When outsourcing software development, you hire a third party agency to take over the hiring, training, and management of your development operations. This eliminates the need to invest in in-house resources and the responsibilities that come with it. Without this burden, organizations gain more flexibility, allowing them to scale their operations as needed.
In an outsourcing case study by KDCI Outsourcing with tech solutions company, Accesso, the offshore development team scaled up by 100% in two years and produced 7 apps, showing the scalability potential of outsourced development projects and the impressive project outcomes that may arise from such flexibility.
Outsourcing to leverage efficiency of outsourcing partners can accelerate the development projects, allowing companies to market their products or services more quickly.
In the research paper "Exploring the outsourcing relationship in software startups: A multiple case study", one of the significant benefits of outsourcing for software startups is faster time to market. Through outsourcing development, startups can bypass the time-consuming process of building in-house capabilities, enabling quicker product launches.
This strategic approach allows startups to access specialized skills that they may lack internally, enhancing the quality and efficiency of their development efforts. Additionally, outsourcing provides a cost-effective solution, reducing the need for substantial upfront investment in hiring and training new employees.
In the same study mentioned above, researchers also found that outsourcing allows startups to focus more on their core competencies and strategic goals by offloading non-core activities. This focus enables them to allocate more resources to areas that directly contribute to growth and competitive advantage.
On top of gaining expertise and leveraging an outsourcing partner’s efficiency, partnering with specialized external teams through outsourcing can help organizations leverage the latest technologies and industry best practices, further enhancing their innovation capabilities and market responsiveness.
According to "A Case Study on Risk Management Practice in Outsourced Software Migration Projects", researchers highlight the improved risk management in outsourced development projects, as vendors often employ advanced risk management practices and tools that can significantly mitigate potential risks in software migration projects."
Moreover, the case study found that outsourcing allows for the transfer of certain risks to the vendor, who may have more experience and better capabilities to manage those risks." This provides companies with a low-risk strategy for handling complex and high-stakes software projects.
Software development outsourcing companies observe key practices that ensure compliance and security in their outsourced development projects. For instance, at KDCI Outsourcing, we adhere to international standards, ensuring all legal and regulatory requirements are met.
We also implement robust data security measures, which include encryption, secure access controls, and regular security audits for safeguarding sensitive data, as well as conducting coding reviews. And to prevent security vulnerabilities in software, we adopt secure coding standards and conduct coding reviews.
By outsourcing software development projects, companies pass on the burden of compliance and security, allowing them to focus on their core business.
Software development is one of the fastest growing and also evolving industries in outsourcing today. To help companies plan their strategies for outsourcing, below are leading trends in software outsourcing, identified by key players and industry leaders.
Top analysts at Gartner found that the majority of software engineering leaders are investing in disruptive technologies to meet their business objectives.
According to VP Analyst of Gartner, Joachim Herschmann, technology trends (software engineering intelligence, AI-augmented development, green software engineering, platform engineering, and cloud development environments) are “already helping early adopters to achieve business objectives… enabl[ing] software engineering teams to deliver high-quality, scalable AI-powered applications, while reducing toil and friction in the software development lifecycle (SDLC), improving developer experience and productivity.”
Consequently, these trends are making software development outsourcing more attractive and viable, as companies can leverage these advanced technologies to enhance their development capabilities and achieve faster, more reliable results.
The demand for disruptive technologies in software engineering is expected to drive demand in software development outsourcing. As Global Newswire reported, there will be an increased demand for software outsourcing, as the IT and outsourcing market is predicted to grow at a rate of 8.06% from 2022 to 2030.
This urges software outsourcing companies to offer advanced technologies and expertise to drive innovation and give companies a competitive advantage. Such tech advancements shouldn’t only increase flexibility but also minimize the need for physical infrastructure. As these technologies enhance efficiency and productivity through automation, improve quality and accuracy with AI-driven quality assurance, and provide scalable resources on-demand, thereby reducing operational costs and offering financial flexibility.
In NDC London 2023, Richard Campbell talked about the transformative impact of cloud computing on outsourced software development, saying that “[c]loud services are transforming the way we approach software development, providing unparalleled scalability and flexibility. This shift is crucial for managing resources in outsourced projects.”
Particularly, such a shift is making the full-time-equivalent (FTE) based outsourcing model obsolete, promoting instead a volume-based approach that permits organizations to efficiently manage workloads by leveraging cloud infrastructure to provision and deprovision resources as needed.
In the advent of AI and machine learning, it’s become easier to streamline workflows and improve operational productivity in software development outsourcing.
According to research director Charlotte Dunlap of GlobalData, DevOps tools are democratizing access to advanced analytics that were previously restricted to data scientists, while MLOps extract insights from dark data, which are data collected but not effectively utilized.
Srini Kadiyala, CTO of OvalEdge, explains that AIOps is a “time- and resource- saver for software developers” as it enhances speed and accuracy during coding by replacing manual IT operations with automated platforms that handle data collection, event identification, and issue remediation without human intervention.
A holistic approach using MLOps practices encompass the entire machine learning lifecycle, from data collection and model development to deployment and monitoring, ensuring that AI models are scalable and reliable (McKinsey & Company). This allows for more efficient management of resources and quick adaptation to project needs, ultimately enhancing the quality and speed of outsourced software development projects.
The Philippine software development outsourcing industry is one of the fastest growing in Asia. As a top outsourcing destination with world-class developers, the country is quickly gaining market share in the industry, and is solidifying its reputation not only for software development but also IT.
As one of the top outsourcing service providers in the Philippines that offer customer software development outsourcing services, KDCI Outsourcing builds offshore software development & IT teams that not only have the skills and experience required, but also seamlessly integrate with any environment, ensuring smooth adoption and migration of systems, applications, and processes.
Learn more about software development outsourcing. Contact us today!
The Philippines is the world’s call center capital for a reason. Since the 1990s, the Philippines has housed many call centers, providing customer service to brands all over the world. Today, the Philippines has 432 registered call centers under Philippine Economic Zone Authority (PEZA).
With its high literacy rate, impressive English proficiency, and customer-first attitude, it’s no wonder that the country rose to the top in the customer service outsourcing world. Still, as wondering an outsourcing destination the Philippines is, there are potential downsides to outsourcing there. Keep yourself informed to mitigate the pitfalls of outsourcing to the Philippines.
Did you know that the average salary of a call center agent in the United States in 2024 is $2,692/month? Meanwhile, the cost to outsource a full time call center agent to the Philippines costs around $1,000/month.
That’s over 60% less than an on-shore agent, not to mention, the cost to outsource the Philippine call center agent is inclusive of benefits, equipment, and even administrative fee.
Outsourcing customer service to the Philippines also comes with added value – the use of AI to personalize messaging, the use of chatbots to reduce customer queries for agent resolution, and the use of automation to streamline the customer support process.
With the lower cost of labor and the enhanced efficiencies brought about by outsourcing customer service to a call center in the Philippines, companies can save up to 70% overall, giving them a competitive advantage in a volatile market.
The success of customer service relies heavily on the comprehension and problem solving ability of the customer service agent.
With the country’s high literacy rate of 97% and #2 ranking in English proficiency in all of Asia, it’s no surprise that the Philippines is the world’s call center capital.
Filipino customer service agents are built for customer support, and it shows in the high customer satisfaction, five-star ratings, and increasing number of clients that are patronizing the Philippine customer service outsourcing industry.
Filipinos are globally renowned as happy people with amazing hospitality. These traits are embedded in the country’s culture, and manifests in the ‘bayanihan’ spirit, concept of ‘malasakit’, and the ability to find humor even in the direst situations.
It is these traits that make Filipinos naturally inclined towards customer service, always putting customers first and ensuring satisfaction.
As much as 33.3% of customer service agents feel emotional exhaustion after work. After all, customer service is one of the most emotionally demanding jobs available, especially for people who aren’t built for this kind of work.
For most businesses, it simply saves themselves and their staff a whole lot of stress to outsource customer service to people who are used to it and have protocols to help them cope with the emotional stress of working in customer service. This is particularly true for Philippine call centers with decades of experience.
At the end of the day, one of the driving forces behind outsourced customer service is staff augmentation. Finding the right people just takes too much time and effort sometimes. And hiring an outsourcing company to do the heavy lifting for you is a quick and easy way to solve the problem.
When you outsource to customer service outsourcing companies, they will handle the recruitment, training, and onboarding of your offshore team, and all you have to do is work with them and help them integrate into your in-house operations.
This process is much easier in a country like the Philippines with a large pool of skilled workers. In fact, the country sees about 350,000 college graduates each year, so there’s an endless stream of highly qualified folks to choose from.
Managing your customer service operations takes a lot of time and energy. Simply hiring and training them isn’t enough; you also have to manage them, provide feedback, and continuously QA their work to ensure they are hitting their key performance indicators (KPIs).
But when you outsource customer service, you can do away with that. With customer service out of your way, you can focus on other aspects of the business, giving you more focus, which can go a long way in furthering your business objectives.
Bringing in agents to manage your customer service in-house requires a learning curve, not only for your agents but also for your organization. Everyone has to adjust to the new process and people, and in time, find a system that works well. This can take some time, and even a bit of trial and error, to get used to.
On the other hand, when outsourcing customer service to the Philippines, your outsourcing partner is a customer service expert with years of experience providing customer service to various brands from multiple industries. This gives them an advantage in terms of adapting to your brand and environment, reducing the learning curve significantly, making the process more efficient.
When you outsource to a country on the other side of the world, such as the Philippines, there are things that are out of your control. One is the management of your offshore team. Without your direct supervision, you may experience performance issues and delays in implementing changes – both of which can slow down your operations and hinder the agility of your customer service operations to deal with market changes.
Despite the Philippines being the 3rd largest English speaking country in the world, most Filipinos are not native English speakers. This can make it difficult to understand nuances that can lead to misunderstandings, impacting not only your working relationship with your offshore customer service team, but also your relationship with your customers.
Customer service agents are typically the first point of contact your customers have with your brand. This makes each agent an ambassador of your brand, and whatever they may or may not do is a direct reflection of your brand.
With 64% of customers saying they’ll find another brand if a company doesn’t offer good customer service despite having great products, working with an offshore customer service team who you cannot directly oversee opens up a huge risk for your brand’s reputation.
This is why it’s crucial to work with a Philippine outsourcing company with a reputation of providing excellent customer service.
It’s complicated outsourcing your customer service to the Philippines. Companies should know about the strict labor laws that safeguard workers' rights. Such laws require employees to have benefits, minimum wage, and job security.
Unless you’re aware of these costs, you may mistakenly think you’re only paying agents’ salaries, which is not the case when you outsource. And should you fail to comply with these laws, you will face legal repercussions such as fines and penalties, bringing up your total outsourcing costs and possibly canceling out the savings that first urged you to outsource.
To easily prevent this, work with a reputable outsourcing agency who will take care of your offshore customer service team. They would know the ins and outs of Philippine hiring practices best, and the outsourcing fee you pay them should cover all the expenses associated with maintaining your offshore customer service agents.
Despite heavy investments in the development of infrastructure, the Philippines still faces challenges with infrastructure and technology, particularly in rural areas. Poor internet connectivity and frequent power outages can disrupt customer service operations, leading to delays and dissatisfaction.
Moreover, outdated technology infrastructure hinders the adoption and implementation of advanced customer service tools and platforms, affecting service efficiency and quality. These issues necessitate significant investments in infrastructure improvements and technology upgrades, which can be costly and time-consuming for outsourcing firms.
To avoid this, work with an outsourcing company that is based within Metro Manila; ones with redundant electricity and internet are preferred.
Outsourcing customer service to the Philippines involves sharing sensitive customer data, which can pose significant security and privacy risks. Through the years, the country has faced issues with data breaches and cyber-attacks that can compromise customer information.
Compliance with international data protection standards, such as GDPR, requires rigorous security measures that might not always be fully implemented.
You must find a customer service outsourcing company who has robust cybersecurity protocols in place. Not only that, they should continuously monitor and stay up to date with cybersecurity to avoid cyber crimes or theft, which are ruinous to a brand’s reputation.
The Philippines often faces natural calamities in the form of typhoons and earthquakes, which can disrupt day to day operations. Not only will these create communication, they can also totally suspend your offshore team, leaving your customers hanging without support.
To counteract these dangers, you should allocate funds for disasters’ recovery strategies and pay for absence complications which happen to be both expensive and difficult. In addition, prepare a back-up and diversify your outsourcing partners.
Despite the pitfalls of Philippine call centers, outsourcing customer service to the Philippines remains a top choice for many brands globally due to its proven benefits – cost efficiency, amazing talent, excellent English, and customer-first attitude.
If you want to get peace of mind and ensure your customers are treated well, build your offshore customer service team with KDCI Outsourcing. We specialize in finding the right people for your team; not only do they have the skills and experience that fit your requirements, they also mesh well with your culture to ensure seamless integration with your in-house team.
Learn more about outsourced customer service. Contact us today!
Legal process outsourcing, or LPO, is the practice of a law firm or legal department enlisting outsourced legal services from a third-party agency or individual to provide support for their legal processes. The most common reasons for outsourcing legal processes are to access specialized legal expertise, improve operational efficiency, eliminate staffing concerns, and reduce costs.
The types of legal services involved in LPO may be as simple as administrative support or as complex as litigation, with the most commonly outsourced jobs being legal support roles including paralegal, legal researcher, and contract manager.
There’s been a surge in demand for legal support services in the last few years — and as a top destination for global outsourcing — the Philippines is experiencing this trend. However, of all places, why are people outsourcing legal processes and services to the Philippines? Here are five reasons why.
Compared to Western countries, the Philippines has a significantly lower cost of living, reflected in the lower labor rates of legal professionals. For instance, the average rate of a paralegal in the US is $4,465 USD per month while it’s only $503.96 USD a month in the Philippines. With the other fees involved in outsourcing such as management, equipment, and benefits, the cost of outsourcing one paralegal to the Philippines is around $2,900 USD.
By outsourcing legal processes to a Philippine BPO service provider, law firms and legal departments can reduce their spending on staffing by up to 70%!
The Philippines has thousands of law graduates every year, most of whom are well-versed in common law systems similar to those in Western countries. By working with Filipino legal professionals, law firms and legal departments can expect high standards of legal expertise and a smaller learning curve.
The Philippines is the third largest English-speaking country globally, ranking second for English proficiency in Asia. Not to mention, Filipino culture shares similarities with Western culture, making it much easier to communicate and collaborate well with legal support staff from the Philippines.
In line with the global demand for innovation, most legal outsourcing companies in the Philippines are picking up new technologies such as AI, machine learning, and blockchain to make legal process outsourcing more effective, secure, and cost-friendly.
These advancements allow companies to offer more flexibility in outsourcing engagement models that tend to focus on volume rather than full-time equivalents (FTE).
With Philippine legal outsourcing companies undergoing digital transformation, they can better scale their legal operations, providing clients with improved flexibility so they can adapt to changes in business demands and the market.
This becomes a great advantage to maintain competitiveness in the market, and this reason alone makes the Philippines a good destination for outsourcing legal processes.
Looking to outsource your legal services? Below are the top legal outsourcing companies in the Philippines.
Based in Ortigas CBD, KDCI Outsourcing is one of the best LPO companies in the Philippines that provides tailored legal process outsourcing services. This BPO company is known to build great offshore legal services teams by finding the right fit through sourcing roles such as paralegals, legal researchers, and contract administrators.
For law firms and legal departments looking for extensions of their in-house teams, KDCI Outsourcing is a great option for high-quality legal support at competitive costs.
Connext Global is a foreign-owned Philippine legal process outsourcing company known for its committed teams and flexible legal outsourcing services. With extensive knowledge in the outsourcing industry, this BPO service provider can customize the legal services they provide to individual clients.
Some of the key legal positions that are available in Connext Global include legal assistants, compliance officers, and intellectual property specialists. This LPO provider is ideal for businesses looking for highly customized LPO solutions with a focus on quality and client satisfaction.
With headquarters in the United States and other countries, Flatworld Solutions is another key player in the outsourcing industry with a global spread of service centers in the Philippines. Its outsourcing service solutions involve handling voluminous legal projects with a cost-effective and time-bound approach.
Specializing in legal research, litigation support service, and document management, Flatworld Solutions is one of the best Philippine BPO firms for companies seeking scalable legal support services and a strategic outsourcing partner.
Sourcefit is a foreign-owned outsourcing company — headquartered in Metro Manila and other parts of the Philippines — that provides an unmatched customized LPO, or legal process outsourcing. Their unique selling proposition (USP) lies in the integration of sophisticated technologies and skilled legal professionals to deliver the most accurate legal solutions.
The company’s top outsourced roles are legal administrators, document reviewers, and compliance specialists. Promising excellent customer experience, Sourcefit is ideal for businesses looking for innovative, technology-driven legal process outsourcing.
Baer Reed is based in the Philippines and is a foreign-owned company that specializes in top-class quality LPO services. The company's USP is its team of experienced U.S. lawyers who supervise and take responsibility for the quality of all work sent out. Important job roles include contract reviewers, legal researchers, and legal project managers.
This LPO provider is a highly recommended company for U.S. law firms and corporations looking to maintain very high legal standards while outsourcing their corporate legal departments.
A multinational company, Infosys BPM has numerous service centers across the globe, one of which is in the Philippines. Their USP in the LPO market is strong process automation and analytics capabilities, making them highly efficient and accurate.
Their BPO services include contract management, litigation support, and legal research. This outsourcing service provider is the best option for big companies seeking a dependable and technically advanced LPO associate.
Based in the Philippines, PITON-Global is an onshore outsourcing firm distinguished for its LPO expertise. Their USP demonstrates a deep understanding of local and international legal landscapes that enable one to provide individualized legal solutions.
This outsourcing service company is particularly good at legal transcription, document review, and paralegal support. This BPO company fits best with those law firms and businesses that seek effective yet low-cost solutions, where knowledge is power in terms of legal support.
A BPO company, though LPO-capable, primarily operating from the Philippines with its headquarters there, is Microsourcing. It has flexible outsourcing models and a commitment to high-quality service delivery. This LPO firm mainly deals with the management of compliance in legal research and the drafting of documents. This company would be recommended for any organization looking for adaptability and reliability in legal outsourcing services.
Emapta, the Philippines-based foreign-owned outsourcing company, offers an extensive array of LPO services. Their unique selling point is the building of dedicated teams that are an extension of the client's in-house team. The LPO provider offers outsourced roles for legal researchers, compliance officers, and contract administrators. Emapta is best if you're looking for a seamlessly integrated outsourced legal staff within your internal legal operations.
Outsourced PH is an LPO company established in the Philippines and is foreign-owned. This BPO service provider stakes its reputation on quality assurance and solutions specifically designed for its clients. Their LPO services include legal counseling, legal transcription, and compliance. Offering legal assistance with speed and accuracy, Outsourced PH is ideal for any enterprise or legal firm in need of very reliable, customized legal outsourcing services.
Legal process outsourcing can help streamline operations, reduce costs, enhance efficiency, ensure compliance with regulatory requirements, and improve overall service quality. If you’re on the hunt for the best LPO companies in the Philippines, check out KDCI Outsourcing.
At KDCI Outsourcing, we will build your offshore legal support team in the Philippines based on your requirements to ensure seamless integration with your in-house operations, as well as provide advanced technological capabilities with AI to enhance efficiency and compliance in your legal processes.
Contact us today, and let's help you establish an offshore legal department in the Philippines.
Managing human resources, ensuring they’re paid, keeping them engaged, while complying with labor laws and regulations can be a bit much even for established companies. This is why more and more are outsourcing HR, especially to developing countries like the Philippines.
Find out more about Human Resources Outsourcing and discover why you should or shouldn’t outsource human resources to the Philippines!
HR Outsourcing, Human Resource Outsourcing, or HRO, is the process of contracting an agency or individual to manage a function or the whole process of human resources or HR. This typically involves outsourcing HR services such as recruitment, payroll, and training and development to help reduce costs, increase efficiency and productivity, and improve scalability and flexibility.
Some of the most commonly outsourced HR roles are HR generalist, compensation and benefits analyst, payroll specialist, training and development specialist, and HR compliance officer.
Human Resources Outsourcing (HRO) is a growing industry, with the Philippines as one of the fastest-growing markets. If you’re thinking of where to outsource HR and you’re considering the Philippines, below is a list of benefits that may help you decide!
One of the main reasons why the Philippines is an increasingly popular destination for HR outsourcing is because of its lower labor costs. While it costs $3900/month to hire an HR specialist in the US, outsourcing an HR specialist to the Philippines costs about $1500/month.
Not only is the rate much lower, but the outsourcing cost already covers operational costs, resources like laptops, internet, and power stations, as well as benefits, on top of the basic salary. This allows companies to save up to 70% in labor and operational costs.
The Philippines puts a strong emphasis on education, having a 97% literacy rate. It also produces a large number of graduates yearly and has an active workforce of 49.48 million people in 2024. Not to mention, Filipinos have made a name for themselves in the outsourcing industry with the Philippines as the world’s call center capital.
These highlight the caliber of Filipino HR professionals, making it easier to find the right person with the set of HR skills and experience you’re looking for.
When it comes to human resources, soft skills matter a lot. That’s why outsourcing human resources functions is a more delicate matter than outsourcing other functions that require less cultural compatibility.
However, thanks to the Philippines’ Westernized culture, Western business practices and corporate culture are no longer new, and any learning curve when working with Western organizations is short, making collaboration much smoother.
Not to mention, Filipinos are culturally very hospitable and optimistic. In fact, the Philippines was voted as one of the friendliest countries in the world. Such traits manifest well in the HR profession, a testament to the service orientation and adaptability of Filipino HR professionals that make them effective in handling employee relations and customer service functions.
When it comes to the number of specialized HR outsourcing services, including payroll processing, recruitment, employee training and development, benefits administration, and compliance with local labor laws, the Philippines is never going to come up short.
There are plenty of HR service centers in the Philippines with extensive experience serving various industries, including IT, healthcare, finance, and customer service, providing tailored solutions to meet specific business needs.
Many Filipino HR professionals also obtain globally recognized certifications, such as those from the Society for Human Resource Management (SHRM) and the HR Certification Institute (HRCI), which help maintain high standards and keep them updated with global HR practices
One of the beauties of outsourcing is it provides scalability and flexibility to companies. This is even more so in the Philippines because its outsourcing companies have a large pool of ready-to-work HR professionals and the country’s BPO industry is so large, that hiring, training, and getting them on board is a quick process that boosts scalability and flexibility even more.
This means Philippine HR outsourcing companies can act fast, allowing companies to more quickly adapt to changing business needs, without the delays and costs associated with hiring and training new staff internally.
Additionally, HR outsourcing in the Philippines comes in multiple engagement models, and agreements often come with flexible terms, enabling companies to choose HR outsourcing services that best fit their requirements and adjust them as needed.
Filipino HR outsourcing service providers leverage the latest human resources software and technologies, offering companies access to advanced tools for payroll management, performance tracking, and employee engagement.
Moreover, the outsourcing industry in the Philippines is known for its focus on continuous improvement and innovation, ensuring that HR processes remain efficient and up-to-date with global standards.
HR involves quite a number of laws and regulations that vary depending on your geography. To ensure your compliance, there are plenty of Philippine HR outsourcing companies that have worked with other companies in your location – this makes it easy for them to navigate HR requirements in your area, ensuring compliance and reducing the risk of legal issues for foreign companies.
It also helps that Philippin HR outsourcing agencies have protocols in place to keep them updated with changes in legislation and best practices, providing you with peace of mind regarding their HR compliance.
Even if the Philippines is a popular destination for HR outsourcing, there are disadvantages that you should consider. Below are some of the most common pitfalls of outsourcing human resources to the Philippines, along with some tips on how to mitigate them.
A common challenge that companies may encounter when outsourcing to an offshore location like the Philippines is time zone and cultural differences. The Philippines is in a different time zone from many Western countries, which can lead to challenges in real-time communication and coordination. This may affect the responsiveness and timeliness of HR functions.
And though Filipinos speak very good English, there are cultural nuances in the English language that may still lead to occasional misunderstandings, impacting the clarity of communication.
While there’s little one can do about inherent cultural differences, practicing clear and open communication always helps. Meanwhile, time zone differences can easily be bridged by setting your offshore team’s work shift to match your hours to ensure smooth collaboration.
Outsourcing involves sharing of data, which opens up companies to privacy and security threats especially if the outsourcing partner doesn’t observe proper safeguards and protocols. While the Philippines has data protection laws (such as the Data Privacy Act of 2012), they may not be as stringent as those in the US or EU. Ensuring compliance with international data privacy standards can be challenging.
To ensure utmost security and privacy, finding a reliable outsourcing company that meets data protection standards such as General Data Protection Regulation (GDPR) is a must. Better yet, you should prepare a risk management and recovery plan to cover all your bases.
Outsourcing HR functions can lead to loss of control over key HR processes, which may make it challenging to maintain the same level of management and influence as with in-house human resource department. This can mean misalignment in terms of company policies, culture and values, or lack of quality control, both of which can impact HR service delivery in the form of inconsistent HR practices and employee experiences.
It can also mean challenges in the integration of the outsourced HR provider’s systems with the company’s existing HR and IT infrastructure can be complex and require significant effort and resources.
When it comes to these challenges, assigning an in-house liaison and setting clear expectations and preparing for a smooth transition are key.
An in-house HR expert who can focus on the outsourcing partner’s management helps ensure alignment. Meanwhile, having set KPIs and a QA process or even having your outsourcing partner assign a dedicated QA specialist helps ensure consistency in HR services quality.
As for integrating outsourced and in-house HR systems, develop a phased integration plan with thorough assessments, robust data migration protocols, continuous monitoring, and regular communication between internal IT and the outsourced provider to ensure smooth and efficient system integration.
While the cost of outsourcing HR is typically agreed upon during contract signing, there are instances where additional costs are incurred due to unexpected integration challenges, the need for specialized software, compliance with new regulations, or unforeseen increases in service requirements.
Not only that, some Philippine outsourcing agencies require long-term contracts which can lock companies into agreements that may become less favorable over time. Renegotiating or exiting these contracts can also incur additional costs.
To avoid these, it’s best to carefully weigh the costs and benefits of offshore outsourcing before signing any contract. Find out potential additional costs as soon as possible even if they are not yet relevant to you. And if you think there’s a possibility of terminating contracts early, opt for Philippine outsourcing companies that offer shorter contracts.
When outsourcing HR functions, in-house staff may feel threatened or undervalued, impacting the organization’s morale and lowering engagement. Effective communication and change management are crucial to mitigate these effects.
Meanwhile, the physical distance between the outsourced HR team and the company’s employees can lead to a lack of personal connection, potentially affecting employee satisfaction and engagement as well.
Companies become dependent on the reliability and performance of the HR outsourcing provider. Any issues with the agency, such as financial instability or service disruptions, can directly impact the company’s HR functions.
Not to mention, over-reliance on outsourced HR services can lead to a decline in in-house HR expertise, making it difficult for the company to bring HR functions back in-house if needed.
To mitigate dependency on HR outsourcing providers and maintain in-house expertise, companies should diversify their outsourcing sources, retain critical HR functions internally, and invest in continuous training for their HR staff. Additionally, establishing clear service level agreements (SLAs) and having contingency plans for potential service disruptions or provider instability are essential.
Considering outsourcing HR to the Philippines? With the country’s robust HR staffing services, there are many agencies and even more HR professionals available, making it overwhelming to choose the right people for your offshore HR team.
At KDCI Outsourcing, we specialize in finding the best people who not only fit your needs but also mesh well with your in-house organization to ensure you’re building your offshore HR team for success!
Learn more about HR outsourcing in the Philippines, contact us today!
Search engines have been around for over 20 years, and to this day, the majority (53.3%) of all website traffic comes from organic search. In fact, 60% of all online generated leads are organic, with a whopping 14.6% close rate. But in an era of tech innovation, AI, and sophisticated marketing strategies, how does one play the SEO game? The answer for most – SEO outsourcing.
Search engine optimizations (SEO) outsourcing is the practice of hiring a third-party agency or professional to improve the performance of your website on search engines, and enhance your digital presence. Below we’ll discuss the benefits and drawbacks of SEO outsourcing services, as well as why you should consider outsourcing it to the Philippines and which roles you can outsource.
In 2023, around 37% of all services outsourced to the Philippines are related to design & marketing. Of these services, one of the most in demand is search engine optimization or SEO outsourcing as it is a long-term strategy that requires careful research, consistent execution, and analytics.
Though some companies choose to invest in internal SEO teams, many opt to outsource SEO instead for the reasons listed below!
59% of companies outsource to reduce spending.
In 2024, the average cost of hiring an SEO specialist is $20.88/hr and the cost of tools and software go as high as $5,000 a year. That’s easily ~$4,000/month, significantly higher than outsourcing to developing countries like the Philippines, where the average cost of outsourcing one SEO full-time-equivalent (FTE) typically costs less than $2,500.
Not to mention, building an entire SEO team means more than hiring an SEO specialist; you would need content writers, link building specialists, and more. On the other hand, SEO outsourcing services are available on multiple engagement models, giving you the flexibility to work with dedicated professionals, or outsource SEO projects. It also allows you to access SEO software and tools that are otherwise very costly to maintain.
Optimizing SEO for a particular brand and industry takes time and experience that most individuals don’t have. Hiring someone in-house requires a learning curve that can take anywhere from a couple of weeks to a couple of months.
When you hire a SEO outsourcing company, they have the combined expertise of multiple specialists and have experience working with multiple brands and industries. These allow them to more easily find what works best for your brand and what doesn’t, making it quicker to see results.
Outsourcing agencies that specialize in SEO have years of experience using SEO best practices and sophisticated tools and software to improve website performance and SERP rankings. This knowledge comes in handy when designing a marketing strategy that will help you reach your SEO goals.
They can create actionable plans and help you set expectations about your SEO strategy. Better yet, they can give you regular updates based on analytics that will otherwise be confusing to navigate and make sense of.
Having someone else who is experienced in SEO step in and give you a clear marketing strategy also helps put your mind at ease and makes it easier to project ROI.
When you skip the learning curve, not only do you get enhanced marketing strategy, but you also skip the waiting part and move on to results much faster. SEO outsourcing companies are experienced with optimizing websites and content to help you not only rank on search engine results pages (SERPs), but also target the right audience so you can get qualified leads.
On average, it takes an agency at least three months to see traction on SEO, whereas in-house teams with trial and error take six months or more. And even then, to actually convert engaged users into qualified leads may take even longer.
Any business strategy aims to generate ROI. By outsourcing, you get a clearer picture of when you can achieve ROI, rather than playing the waiting game and hoping for the best.
A business that performs well scales its operations. If you plan to grow your business, you should also prepare for when you should scale your operations. While preparing your recruitment team to hire more SEO specialists helps, this can be a problem if you’re uncertain of how much you’ll be ramping up your SEO operations.
If you’re in the retail sector where demand spikes seasonally, then having a SEO team who can increase their capacity a couple of times a year is the perfect set up. Outsourcing makes this possible by adding more staff to your outsourced team whenever needed, while reducing it to status quo the rest of the time.
This eliminates the worry of having to hire and lay people off – your outsourcing partner has the people to reallocate, so you pay only for the outsourced SEO services you need.
While Google Analytics and Google Search console are free SEO tools, sophisticated ones that offer more in-depth analysis to help you optimize and implement your SEO strategy cost money and paying for multiple tools monthly can quickly add up.
For example, plans from Ahrefs and Moz start at $99/month, while one from SEMrush starts at $119.95/month. These, along with other tools like SpyFu, Screaming Frog, SurferSEO, and Majestic require money to help fine-tune your SEO strategy further.
SEO outsourcing companies have access to all of these as they already provide SEO services to other clients. When you work with them, you get to use all of these too, without having to pay heftily on subscription fees.
As much as we love to boast the benefits of SEO outsourcing, it’s not a be-all-end-all solution that comes with no strings attached. It has its drawbacks, and if you’re considering SEO outsourcing, you should learn about them and mitigate them before you outsource your SEO.
Outsourcing SEO services to a third-party agency means you give control over your SEO to your service provider. Depending on how you communicate with your outsourcing partner, they may or may not employ strategies that align with your overall marketing goals, which may lead to inconsistencies in your messaging.
At the same time, you may experience delays in implementation of SEO changes because of communication gaps between your inhouse team and outsourced team.
A solution to these is to find a white label SEO outsourcing company who collaborates well with your organization. This allows you to seamlessly collaborate with your outsourced team, so you can make sure they’re aligned with your goals, and that they’re working together with your inhouse team.
Having an outsourced team, especially offshore, can mean cultural and time zone differences, which may pose a challenge in terms of smooth communication. There are important cultural nuances that can be missed by simply communicating in the same language; this may impact relationships with your outsourcing partners, and can affect the quality of service provided.
Meanwhile, having your outsourced team in a different time zone can cause delays in responses, which may in turn, delay project updates and completion.
To bridge the cultural gap with an offshore team that speaks your language, build relationships outside of work. Some ways to do this include virtual team building activities such as game nights or town halls.
As for the time zone difference, many outsourcing partners have shifting schedules, so finding one that will work your hours should help solve the problem.
Outsourced teams may not have as clear an understanding of your brand and objectives. This may lead to irrelevant content, which, though may help you rank on SERP, will not target the right audience nor reflect your brand voice. This leads to poor conversions which are going to hurt your overall marketing strategy.
At the same time, you may work with SEO outsourcing companies that lack SEO expertise; they may employ black hat techniques that can lead to penalties from search engines, thereby damaging your site’s reputation.
The easiest way to avoid these problems is finding an outsourcing partner with a proven track record of elevating branding and boosting SEO using white hat techniques. When choosing who to work with, ask for case studies to help you evaluate the company’s SEO capabilities.
Relying on an outsourcing partner helps reduce the burden on your in-house team, but at the same time, it also increases your dependence on an external team, subsequently increasing your vulnerability.
If you outsource all your SEO, your in-house team will lack SEO knowledge. Should your service provider choose to terminate the contract or make organizational changes that impact their service quality, your SEO strategies and operations are going to take a hit.
The best way to avoid this is by retaining key staff who are experts at SEO. Have them serve as a liaison between your in-house and outsourced teams, and use them as point persons for transitioning SEO processes internally in the future.
When outsourcing SEO services, it’s inevitable to share data with your service provider. This, however, increases the risk of data breaches and unauthorized access to your website and analytics data.
A great way to avoid this is by working with a SEO outsourcing company with robust cybersecurity measures that are up to par with industry standards.
Companies outsource their SEO to save on costs, produce reliable and faster results, as well as scale their operations. However, with thousands of SEO outsourcing agencies claiming to provide outsourced SEO services, where should you outsource?
10-15% of the global outsourcing market comes from the Philippines, making it the BPO capital of the world. While there are plenty of other great outsourcing destinations like India, China, and Malaysia – the Philippines remains a top choice for SEO and marketing services primarily because of its excellent English proficiency.
Filipino writers and marketers have a reputation for producing high-quality and high-converting content that not only rank on SERP, but are also relevant to the target audience. Because the Philippines has such a high English proficiency, it’s also easier to find writers who speak native English, and at a fraction of the cost of hiring someone similar in the US, Europe, or Australia.
Excellent English doesn’t only translate into high-quality and engaging content, it also means smoother communication and easier collaboration between your inhouse team and your offshore Filipino team. This means reduced delays, faster turnaround times, and quicker results!
SEO, as a whole, involves quite a number of moving pieces, any of which can be outsourced. Below is a list of the most commonly outsourced SEO processes.
Involves identifying relevant and high-traffic keywords that will help your website rank higher on search engines. It requires the use of specialized tools and expertise to incorporate selected keywords into an SEO strategy.
The practice of writing SEO-optimized content for blogs, articles, and web pages. This is typically outsourced to professional writers, and sometimes agencies with professional writers, who can produce high-quality and engaging content that also ranks well on SERP.
Acquiring high-quality backlinks from reputable websites, which helps improve your website’s domain authority or score, which is the basis of your search engine rankings. Many businesses outsource this to help them build networks and strategies that obtain relevant backlinks to their websites.
Involves the use of titles, headers, meta tags, URLs, and internal link building to optimize user experience and SEO, ultimately, to rank on search engines.
Addressing technical aspects of SEO, such as site speed, mobile-friendliness, crawlability, and indexability to improve a site’s performance. This process involves identifying and addressing issues and errors that hamper site performance and user experience.
Optimization of a business’ online presence in order to attract more local customers. This typically includes managing Google My Business profiles and local citations. It’s particularly important for businesses that have physical locations.
Setting up and monitoring of site performance using tools such as Google Analytics and Google Search Console. The objective is to track user behavior and other SEO metrics to gain actionable insights for ongoing web improvements.
Analyzing competitor websites’ strategies, weaknesses, and opportunities by looking at their backlinks, keywords, and content, with the goal of adapting best practices to improve your own website performance.
Reduce the learning curve, stretch your budget, and maximize your ROI on SEO when you outsource your SEO to the Philippines. By working with offshore Filipino marketers who specialize in white label SEO outsourcing and who speak native English, you’ll see faster results and hit your marketing targets.
At KDCI Outsourcing, we have a large pool of marketing professionals ready to help you with your marketing strategies. By building your offshore marketing team with us, you can expect seamless onboarding, clear and regular communication, as well as KPI monitoring and analytics reporting – all to ensure your operations are running smoothly and helping you get to your marketing goals.
Learn more about SEO outsourcing. Contact us today!
What started out as a few agents, has grown into an invaluable partnership with KDCI. With more than 40 team members, we are lucky enough to count as part of our Cedar Family. Thank you so much KDCI for making our Company better!
We have found KDCI to be a consistently reliable partner, always willing to ‘go the extra mile’ to ensure our valued customers receive the best possible service.
KDCI plays a very important role in our catalog and content operations. They are responsive, kind, and always willing to help us as much as possible. We have been working together for more than 4 years, and we hope our partnership will be even more fruitful in the future.
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.
We're so glad we partnered with KDCI to develop a unique platform that delivers personalized customer experiences without compromising functionality or security. It was an amazing experience, I won't hesitate to start another project with them again.
