Is Naga City rising as the business process outsourcing center of Bicol?
Away from Mega Manila into the provinces where cost is cheaper and labor supply is plentiful, call center services or the business process outsourcing is finding Bicol, particularly the city of Naga and nearby provincial capitol complex in Pili of Camarines Sur, an ideal location.
There are three BPO centers in operation in the city which include IBM, Stellar and Concentrix with about 3,000 personnel while the Sutherland facility in Pili has 1,500 phone answering employees.
A new development is beefing up the BPO industry’s foothold in the Bicol city with an upward trend in operation push for expansion.
There is the new construction of a 5-storey building beside the Jesse M. Robredo Colliseum which will be up for completion. It will house 3,000 additional warm bodies for IBM.
Now under construction too, is the Robinsons Place Naga at Almeda bypass highway at the corner of Roxas Avenue also known as Maharlika Diversion road, which will also have a BPO center with its own building adjacent to the mall.
Meanwhile, the SM City Naga is on the verge of expansion, too, will construct an additional 9-storey building where four of its floors will be allocated for BPO services, beside the current mall.
BPO came about when western countries outsourced part of their business operations for more profits. Before, companies in the United States, as an example, maintain a bunch of people just to answer inquiries from clients. Maintaining staff for the purpose entail high cost such as salaries, benefits and other perks. The accurate answer to that was business process outsourcing.
So here, a BPO call center agent receives an average salary of P15,000 a month. This means that a company based in the USA paying one employee for US $4,000 salary a month can afford to hire 10 employees (10.6667 to be exact) as counterpart in the BPO services in Naga city.