Global companies have been outsourcing to the Philippines more and more. Not only is a wide menu of voice and nonvoice services offered, but clients can choose from different outsourcing delivery models. These models are the comprehensive delivery model, co-sourcing, facilities outsourcing, and build-operate-transfer. However, not all outsourcing providers in the Philippines supply these four models. Only innovative business process outsourcing (BPO) companies offer all four.
While many companies that offshore to the Philippines opt for the comprehensive outsourcing model – which is the traditional option where the BPO company manages operations and drives performance – not all local companies have facilities outsourcing.
What is facilities outsourcing?
Facilities outsourcing is a straightforward seat leasing model, usually with per-seat pricing. The company with the requirement will lease any number of seats that includes renting a dedicated work area outfitted with workstations and common areas. Utilities (electricity, water), airconditioning, security and sanitation services are part of the lease. Often, companies also avail of telecommunications and Internet services.
Beyond leased seats, facilities outsourcing also extends to managed services and facilities customization. A bespoke fit-out has the following components:
- Includes planning lay-out; interior design; architectural, electrical and mechanical plans.
- Bonds and permits. Includes obtaining construction bonds, building and government permits.
- Includes providing clients’ preferred workplace components such as meeting rooms, server rooms, and rest rooms, as needed.
Clients may also require the support and procurement, either through purchase or lease, of hardware, (desktops, laptops, UPS, headsets, etc.), software (licenses), and office equipment (printers, copy machines, water dispensers, projectors, etc.). Some clients even require more uncommon services such as help with legal incorporation.
What are the benefits of facilities outsourcing to the Philippines?
Just as outsourcing to the Philippines, in general, has unparalleled benefits, facilities outsourcing to the Philippines provides multiple benefits to global companies. Among the many advantages are the following:
- Availability of good facilities in several locations. While Metro Manila has many facilities to choose from, central business districts in diverse provinces all over the country also have facilities for the outsourcing industry. These facilities offer modern, secure and accessible buildings equipped with topnotch infrastructure and amenities.
- Companies can focus on their core business. Instead of using their resources managing facilities, companies that outsource facilities to the Philippines can make better use of their staff’s time and energies on what they do best. The companies will also realize efficiencies as they leave facilities management to experts.
- Reduced operating costs. Many of the countries in which facilities are offshored allow the companies to save on costs due to lower rent, lower utilities expenses, etc. Reduced operating costs allows companies to channel their revenues more productively.
- Operational flexibility. The basic facilities outsourcing model provides seat leasing, but with the offer of optional services such as managed and shared strategic or support services (among them: recruitment, HR, network and IT support). Moreover, at any time during the arrangement, the more experienced outsourcing providers give companies the option of flexing their level of engagement and deciding on the degree of control and management. These seasoned providers can quickly mobilize to accommodate changes to ensure their clients’ growth while maintaining operational continuity. Hence, a company can go from facilities outsourcing to co-sourcing or to comprehensive outsourcing or build-operate-transfer in just a short period of time with a smooth turnaround and transition throughout.