Business

Why global BPO firms bet big on the Philippines

Business process outsourcing, or BPO, firms continue to target the Philippines as a prime hub for strategic outsourcing.

From acquisitions to regional expansions, the archipelago is increasingly viewed not just as a cost-effective location but as a core growth engine for the global BPO industry.

TDCX expands with Open Access BPO acquisition

Singapore-based TDCX has added another feather to its cap by acquiring Open Access BPO, a US-headquartered firm with operations in the Philippines.

While the financial details remain under wraps, the companies have agreed to retain their individual brands, ensuring a smooth transition for staff, clients, and partners alike.

Founded in 2006, Open Access BPO provides end-to-end operational support across a diverse portfolio of industries – including health care, fintech, e-commerce, and human capital management.

The acquisition aligns with TDCX’s ongoing expansion in the Philippines and Taiwan, allowing the company to broaden its talent base and service capabilities across high-growth sectors.

Also Read: AI in the Philippines' BPO industry

Logix BPO plants roots in the Philippines

Logix BPO has also officially designated the Philippines as its new global headquarters.

For COO Chris Mackintosh, who moved to the country nearly two decades ago, the decision is both strategic and personal.

“I found the best voices, crazy-good enthusiasm, and fun people to work with day after day,” he said. “The people here are also driven to achieve, so it’s a no-brainer.”

CEO Anthony Godley echoed that sentiment, citing his stints in Manila and Cebu as formative. “When given an opportunity, the people there will grab it with both hands,” he said, highlighting the work ethic and family-oriented mindset of the local youth.

With an eye on long-term sustainability, Logix BPO isn’t just chasing scale. The firm said it remains anchored to its guiding principles: investing in people, delivering exceptional service, and building an ethical, culturally aware business.

Their presence in well-established hubs like Cebu and up-and-coming locales like Iloilo underscores a dual-pronged approach: deliver value while staying agile. Satellite offices in South Africa, Kenya, and India round out the company’s global footprint.

“In global BPO, there are always different challenges. It’s about keeping both clients and staff happy, which is a constant plate-spinning exercise and a typical day in BPO,” Mackintosh said.

Yet, he believes the company’s deep knowledge of the Philippine labour market gives it a competitive edge, especially as businesses grapple with rapid tech disruption and rising customer expectations.

“The positive side is [Logix] will have the knowledge and expertise to stay ahead of evolving technology and people development.”

CloudStaff bets big on Davao

The Philippine BPO industry extends beyond Metro Manila to other regions in central and southern Philippines.

For one, Davao City in the south is no longer flying under the radar. Back in March, CloudStaff opened its newest office at Damosa IT Park – its 14th site in the country – marking a significant milestone for the Mindanao region.

As the first PEZA-accredited IT park in the area, Damosa IT Park symbolises a bold push to create a future-ready business environment.

“CloudStaff’s entry into Damosa IT Park reinforces our vision of making Davao one of the top outsourcing hubs in the country,” said Ricardo Lagdameo, president of Damosa Land.

Also Read: PH digital economy promises growth

The development offers modern, energy-efficient office spaces, robust infrastructure, and a strong focus on sustainability – all designed to appeal to global IT-BPO players.

Miki Carbonel, global chief recruitment officer at CloudStaff, spoke of the rationale behind the new location: “We chose Davao because of its rich pool of highly skilled talent, its growing infrastructure, and the strong support from the local community.”

The move also reflects a broader trend – firms are no longer clustering only in Metro Manila or Cebu.

As talent becomes more distributed and connectivity improves, regional cities like Davao are coming into their own. With a blend of high-quality talent, pro-business policies, and increasing infrastructure investment, these secondary cities are proving fertile ground for global BPO expansion.

The Philippines as an epicentre of outsourcing

Across these developments, one common thread emerges: the Philippines is evolving from a BPO outpost into a strategic headquarters for global operations. Affordable wages, a youthful and educated workforce, and a cultural affinity for service excellence continue to make the country attractive.

Today, however, businesses are also looking at long-term value by investing in communities, prioritising employee wellbeing, and adapting to regional strengths.

As labour markets shift and customer demands rise, the Philippines appears to have cracked the code. Rather than chasing BPO trends, it’s setting them – turning itself from a low-cost alternative into a high-value partner in global business.

Browse more in: