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Home » Articles » How outsourcing data entry to the Philippines can help your business

How outsourcing data entry to the Philippines can help your business

How outsourcing data entry to the Philippines can help your business

How does outsourcing data entry to the Philippines help your business?

Outsourcing data entry to the Philippines cuts costs, speeds up turnaround, and frees your in-house team to focus on core work.

  • You can lower labor and overhead costs by as much as 70%.
  • Skilled, college-educated staff handle high-volume tasks with fewer errors.
  • Your team gets more time for the work that grows the business.

Data entry is one of the most time-consuming and error-prone tasks when done by hand. Many tools exist for it, such as ProntoForms, FORM OpX, and Fluix. Still, many firms input data manually. Often, this is due to tight budgets or limited infrastructure. As a result, the wider process that relies on that data slows down.

Outsourcing data entry is a smart way to boost efficiency and cut costs at the same time. Data entry exists in nearly every industry. So any company can gain from it, no matter the field. Outsourcing is a strategic move on its own. However, offshoring data entry to the Philippines can improve those gains even more. As the world’s outsourcing capital, the Philippines has no shortage of trusted firms like Remote Employee.

Outsourcing data entry: How it works

Outsourcing data entry means you hand data entry and related tasks to a third-party provider. The data can be physical documents that need to be typed up. It can also be digital files that must move into another system. To see how firms structure this, it helps to review common data entry outsourcing models first.

Outsourcing data entry process explained
Outsourcing data entry: How it works

The data entry process may involve:

  • Word processing
  • Catalog data entry
  • Payroll data entry
  • Email processing
  • Information transferring
  • Online form billing

These are repetitive tasks that deal with data used across the business. In short, a company taps into the provider’s people and tools, then uses them for its entry work. This model sits within the wider field of back office outsourcing, which covers many support tasks.

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Advantages of outsourcing data entry

Outsourcing data entry to the Philippines brings many benefits. Below are some of the main ones.

Lower labor and overhead costs

Handing any process to offshore BPO firms like Remote Employee can reduce expenses for salaries by as much as 70%. It also saves on other overhead, such as rent, equipment, and software fees. Moreover, providers cover the cost of hiring, which adds even more savings. In short, offshore data entry lets you do more with less.

Better process efficiency

The specialists you hire through outsourcing firms are highly trained for quality work. These encoders often use the latest tools too. As a result, they make far fewer errors than in-house staff. To keep quality high, many firms also follow proven data entry best practices.

More in-house productivity

Sending data entry offshore gives your in-house team more time for core work. Without the pull of data entry, each department can focus on its main duties. For example, HR staff can build employee plans instead of typing records all day.

Faster turnaround times

Outsourcing data entry lifts performance by cutting your team’s workload. In turn, it speeds up the process itself. You delegate the work to an offshore team whose sole job is to finish it fast.

Advantages of outsourcing data entry
Advantages of outsourcing data entry

Why outsourcing data entry to the Philippines matters

The Philippines is known as the world’s outsourcing capital. Its strong BPO industry started well over twenty years ago. The Asia Pacific region has many BPO firms. Still, outsourcing data entry to the Philippines remains a smart choice. In fact, the country is often ranked the top outsourcing destination for good reason.

Low-cost labor, high-quality service

The cost of living in the Philippines is far lower than in most Western countries. So labor costs run much lower for outsourcers, by as much as 70%. For instance, Glassdoor lists the annual salary of a data entry specialist in the US in the tens of thousands of dollars. Their Filipino counterparts earn far less for the same role. However, low labor cost does not mean low quality. Service levels stay high when you outsource to the Philippines.

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Support from the government

The national government strongly backs the country’s BPO sector. As a result, BPO firms enjoy tax perks and other incentives from the government. These include tax breaks and special zones for BPO investment. Firms can register under the Philippine Economic Zone Authority (PEZA) to gain several perks, such as:

  • Income tax holidays
  • Special tax rates
  • Tax- and duty-free exportation
  • VAT zero-rating of local purchases
  • Wharfage dues exemption
  • Expanded withholding tax exemptions
  • Extended visa assistance
  • Simplified import-export procedures

English proficiency and accent neutrality

Another draw is the high level of English among Filipino workers. English is the country’s second official language. Filipinos are taught in English from primary school to college. As reported in the EF English Proficiency Index, the Philippines ranks second among Asian countries for English proficiency. The country also invests in its schools to build a strong future workforce. Each year, it produces well over a million college graduates. So firms that outsource here get college-educated staff. Filipino English speakers also carry a neutral accent, which customer service teams value.

Why outsourcing data entry to the Philippines matters
Why outsourcing data entry to the Philippines matters?

Outsourcing data entry services through Remote Employee

Remote Employee can give you data entry specialists for your data processing needs. This firm has a large pool of college-educated pros. So you will not waste time waiting for candidates. Remote Employee has them ready, and you simply pick from the choices. When you hire a data entry specialist this way, you also skip the cost of building the role from scratch.

By outsourcing your data entry through Remote Employee, you will not have to worry about support staff or other employment tasks. The firm handles all of this for you. Outsource with Remote Employee now!

Frequently asked questions

What is outsourcing data entry?

It means you hand data entry tasks to a third-party provider. The provider uses its own people and tools to do the work. So your team is free to focus on core tasks. This is a common form of back office support.

How much can you save by outsourcing data entry to the Philippines?

Firms can cut labor and overhead costs by as much as 70%. You also save on rent, equipment, and hiring. So the total savings can be large. Many small and large firms use this model.

Is the quality of Filipino data entry work reliable?

Yes. Filipino specialists are trained and often use modern tools. As a result, they make fewer errors than untrained staff. Most also have a college education.

What tasks can you outsource in data entry?

You can outsource word processing, catalog entry, and payroll entry. Email processing and form billing also fit well. In short, most repetitive data tasks can be sent offshore.

Why choose the Philippines for data entry?

The country offers low costs and strong English skills. It also has firm government support for BPO. So it remains a top choice for data entry work.

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Outsource Accelerator is the trusted source of independent information, advisory and expert implementation of Business Process Outsourcing (BPO).

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Outsource Accelerator offers the world’s leading aggregator marketplace for outsourcing. It specifically provides the conduit between world-leading outsourcing suppliers and the businesses – clients – across the globe.

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About Derek Gallimore

Derek Gallimore has been in business for 20 years, outsourcing for over eight years, and has been living in Manila (the heart of global outsourcing) since 2014. Derek is the founder and CEO of Outsource Accelerator, and is regarded as a leading expert on all things outsourcing.

“Excellent service for outsourcing advice and expertise for my business.”

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