Corporations started outsourcing to reduce their costs from having too many workforces in-house. Now, outsourcing has evolved and has become accessible to small businesses and startups as well.

Enterprises benefit from business process outsourcing the same way small businesses do.

First, it helps them save a lot on labour costs while getting the same, even higher, quality of services from their employees.

Second, the time zone differences between the West and their outsourcing country ensures business continuity. It allows them to give extensive service any time to their local and international customers.

Last, outsourcing helps them with innovation strategies for their products. They also help improve new innovations such as artificial intelligence (AI) and automation.

Corporate outsourcing

From the time Eastman Kodak started outsourcing to IBM up to today, outsourcing is still popular even in large companies. Though they can set up their teams in-house, business process outsourcing helps them maintain within the global market by providing globalized services to customers from different countries. It also helps them get to know their audience in a different location and customise their offerings to keep them relevant.

Company outsourcing examples

Until now, large companies still practise outsourcing to flexibly expand their operations. Some of them are well-known brands such as:

Alibaba

Alibaba is China’s counterpart to Amazon and one of the largest e-commerce websites in the world. In his book, Jack Ma, its founder, revealed that they outsource most of their services. They found difficulty in hiring web developers, so they started outsourcing web development in the US. They grew their business from there, and the rest is history.

Google

Google, the leading search engine company, runs a distributed workforce. They have a mix of in-house and remote employees and outsource most back-office services to 60 different countries. Based on data from 2011, Google phone reps handle 10,000 calls a week from these countries.

Amazon

Amazon, one of the largest marketplace based in the US, outsource their customer service and inventory management. Their teams are operated by Concentrix, a call centre company with an office in the Philippines. This, according to founder Jeff Bezos, is part of their “customer obsession” by providing speedy and painless customer service.

Microsoft

Even Microsoft, one of the leading tech companies, continues to outsource their services. In 2010, they signed a deal with India-based Infosys to outsource their IT operations and tech support. This helps them cut costs and provide better service for their clients through their help desk and 24/7 solutions.

What do companies outsource

Most enterprises that outsource their services usually start with a few tasks with concrete processes. When they see success in their operations, they add more teams to help the business grow. Some of their common outsourced services are the following.

Customer service

Enterprises mostly start with outsourcing customer service for different reasons. It allows them to give 24/7 support to customers. They hire the best representatives that provide the best services to their clients. Also, through outsourcing, they can extend their services in different languages and localities.

Administrative

Administrative duties are some of the most outsourced tasks by enterprises. Virtual assistants often assist with their in-house assistants to provide extensive service to the business owner. They do several tasks from schedule management to order taking for meetings and appointments.

IT and development

Most enterprises, though capable of setting up their IT and development teams, outsource this as a strategy. They take advantage of outsourcing to improve their internal and external services to serve their international clients better.

Tax preparation

Companies with international branches also need to comply with different requirements for their operation, including tax preparation and payment. Outsourcing this to accounting and bookkeeping firms help them keep up with compliance requirements of the country their branch is located.

Payroll

It is normal for an enterprise to have a thousand employees in different locations, especially for multinational companies. This is why they outsource their payroll efforts for both local and overseas branches. This helps them manage their payroll better and more efficiently.

BPO companies for enterprises

Outsource Accelerator provides solutions for businesses of all sizes, from small businesses to enterprises. They also have comprehensive guides on outsourcing and a directory of the companies they can hire for their operations. For first-timers, they also provide advisory and co-managed solutions to help them try outsourcing and see what fits or them. To learn more, visit the Top 40 BPO companies guide.

Outsourcing salary comparison chart

All amounts are in U.S. dollars (USD$) per annum

JOBSPHILIPPINESU.S.U.K.AUSTRALIA
Accountant$5,959$67,190$72,923$58,479
Customer Service$3,337$29,717$22,137$35,275
Copy Writer$4,767$56,600$52,088$62,653
Graphic Artist$3,883$46,658$38,668$37,596
HR Manager$9,506$78,007$46,669$66,518
IT Representatives$5,722$61,758$24,741$59,938
Project Manager$21,458$108,000$57,296$86,029
Software Developer$7,221$81,994$39,913$62,653
Software Engineer$8,333$109,087$44,459$62,653
Technical Support$4,638$36,924$35,225$38,232
Team Leaders$7,152$75,823$31,174$45,428
Virtual Assistance$2,285$42,240$39,066$31,797

Average monthly outsourcing cost guide (USD)

The total cost varies depending on the role and experience level, as well as the BPO facility, service levels and quality.

Total cost $1,200

Entry-level role

Employee salary $400-$500pm BPO facility & service $500-850pm TOTAL COST $900-$1,350pm
Total cost $1,450

Mid-level role

Employee salary $700-$800pm BPO facility & service $500-850pm TOTAL COST $1,200-$1,650pm
Total cost $1,700

Technical role

Employee salary $950-$1,200pm BPO facility & service $500-850pm TOTAL COST $1,450-$2,250pm
Total cost $2,700

Executive level

Employee salary $1,800-$2,200pm BPO facility & service $500-850pm TOTAL COST $2,300-$3,050pm

Using a BPO supplier vs. agency vs. freelancer vs. Upwork

BPO CompanyAgencyFreelancerUpwork
Best rates
Quality control
Expand and scale
Operational backup
Leadership team
Trading and upskilling
Facilities and offices
HOW WE HELP YOU

Proven outsourcing solutions for your business

Outsource Accelerator offers you a full range of independent outsourcing advisory and integration services. We are not a traditional outsourcing supplier, which is what makes us independent – and unique. Our core products make it easier than ever to explore, integrate and optimize outsourcing in your business.

FROM$6 / hr

FULL-TIME DEDICATED
STAFFING & FACILITIES

Simple pricing structure, all inclusive of the ff.

COMPLETE STAFFING

  • Dedicated full-time staffing
  • Highly qualified & professionalised workforce
  • Recruited specific to job description
  • Excellent English & cultural alignment
  • Vetting, training & onboarding

FULL SALARY, TAXES & BENEFITS

  • Gross basic salary, plus 13th month bonus (compulsory)
  • Government contributions (SSS,etc.) & Health insurance (inc. dependents)

FACILITIES

  • A-grade facilities in prime locations
  • Modern hardware, desk & equipment
  • Fast Internet, utilities & redundancy
  • Serviced office accessible 24x7*

ADMINISTRATION

  • Human resources, +/- recruitment services
  • Administration, corporate tax & compliance
  • IT support, security & redundancy
  • Company events & outings

BEST FOR

  • 1-50 staff (agile, varied roles)
  • Hands-on team management
  • Varying day-to-day deliverables
  • Cost-effective staff augmentation
START NOW compare
FROM$0.5 / hr

BESPOKE ADVISORY EXPERTISE

Compatible with any outsourcing structure, supplier or model

ONGOING OUTSOURCING CONSULTATION & ADVISORY

  • Hands-on optimisation of suppliers, facilities, & strategy
  • Mitigating overall cost by saving on prices, improving terms & outperforming deliverables
  • Structural analysis, design & implementation
  • Operational oversight & management

CALIBRATED ASSISTANCE

  • Variable oversight & assistance
  • Light advisory, to complete solutions
  • From $0.50 to $2.00 ppph

PROVEN OUTSOURCING FRAMEWORK

  • Operational & strategic needs analysis
  • Engaging the right facilities & structure
  • Recruitment, training & skill development
  • Defining deliverables, mapping & metrics
  • Managing operations, inputs, processes & outputs
  • Exponential expansion of business

BEST FOR

  • Small-medium business owners & management
  • Businesses currently outsourcing
  • Businesses about to outsource
  • Avoiding outsourcing pitfalls
START NOW compare

Staffing for any role, any sector

About Outsource Accelerator

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

The #1 outsourcing authority

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

The Outsource Accelerator website has over 4,000 articles, 250+ podcast episodes, and a comprehensive directory with 700+ BPOs… all designed to make it easier for clients to learn about, and engage with, outsourcing.

Independent trusted advice and implementation

Outsource Accelerator is the leading outsourcing advisory for the Philippines, as well as offering a full spectrum of brokerage, implementation and co-management services.

Derek Gallimore

Derek Gallimore has been in business 20 years, outsourcing 8+ years and 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.

Transform your business
Icon
CONSULT
Icon
3 QUOTES
Icon
START
Icon
FAST-TRACK
Icon
TOOLKIT
X