
News
Cebu pushed as another global outsourcing hub
(January 23, 2006 - Manila Bulletin Online) - Cebu Rep. Eduardo Gullas
wants national economic development planners to further build up Cebu
as a global business process outsourcing (BPO) hub, saying a lot more
could be done to help promote the provinces qualities as an ideal
location for information technology (IT)-enabled service industries.
"Cebu can take in more BPO providers. The province has all
the attributes needed by BPO providers a business-friendly
local policy environment, extensive infrastructure, efficient connectivity
and adequate human resources," Gullas said.
Gullas, a former provincial governor, also said that with highly
competitive office rent and wages, doing business in Cebu is more
cost-effective compared to Metro Manila.
"Cebu is the center of higher learning in Visayas and Mindanao.
We produce thousands of English speaking, high work ethic, computer
literate and Internet savvy college graduates each year," Gullas
pointed out.
At present, Gullas lamented that over 80 percent of BPO providers
operating in the country are based in Metro Manila.
Cebu now hosts 12 call centers, including those operated by US-based
global BPO providers Convergys Corp., Sykes Enterprises Inc., eTelecare
Global Solutions Inc. and PeopleSupport Inc.
Convergys Cebu call center is in Banawa, Cebu City, while Sykes
is in Subangdaku, Mandaue City.
The Cebu call centers of eTelecare and PeopleSupport are both at
the Ayala Corp.-owned, 24-hectare Asiatown IT Park in Lahug, Cebu
City.
Apart from their four call centers in Cebu, the four global BPO
providers combined also operate 14 call centers in Metro Manila.
Gullas, meanwhile, urged the Central Visayas Regional Development
Council and the Commission on Higher Education to draw up a plan
to further hone Cebus competitive edge as an outsourcing hub.
"Going forward, we have to reinforce the skill sets of our
college graduates, for them to readily qualify for more IT-enabled
service jobs. For instance, we may have to identify and invigorate
two or three local universities as potential centers for English
mastery and engineering proficiency," Gullas said.
He also prodded the RDC to help identify more buildings in Cebu
that may qualify for IT zone status.
The Philippine Economic Zone Authority recently lowered from 5,000
to 2,000 square meters the minimum floor size of a building outside
Metro Manila and Metro Cebu that may seek IT zone status.
IT zone locators enjoy income tax holidays, taxfree capital equipment
importation, exemption from local governments imposts, simplified
customs procedure and permanent residency for foreign investors,
among other perks.
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