Tim discusses outsourcing in the Philippines
Tim answers the question that a lot of people have asked, “Why outsource to the Philippines?” He also explains why companies should stop worrying of the things that hold them back from outsourcing. Tim has gained an expertise in the field since he has been working in the Philippine outsourcing industry for about 15 years.
Business Process Outsourcing has been around for a while. But again, some of the commonalities people mistakes are made is they don’t do their benchmark and they don’t do due diligence. So when I speak to companies that looking to outsource in the Philippines, one of the things I do is make sure you do the proper benchmarking and when you’re looking at other vendors versus us. We tell them to ask some certain questions about other retention rates, attrition rates. How is their training program? What are their processes that are around the services that they are offering? What is their price points? How do they do their pricing and the proposals and so forth? And so we try to educate all of our customers to make sure they do the proper due diligence because there are a lot of items in the areas that are not really advertised that you don’t know. So we try to educate everybody as the best we can. We create our own book, ‘Why the Philippines?’ and it’s very informational and so we try to educate everyone we can to do this.
There’s a lot of attributes that we look at when you’re outsourcing. We look at the benchmarking of, does the outsourcing company vendor have the right environment for staff? If you’re looking to outsource to, let’s say, New York, or California, or Texas. Another commonality that we look for outsourcing is the English-speaking staff, very important. We look at other items as far as the proximity of locations of the sites, of the vendors’ locations to where the staff lives. It’s very important. We found to doing a lot of surveys that if we build the locations of our centers near where they live, the retention and attrition rates will be much more balanced. And that’s again one of the reasons the added value that Cloudstaff offers. We have a retention rate with our staff that sits around 97.5% to 98% of our dedicated staff to our clients. We sit around 1.5 attrition rate per month and again, that leads up to again providing a lot of those commonalities, engaging our staff, and a lot function. We do a lot of trips and that’s one of the reasons why we are successful at Cloudstaff.
Another really important factor when you’re looking to offshore from the United States is what’s holding back people? And the most commonly asked questions for me is they have a fear of not able to understand the culture in the Philippines and that’s I think where we come in. We do have all of our Western foreign leadership from the United States, from Australia, and other parts of the world that are living here and based here. So I personally live here in the Philippines. I go back and forth from here and my home in California, San Francisco. And the culture is very important that when we’re working with the Filipinos and working with the U.S. staff, we make sure there’s a bonding, we make sure that the companies come here, they get to know their dedicated staff because they are staff that are dedicated to the company, that’s kind of our model.
So again, some of the pitfalls of what holds companies back again is we try to educate them as best we can on the culture of the Philippines, the economy and how to scale and grow your staff. One of the value-add that we offer our companies is the staffing scale and growth. So a lot of companies out there that are outsourcing companies don’t have the ability to scale and grow because they don’t have the technology and infrastructure set up whereas we do have a lot of those areas covered. We’re able to, whether it’s 2, 3, 4, or 5, or 15 or 20 that you want to start to staff, we can start with the exact for example of two accountants, we can start with three developers, we can start with two executive assistants. We’ll start with a marketing digital manager and build and scale that team as the company grows. And then as far as from cost point, we’re able to really customize that pricing model for our customers. A lot of other BPOs will charge by the second, by the hour, and we feel it’s a better strategy. As far as operating a all-in fixed rate and where we pass on the the labor cost to the companies directly and we just charge a monthly Cloudstaff fee.
So one of the areas I want to cover today is our vision at Cloudstaff. I think when a lot of people ask us about what’s the difference, what sets you apart from all other BPOs, business process outsourcing centers in the Philippines, our vision is really wrapped around the platform comprising of people, process, culture, technology, and performance. Those are the key secret sauce that we have. This allows companies like yourself, your company to, worldwide, to create, interact, and manage their workforce via the cloud. And everyone at Cloudstaff does have a voice, it’s very important. We see yourself, leadership, as far as servant leadership which we call. We’re judged and rated by the way we perform and we treat our staff each and every day and that’s really important. We don’t believe in politics and we focus on a Two-Family Strategy Model where our home is their home, our staff. We have 9 locations and we keep that all of our site locations around where the staff live, that’s another value-add that we try to model that works for our staff, we do a lot of surveys, and find out where people live and it’s been very successful to date, putting our locations strategically throughout the Philippines — we’re in the provinces, we’re in the cities. And we’re actually getting ready to open up our next office in the province, so pretty happy about that.
We also believe in the Mobile First Strategy where we allow and we build our own mobile applications for our clients and in-house as well. We have over a hundred developers that work on mobile applications and processes for our clients so we can customize a lot of those solutions for our clients. And then the Two-Family Model Strategy which we talked about also, it’s where your staff that we hire for you is really dedicated to you 100%. They will sit in our Cloudstaff facilities but they’re 100% dedicated to you as your extended family.
So here at Cloudstaff, again, we move tasks, we don’t do jobs. Successful business process outsourcing is not about moving jobs offshore, it’s really about moving the time-consuming repetitive tasks that stop your core staff from focusing on the things that they are really important to you. The key really attributes that we focus on again is staff retention and engagement, drives recruitment, which we do. Our customers expect it from us, they expect their dedicated staff to do multitasking everyday and then the staff deserve it most of all, the loyalty and the hard work that they do everyday for us. We try to show our gratitude and appreciation for their efforts. We do a lot of retention strategy, employee purchase experiences, team building, we have a live DJ, we have our own radio station inside our lobby, trips, and barbecues — so all those add up to keeping that retention rate with Cloudstaff. Thank you very much.