Benefits of Offshoring Your Recruitment Process to the Philippines – RPO

by | Aug 20, 2018 | Offshore RPO

You may not have realized it, but we all engage in outsourcing almost every day of our lives. We constantly seek someone with the right expertise, tools, and time to do certain tasks for us.

An athlete who needs new running shoes goes to a shoe store. A staffing firm who needs extra help in the recruitment process calls an offshore RPO provider.

In a sense, offshore RPO providers are the experts in their fields.

Staffing firms seek them out so they can utilize their knowledge and facilities, giving them the option to run their firms in a more hassle-free and less time-consuming manner.

And in the same way an athlete does not just pick whatever comes his way when choosing a pair of shoes, as the executive of your staffing firm, you also carefully select the offshore RPO provider you’re going to partner with.

You want the best one out there, but being the smart executive that you are, you want it to be at a reasonable price without having to give up on quality.

In terms of finding the best offshore RPO firms to partner with, cost and quality are the biggest factors to consider. Companies, big or medium-sized, are in constant pursuit of finding ways to lower their costs and raising profits, and in this case, in the recruitment area.

This has got the recruitment industry scrambling to innovate. Staffing firms started asking, “How do we further save on recruitment costs and increase efficiency?” It turns out, the answer is in offshoring.

So how does offshore RPO work?

Offshore RPO works by staffing or recruitment firms outsourcing its recruitment process, in part or in full, to other offshore firms with similar capabilities.

By having an “extension” of sorts, the client can get more work done which is especially advantageous for VMS arrangements. These offshore firms also have relatively more cost-efficient services as compared to the client’s own country.

Countries in the Asia Pacific, with its RPO market expected to expand nearly fourfold by 2022, make good RPO offshoring destinations. They’re known for their more affordable labor.

The Philippines, placed as the top outsourcing destination by the majority of global research and data companies, according to ASEAN Briefing, most specifically, is the one to watch out for. Mainly because of the Philippines’ low-cost recruitment solutions, its RPO industry is set to continue to rise in the coming years, says Staff Virtual.

But affordable labor aside, what else does the Philippines have that makes it a good offshoring site?

Benefits of Offshoring RPO to the Philippines

According to Beshouri and Farrell of Mckinsey & Company, Philippines is in a strong position to capitalize on the opportunities of offshoring. All thanks to its skilled people, supportive government policies, and industrialization.

High literacy rate and English proficiency

Literacy rate in the Philippines is relatively high. Around 95.9 percent of the total population can read and write which is among the highest in the globe, a percentage most impressive when compared to other developing countries.

Over 450,000 graduates are produced yearly. These numbers can add up to the labor pool of the country, with graduates specializing in different sectors, such as accountancy, law, and information technology.

With these many trainable and diverse workforce, it is not surprising to know that the Philippines ranked 1st in the availability of knowledge-based jobs, according to a survey by the US-based Meta group.

This large and steady pool of workers has a proficient use of the English language which is the greatest edge of the country against its competitors. Also, Filipinos have a more neutral accent compared to that of other countries.

Chosen candidates who are scheduled for interviews expect to talk to a representative who speaks the offshore staffing firm’s English accent. Talking with someone who sounds familiar due to having the same accent develops a sense of trust and familiarity.

In this sense, it makes it naturally easier for Western-based staffing firms to communicate with Filipino recruiters and sourcers.

Because communication is vital in the HR industry, what’s definitely worth taking into consideration when choosing an offshore RPO firm is the capability of the offshore RPO firm to communicate fluently and smoothly.

You see—recruitment plans need to be decided and agreed upon, resumes need to be read, candidates need to be interviewed, and if all sides understand each other, then they can produce better results.

Affinity for Western Culture

Since the end of World War 2, Filipinos have found an affinity for Western culture, specifically with the Americans. American occupation may have ended decades ago, but the cultural influence is still felt and celebrated in the country.

This intertwining of Filipino and American culture is further strengthened when many Filipinos now have relatives who work abroad or are already settling there.

Again, just like by speaking the same language, this embrace for Western culture positions the Filipinos as an easy to work with partner. This affinity to Western culture has given Filipinos better understanding of Western trends, nuances, idiomatic expressions, and work ethics.

It’s practical and nice to work with people who can understand not just your language, but the context and nuances beyond words.

Supportive Government Programs and Policies

The Philippine government has been strongly supportive of its BPO industry since 2001, as observed by this Asian Development Bank report.

Some two decades ago, the Philippine government formed Information Technology and E-Commerce Council, with its main objective being to develop the country as an E-service hub.

Just four years after, Philippine Cyberservices Corridor was launched. It was created to provide a variety of BPO services. And in 2006, the government went as far as providing education grants for training of BPO applicants.

A recent effort by the Department of Information and Communications Technology involves a training program on Information Technology-Business Process Management planned for the purpose of improving the qualifications of the local talent pool.

These policies, the Information Technology and E-commerce Council and Philippine Cyberservices Corridor, both working on improving the country’s IT services, have led to offshore RPO providers gaining more efficient and modern IT-related technology.

The training programs led by the government help in producing a more high-quality workforce that can handle these new technologies. They are now better equipped at analyzing a great amount of data, creating dashboards and summary reports, and pinpointing patterns for quick managerial decisions based on the information gathered.

Most recruitment services that are offered by Philippine RPO firms involves handling large computer data.

With the right tool to process this data and knowledgeable people in charge, Philippine offshore RPO providers have better chances of finding their staffing firm partner suitable candidates. This means better ways to communicate with clients and better ways to work with teams at home and abroad.


Due to government assistance, industrialization, in terms of modern IT, is fast improving.

In fact, during the IT & Cyber Security Forum, digital government programs meant to create stricter cybersecurity programs have been revealed. It aims to make the country a hub for local and offshore businesses.

The forum announced that an independent government agency in charge of facilitation of data privacy is set to be formed. And a blueprint for the distribution of fiber optics that is going to speed up the internet in the country has already been constructed.

Another development in Philippine IT is the popularity of cloud-based software to store data. Info Alchemy, a Filipino-owned IT consulting and Outsourcing company, reported that the Filipino IT professional is capable of developing and providing cloud-based application systems.

Strict information security, fast internet, and cloud-based software. These are all vital for offshoring recruitment since most of the services offered by RPO firms such as sourcing resumes, scheduling interviews and mailing candidates, are done virtually.

By having data protection technologies in place, Philippine firms effectively mitigate the risks of a data breach. It’s also important to note that the data collected during the recruitment process are often in great volumes.

By having cloud servers to store big data, Philippine RPO firms are going to save your company hardware costs, allow you to have disaster recovery, and increase the ease of collaboration.

Sharing data through a cloud server also makes it possible for 24-hour business activities. Staffing firms who are under VMS arrangements, where time is of the essence, are going to find this setting most favorable.

By outsourcing some of the recruitment activities, such as identifying candidates, and reading resumes, staffing firms get to save time on doing repetitive tasks and enable them to focus on working on core business.

While the foreign staffing firm sleeps at night, the RPO provider in the Philippines can continue with the recruitment processes, as usual. Their combined efforts result to double the work being done, hereby giving them higher recruitment velocity. This means that more work gets done at the shortest time possible.

The lengthy discussion on the benefits of offshoring recruitment to the Philippines all sound good and true. But as a skeptic, you may be asking “where’s your proof?”. An offshore RPO firm in the country did a series of case studies regarding their services. We’ll let the results do the talking.

Some Case Studies

In a series of case studies published by one of the leading offshore RPO providers in the Philippines, with their clients’ participation, the performance of their offshore services were quantified in terms of costs savings and revenues earned.

In terms of sourcing, the client’s in-house recruiters using the offshore sourcing services received an average of 50% more placements per month. And for every 1 dollar spent on offshore recruiting services, the client gained an average of 4 dollars in gross margin from placements.

As for VMS recruiting services, offshore Philippine recruiters were found able to match the performance of the client’s in-house recruiters, but at a significantly lower cost. A solid 68 percent reduction in loaded cost per recruiter was found.

Offshore administrative support was also measured. The result turned out favorably for the client. By offshoring administrative duties to Philippine RPO firm, the client was able to save 700 thousand dollars annually. The cost to do the same administrative work was reduced by -45 percent.

As the old saying goes, numbers don’t lie. These numbers have a story to tell, and it’s pretty clear what the message is on this one. Low cost and increased profits. It has always been the goal for companies, and this is now possible by offshoring your recruitment process to Philippine RPO firms.

As an endnote

The current setting of the Philippines makes it a good RPO offshoring destination.

Filipinos have, for so long, been fluent English speakers and they have always been known to be welcoming towards other peoples. Because of globalization, the government has found a way to make use of these qualities to help boost the economy, and they are going all-out to support the outsourcing industry.

Industrialization, in terms of modern IT, has equipped offshore Philippine RPO firms with the right tools, strategic economic policies have served as guarantee for success, great and knowledgeable supply of Filipino workforce has become a sought-after human resource, and finally, the understanding of Western culture bridges the Philippine work ethics with that of its offshore clients.

Interested in partnering with a Philippine RPO firm? Got any questions on the RPO industry in the country? Feel free to leave a comment down below.


Sources: (2018). RPO to the Philippines Set for a Banner Year in 2016. [online] Available at: [Accessed 5 Aug. 2018].

GmbH, f. (2018). Global $5.01 Bn Recruitment Process Outsourcing (RPO) Market, 2025 | Markets Insider. [online] Available at: [Accessed 3 Aug. 2018].

Asean Briefing. (2017). [online] Available at: [Accessed 3 Aug. 2018]. (2013). Philippines: BPO’s leading English Speaking Labor Force! | Daven Michaels. [online] Available at: [Accessed 4 Aug. 2018].

Medium. (2017). 4 Reasons Why Philippines is the ‘BPO Capital of the World’. [online] Available at: [Accessed 4 Aug. 2018].

Del Prado, Fatima Lourdes. (2015). [online] Available at: [Accessed 4 Aug. 2018].

McKinsey & Company. (2018). The Philippines offshoring opportunity. [online] Available at: [Accessed 4 Aug. 2018].

Asian Development Bank . (2018). [online] Available at: [Accessed 3 Aug. 2018].

Newsbytes Philippines. (2018). DICT produces first batch of business analysts for BPO sector. [online] Available at: [Accessed 11 Aug. 2018].

Rappler. (2018). [OPINION] Train law: What does it change?. [online] Available at [Accessed 4 Aug. 2018].

Israel Chamber of Commerce of the Philippines. (2017). ICCP’s IT & Cyber Security Forum: Is PH Ready to Go Digital?. [online] Available at: [Accessed 11 Aug. 2018]. (2014). [online] Available at: [Accessed 11 Aug. 2018]. (2018). Offshore Candidate Sourcing | PSG Global Solutions. [online] Available at: [Accessed 11 Aug. 2018]. (2018). VMS Recruiting Services Case Study | PSG Global Solutions. [online] Available at: [Accessed 11 Aug. 2018]. (2018). Outsourced Administrative Support | PSG Global Solutions. [online] Available at: [Accessed 11 Aug. 2018].

Jo Rebustillo


Jo started her recruitment career in 2007. Since then, she has worked with several RPO and BPO companies in different capacities. She has worked as a Recruiter covering requisitions in US, AU, EU and APAC handling volume, non-IT and IT. She has led several teams as a Recruitment Manager, Account Manager, Service Delivery and Business Development. She has also led teams in different industries such as Media and Advertising, IT, Outsourcing, BPO, Manufacturing, Military, Healthcare and Sciences. She has built teams based on their strengths and developed leaders with strong ethical values as well as aiming to beat the average. She strongly believes in integrity, strive for growth, persistence and kindness as hallmarks of a successful person and company.

Nikita Magpantay


Niki is a dynamic human resource professional with a focus on talent acquisition and HR business partnership, bringing her extensive expertise gained over 6 years. She is a versatile Recruiter specializing in diverse sectors including technical, banking and finance, logistics, sales, healthcare, and volume hiring. Niki, as an experienced HR Business Partner has proven success in aligning HR initiatives with business objectives, contributing to organizational growth. She seeks to foster positive employee relations and implementing effective engagement initiatives and business strategies while ensuring adherence to labor policies. Adept at combining a friendly demeanor with a dedicated result-oriented approach helps her bring a unique blend of empathy and strategic acumen to the workplace.

Intejar “Ram” Julkiram


With 9 years of background in RPO, Ram is adept at managing and optimizing the recruitment process for clients, ensuring a seamless and efficient experience. His skills include a deep understanding of both the IT and non-IT industries, enabling him to provide tailored recruitment solutions for the team.

Shara Jane Bonifacio


Shara Bonifacio boasts a rich and diverse career spanning more than 10 years within various industries in recruitment. As a highly skilled and effective communicator adept at engaging with people across multiple platforms, her passion lies in building lasting relationships. She excels not only in connecting with candidates but also in fostering strong ties with clients and stakeholders.

Throughout her career in industries such as Financial Services, Insurance Brokerage, Information Technology, Pharmaceutical, and Healthcare, Shara has showcased her results-driven mindset. Her penchant for challenges motivates her to continuously strive for excellence and growth.

Shara's leadership experience is a testament to her ability to guide and inspire teams, ensuring collective success and achieving organizational goals.

Evangeline “Gigi” Tilaon


Gigi, an inspiring leader, possesses nearly 5 years of expertise in the art of Talent Acquisition and boasts a distinguished 15-year legacy of visionary leadership. She is renowned for her unwavering dependability and boundless supportiveness, qualities that radiate through every endeavor she undertakes. Gigi's leadership style is characterized by remarkable transparency and hands-on engagement, underlined by a profound trust in her team's exceptional talents. She confronts challenges with fearless determination, inspiring her team to achieve greatness. As a passionate outdoor enthusiast and a nurturing fur parent, Gigi advocates for a work-life equilibrium with extraordinary grace and enthusiasm.

Randy Owen Roman


Randy brings extensive experience in the recruitment industry, spanning over 5 years. During his tenure, he has successfully managed a diverse portfolio of clients across multiple sectors, including IT, Financial, Retail, Light Industrial, BPO, Market Intelligence, and Healthcare. Randy is passionate about the outdoors and finds joy in activities like hiking and exploring nature. Equally, he appreciates the arts, indulging in music, movies, and series. As a leader, Randy exemplifies fairness and empowerment, consistently guiding and inspiring his team to surpass expectations.

Avielle Bernardino


Avielle, with 7 years of Healthcare Recruitment, is not just a leader. She is a mentor and an architect of streamlined offshore program planning. She has an innate ability to optimize processes, ensuring they align seamlessly with our clients' and program-defined standards. She empowers her peers, nurturing exceptional performance and maintaining a high level of service quality. This dedication to efficiency has set a new benchmark within our organization. She actively participates in strategic planning initiatives, driving a culture of continuous improvement. This proactive approach ensures we stay ahead in a rapidly evolving industry.

Kris Florblanco


Kris, with over six years in IT Recruitment and three years of team leadership, is known for dependability and supportiveness. Transparent and hands-on, she places trust in her team. An outdoor enthusiast, Kris faces challenges head-on to keep her team up and running.

Grace Marasigan


Grace, an empowering leader with six years in Talent Acquisition, is passionate about innovation and improvement. Balancing work quality and agility across various industries, her compassionate approach extends to her personal life as a committed vegan.

Ly Poticar


Ly brings 2 decades of expertise in the Recruitment and Staffing industry, covering various business verticals in both local and global recruitment. He has successfully led growth projects for SMBs and offshore expansion initiatives for Shared Services and other global enterprises. He seeks to continuously evolve his recruitment practices and client partnership agenda to provide innovative solutions and be a step ahead of the market trends. Ly has recruitment experience in the talent market for the following majors, as well as emerging industries: Tech – hardware/software/mobile/consulting/Web3, Online Gaming & Media, Digital Marketing, Finance – corporate/banking and fintech, Construction & Engineering, Energy, BPO, Manufacturing & Logistics.

Lara Belo


Lara brings a decade of invaluable experience in the field of IT recruitment, catering to diverse and niche IT roles. With adeptness in team management, she has led successful recruitment teams. She guides her team in effectively sourcing, tailoring recruitment strategies, and connecting top-tier IT professionals with optimal career opportunities nationwide.

Her extensive background in business development and client relations has not only led to the acquisition of new accounts that have expanded over time but also positioned her as a trusted partner for numerous clients.

Ezalyn Caberto


Eza is an accomplished RPO leader. She has a proven experience in building and leading high-performance recruitment teams.

Eza is also experienced and active in offshore RPO's management, recruiting, and consulting aspects. She has implemented several successful offshore recruiting accounts that have grown over time.

Eza is also a successful mentor who has produced budding leaders in her field. As a mentor, she has a strong focus on supporting emerging millennial team players.

Candy Poblete


Candy has been an HR Practitioner for 10 years. Her extensive experience in managing end-to-end HR facets came from various industries. She’s a champion in handling employee relations and labor relations. As a strategic thinker, she is adept at aligning HR policies and practices with the company’s goals and objectives, safeguarding the organization from legal complications, and providing employees with a secure and fair environment.

Anna Katrina Roa


Katrina, a De La Salle University graduate with a BSC in Accounting, plays a vital role in maintaining the company's financial health. She generates reports, manages budgets, and oversees the accounting department.

With over two (2) decades of experience in the recruitment industry, she is well-versed in its financial dynamics. Her expertise allows her to adeptly address the unique financial needs of recruitment businesses, making her an invaluable asset to the organization.

Jimmy P. Roa


Jimmy is a business executive in the field of BPO, RPO, IT Staffing, Technical Recruiting, Virtual Recruiting, Remote Staffing, and CAD Outsourcing. Having been involved in these industries for the past 30 years, Jimmy knows what works and what doesn’t. Aside from being the CEO of Sysgen RPO, he is also CEO of Sysgen – an IT Staffing firm which he founded in 1991.

Keen to working with clients who are willing to practice the “One-team Concept”, Jimmy has been mainly responsible in growing the Sysgen Group to what it is now.

He believes that clients are partners and that a true alliance is essential in achieving overall goals of cost savings and process improvement.