Outsourcing Destinations: Philippines VS Latin America

Latin American countries such as Argentina and Brazil have recently changed global perception on their business-enabling capabilities. These countries were believed to be ill-equipped with outdated infrastructure and connectivity. Multinationals now consider these locations, along with Puerto Rico, top outsourcing destinations. On the other hand, multinationals have seen the Philippines as a premier offshoring destination […]

Latin American countries such as Argentina and Brazil have recently changed global perception on their business-enabling capabilities. These countries were believed to be ill-equipped with outdated infrastructure and connectivity. Multinationals now consider these locations, along with Puerto Rico, top outsourcing destinations.

On the other hand, multinationals have seen the Philippines as a premier offshoring destination for a long time because of the country’s strong developing outsourcing industry. But what makes offshoring to the Philippines a more practical option compared to outsourcing to a Latin American country?

English Proficiency and Talent

International Talents

Latin America, despite its proximity to the United States, boasts moderate ranks for English proficiency compared to the Philippines. The EF-EPI currently ranks Argentina 27th in English literacy, while ranking Brazil, Puerto Rico, Uruguay, and other outsourcing hotspots in Latin America below 30. However, the Philippines is #2 in Asia and at #14 as one of the best English-speaking nations globally.

The Philippines also boasts an ever-evolving talent pool, producing 700,000+ graduates yearly. It is important to note that computer studies and basic coding are also part of the high school curriculum in the country.

Latin American countries also produce top IT talent. Over 60% of 5,414 LatAm computer professionals say that they were back-end developers. LatAm is also touted as one of the best destinations to hire an outsourced developer because of the region’s excellent track record with using Python.

Comparatively, the Philippines and most LatAm countries are on equal footing in terms of manpower. Both countries have world-class talent capable of producing quality output. Nonetheless, given the need for seamless communication in today’s business landscape, outsourcing to the Philippines is a better decision. The country’s superior English fluency is an undeniable advantage.

Infrastructure

Ortigas Road

Latin American countries generally have top-tier office buildings in select business destinations, which include Sao Paulo in Brazil, Buenos Aires in Argentina, and other capital cities. These LEED-certified facilities signify a clear adherence to environmental standards and sustainable practices in the construction of these buildings.

The only issue with infrastructure across Latin America’s top outsourcing countries is that other business locations are largely still developing. This is due to having a lack of infrastructure.

Over in the Philippines, the country is also developing but for the most part, the entire country has quality office buildings perfect for outsourced operations throughout its capital and even in its different provinces. For example, local operators consider Skyrise 4B in Cebu and Festive Walk Tower in Iloilo to be top IT-BPO locations.

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