BPO is one of the fastest-growing industries, especially in India, China, Malaysia and the Philippines. Compared to these BPO giants, BPO sector in Vietnam is relatively young and smaller in both size and revenue. However, the competitive advantages and potentials for growth in Vietnam are strongly present, even tremendous.
Why Vietnam should definitely be at the top list of your BPO decision? Find out with us!
Business Process Outsourcing (BPO): One of the fastest-growing industries
Business Process Outsourcing (BPO) is one of the fastest-growing industries in the world. The global BPO market could hit USD 525.2 billion by 2030, registering a CAGR of 9.1% from 2022 to 2030.
BPO is definitely not something new in the business solutions landscape. The benefits for clients are enormous, most remarkably including lower costs, higher efficiency, the ability to focus more on core business functions, and advantages for global expansion.
Businesses of all sizes are turning to BPO providers to handle a wide variety of tasks, from customer service and technical support to data entry and payroll processing.
The appeal of BPO is clear: It allows businesses to focus on their core competencies while outsourcing non-core or repetitive tasks to specialized providers. As the industry continues to grow, it is poised to provide new opportunities for businesses and workers around the world.
Vietnam in the Top 5 Outsourcing Locations in the World – A.T. Kearney Report 2019
Let’s take a look at the 2019 A.T. Kearney’s Global Services Location Index (GSLI) – an indicator of a country’s potential and fit to deliver business services to global companies.
Vietnam was ranked at Top 5 outsourcing locations in the world, in which our financial attractiveness scale was as high as India at 2.82 points, skills and availability are rated higher than Malaysia and Thailand, while the business environment is perceived as more attractive than India and Indonesia. This ranking further proves that Vietnam is one of the options worth considering.
Outsourcing to Vietnam: BPO services as an emerging outsourcing sector
Indeed, Vietnam is backed by a young population and a skillful workforce that can meet diverse market demands for different types of services. While average costs of compensation and infrastructure, as well as regulatory tax burden, remain attractive, the country has been paying greater attention to education and drawing vast investments in Information and Communication Technology (ICT).
According to the statistics, in 2019, there are 55 mil people of the working-age among a total population of 96 mils. Specifically, in Q4 2019, it is an increase of 502 thousand people compared to the same period last year.
Out of the total number of people participating in the workforce in 2019, about 13 million people have been trained with Diplomas and Certificates.
Employed workers continued to increase by 20% among all economic sectors. Labor structure shifted rapidly; however, jobs requiring skills are limited. With these changes in the economic system, the BPO sector for office service jobs like IT, Customer Services, and Accounting will be an edge in Vietnam.
With all the promising talents and incomparable cost advantages on top of the young, dynamic, open, and creative business environments, it is fair to say that Vietnam is one of the world’s most desired providers of BPO services.
Like what our Founder and CEO – Ms. Thuy Doan has seen, believed, and pursued throughout these years since 2015 when establishing Innovature Consulting:
“I strongly believe Vietnam, a country with smart and talented young professionals, can compete with BPO giants like India and Philippines in outsourcing services that offer a higher level of customization, accuracy, timeliness and creativity.”
With all the above reasons, will you choose Vietnam as your next BPO partner?