Philippines - English language Proficiency
President Arroyo has not been having a good year on the political front. But she can perhaps take comfort from the economy's performance. This will mean average annual growth of about 5.5 per cent over President Arroyo's term in office.
Another area in which the Philippines has been enjoying considerable growth goes by the alternative names of 'offshoring', 'international outsourcing' or 'business process outsourcing'. These labels cover activities which are undertaken on behalf of foreign companies from rich countries, in the Philippines case especially the USA. The specific activities include call centres, legal and medical transcription services, financial services such as 'backroom' accounting and bookkeeping, animation and software development.
But the unexpectedly rapid growth has highlighted a problem, which may hold back the outsourcing boom. The problem is a shortage of suitably qualified recruits, a matter which itself raises questions about the efficacy of the Philippine education system and the continued predilection of Filipinos to go abroad in search of work. The once much-vaunted Philippine education system has come under considerable scrutiny and criticism. English proficiency is a key requirement in call centres and even in other professional areas, but according to a Business World report there is a 'deteriorating aptitude for the language' in Philippine schools, colleges and universities and a declining quality of graduates. The proliferation of educational institutions providing poor quality education has also been identified as a potential obstacle to growth while the education system has been slow to react to the outsourcing industry's needs. The government has moved more swiftly to address the industry's concerns and has allocated US$9.8 million for outsourcing training. However, this only serves to emphasise the overall problems of declining quality in the Philippine education system, a situation if not arrested and reversed will have adverse consequences not only for outsourcing, but for the economy as a whole.
Source Asean Focus Group
Asian Analysis is published by Asean Focus Group in cooperation with the Faculty of Asian Studies at The Australian National University, Canberra, Australia.
www.aseanfocus.com
www.anu.edu.au/asianstudies/
Another area in which the Philippines has been enjoying considerable growth goes by the alternative names of 'offshoring', 'international outsourcing' or 'business process outsourcing'. These labels cover activities which are undertaken on behalf of foreign companies from rich countries, in the Philippines case especially the USA. The specific activities include call centres, legal and medical transcription services, financial services such as 'backroom' accounting and bookkeeping, animation and software development.
But the unexpectedly rapid growth has highlighted a problem, which may hold back the outsourcing boom. The problem is a shortage of suitably qualified recruits, a matter which itself raises questions about the efficacy of the Philippine education system and the continued predilection of Filipinos to go abroad in search of work. The once much-vaunted Philippine education system has come under considerable scrutiny and criticism. English proficiency is a key requirement in call centres and even in other professional areas, but according to a Business World report there is a 'deteriorating aptitude for the language' in Philippine schools, colleges and universities and a declining quality of graduates. The proliferation of educational institutions providing poor quality education has also been identified as a potential obstacle to growth while the education system has been slow to react to the outsourcing industry's needs. The government has moved more swiftly to address the industry's concerns and has allocated US$9.8 million for outsourcing training. However, this only serves to emphasise the overall problems of declining quality in the Philippine education system, a situation if not arrested and reversed will have adverse consequences not only for outsourcing, but for the economy as a whole.
Source Asean Focus Group
Asian Analysis is published by Asean Focus Group in cooperation with the Faculty of Asian Studies at The Australian National University, Canberra, Australia.
www.aseanfocus.com
www.anu.edu.au/asianstudies/
posted by Abacus Communications at 12:02 p.m.
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