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The human voice as a game changer

By Natasha Singer

Vlad Sejnoha is talking to the TV again.

OK, maybe you’ve done that, too. But here’s the weird thing: His TV is listening.

“Dragon TV,” Sejnoha says to the screen, “find movies with Meryl Streep.”

Up pops a list of films like Out of Africa and It’s Complicated.

“Dragon TV, change to CNN,” he says.

Presto – the channel flips to CNN.

Sejnoha is sitting in what looks like a living room but is, in fact, a sort of laboratory inside Nuance Communications, the leading force in voice technology and the speech-recognition engine behind Siri, the virtual personal assistant on the Apple iPhone 4S.

Here, Sejnoha, the company’s chief technology officer, and other executives are plotting a voice-enabled future where human speech brings responses from not only smartphones and televisions, cars and computers, but also coffee makers, refrigerators, thermostats, alarm systems and other smart devices and appliances.
It is a wildly disruptive idea. But such systems are already beginning to change the way we interact with the world and, for better and worse, how we think about technology. Until now, after all, we’ve talked only to one another. What if we begin talking to all sorts of machines, too – and, like Siri, those machines respond as if they were human?

Granted, people have been talking into machines and at machines since the days of Edison’s phonograph. By the 1980s, commercial speech recognition systems had become sophisticated enough to transcribe spoken words into text. Today, voice technology is a fixture of many companies’ customer-service operations, albeit an occasionally maddening one.

But now the race is on to make the voice the sought-after new interface between our technology and us. The results could rival innovations like the computer mouse and the graphic icon and, some experts say, eventually pose challenges for giants like Google by bypassing their traditional search engines.

No player is bigger in voice technology than Nuance, of Burlington, Massachusetts, an industry pioneer that has acquired more than 40 companies in the field and today employs 7300 people. It is one of the companies that helped make a big technological leap from programs that take dictation to systems that actually extract meaning from words and respond to them. Now it wants to push far beyond that.

“They are the equivalent of Microsoft, Google or Amazon in a very niche technological space,” says Andrew Rosenberg, an assistant professor of computer science at Queens College at the City University of New York.

Like many new technologies, sophisticated voice systems have potential drawbacks. Some experts worry about privacy invasions, others about our ever-deepening attachment to devices like smartphones.

Humans are wired for speech and tend to respond to talking devices as if they were kindred spirits, says Sherry Turkle, a professor of the social studies of science and technology at the Massachusetts Institute of Technology.

“I’m not saying voice recognition is bad,” Turkle says. “I’m saying it’s part of a package of attachments to objects where we should tread carefully because we are pushing a lot of Darwinian buttons in our psychology.”

Only a decade ago, voice-enabled virtual assistants seemed more science fiction than business fact. But in 2000, Paul Ricci, a former executive at Xerox, concluded that voice software could one day disrupt the marketplace the way the mouse and the icon had in the 1980s.

“We had to decide early on where there were markets where we could successfully deploy the technology,” says Ricci, Nuance’s chief executive.

Nuance, then known as ScanSoft, went on an aggressive acquisition spree. It bought a desktop dictation system called Dragon NaturallySpeaking, as well as dozens of small companies that had carved niches in medical dictation, automated voice-response systems and speech research.

Its most significant acquisition was Nuance, a rival that had been spun off from SRI International of Menlo Park, California. The combined company took the Nuance name. (SRI International later developed and spun off Siri, which was acquired by Apple in 2010.)

“They have literally tried to buy every good asset out there, or build it themselves, knit it all together and augment it,” Richard Davis, an analyst at Canaccord Genuity, says of Nuance.

Nuance reported revenue of about $US1.3 billion for 2011, with $US515 million of that coming from its health care technology business.

Not everyone is as enamored with voice technology. Some privacy advocates worry that it adds an audio track to the digital trail that people leave behind when they use the Web or apps, potentially exposing them to more data mining.

Voice recognition software works by sending speech to processors that break down spoken words into sound waves and use algorithms to identify the most likely words formed by the sounds. The system typically records and stores speech so it can teach itself to become more accurate over time. Nuance, for example, believes that, aside from the federal government, it has amassed the largest archive of recorded speech in the United States.

Nuance says it is impossible to identify consumers from the recordings, because the company’s system recognises people’s voices only by unique codes on their devices, rather than by their names. The company’s privacy policy says it uses the voice data of consumers only to improve its own internal systems.

“We have no idea who you are today,” says Peter Mahoney, the company’s chief marketing officer.
Such assurances aside, voice recognition software could conceivably pose enough of a risk to people’s privacy that regulators are watching.

“Just as we are concerned about the possible applications of facial recognition, there are other forms of biometric identification, like voice, that pose the same kind of problems,” says David C. Vladeck, the director of the Bureau of Consumer Protection at the US Federal Trade Commission. He was speaking about voice technology in general, not about Nuance in particular.

Dragon Go,” Sejnoha says into his iPhone, “I want to make reservations for three tomorrow night at Craigie on Main.”

Dragon Go, Nuance’s answer to Siri, is a virtual assistant app that has been downloaded several million times since its introduction last summer.

Unlike Siri, however, Dragon Go doesn’t talk back. Sejnoha was asking for a reservation at a restaurant in Cambridge, Massachusetts, and the app went directly to OpenTable and displayed his reservation options.
Ask Dragon Go for tickets to, say, The Hunger Games, and it typically displays a listing of show times at the nearest cinema. A query about a particular spa might elicit reviews from Yelp.

Dragon Go, Nuance’s first direct-to-consumer app, is part of a push to build the brand’s executives say, is faster answers in fewer steps. In many cases, Nuance collects a small fee from partner sites when people make restaurant reservations or complete purchases.

The app could be construed as a challenge to the likes of Google and Microsoft, which have their own voice products – such as Google Voice Actions and Microsoft Tellme – as well as search engines.

“If you are Google,” says Davis, the analyst, “you are saying, ‘Holy smokes, we are about to get cut out of the equation.”‘

Christopher Katsaros, a Google spokesman, declined to comment. The company has recently updated Google Voice Actions, its voice-command system for Android phones, with a feature that continuously converts people’s speech to text, making it faster and smoother to dictate and send text messages, search Google aloud, or ask for directions.

Lezli Goheen, a spokeswoman for Microsoft, said that the company had addressed consumers’ expectations for easier access to information through several means. In addition to Tellme, a program included in all new Windows products that lets people dictate text messages and commands to applications like calendars, she said, the company has introduced Bing Voice Search, a program that lets people speak their Bing searches.
Nuance, meanwhile, has similarly ambitious plans for its health care business. In collaboration with IBM, the company is developing analytics to scour the medical notes that doctors dictate after they see patients. The idea is to search the text for common red flags – like medicines that interact dangerously – and automatically alert doctors, hopefully reducing problems and health care costs.

But the lack of disclosure bothers Turkle of MIT. As voice-enabled systems become more sophisticated, she says, they create the illusion that we are interacting with other people, rather than with machines. In the long term, she says, the systems’ sleekness and ease of use could end up diminishing the value of slower, messier, real human connections. Reminding users that they are talking to a machine can make them more conscious of the superficiality of the exchange.

“We need to make a cultural decision,” Turkle says. “Either we want to alert people when they are talking to a machine, or we don’t.”

In 2008, Nuance sued a fierce rival in the voice technology market, contending patent infringement. The company, Vlingo, which markets its own virtual-assistant apps for Android phones, BlackBerrys and iPhones, countersued, making similar allegations.

Last year, a court found that Vlingo had not infringed. On several other lawsuits, including the Vlingo countersuit, the parties have agreed to stays. That is because, last December, Nuance agreed to buy Vlingo for an undisclosed sum. It plans to complete the acquisition in the first half of this year.

“From our standpoint, the ability to compete with Google, that owns half the smartphone market, and Microsoft, that bundles voice with their products, that’s the real business logic behind merging with Nuance,” says Dave Grannan, the chief executive of Vlingo, which is based in Cambridge, Massachusetts.

Nuance and Vlingo share a vision of a world populated by cloud-based, voice-enabled virtual assistants that move seamlessly from one device to another.

One afternoon earlier this year, a team of Vlingo executives demonstrated their own TV voice-command system to a New York Times reporter. The executives also showed a short animated video in which a fictional couple merrily conversed with their smartphones, tablet computer, TV and car – and the devices replied in kind, alerting the male character that his car needed gas and the woman that her flight that day had been canceled because of bad weather.

“More proactively alerting you with voice, telling you something about your car or an accident ahead, a personal assistant thinking about your needs and keeping you connected to other people is where we think this technology is really going,” Grannan says.

Back in Nuance’s mock living room, Sejnoha is finishing his demo of Dragon TV, the company’s new software that can be built into web-connected TVs. With it, viewers can use voice commands not only to find programs but also to make Skype calls or shop on Amazon via the TV. The technology is scheduled to hit the market shortly: LG Electronics plans to introduce a smart TV powered by Nuance software that lets viewers update Facebook and Twitter accounts by speaking into a special remote control.

Soon, Sejnoha predicts, many other devices, not just televisions, will be taking voiced commands, and talking back. In Germany, people can already ask a Nuance-powered coffee maker – marketed as “the first fully automatic machine that obeys” speech – to make cappuccino. The machine, called the Jura Impressa Z7 One Touch Voice, speaks both English and German.

Dragon TV, meanwhile, is already available in about two dozen languages.

“Dragon TV, mute,” Sejnoha says.

Silence.

“See,” he says, “it’s useful.”

The New York Times
Read more: http://www.smh.com.au/digital-life/hometech/the-human-voice-as-a-game-changer-20120401-1w6ej.html#ixzz1qpOfbSvt

Posted in TechnologyComments (0)

Asia has so much more to offer

By Martin Conboy

I was reading an article in the Sydney Morning Herald by Tim Soutphommasane of Monash University about how each Australian generation seems to discover Asia as though the region were revealed to it for the first time. He wrote about how former Prime Minister Paul Keating spoke of ‘engaging’ with Asia twenty years ago and although we have made progress in that time, we still have a warped view of Asia. The current Prime Minister put it: it’s about ensuring the economy can exploit the relentless rise of Asia’s middle class and positioning the nation to be “a winner in the Asian century”.

These days our economic activity is orientated towards Asia. Our largest trading partners are there. As once unknown destinations like Laos, Vietnam and Cambodia open up, we are traveling into to the region in greater numbers than ever. In my day, it was the European backpacker experience. These days it’s the full moon party in Koh Phangan, Thailand. All of these activities play their part in breaking down cultural barriers. On the inbound side of the immigration ledger last year, for the first time, more permanent migrants arrived from China than from any other country.

There are enormous markets in Asia and we must remember that in relative terms, we are a tiny nation of 22 million and that there are over 3 billion people in Asia. Asia may geographically be to our near north, as it always has been, but for many Australians it remains culturally the ‘far’ east. There is no question that we must get rid of this jingoistic mindset that somehow coolies populate Asia. The intellectual horsepower in Asia is immense and its workforces are highly educated. To say nothing of the age of some of their societies, that alone should command respect.

Tim Soutphommasane argues that we don’t always recognise this cultural chasm. Without noticing it, we’ve fallen into the habit of making a monetary fetish out of our relationships with Asia, seeing its value only in terms of dollar signs. Thus, even when pointed criticisms are made of our failure to develop Asian literacy, critics frequently lapse into arguments about maximising the “returns” from our “investment” in Asia.

He points out that, if Australia is truly to be part of an Asian century, we must be prepared to learn from the dynamism and diverse traditions of the region. At the same time, we mustn’t think only about what we can extract from Asia. We must also think about what we can offer to our neighbours. We need to consider what we can give, not just what we can get.

We struggle to get our young people to take up Asian Languages in the way that European students can easily speak 2 or 3 different languages. We only have to look at what a big hit our former PM Kevin Rudd was in the region – was when it was revealed that he spoke fluent Mandarin.

One really good positive that is coming out of the outsourcing to Asia story is the number of Australians who now travel there and not only establish commercial friendships but personal friendships as well.

One of my pet hates is the ludicrous notion that we are a nation of WASPs (White Anglo Saxon Protestants) when in fact according to the Australian bureau of Statistics, 10% of our current population was born in Asia and 14% are from Europe (excluding UK).

Many people overseas regard our multicultural experience as a stunning example of nation building. Our society is diverse but cohesive. We seem to have elections and transfer power without social upheaval and we have welcomed and absorbed successive waves of immigrants as citizens. With this in mind, I always find it odd that we feel that some people feel that we must have our call centres staffed by people with ‘Australian’ accents – whatever ‘Australian’ means, when in fact our country is a microcosm of all the nationalities of the world. As we approach the 100th anniversary of Gallipoli, a new report out suggests that some are now questioning that relevance of such a commemoration because of its potential to cause divisiveness due to the multicultural nation of our society given that a large chunk of our population cannot not relate to it, given their origins.

The big picture, though, is this: if we accept that we are living in an Asian century, we must stop thinking of Asia as just a market, an investment or an exotic holiday destination – a place close to our shores but not too close for comfort.

To borrow the words used by Horne almost 50 years ago, we shouldn’t play an “aristocratic role in the society of Asia – rich, self-centered, frivolous, blind”. That’s not the kind of behaviour expected of a good neighbour.

Read more: Sydney Morning Herald

Posted in Environment, featuredComments (0)

What’s at stake

By Mark Atterby – Senior Staff Writer

How well one manages stakeholder expectations may make or break a BPO or outsourcing venture. Who are the stakeholders in a BPO relationship? How does one develop a sound understanding of these expectations? What’s at stake if you get it wrong?

Narayanan Sampath from Infosys, believes that successful outsourcing ventures have governance models and practices in place that balance the expectations of stakeholders (from both the retained and the outsourced organisation). Superior governance requires regular interaction, information exchange and meaningful action — ultimately resulting in better solutions that more effectively meet stakeholder needs.

Prior to commencing a BPO relationship, according to Sampath, a detailed analysis of stakeholders and their need for information needs to be carried out. Stakeholder groups may include senior executives, IT personnel in both the retained and outsourced groups, the service provider and the “users” of the services (employees, customers, suppliers and others). This analysis should take into account impact, influence, urgency, legitimacy and interest of stakeholders. In other words what are their expectations and how are these expectations going to be met.

Once the list is reasonably complete it is then possible to assign priorities in some way and identify the ‘highest priority’ stakeholders. While it may be impossible to please all stakeholders at the same time, the governance procedures put in place should strive to balance each group’s needs over the term of the agreement. An effective communication plan needs to be devised to ensure all stakeholders are notified when they need to be and in the most appropriate format.

Formal governance boards and steering committees are essential, but informal stakeholder involvement is the way successful relationships are built and maintained over time. Stakeholder involvement results from an effective combination of information exchange and action. For example, a governance group can set up ad hoc advisory teams, actively pursue the opinions and participation of key business leaders, and offer informal educational presentations such as “lunch and learn” seminars that stimulate the exchange of information.

The channel and nature of the communication should be determined by the needs of the stakeholder community. Stakeholder involvement results from an effective combination of information exchange and action.

Companies that successfully outsource continuously “take the pulse” of all stakeholder groups to balance their needs over time. Communication is an imprecise science, and misinterpretation increases when people attempt to bridge the language and experience gaps across functions and cultures. By taking special care to develop a deep understanding of stakeholders’ motivations and expectations, governance group members can negotiate more creative and mutually beneficial solutions.

Posted in BPO, Business, Outsourcing, StrategiesComments (0)

End in sight for IT jobs Outsourcing Massacre

By Iain Thomson

The offshoring of IT work to developing nations has been very popular with accountants looking to cut costs, but the limits are being reached of what jobs can conceivably be sent overseas.

Research by The Hackett Group estimates that of the 8.2 million business service jobs available in the US and Europe in 2002, only around 4.5 million will remain by 2016, with the rest moving to India, China, and other global outsourcing centers.

But the limit will then have been reached, with barely a million left that could realistically be moved offshore, and companies that would do so would face “a PR nightmare” and risk losing staff who don’t trust their employers. This would mean an end to the cost savings for Western businesses, and would leave those hosting countries in a bind, since they will have to find new targets if they are to maintain current growth rates.

“In the US and Europe, offshoring of business had a significant negative impact on the jobs outlook for nearly a decade,” said The Hackett Group chief research officer Michel Janssen. “That trend is going to continue to hit us hard in the short-term. But after the offshoring spike driven by the Great Recession in 2009, the well is clearly beginning to dry up. A decade from now the landscape will have fundamentally changed, and the flow of business services jobs to India and other low-cost countries will have ceased.”

The IT profession has been hardest hit by the offshoring of service jobs, and will see a 54 per cent drop in employment between 2002 and 2016. Finance employment will fall 42 per cent, procurement jobs by 36 per cent, and human resource jobs will shrink by nearly a third as part of the drive to lower costs through offshoring and automation.

India remains the top spot for outsourcing, taking about 40 per cent of jobs, thanks in part to having an educated and largely English-speaking population. Eastern Europe has around 20 per cent of the market, but faces rising costs, and China is the destination for around 13 per cent of service jobs.®

Source:The Register

Posted in IT Outsourcing, Labour, Offshoring, OutsourcingComments (0)

Successful Case Studies in BPO

By Matthew Mower, sourcingfocus.com

Summary

It is apparent that emerging technologies and economic activity continue to change the face of BPO. Business process outsourcing manages to drive a range of efficiencies in a number of different types of organisations. A wide variety of organisations will continue to benefit from BPO in these austere times, which can also support a collaborative approach to contract negotiations.

Business Process Outsourcing (BPO) has traditionally been used to outsource the processes peripheral to the key business strategy, in order to use time, money and resources more effectively. Some of the most common outsourcing activities include human resource management, financial services and accounting, information technology and legal process management.

An austere economic climate has seen the BPO contract count climb to an all-time high, as organisations look to cut costs in an effort to survive. This feature will be looking at three growing trends in BPO – HRO in SMEs, integrated BPO / ITO packages and the use of BPO in financial services.

HRO and SMEs

The rise in outsourcing contracts bought by SMEs has recently been dramatic. Particularly fragile to economic downturn, SMEs have looked to use their resources more effectively in an effort to survive. Human resources and payroll tasks can be arduous and time consuming, often requiring dedicated departments and infrastructure. Outsourcing HR has proved to be an effective way for SMEs to save time and money.

EISER was formerly wholly owned by Fortis Investments, which was a subsidiary of BNP Paribas Investment Partners Group. The Partners in EISER completed a management buy-out to become a single, independent entity. Prior to this, all of EISER’s back office services, including HR, were supplied by Fortis. The challenge was to transfer all their employees out of Fortis and become fully self-sufficient in HR with no drop in service quality.

Plus HR’s dedicated HR Administrator handles all day-to-day HR tasks, including issuing employment contracts and employees and maintaining HR data. Employees are able to book holidays online via self-service, and managers can view employee reports for their teams. Payroll is entirely outsourced, freeing up internal finance to concentrate on value added tasks. With plusHR, EISER now have a dedicated, full-service HR and payroll function at a fraction of the cost of hiring their own in-house team.

Integrated ITO services

For larger businesses that operate internationally, ITO integration services can provide clarity and ease of use across all platforms. Avis Europe plc is a leading car rental company in Europe, Africa, the Middle East and Asia operating the globally recognised Avis and Budget brands.

Avis Europe identified a need to provide greater clarity and improved efficiency in order to maintain its reputation as a customer-focused business. With locations across Europe generating some 15 million documents per year, it was becoming increasingly difficult and time consuming for staff to store, retrieve and process customer documentation. Although the company had separate online imaging systems within each country, these were not integrated and did not allow for cross-border working.

After a competitive tender process, Avis Europe selected EDM to provide high volume processing and storage services. As part of its consultancy service, EDM set up EDM Online, a secure information management system. This system allows Avis’ shared service centre to access essential customer information from any branch – all at the click of a button.

Around seven million documents a year, out of a total of 15 million, are now shipped to EDM’s Manchester mailroom in the UK for capture and storage on EDM Online. The remaining documents are added to the system through dedicated on-site scan stations, which are located at individual Avis Europe locations and securely connected to EDM Online via the web.

BPO in Financial Services

Within financial services, bureaucratic and administrative workloads can often become excessive. Nationwide’s merger with Portman generated an increase in the volume and variety of customer records, which highlighted the need for a centralised, audited and efficient document management service for the business and its customers. The solution needed to bring together information in multiple formats and locations, including a microfiche/film archive in excess of 40 million frames, 68,000 boxes of customer records and 25 million scanned images.

EDM designed and implemented a purpose-built document archive and retrieval solution through its secure Scan-on-Demand service. EDM’s transition team catalogued all customer records and managed their secure transfer to a dedicated facility purpose-built for Nationwide. Now, as records are requested, EDM scans and uploads documents to its hosted web service, EDM Online, to give Nationwide staff secure and instant access to archived customer data from any networked PC across the organisation. The complete service assures seamless document security.

Source: Sourcing Focus

Posted in BPO, Electronic Document Management (EDM), HRO, IT OutsourcingComments (0)

BPO to prop up real estate – World Bank

THE OUTLOOK is upbeat for The Philippines’s real estate market this year, the World Bank (WB) said, noting the demand from the expansion of the business process outsourcing (BPO) sector and strong remittances.

In a special section of its Philippine Quarterly Update released on Monday, the Bank’s Manila office said a stable demand may be expected for both commercial and residential property this year.

The report cited the PricewaterhouseCoopers (PwC) and Urban Land Institute’s 2011 Investor Survey wherein a third of real estate experts still recommend “buying” for industrial/distribution, hotel, retail, and office properties throughout 2012 while almost half recommended “holding.”

“Office space demand is expected to be buoyant as the Business Processing Association of the Philippines projects a 20% annual increase in employment through 2016 translating to an estimated 300,000 square meters in new office space demand per year,” the report said.

The multilateral institution also cited a 2011 report by Colliers International, which said that in 2011, the BPO industry occupied about 40% of the 5.7 million square meters total office space in Metro Manila.

“Achieving full occupancy is much faster now as major BPO firms can easily occupy an entire building, which previously took about one year to fill,” the World Bank said.

The Washington-based lender also gave an optimistic outlook for the residential property market.

It noted that in terms of condominiums, also a third of the respondents in the PwC survey recommended “buying” while less than half recommended “holding.”

“The demand in the low-end to midrange residential property market has been sustained by remittances, while housing demand by BPO employees also contributes to the expansion of residential properties and even the luxury market in the case of BPO expatriates,” the Bank said.

“An estimated 60% of remittances directly and indirectly benefit the real estate sector, which includes mall operations,” it added.

The report noted, however, that the fast-tracking of construction of projects in the pipeline might raise vacancy rates and cause rental growth to slow.

“Beginning 2012 through 2014, an average of 470,000 square meters of new office spaces is lined up vis-à-vis an average projected take up of 250,000 to 300,000 square meters, which would result in higher vacancy rates and muted rental growth,” the report said.

It added that vacancy rate in the Makati central business district, for instance, has already started to rise to 4.1% in the fourth quarter of last year from 3.8% in the previous quarter.

In terms of residential property, the report said: “Massive supply of condominiums in the pipeline is beginning to outpace demand.”

It added that developers are beginning to respond to headwinds due to vast supply, noting that a major developer recently offered a discount of up to 40% on selected units to remain outsell competitors.

However, the World Bank said rental rates and property prices in the residential segment are generally stable and vacancy rates are steady at around 10% for the low and midrange market, adding that this indicates “strong underlying demand.”

Despite its upbeat outlook, the Bank said downside risks are still in place for the real estate market mainly due to oversupply relative to demand; a potential contraction in remittances due to adverse external developments; and upward pressures on oil prices, which poses risks to private spending growth. — Kim Arveen M. Patria

Source: BWorld Online

Posted in Financial, Real EstateComments (0)

China’s dwindling labor force to benefit PHL, says expert

By Cai U. Ordinario

A former Philippines National Economic and Development Authority (NEDA) director general believes that the Philippines’s ailing manufacturing industry may stand to benefit from China’s “lack of appeal” to foreign investors as a result of a dwindling Chinese work force.

Cielito Habito, now head of the Ateneo Center for Economic Research and Development (ACERD), said on Thursday that even Filipino firms operating in China are thinking of repatriating because of the lack of workers in China.

“There is this observation that China is losing its appeal as the factory of the world,” Habito told the Management Association of the Philippines (MAP) Economic Briefing and General Membership Meeting in Makati City.

“I’ve heard a lot of anecdotes, including those from banker friends who have Filipino clients doing business in China, [and these clients are] actually repatriating their factories… to the Philippines. It’s very hard to get workers for their factories,” he said.

Habito added that the lack of workers might have stemmed from China’s one-child policy. The one-child policy caused many families to shelter younger generations, thus making factory work unattractive for them.

The former socioeconomic-planning secretary said there are even stories now that some Chinese factories have to send buses to fetch workers from far-flung villages just to make them work.

“The products of the one-child policy who, of course, became emperors and empresses in their families, were showered with everything. Now that they are of working age, they are in no mood to work in factories and that will lead to a longer change in the labor force of China,” Habito added.

Habito said the return of factories to the Philippines could boost the growth of the manufacturing industry. This will not only increase growth in the industry sector, he added, but also create millions of jobs in the long run.

He said that in 2012, the country’s economic growth would likely be between 4 percent and 5 percent. But Habito added that the government’s 5-percent to 6-percent growth target might still be achievable given that government spending is expected to increase this year.

Other growth drivers include the country’s resilience to external shocks due to the continued inflow of overseas Filipino worker (OFW) remittances, which, according to Asian Development Bank (ADB) Philippines Country Director Neeraj Jain had been the backbone of economic growth in recent years.

Other growth drivers, Habito and Jain said, included the growth of the business-process outsourcing (BPO) industry, particularly in creative industries such as animation and other service-related sectors. 

Habito said he expects inflation to be benign at around 3 percent to 4 percent and the country’s unemployment to be within 6 percent to 7 percent. He added that these are positive indicators that can boost domestic demand and increase economic growth. 

Jain, in the MAP briefing, said Habito’s growth forecast is almost the same as that of the ADB’s 4.8 percent this year and 5 percent in 2013. He, however, added that these estimates are being reviewed and any change or update will be made public in April.

Source: Business Mirror

Posted in LabourComments (0)

BPO: How to Do It Successfully

By Maddy Miller

In today’s economy, being efficient and operating at a low cost is no longer considered a competitive advantage; it’s a requirement to survive. While Business Process Outsourcing (BPO) is widely used across all industries as a revenue enabler, many companies who don’t implement their BPO strategy properly end up backing themselves into a corner…or a bad contract with the wrong partner.

Source One has teamed with noted BPO expert, George Brooke, and has released a new whitepaper providing a high-level outline of the processes necessary to ensure a successful BPO implementation. This whitepaper outlines seven steps, starting with internal evaluation and ending with negotiation and implementation. “Seven Steps to BPO Success” details the questions companies need to ask themselves when they are looking to outsource a business process and helps them to recognize when doing so would be advantageous to their business.

“BPO providers that also propose to host and license the enabling applications on which the in-scope transactions are performed may be of great convenience and benefit, but require a much more comprehensive, two-phased evaluation. We strongly recommend an evaluation of the application “fit” first and then a separate evaluation of the competitiveness of the BPO capabilities.”

Seven Steps to BPO Success, Step #5: Selection of “Best Fit” Provider
To request your free copy of “Seven Steps to BPO Success,” visit Contact Us page, complete the form at the bottom, and select BPO Whitepaper from the drop-down menu

Posted in BPO, Industry Reports, StrategiesComments (1)

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