For decades, business process outsourcing (BPO) has been a popular business solution helping businesses.It used to be a strategic solution only for manufacturing companies until other industries caught on. As the internet took over the world, more and more companies started offshoring their own business functions. Soon,outsourcing became a must for businesses looking to save on costs while maintaining productivity. This allows them to keep up with the competitive business landscape. 

The Covid-19 pandemic hit businesses hard, forcing operational sacrifices and employee layoffs to prevent foreclosures, bankruptcy, and shutdowns. Among the many business adjustments organizations had to take, terminating workers is the most damaging. As a result, businesses had to rely on alternative strategies such as outsourcing which saved a lot of struggling companies over the last couple of years.

Every business industry suffered from a dip during the Covid-19 pandemic. The BPO sector provided a path to recovery, resulting in a significant rise in businesses outsourcing to make up for their disrupted operations. IT outsourcing moved in first, especially with the considerable population moving to remote work setups. Soon enough, outsourcing morphed from simply being a cost-reduction strategy to a catalyst for innovation. Not many companies take the leap, but fortunately, they can start with taking BPO one step further, leading to the path of Offshoring.

When it comes to innovation, businesses should constantly grow and evolve.

Why BPO Needed to Evolve


We need to learn their similarities before we start sharing how different Outsourcing and Offshoring can be. Both are business solutions that pertain to transferring tasks and operations to third-party providers. However, their differences are night and day.

BPO or outsourcing refers to companies contracting work to a service provider, preferably in another country. It could be for an entire business function, a short-term project, or specific area-related activities. Outsourcing exposes organizations to many benefits, including cost-efficiency and access to labor with specialized skills.

Every company would want to enjoy those benefits and amplify those strategies to get more out of them. However, business process outsourcing has limitations that necessitated the development of Offshoring later on.

The Limitations Around BPO

As beneficial as BPO is to companies, it has its limitations. Businesses risk getting outsourced personnel that does not align with the company’s goals and interests. Their work might be within expectations, but they might lack the IT infrastructure, equipment, and technology to handle the projects and business functions according to your company’s standards. Outsourced workers also lack in-house knowledge that could be critical to the collective business operations. Since you are outsourcing from another country, language barriers and time-zone differential could pose inconvenient, if not disruptive, issues.

The problems could also come from clients themselves. Because of the impactful cost-efficient and productive benefits that BPO provides, they might end up becoming too reliant on third-party vendors, even if there is a lack of familiarity. BPO companies also experience high turnover rates, especially when companies outsourcing offer far less attractive contracts than local jobs. Those issues provide a significant obstacle for businesses looking to offload parts of their operations to countries with specialized BPO talent and an economy favorable to their company budget.

A key component to fixing the ordeal is establishing your organization’s presence in the geographical location. Creating a solid bridge from your company to the specialized talent, low costs, and employee loyalty means sharing your culture and in-house knowledge. That bridge is Offshoring, the evolved form of outsourcing. The strategy allows you to become part of the country’s business landscape, even if it is just through securing third-party services.

Where Offshoring Works Best


Offshoring means sending in-house business divisions or jobs to another country, mainly where those functions shine. The service amplifies outsourcing’s benefits, from cost-reduction strategies to accessibility to a talented labor pool. It works best when your company experiences the benefits of BPO and knows that it is the way to go. Moreover, the best feature of Offshoring is that it eliminates a few risks that outsourcing provides for businesses.

Offshoring establishes a bridge between companies and foreign workers. It eliminates outsourcing risks, specifically the lack of in-house knowledge and client-approved systems, establishments, and technologies. In simple terms, companies that utilize offshoring solutions can create an in-house division overseas. The strategy allows them to enjoy the benefits of positioning their business in a country with lower costs and a bigger talent pool.

Low-cost economies like the Philippines provide the best offshoring options for companies looking to save on costs. Offshore companies can create offices and industrial plants for their offshore teams. They can also transfer valuable assets and provide onboarding programs to help foreign workers familiarize themselves with the company culture, cultivating in-house knowledge and goal alignment. Connecting with your offshore team is relatively seamless when you already have IT outsourcing in the exact geographical location.

Offshoring provides an established and long-term solution that can amplify outsourcing’s benefits. Still, companies must choose the right partner for it. There are plenty of BPO companies in the Philippines. But not all offer the more comprehensive package that Offshoring can provide.

iSupport Worldwide is one of the Philippines’ leading modern offshoring partners for organizations in different parts of the world.

With 15 years of experience satisfying clients with customized solutions, the company positions itself as a solid bridge between fast-rising companies and the Philippines’ quality talent pool and economic advantages.

iSupport Worldwide recently received global recognition in 2021 after placing No. 2831 in Inc. Magazine’s 5000 List of fastest-growing private companies.

You can visit the links below to see what a world-class offshoring partner can do for companies all over the world.


LinkedIn: /isupport-worldwide

Facebook: iSupport Worldwide

Instagram: @isupportworldwide

Twitter: iSupport Group

Your Move

Outsourcing provides plenty of advantages that help companies grow and develop. However, its limits can slow progress amid a wildly competitive business landscape. If outsourcing works for your company, you can only imagine how much Offshoring can help you achieve your goals.

There is no better time to evolve than right now, and iSupport Worldwide is ready as soon as you are.

Contact us here for a discovery meeting on how to turn your business problems into customized offshoring solutions for 70% less the costs.