DICT to replicate Davao's IT-BPM promotion strategy in rural areas

• Source: http://www.sunstar.com.ph/davao/business/2017/04/06/dict-replicate-davaos-it-bpm-promotion-strategy-rural-areas-535147
• Wednesday, April 5, 2017

By Ace June Rell S. Perez

In accelerating “impact sourcing” under the Duterte administration, the Department of Information and Communication Technology (DICT) plans to replicate the Davao City’s ways of championing the Information Technology and Business Process Management (IT-BPM) industry in the country.

ICT secretary Rodolfo Salalima said in the 1st Philippine Impact Sourcing Conference media briefing at the Royal Mandaya Hotel Wednesday, April 5 that the industry’s continuing battle is to bring technology outside the major cities and focus on digital education and employment in the countryside.

“One way of developing the countryside is to bring technology there, providing them ICT jobs directly or indirectly, we encourage all the investors from Manila or outside the country to spread their presence throughout the country,” he said.

He explained that Rural Impact Sourcing is considered as outsourcing which focuses on providing meaningful jobs and other related opportunities in socio-economically disadvantaged areas, mostly rural areas of the country where there is high population but low employment due to lack of investors.

DICT Undersecretary Monchito Ibrahim, for his part said, in looking at Davao City a lot can be learned for rural areas to thrive in ICT.

“The first Piscon event was staged here (Davao) because ICT industry here is very active. We even consider Davao as one of the biggest freelance online hubs and home of numerous local and foreign BPM firms,” Ibrahim said.

Of the estimated one million freelance online workers, some 154,000 of which are from Davao City.

Recognizing that impact sourcing is still a relatively young practice for IT-BPM firms in the Philippines, Salalima said accelerating infrastructure, expediting regulatory processes in the local government units, developing efficient and fast internet, and ensuring available talent pool are some of the things to consider to realize the agency’s end goal.

The Contact Center Association of the Philippines (CCAP) has committed to fully support DICT in its efforts to further develop and grow impact sourcing in the city.

CCAP President Jojo Uligan said they are optimistic of its growth.

“We all see its (impact sourcing) potential as a truly sustainable and scalable business model for many IT-BPM firms here,” he said.

Based on the IT-BPM industry’s New Roadmap 2022, the industry was able to create more than 300,000 jobs outside Metro Manila for the last 15 years.

The industry already experienced a high growth rate of 11 percent in the provinces and seven percent in Metro Manila. Just for the last year alone, 80 percent of its members already established operations in new provinces such as Puerto Princesa in Palawan, Balanga in Bataan and in San Nicolas, Ilocos Norte.

“We know there is a tremendous potential for impact sourcing. For our businesses, it means access to talent pools in vast, untapped communities where there is high quality work which are cost effective coupled with incredible drive and commitment by the employees. It is a unique way to grow our businesses and at the same time create palpable positive impact to the community,” Benedict Hernandez, CCAP Chairman of the Board, said.