India and the Philippines have long been the top contenders for recognition as the BPO capital of the world, with the Philippines poised to become the top source of technology workers. The country has been the world’s call center leader since 2010. Thanks to an English-speaking population with strong Western cultural influences and neutral accents, the country’s BPO sector is booming, valued at over $32.5 billion. Governmental support has further enhanced the sector by providing world-class infrastructure and tax-friendly economic zones such as the Clark Freeport Zone, wherein red tape is minimized, taxes reduced, and infrastructure developed that befits a world leader in outsourcing.
Don Randolph Bautista, General Manager
Outsourcing is still evolving. Low-cost call center agents, while still ubiquitous throughout the country, are nevertheless being superseded by the rise of business process agents with more specialized skill sets such as accounting and bookkeeping, engineering, marketing, designing, and more. To differentiate these specialized professionals from the typical call center agents, the industry has adopted the term 'KPO'. The movement from low-cost, low-skilled workers to higher-cost, highly-skilled specialists has changed the face of the industry. However, some companies like Paragon Outsourcing, are leading the charge into the next phase of this evolution: low-cost, highly-skilled specialists.
April Jane Ancheta, Client Services Manager
Paragon: Leading the Evolution of BPO
As a leading provider of outsourced services in the Philippines with roots in technology services, Paragon is focused on evolving the industry onto a more technology-focused trajectory. While Paragon still provides traditional BPO/KPO services, it believes that the future of outsourcing lies in technical specialties and subject matter expertise, and has coined the term Technology Process Outsourcing or TPO to reflect this commitment.
“Any product or service that experiences high demand and can be provided at scale runs the risk of commoditization. While some sellers will see this as a threat to their business model, it can actually be a good thing. Commoditization lowers prices so that the product or service becomes more accessible to more customers,” shares Isaac Kohno, the CEO of Paragon.
Technology Process Outsourcing combines the low-cost driver that defines BPOs with a focus on highly skilled specialists often found in KPO-related businesses. “TPO is all about the commoditization of technical specialists. With the world becoming increasingly digital, demand for tech experts will continue to grow exponentially. And the population of technology workers, especially in the Philippines, is skyrocketing as well. Service providers who are in a position to meet this increased demand at lower margins stand to benefit from this commo- ditization”, adds Isaac.
Paragon’s TPO offerings include Front-End Developers using HTML, CSS, .NET application, design and development, and Javascript frameworks like React.js, Angular, and Vue.js. Its Back-End Developers are experts in previously hard-to-find programming languages like Python (Django, Flask) and Ruby (Ruby on Rails) as well as .NET microservices design, data handling, and systems integration.
Beyond programming, Paragon’s TPO services include Programmatic Campaign Management and Ad Tech/Ad Ops. As one of the few outsourcing companies to offer programmatic services, Paragon has emerged as a leader in the outsourcing of the buying and selling of digital advertising space including campaign strategy, media buying and optimization, data analysis, ad tech integration, and ad creatives. Paragon also offers specialists in Computer-Aided Design who use tools like AutoCAD, SolidWorks, CATIA, and others to create designs, drafts, and models for clients in architecture, engineering, manufacturing, and product design. Other specialists include SEO experts, data scientists, software developers, designers, architects, and project planners.
To ensure staff expertise, the firm undertakes procedures like rigorous recruitment & training processes, ensuring that it hires the right talent for the right position
Trust as a Foundation for Success
Paragon understands that any attempt to evolve a sector requires the mover to have solid foundations and trust. As such, it has developed a business model that gives the company the footing it needs to launch the commoditization of tech expertise into the realm of outsourcing.
Making trust the cornerstone of its business, Paragon prioritizes clear communication and collaboration with clients to ensure exceptional work that meets their unique standards. Transparent pricing models are a key element of Paragon's approach, ensuring clients know exactly what they're paying for. Biweekly meetings ensure constant alignment and adaptation of the approach to clients' evolving requirements.
Data security remains a top priority at Paragon. It utilizes firewalls, intrusion detection systems, and encryption protocols to safeguard information. Additionally, Paragon tailors its services to specific industry requirements, ensuring compliance and accurate results. Paragon takes the security of its clients seriously, offering workplaces certified with ISO 9001, ISO 27001, and SOC 2, offering clients a choice of the security and price point balance they want to achieve.
Further demonstrating its commitment to clients, Paragon pays diligent attention to service costs. Maintaining a lean operational structure and strategic infrastructure, Paragon is able to provide high-quality solutions significantly below market rates. With access to regional business hubs with favorable labor costs, it hires top talent, maintaining a competitive edge while also reserving resources for building a positive work environment.
“We have a lean organizational structure which translates to faster response times and increased efficiency. This allows us to focus on delivering high-quality deliverables without redundant or substandard work that ends up inflating costs," shares Don, the General manager of Paragon. He continues, “We also have a great reputation locally, making it easy for us to attract and retain top-quality talent."
Result-Driven Expertise
Providing technical experts at low cost while maintaining a collaborative relationship with its clients has yielded impressive results. Paragon’s clients have lowered their direct expenses by an average of 65 percent. Their satisfaction rate is 93 percent, resulting in client retention rates of 97 percent. This success is also reflected in the increased productivity of its employees due to their high morale, evidenced by a 96 percent employee retention rate.
Offering services like administrative solutions, accounting services, financial analysis services, web development solutions, graphic design expertise, and more, Paragon ensures that the staff remains up-to-date with the latest industry advancements.
Future Roadmap
Founded as a local technology services provider, Paragon has evolved into a globally recognized BPO. The company is continually looking at the latest business trends and technologies to prepare for future client needs.
“Recognizing the growing demand for cost-effective solutions, we established nearshore delivery centers in strategic locations. Furthermore, we continue to invest in the development of our artificial intelligence (AI) and machine learning (ML) capabilities, anticipating the future needs of our clients in the digital age," says April, the Client Services Manager of Paragon.
Offering a combination of traditional customer support and tech support services, Paragon also provides future-ready specialized services in anticipation of the industry’s move towards the TPO model. Aligned with this vision, it is focusing on knowledge-based processes, analytics, and specialized industry expertise.
Paragon also plans on leveraging trends like increased AI adoption, integration of automation technologies, and enhanced usage of data analytics, which can streamline decision-making processes through calculated insights. The firm will also keep an emphasis on professional experts and even welcome remote work opportunities and cloud-based solutions to meet evolving consumer needs.
Through its focus on being a high-value, specialist service provider, ready to offer highly discounted industry experts, Paragon is predicting the trajectory of the industry’s evolution and defining it as the future of the offshore business model: Technology Process Outsourcing.
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