• About
  • Contact
  • Testimonials
  • Newsletter
  • More
    • Demographics & Advertising Rates
    • Terms & Conditions
Wednesday, March 29, 2023
No Result
View All Result
California Business Journal
  • Front Page
  • Business
  • Finance
  • People
  • Featured
  • Opinion
  • Technology
  • Law
  • News
  • Food
  • Art & Culture
  • Human Interest
  • Education
  • Insurance
  • Real Estate
  • Health & Fitness
California Business Journal
Philippines-based Outsource Accelerator has 3,500+ partners who supply 3,000+ positions a month in the U.S.

Philippines-based Outsource Accelerator has 3,500+ partners who supply 3,000+ positions a month in the U.S.

Global Outsourcing Steps into the Light

Despite being used for decades, outsourcing is still often looked down upon or misunderstood but Derek Gallimore sees it creating a seismic shift of how and where companies employ their workers.

by Susan Belknapp, Senior Writer, California Business Journal
A A
Share on FacebookShare on Twitter

Consider these numbers:

• 99% – The percentage of Fortune 500 companies using globally outsourced employees.
• $225 billion – The worth of the current global outsourcing industry.
• 40 million – The number of jobs that would be added to the global economy if just one small- to midsized business (SMB) added one outsourced employee.
• $600 billion – The increase the industry would receive with those 40 million jobs added.

The CEO of the Philippines-based Outsource Accelerator, Derek Gallimore, knows the global work industry. His company, an aggregator that matches outsourcing companies to clients, has more than 3,500 vetted partners that supply nearly 3,000 positions a month in the United States alone. And these positions go far beyond call centers. Most any type of company – even a small plumbing service or a corner bakery – can benefit from highly trained offshore labor and get it at a fraction of the cost.

“First of all, let’s dispel some of the myths about outsourcing or ‘offshore labor,’ which simply means it was produced in another country,” says Gallimore. “There has long been this specter that outsourcing is taking all the jobs and destroying our economy but outsourcing has been happening in earnest for about 30 years. If it was going to take U.S. jobs, everyone would be unemployed right now, but unemployment is sitting around the lowest level possible and it is in fact so low that it can actually start damaging the economy because you can’t get a workforce and most certainly can’t get a skilled workforce.”

Derek Gallimore, CEO of Philippines-based Outsource Accelerator
Derek Gallimore, CEO of Philippines-based Outsource Accelerator

The types of jobs done by offshore labor go far beyond the American Express and Facebook call centers and include developers, marketing, sales, social media, customer service, accountants, architects, engineers, office administration and the work can be done anywhere in the world by smart, highly trained professionals. Gallimore contends that this global trade matching workers to open roles benefits and stabilizes both the local and global economy.

[su_quote]“Philippines is obviously one of the major markets for outsourcing alongside India and my company lists more than 3,500 outsourcing firms across the globe. Outsourcing constitutes $250 billion revenues globally with about 10 million employees and it’s everything traditional calls centers to SMB staffing and everything in between. IT outsourcing is and has been very prevalent for years and the industry is growing at breakneck speed.” — CEO of Outsource Accelerator Derek Gallimore [/su_quote]

Fortune 500 companies are Outsource Accelerator’s primary clients and it’s no wonder because, currently, there is 99% penetration of offshore services with the big enterprises. There is no arguing these companies recognize and leverage the value of this labor. For SMBs, however, there is only 0.5% use, so it is a wide-open market that can bring massive global GDP numbers if those companies start following the lead of “the big guys.”

“It might sound kind of foreign but it’s only as foreign as having your clothes made in Turkey, your car made in Japan or your devices made in China,” says Gallimore. “This type of trade has been going on for five, six or seven decades. Now we’re going to work from one globalized market and one global workforce as jobs become more digitally and information based. The global workforce can mobilize and companies can take advantage of this.”

As the concept of paperless offices or a fully remote workforce seemed incredibly far-fetched 20 years ago, they are now not just accepted but becoming the default.

ADVERTISEMENT

“Fifty years ago, we all had to go to factories, which created urban density because they offered the job opportunities,” he says. “And you still see that still with Amazon getting tax incentives to set up distribution centers in certain cities but as we move into the fourth industrial revolution – which is computers, IT and professional services – then it frees up the requirement of location and now most work is based on quality and output.”

Any business could use offshore staffing to their advantage even if it’s a small-town plumber or electrician. New and growing businesses can have their professional services outsourced and access this lower-priced labor to do administration, accounting, marketing, customer service, bookings, invoicing, etc.

“All of these things can be done from contributors that are sitting somewhere else so it’s really about role augmentation and these employees are treated like any other employees,” says Gallimore. “The employer manages them as they would any other. They build relationships and the employee shares in the culture and ambitions of the company but they are just sitting somewhere else. I think every business in the U.S. could benefit from that model.”

Like any other technology or platform across the globe, outsourcing used to be very expensive, but now it’s cheap, turnkey and normalized, according to Gallimore. And the large, expensive markets don’t have a monopoly on the highest-skilled labor anymore. Just as COVID helped companies realize remote work could open a national workforce that employers don’t necessarily have to pay so they can afford to live in New York, Chicago, Los Angeles or San Francisco, outsourcing can be a great equalizer too.

[su_quote]“You can save 70% on your staffing and remote work is has gone from fringe to acceptable and is moving toward default. Everyone is seeing it as normalized. When millennials and Gen Z are founding businesses, they will have a very different perspective on this. Across the high-cost English-speaking world – which is the U.S., Canada, the UK, Ireland, etc., there are about 40 million SMBs that collectively employ about 60% of the workforce and contribute about 60% of the revenues to the global GDP. Only 0.5% of them offshore whereas 99% of large enterprise does. Why the difference? Well, 20 years ago it was impossible for SMEs to outsource but now, with behaviors changing and remote work becoming normal, accepted and default, a seismic shift will occur in how we do business over the next 10 to 15 years.” — Derek Gallimore[/su_quote]

With a world network of available talent, this can benefit those employees and employers in small towns throughout the U.S. too.

“Take New York, it’s a major work market and has about 9 million people,” he says, “But when you expand that network to 8 billion people across the globe you start to get an incredibly powerful network. If I’m living in a small town and I need a nuclear physicist, I wouldn’t be able to find one, but if I expand my reach to the global field, I could have access to all of them. It might only be only 50 people but at least I have access to the entire globe. The small towns may feel like they’re losing out or America is losing its competitiveness, but it’s actually stronger for everyone to have a single network.”

Gallimore has shared his expertise in his new book, “Inside Outsourcing – How Remote Work Offshoring and Global Employment is Changing the World.”

Copyright © 2022 California Business Journal. All Rights Reserved.

This article was edited and published by Rick Weinberg, California Business Journal’s Founder, Publisher and Editor-in-Chief. Click here for Rick Weinberg’s biography.

For testimonials on the impact of California Business Journal articles, click here.

Contact us if you’d like an article written on your business: Rick@CalBizJournal.com / 949-648-3815

Tags: AmazonAmericaAmericanAngelesbenefitsbusinessescarCEOcompanyculturedeviceseconomyemployeesIndiaindustrialinformationITjobslocalLosLos AngelesnetworkOutsourcingrelationshipsSantaxtechnologytradevalue
ADVERTISEMENT
Susan Belknapp, Senior Writer, California Business Journal

Susan Belknapp, Senior Writer, California Business Journal

Susan Belknapp is a Writer, Editor and Corporate Communications expert with 15 years of professional writing experience across a wide variety of disciplines, including monthly print and digital magazines, social media, marketing and brand development. A graduate of University of Southern California with a degree in Fine Arts and Filmic Writing, Susan was Editor of OC Metro Magazine, which became part of the Orange County Register. Susan is also the Founder of Chonubusu Toffee, an online/direct-sale English toffee company specializing in custom orders, events, personalized labeling and dangerously delicious product prepared with the finest ingredients.

Related Posts

Cost-effective Growth: The Benefits of Outsourcing for Startups
Cost-effective Growth: The Benefits of Outsourcing for Startups
The Benefits of Outsourcing Analytics and Software Solutions for Your Business
The Benefits of Outsourcing Analytics and Software Solutions for Your Business
Coping With Unemployment In The Philippines
Coping With Unemployment In The Philippines
What is the Demand for Software Engineers and is it Expected to Rise?
What is the Demand for Software Engineers and is it Expected to Rise?
corporate vision
Corporate Vision and How It Helps Leadership Teams
CFO
The Benefits of Hiring an Outsourced CFO
The 5 Best Finance Tips for Startups
In-House vs. Outsourcing
Should You Outsource IT Support
Should You Outsource IT Support?
advertisement
ADVERTISEMENT

CBJ Newsletter

Facebook Twitter LinkedIn Instagram LinkedIn

Advertise With CBJ

Contact Rick@CalBizJournal.com

CBJ Rates and Demographics

Job Postings

CEO Wanted


Requirements: BS/BA + 2yrs of Business Managing Experience

Mail Resume: Grand Life, Inc. 14647 Northam St. La Mirada, CA 90638.

$114,754/year

ADVERTISEMENT
1REALTOUR-SAN DIEGO-WEB DESIGN
Facebook Twitter LinkedIn LinkedIn Instagram Youtube
C B J   LOGO  SVG-01
  • About
  • Contact California Business Journal
  • Testimonials
  • Demographics & Advertising Rates
  • Terms & Conditions

Categories

  • Art & Culture
  • Business
  • California Hotel Listings
  • Daily Updates
  • Editor's Choice
  • Education
  • Featured
  • Finance
  • Food & Dining
  • Health & Fitness
  • Human Interest
  • Insurance
  • Law
  • Lawyers
  • Marketing
  • Medical
  • News
  • Newsletter
  • Opinion
  • People
  • Popular
  • Real Estate
  • Social Media
  • Technology
  • Uncategorized

CBJ Partner Firebrand Media

Laguna Beach Independent Newspaper
 Laguna Beach City Guide
 Newport Beach Independent Newspaper
Newport Beach Country Club Magazine
  Montage Magazine
 Omni Escapes Hotel Magazine
 Bespoke Concierge New York
 Evans Hotels
 Laguna Beach Magazine
 On The Menu Laguna Beach
 Newport Beach Magazine
Coastal Real Estate Guide (NB,LB, CDM)
Monarch Beach Resort Magazine
 Pacific Coast Magazine (SoCal)
Sea Island Life Magazine
Salamander Hotel & Resorts Magazine
 View our entire portfolio

 

Most Viewed

  • Gavel, scales of justice and law books

    Lawsuit Basics: How Much Does It Cost to Sue Someone?

    0 shares
    Share 0 Tweet 0
  • Investigation: Can TriumphFX Take Your Money?

    0 shares
    Share 0 Tweet 0
  • The Impact of Covid: Racing to Buy Second Citizenships

    3 shares
    Share 0 Tweet 0
  • What to Do When an Online Casino Refuses to Pay Out Your Winnings

    0 shares
    Share 0 Tweet 0
  • The Truth About Temu: Where Is It From?

    0 shares
    Share 0 Tweet 0
  • Top 5 Flavors On Elf Bar BC5000 Review

    0 shares
    Share 0 Tweet 0
  • NFL Paychecks: How Do NFL Players Get Paid?

    0 shares
    Share 0 Tweet 0
  • Temu’s New Shipping Policy Is A Smashing Hit For Shoppers All Over the Country

    0 shares
    Share 0 Tweet 0
  • Five Reasons Why The Government Does Not Like Bitcoin

    0 shares
    Share 0 Tweet 0
  • How to Start a Telecommunication Business: A Step-By-Step Guide

    0 shares
    Share 0 Tweet 0

Latest Articles

Funzone casino: Five Games to Win Real Money in 2023

Funzone casino: Five Games to Win Real Money in 2023

The link between CBD and Blood Pressure: What Does Science Say?

The link between CBD and Blood Pressure: What Does Science Say?

7 Ways To Effectively Negotiate Salary When Working At A Startup

7 Ways To Effectively Negotiate Salary When Working At A Startup

Why is it important to have a variety of payment methods in an online casino Philippines?

Why is it important to have a variety of payment methods in an online casino Philippines?

Fostering Growth for African Companies

Fostering Growth for African Companies

It's estimated that 1 in 20 insured homes make a claim every year. You may find yourself in a situation where you need to file a claim for your own property sooner than you think. When it comes to making insurance claims, hiring a public adjuster can be an extremely helpful resource. They will work on your behalf to assess the true value of your claim and prevent insurance companies from offering you less. In this guide, we will provide an overview of public adjusters and explain why you may want to consider hiring one.

What is a Public Adjuster? Top 5 Reasons to Consider Hiring One

4 Major Benefits of Datarooms

4 Major Benefits of Datarooms

Using Personal Loans to Finance Your Business

Using Personal Loans to Finance Your Business

Shantell Martin Blends Art and Business to a Science

Q&A: Shantell Martin Blends Art and Business to a Science

Pressure Switch and Inducer Issues: What You Need To Know

Pressure Switch and Inducer Issues: What You Need To Know

California Business Journal | California Business News, California News Media, California business articles | Orange County, Los Angeles, San Diego, Inland Empire, Northern California, San Francisco | Huntington Beach CA 92649 | (949) 648-3815
ALL RIGHTS RESERVED BY CALIFORNIA BUSINESS JOURNAL.
Site Design by 1REALTOUR

No Result
View All Result
  • Front Page
  • Business
  • Finance
  • People
  • Featured
  • Opinion
  • Technology
  • Law
  • News
  • Food
  • Art & Culture
  • Human Interest
  • Education
  • Insurance
  • Real Estate
  • Health & Fitness

California Business Journal | California Business News, California News Media, California business articles | Orange County, Los Angeles, San Diego, Inland Empire, Northern California, San Francisco | Huntington Beach CA 92649 | (949) 648-3815
ALL RIGHTS RESERVED BY CALIFORNIA BUSINESS JOURNAL.
Site Design by 1REALTOUR