O&O Next-Wave City Scorecard™
The Business Processing Association of the Philippines (BPA/P), Commission on Information and Communications Technology (CICT), and the Department of Trade and Industry (DTI) of the Philippines have developed an offshoring and outsourcing (O&O) Next-Wave City Scorecard™ which provides information on the key buy factors: talent, infrastructure, cost, and business environment. Each of these categories contains a number of variables and each carries a specific aggregate weight which is allocated across the constituent metrics.
Talent, for example, includes quantitative and qualitative measures. Quantitative metrics include total tertiary graduates in the city, graduates in neighboring areas, and total population of professionals; qualitative measures include the number of accredited schools. Infrastructure metrics evaluate the presence and reliability of facilities that will drive business growth, such as airports, paved roads, and hotels. Cost metrics center on the cost of doing business in these cities; specific metrics include average monthly wages, telco rates, and power rates. Lastly, business environment metrics assess the readiness of the ecosystem for coordinated commitments for O&O
The first version of the scorecard has already been completed. At present, it covers 43 cities selected based on size, current O&O activity, and whether they are part of the government’s Cyber Corridor. Over time, we expect to add more cities and more granular metrics.
The scorecard is valuable to a variety of stakeholders. For O&O investors, the scorecard will provide a single source for assessing the readiness of a city across key dimensions and for measuring penetration at a city level. Local leaders can use the scorecard to identify areas for attention and to shape a development plan. Nonindustry players, such as telecommunications firms or real estate developers, will also find these information services valuable. It will help them in assessing and prioritizing areas for development.
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