Bacolod City drops to 97th in Tholons outsourcing list

FROM 85th place in 2016, Bacolod City has slid down to 97th spot in this year's Tholons Services Globalization Index, a research report and ranking of the Top 50 “Digital Nations” and Top 100 “Super Cities.”

Tholons International, the leader in global outsourcing locations rankings, reported that it has introduced innovation, startup ecosystem, and digital transformation as a key component to define its index.

The new ranking released last week presents Tholons’ perspective on how digital is changing the industry and picking leaders, disruptors and innovators that will define the future of economies and growth markets, it added.

In 2015, Tholons has ranked Bacolod at number 86, seven notches higher than its 2014 ranking of 93rd, particularly for outsourcing and offshoring.

It has made a record as rank 100 in 2010, and eventually leveled up to number 94 in 2013.

Lawyer Jocelle Batapa-Sigue, executive director of Bacolod-Negros Occidental Federation of Information and Communications Technology (BNEFIT), said the council is happy for the city to be part of the 100 “Super Cities.”

Batapa-Sigue said the decline is two-sided.

It is still a positive validation of BNEFIT's efforts towards developing an innovation ecosystem conducive to startups and digital disruptions. At the same time, it is also a signal to push harder in this direction, she added.

“There are many factors affecting this decline such as inconsistencies in the commitment of public, private, and academic sectors,” Batapa-Sigue said, adding that “we have not embedded the system that is sustainable to continuously support the growth of the information technology-business process management (IT-BPM) industry."

Aside from Bacolod, other Philippine cities, including Manila, Cebu, Davao and Sta. Rosa, also have lower rankings this year.

Manila, which ranked second in 2016, dropped to the fourth spot.

The top three “super cities” for outsourcing this year are Bangalore, Mumbai and Delhi, all in India.

From eighth spot, Cebu moved down to rank 12. Davao and Sta. Rosa are at 85th and 100th from being in 69th and 82nd spots, respectively.

Meanwhile, the cities of Iloilo, Dumaguete and Metro Clark, previously among the top 100 destinations, are not included in this year's list.

To further sustain industry growth, the BNEFIT said synergy is still the best strategy which helped the city conquer the ICT industry starting 2010.

In 2013, Bacolod was recognized as Center of Excellence in IT-BPM and named as the industry's “beacon” in the 2017 Flare Awards of the IT Business Process Association of the Philippines.

“Without synergy, we will lose our momentum. If we refuse to think out-of-the-box and adopt the innovative culture, looking outwards and preparing our talent pool for the future of jobs, we will continue to slide down," Batapa-Sigue said.

Moreover, for Top 50 “Digital Nations,” Philippines ranked third next to India and China at first and second places, respectively.

Tholons said services globalization or outsourcing industry has been shaken at the very core as big industry leaders are grappling to align their business model to the new world of enterprise, digital innovation, and transformation.

This year marks a significant shift in the competitiveness of countries and cities as a result of digital innovation and transformation, it added.

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