The Philippine information technology and business process management (IT-BPM) sector is expected to grow into a $39-billion industry by 2022 from its current combined revenue of $23 billion, creating hundreds of thousands of additional jobs in the process, a group of industry players forecast.
“In the next six years, we hope we can continue this great story of this industry,” Lito Tayag, vice chair of the Information Technology and Business Process Association of the Philippines (IBPAP), said on Thursday.
“At the end of 2022, we hopefully will have 1.8 million employees in this industry, generating about $39 billion from where we are today with about 1.1 million [employees]and $23 billion [in revenue],” T ayag said in a forecast presented at the launch of the Philippine IT-BPM Roadmap 2022 at the Marriott Grand Ballroom in Pasay City.
IBPAP board chairman Danilo Sebastian Reyes said that “IBPAP’s past two roadmaps—Roadmap 2010 and Roadmap 2016—have been instrumental in successfully growing the IT-BPM industry” to where it stands today.
Looking back at Roadmap 2012-2016, Reyes said the industry was able to gain strong support from both private and public sectors.
The IBPAP had expected the industry to grow into as much as a $25-billion revenue industry by the end of 2016, but only if it accelerated its talent development initiatives and obtain stronger government support to meet that goal. If it did, the IT-BPM industry could have employed up to 1.3 million Filipinos and accounted for 9 percent of GDP.
When the 2012-2016 roadmap began, Oscar Sañez, former IBPAP CEO said at the time: “The study found that the industry can grow from $9 billion in annual revenues and approximately 500,000 direct employees today to $20 billion and 900,000 employees by 2016 if current conditions are sustained and with a lot of hard work.”
“But the study indicates that we can grow at an even faster rate and achieve $25 billion and 1.3 million employees by 2016 if we can significantly strengthen our Private-Public-Partnership with the government, and improve both the quantity and quality of our talent supply,” he said then.
The 2012-2016 Roadmap was developed by a joint venture between Everest Group and
Outsource2Philippines working closely with the Information Technology and Business Association of the Philippines (IBPAP) and its partner associations and members. Funding came from the Commission on Information & Communications Technology (CICT). Its development was supported by extensive interviews of industry stakeholders, a survey of over 200 outsourcing companies, and primary and secondary research, according to the IBPAP website.