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arvato expands Philippines operations as global BPO and CRM growth continues

Global business process outsourcing (BPO) partner arvato has expanded its operations in the Philippines with the inauguration of a new facility in Metro Clark, a business and tourism hub north of Manila. The new site supports arvato’s growth plans which aim to double its workforce in the region over the next three years.

The company, which supports multi-million dollar BPO and Customer Relationship Management (CRM) programs from its established base in Manila, has invested in the new 2,900 sq. m. facility to provide additional capacity for existing and new clients. The Clark operation will initially provide multi-channel English-speaking customer service support for the North American region. It forms part of arvato’s global CRM delivery network of nearly 100 sites across 21 countries.

“Digitization is changing the way our clients operate and how they interact with their customers,“ said Hervé Milcent, Head of arvato CRM and member of the arvato Executive Board. “Customers expect an excellent service, around the clock, across all devices. Our digital platforms enable our clients to deliver a unique customer experience, whether that’s through omni-channel customer service or standardized back-office services. Our 24/7, multi-lingual offshore network plays an important role in delivering innovative, low-cost solutions to our clients.”

“The Philippines is a key strategic location for arvato, providing the skilled employees and secure infrastructure we need to deliver best practice BPO and CRM frameworks for leading global organizations,” said Fara Haron, Executive Vice President, CRM North America and Country General Manager Philippines, arvato. “This expansion will provide more capacity to service our existing client base and a strong platform for growth as the Philippines continues to emerge as a major outsourcing destination.”

Clark was selected due to its strong supply of a young, well-educated workforce. arvato has launched a recruitment drive to fill positions including customer service agents, team leaders, subject matter experts and administrative and support staff. Up to 500 people are expected to be employed at the site by the end of 2014.

Since recently expanding its operations in Manila in 2012, arvato has more than doubled its workforce in the Philippines and achieved regional revenue growth of more than 200%. Its client programs include a global BPO partnership with Microsoft for contract-to-invoice services, which processes approximately 80% of the IT giant’s global revenues.

Data released by the Bangko Sentral ng Pilipinas (BSP) in January 2014 showed the BPO sector to be one of the main sources of income in the Philippines. According to a report from the IT and Business Process Association of the Philippines (IBPAP), industry revenues are expected to be at US$25 billion by 2016 and employment at 1.3 million.

“The Philippines’ IT and business process management industry is set to go from strength to strength in the years ahead,” added Jose Mari Mercado, IBPAP President & CEO. “Many forward-thinking, world-leading companies have already positioned their operations on our shores, recognizing the business potential and level of talent available. Investment from industry leaders such as arvato will further develop the country’s reputation for providing innovative, high value services.”

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About arvato

arvato is a leading global service provider. Its staff of over 65,000 design and implement tailor-made solutions for a wide range of business processes along integrated service chains for business customers all over the world. These include data management, customer care, CRM services, supply chain management, digital distribution, financial services and customized IT services as well as all services related to the creation and distribution of printed materials and digital storage media.

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