A well-functioning human resources (HR) department is vital for improving productivity, enhancing employee engagement, and reaching organizational goals. Sadly, this is far from reality. HR departments are overwhelmed with pressure to meet employee expectations and stay ahead of evolving regulations and technological advancements.
Although your HR department is your organization’s pillar of support, it can crumble when challenges and issues become too unbearable. As such, there is a growing demand for human resource outsourcing. As of 2024, the market value of HR outsourcing was $42,455.08 million USD. By 2032, its value could amount $68,978.07 million USD.
If you’re looking to jump on the HR outsourcing train, now’s the time to do so. This article tackles the 10 advantages of human resource outsourcing, written in detail to help you envision these benefits.
HR outsourcing can be an intimidating and exciting venture for any business. Before reaping the advantages of human resource outsourcing, let’s take a look at whether this strategy is right for your business:
From access to high-caliber talent to streamlined HR management, HR outsourcing offers plenty of benefits to businesses. Below, let’s explore the top 10 advantages of human resource outsourcing:
Onshore outsourcing HR severely limits your talent pool to your geographic location. If you need specialized expertise, expect higher labor costs that reflect the vast knowledge and experience of high-caliber human resources professionals. On the bright side, what’s great about offshore outsourcing HR is the choice of talent available at your fingertips.
Need an HR compliance officer or a C-level recruitment specialist? The best HR outsourcing companies can provide you with cost-effective, top-performing HR talent who are screened and vetted by expert recruitment teams.
These professionals not only meet your desired qualifications in terms of skills, experience, and knowledge, but they’re also culturally compatible with your organization.
Maintaining an internal HR department gives you better oversight of your team. Though true, labor and overhead costs can soar quickly. The Society for Human Resource Management (SHRM) found that the average cost of hiring an employee is $4,683 USD and $28,329 USD for executives.
This makes ramping up headcount less viable during peak seasons for recruitment, performance evaluation, and compliance. However, outsourcing HR functions to an HR outsourcing provider can slash your labor and overhead expenses by a fraction. Outsourced HR employees are cheaper, which makes workforce scaling a more attainable goal from a financial standpoint.
Outsourcing companies also provide employees with the equipment, tools, and technology to deliver outsourced HR services. Unlike running an internal human resources department, there’s no need to pay for additional rent or utility bills.
Here’s the truth: There’s no “right” time for a technology upgrade. However, leaving upgrades to the backseat for far too long can cost your HR department dearly. Productivity loss, delays, errors, and security threats — all these can undermine HR operations, deteriorate efficiency, and increase your company’s risk of non-compliance.
While an IT professional may provide a band-aid solution, continuously using legacy software can increase costs by 20% to 25% each year. If you’re looking to balance technology upgrades with cost savings, HR outsourcing is your best bet.
Equipped with state-of-the-art HR outsourcing solutions and AI tools, HR service providers can support your department’s HR responsibilities with less financial investment from your end. Plus, it gives your internal HR department peace of mind knowing that they can rely on the provider to secure sensitive employee data.
Efficiency is your HR department’s best friend. Efficiency translates to a smooth workflow and organizational success. Obviously, you won’t achieve these if your HR staff is powering through endless tasks and experiencing burnout.
One of the benefits of outsourcing human resources is boosting operational efficiency. With the help of automation tools, outsourcing companies can streamline repetitive and time-consuming administrative tasks, such as interview scheduling, application tracking, and payroll administration.
In effect, your internal team won’t be slowed down by low-value tasks and can dedicate more time to core business activities.
Organizations mostly rely on HR professionals for compliance. Thus, they shoulder the responsibility for knowing all relevant federal, state, and local employment laws, workplace health and safety standards, and data privacy regulations. Amendments or changes? HR staff need to update themselves — or risk paying a higher price for non-compliance.
According to Globalscape, non-compliance can cost companies an average of a whopping $14.82 million USD (versus the cost of compliance at $5.47 million USD). Unfortunately, internal HR professionals are already overwhelmed with cumbersome administrative tasks. This makes meeting compliance standards more challenging, thus increasing your company’s risk of fines, penalties, and lawsuits.
Working with an HR compliance officer from an external HR provider can help your business avoid compliance issues. Using their knowledge of employment laws, workplace standards, and data privacy regulations, an HR compliance officer can ensure that every business function adheres to legal requirements in your home country.
Because an HR compliance officer has experience with international compliance, they can promise that your organization’s employment practices comply with global labor standards and the country’s local laws.
Nowadays, employees have higher standards and expectations. In addition to fair compensation and attractive benefits, they also want purpose, work-life balance, and a non-toxic workplace.
That’s why attracting the right talent is a challenge in its own right. You need to identify your Employer Value Proposition (EVP), enhance employer branding, improve hiring processes, and prioritize diversity, inclusion, and equity (DEI). One bad hire can cost your business $17,000 USD, so you wouldn’t want to scrimp on recruitment and talent acquisition.
An external HR provider can support your talent attraction initiatives with fresh perspectives and insights into your hiring pipeline. To attract skilled and culture-fit candidates, your provider will employ AI technologies and analytics, refine job descriptions, and improve your employer branding. This reduces the financial repercussions of onboarding ill-fit employees or bad hires.
A company invests in its employees because they are its greatest asset. Competitive salaries, appraisals, attractive benefits, supportive leaders, and an inclusive workplace culture can make employees stay in your organization. But there’s another thing that makes them stay — career growth.
Naturally, employees want to grow their careers and unlock their true potential. This is possible with self-learning and the help of your HR department. But if your in-house HR is swimming in administrative tasks, outsourcing HR is your solution.
Working with an offshore training and development specialist opens your mind to new perspectives and best practices on career development.
Utilizing their knowledge of instructional design and adult learning strategies, your outsourced training and development specialist can design professional development programs that support self-learning, maximize your employees’ potential, and meet organizational goals. As a result, your workforce will perform better and become more productive.
Companies offer a wide range of employee benefits, including medical insurance, paid time off (PTOs), scholarships, and remote work arrangements. Since job seekers look at an organization’s benefits, your own benefits can either attract or repel potential employees. Of course, the more competitive your benefits are, the more likely your existing employees will be happy, productive, and loyal.
Unfortunately, low employee engagement, lack of awareness, and poor employee-HR coordination are detrimental to effective benefits administration. This is where outsourced HR and benefits administration takes the spotlight.
An HR outsourcing provider can integrate a third-party benefits administration software into your system, streamlining benefits enrollment and verification and centralizing employee benefits into an accessible self-service platform. This minimizes errors and gives HR employees more time for core business activities.
Furthermore, outsourced benefits administrators can offer suggestions for designing attractive benefits that appeal to your employees. They can also leverage AI and data analytics to identify trends and tailor benefits according to a staff member’s unique needs.
Payroll processing is a meticulous HR function. While payroll is associated with numbers and calculations, it is more than meets the eye. It’s about compliance, credibility, reputation, and trust. In fact, every payroll error you address sets your company back an average of $291 USD — which can add up if left uncontrolled.
Consequently, payroll mistakes can lead to poor employee satisfaction, inefficiencies, and financial loss. If your company has missed payroll deadlines or faced compliance issues, it may be time to outsource payroll to an HR outsourcing company.
Outsourced payroll specialists can handle the bulk of your payroll, leveraging advanced payroll software to streamline the calculation of benefits, minimize data and calculation errors, and ensure that all payslips are delivered to the correct employee.
These payroll specialists can also help your internal team prepare payroll and annual tax reports on time, so your company avoids fines and lawsuits from non-compliance.
HR management is tough. Companies entrust HR managers with tasks involving compliance, recruitment, talent management, workplace discipline, and performance evaluation. Alarmingly, human resources is a department that’s rife with burnout. Whether it’s excessive workload or empathy fatigue, HR staff and managers also crave support for their struggles.
This is where outsourcing HR management comes into play. With their out-of-the-box perspectives and knowledge of HR best practices, offshore HR managers can assist your in-house managers with developing training programs, enforcing company policies, managing your workforce, and maintaining legal compliance.
Because outsourced HR managers leverage AI, workflow and processes are streamlined to reduce your internal HR management team’s workload. This enables them to focus on high-value internal HR initiatives.
You can reap the advantages of human resource outsourcing by applying these two HR outsourcing best practices:
Choosing a provider is one of the most important steps to take when outsourcing HR. The right vendor has the following:
In some cases, the red flags show up when your offshore HR team is working on a trial project. But don’t let this stop you from finding the right vendor. Know what you want, set your expectations, and keep vetting outsourcing partners.
Outsourced HR services are only as good as the offshore staff behind them. To leverage the advantages of human resource outsourcing, set realistic performance standards and conduct regular feedback sessions.
This way, you can identify areas for improvement, assess your team’s ability to maintain compliance, and help your HR staff reach key performance indicators (KPI). The better your team performs, the more likely you’ll achieve organizational goals.
At KDCI Outsourcing, we can help you achieve the benefits of human resource outsourcing with our world-class offshore outsourcing solutions — carefully tailored to meet your organizational and staffing needs.
We source, vet, and onboard HR professionals who meet your requirements and exhibit values, ethics, and mindsets that mesh well with your organizational culture. With our expertise in automation and AI technologies, we can optimize all HR functions for efficiency and scalability.
Build a dedicated HR team and let’s elevate your HR with KDCI. Contact us for a quotation or proposal today!
People are the core of every business. This is true in every industry, at all stages of growth, even and especially when AI takes the spotlight in business operations. It’s the employees that drive innovation, execute strategies, and ultimately determine whether a company succeeds or fails.
As such, the process of managing people — your business’ human resource (HR) function — becomes increasingly complex as the organization scales. HR processes tend to expand in scope as the business evolves, from functions like payroll and compliance to recruitment and overall employee performance management. So, what once worked for a smaller team often becomes unsustainable as the business grows and onboards more team members.
The global demand for human resource outsourcing is accelerating exponentially, with a $39-billion current market size that is expected to hit over $57 billion by 2033. It’s because businesses, especially medium to large organizations, are recognizing that outsourcing HR can be an ideal solution for businesses looking to both cut costs and maximize strategic value.
From payroll and compliance management to recruitment and training, HRO provides flexibility and expertise that allow leaders to focus on core business growth. In a highly competitive market, that could be the difference between thriving and being left behind as other businesses in your niche move ahead.
This guide explores everything decision-makers need to know about human resource outsourcing:
By the end, you’ll have a clear framework to make a strategic choice for your organization’s HR future. Let’s get started.
Human Resource Outsourcing (also popularly known as HR Outsourcing or HRO) is when a business delegates some or all of its HR functions to an external provider. These providers are equipped with specialized systems, processes, and expertise that many companies would otherwise need to build internally.
Instead of building large internal HR departments, companies can leverage outsourcing HR functions to cut costs, ensure compliance, and scale operations without compromising employee engagement and experience. Data shows that around 42% of large businesses are currently outsourcing at least one HR function. Because of its nature, this solution is best for medium to large businesses who are currently in a growth phase and in need of an efficient HR department, minus the overwhelming overhead costs.
As you explore outsourcing options, you have probably encountered a number of confusing acronyms — HRO, PEO, RPO. Now, these can sound similar (and they do have some intersections and overlaps), but they function differently. Understanding the distinctions is essential because choosing the wrong model can lead to inefficiencies, compliance complications, or misalignment with the organization’s long-term goals.
Let’s go through them one by one:
As already discussed above, this refers to the delegation of specific HR functions to external HR outsourcing companies while employees remain under the company’s direct employment. The outsourcing partner delivers services such as payroll, benefits administration, compliance management, training, or performance monitoring.
For medium to large enterprises, human resources outsourcing services are attractive because it reduces the administrative burden while still allowing business leaders to retain full strategic oversight of the workforce. The relationship is straightforward: the company maintains complete employer control, while the HRO provider acts purely as a service partner.
A Professional Employer Organization, on the other hand, operates on a co-employment model. In this arrangement, the PEO shares legal employer responsibilities with the business. Employees are technically employed by both the company and the PEO, with the latter managing payroll, benefits, and compliance under its own employer identification number.
This structure is particularly useful for small to mid-sized businesses that want to provide enterprise-level benefits and maintain regulatory compliance without investing heavily in building HR infrastructure internally. However, for larger organizations, the co-employment aspect can sometimes feel restrictive, as it requires sharing responsibilities that many enterprises prefer to keep in-house.
Lastly, there’s Recruitment Process Outsourcing which is more specialized. In this model, an external RPO partner manages all or part of a company’s recruitment and hiring activities. This HR staffing solution can include job advertising, candidate sourcing, interviews, background checks, and onboarding. Unlike a PEO, the RPO provider does not assume co-employment responsibilities; instead, they act as an extension of the company’s internal talent acquisition team.
For organizations experiencing rapid growth, high-volume hiring, or expansion into new markets, recruitment process outsourcing provides speed, efficiency, and access to a deeper talent pool, all while ensuring that new hires remain directly employed by the company itself.
Since we’re only focusing on fully answering the question “What is human resource outsourcing?” in this article, we’ll now proceed with discussing the other aspects that make HRO what it is and how it can benefit your business today and long into the future.
One of the biggest advantages of human resource outsourcing is its flexibility. Organizations can outsource just a few HR functions or their entire HR department, depending on business needs. That said, its scope can range from transactional services like payroll to strategic functions such as performance management and workforce planning.
Below are the core HR services that are commonly outsourced by businesses across the US and why they matter to you:
Payroll is one of the most complex, sensitive, and time-consuming HR tasks. Errors in payroll can greatly affect employee satisfaction. In addition to that, they can also lead to compliance penalties and reputational damage. Outsourcing payroll to an HR outsourcing firm ensures accuracy in payroll processing, timeliness of distribution of salaries, and compliance with every relevant employment law and government requirement.
For businesses, outsourcing payroll means predictable costs and reduced legal exposure, while freeing internal teams for higher-value work.
Hiring (and retaining) the right people is a competitive advantage, but recruitment is time-intensive and resource-heavy. It’s one of the human resources functions that cost the most to invest in, and also among the most costly if not done right. Outsourcing recruitment to a third-party provider can cover:
An HR outsourcing provider often has larger talent networks, recruitment HR technology (AI screening tools), and deep market insights. This gives your business the benefit of faster hiring cycles, lower hiring costs, and a higher quality of talent entering the organization.
Designing and managing employee benefits is critical to attracting top talent and their subsequent retention, but it’s also heavy in terms of administration. Its challenging nature is the reason why it’s also among the most outsourced human resource functions. Outsourced HR services for benefits administration empower your company to:
As a strategic retention tool, outsourcing benefits administration allows you to offer a more competitive and comprehensive compensation package without the added workload to your internal team.
Once employees are on board, the next step is to make sure that they stay with benefits that go beyond compensation. They expect continuous growth opportunities throughout their stay in the company, but building employee training programs internally requires significant resources. So, most businesses typically outsource training and development functions for:
HRO providers usually have ready-made learning platforms, industry-specific programs, and expert facilitators, helping companies upskill employees at scale. This empowers your business with improved workforce performance and reduced turnover without the cost of building an in-house L&D team.
Managing employee performance requires consistent monitoring, data collection, and alignment with company strategy. While it can be tedious, access to this data allows business leaders to make informed decisions for the company. Outsourced HR providers can help you:
Instead of HR managers struggling with spreadsheets, executives gain access to data-driven insights that support better workforce planning and strategic decision-making with the help of a reliable outsourcing provider.
By delegating the HR responsibilities we have listed here, growing businesses significantly reduce HR workloads and get cost savings at the same time. Doing so enables you to focus on things that matter the most, such as healthier employee relations and a culture that supports the overall business growth.
Human Resource Outsourcing has become a cross-industry practice, but its adoption is particularly strong in sectors where compliance, scalability, or workforce management are especially challenging.
While any business can benefit from outsourcing HR, certain industries have leaned into outsourcing more, specifically HR outsourcing services, because of their structural demands and growth patterns. The following are the top 3 industries are outsourcing HR functions:
The technology industry is one of the heaviest users of HRO. Tech companies scale rapidly, often expanding across multiple countries in short periods of time. This creates immediate complexity in payroll, benefits, and compliance. At the same time, the competition for top talent is fierce.
By outsourcing HR, technology firms gain faster access to global recruitment networks, streamlined onboarding processes, and automated payroll systems that support distributed teams.
In healthcare, the motivations for using outsourced HR functions are very different. This industry is heavily regulated, with strict requirements for licensing, training, and compliance with labor laws and safety standards.
The stakes are high since mistakes in HR compliance can result not only in financial penalties but also in risks to patient care and institutional credibility. Healthcare organizations use HRO providers to manage credential verification, ongoing training programs, and employee scheduling across diverse roles. By outsourcing, healthcare executives ensure regulatory compliance while freeing internal leaders to focus on patient outcomes and clinical innovation.
The finance sector also relies heavily on HRO, but here the emphasis is on confidentiality, risk management, and strict adherence to global compliance standards. Banks, insurance companies, and investment firms must navigate complex labor laws, data privacy regulations, and internal audit requirements.
Outsourcing HR to trusted providers allows financial institutions to maintain airtight compliance while still providing competitive employee benefits that attract top-tier talent. For executives, the decision to outsource is less about operational convenience and more about safeguarding reputation and maintaining investor confidence.
While these three are the top industries when it comes to HR outsourcing, it cannot be denied that HR outsourcing can benefit every industry — in fact, we have no doubt that this list will soon change as more and more businesses utilize outsourced HR functions.
As mentioned above, when outsourcing HR functions you can choose to outsource only specific functions or hand over your entire HR operation. This makes HRO adaptable to different business stages, whether you’re a company scaling rapidly, expanding into new markets, or simply looking to streamline day-to-day HR tasks.
Typically, businesses outsource these HR roles and functions:
From recruitment and payroll administration to benefits management and compliance, nearly every HR task can be outsourced depending on the organization’s needs. The goal is to relieve internal teams of routine or highly specialized responsibilities so that your team can focus on strategy, while still ensuring employees receive consistent, high-quality support.
Business leaders turn to human resource outsourcing not only for convenience, but because it delivers real strategic value. Beyond delegating a task, it’s a move that businesses make to streamline operations, reduce costs, and ensure that leadership is focused on driving growth rather than managing administrative tasks.
Here are the core benefits of HRO for medium to large enterprises:
With HR tasks handled externally, executives and managers can concentrate on strategy, customer growth, and innovation instead of getting tied up in payroll disputes or compliance paperwork. This sharper focus helps streamline business operations and strengthens the overall competitiveness of the business.
Running a full in-house HR department is expensive since salaries, training, software, and compliance costs all add up. HR outsourcing transforms these into scalable, predictable expenses that grow with business needs, giving organizations a leaner cost structure.
HRO providers bring specialists in employment law, compliance, benefits administration, and employee engagement. Instead of struggling with limited internal expertise, companies gain immediate access to best practices and extensive industry knowledge.
HR demands rise and fall with hiring surges, restructuring, or expansion into new markets. Outsourcing ensures HR capacity adjusts quickly, without the delays and expenses of building an internal team from scratch.
An ideal HR outsourcing provider is one that invests in HRIS platforms, payroll automation, and advanced analytics. When you work with one, the business benefits from these tools without the upfront costs, while executives gain real-time insights for better decision-making.
To access these benefits, it’s important to identify the exact needs of your business and work with an external provider that has expertise in your specific needs. It’s also important to acknowledge that while the benefits of HR outsourcing are many, it still comes with risks and challenges.
Understanding the potential downsides is essential to making an informed decision and ensuring the partnership works smoothly. Here are some of the common challenges encountered by businesses when outsourcing their HR:
By outsourcing, leaders place key HR functions in the hands of an external partner. While this saves time, it can sometimes make executives feel less connected to employee relations. While this is a natural feeling, there is a solution: maintain oversight through clear reporting and regular reviews.
HR is closely tied to company culture, and an external provider may not fully capture an organization’s values or ways of working right away. Without careful onboarding of the provider, employees may feel a disconnect. Strong communication helps align your culture with your outsourced HR provider.
Sensitive employee and company information are crucial HR responsibilities, and outsourcing introduces an element of risk to this. Reputable HRO providers invest heavily in data security and protection, but business leaders should still evaluate security protocols to ensure compliance and confidentiality.
While these challenges are inevitable, they are not really dealbreakers. With the right provider, as well as following HR outsourcing industry best practices, most risks can be significantly reduced or eliminated altogether.
Careful partner selection, clear service level agreements, and consistent communication create accountability and alignment. Ultimately, the organizations that have been using HRO (there are a lot of them!) have found that the benefits still outweigh the risks.
By now, it’s clear that HR outsourcing is a strategic investment for businesses looking to scale their operations. But it’s equally important to recognize that outsourcing is never a one-size-fits-all solution. The real question for businesses is whether their organization is at a stage where HRO creates meaningful impact.
A good way to find out is by asking (and answering) the right question:
If your business is expanding rapidly, struggling with compliance, or carrying high HR overhead costs, outsourcing may be the logical next step. Similarly, if HR bottlenecks are starting to hurt employee experience and retention, it may be time to explore an HRO partnership that can relieve internal pressure while raising service quality.
If you answered “yes” to one (or more) of the questions above, it may be the right time to explore HRO as a strategic partnership.
If you’ve been asking yourself whether outsourcing is the right move for your business, you’re not alone. Many growing companies reach a point where HR tasks become too complex, too costly, or too time-consuming to manage in-house.
That’s where the right partner can make all the difference.
At KDCI Outsourcing, we specialize in building dedicated HR teams tailored to your business. From payroll and compliance to recruitment, training, and employee engagement, we offer flexible engagement models that let you focus on strategy while we handle the complexities of workforce management. Whether you need support for specific HR functions or an entirely outsourced HR team, we’re here to help you scale with confidence.
Let’s talk about how we can support your HR needs. Contact KDCI today.
A business’s greatest asset is no other than its employees. Companies invest in talent not only to keep operations running and achieve organizational goals, but also to serve as representatives to customers, clients, and would-be employees. While employees are mostly responsible for their own learning, human resources (HR) management also plays a vital role in their development.
HR management is more than managing employees; it’s tapping into their skills, knowledge, experience, and potential to drive success in the workplace and in their individual careers. However, technological advancement in HR, evolving regulations, and turnover are troubling HR managers more than ever.
The good news? Outsourcing HR management gets HR managers back on track and elevates their HR game in ways that make organizational and employee success more attainable — that is, without straining your current workforce.
If the idea of outsourcing sounds good to you, this comprehensive article will teach you everything about outsourcing in human resource management.
From the name alone, HR management is a function that involves managing HR staff and other employees in the company. This includes recruitment, performance management, and employee engagement. It is also integral to workplace safety, compliance with employment laws, and fulfillment of organizational and individual employee goals.
HR managers are the leaders of the HR department. From recruitment to compliance, they wear multiple hats to keep the department and the organization running smoothly. Let’s tackle each of their responsibilities below:
Human resources managers are responsible for writing and posting job descriptions as well as sourcing, screening, interviewing, and onboarding employees into the company. They also orient employees on workplace policies and provide support to new hires.
These professionals liaise with team leaders, supervisors, or project managers to conduct performance reviews for potential salary increases and promotions within the department.
HR managers monitor employees’ training needs and create appropriate professional development programs.
Human resources managers create and oversee compensation and benefits packages for employees. These HR professionals factor in workplace needs in designing these packages to ensure that employees are well-compensated and healthy, thereby improving retention.
HR managers enforce company rules and regulations and impose sanctions — such as a suspension or a written warning — on employees to correct behavior, improve performance and productivity, and promote workplace safety. Depending on the severity of the violation, HR managers can terminate employees.
Leveraging their interpersonal, creative, and analytical thinking skills, they mediate and resolve conflicts between employees to promote well-being and avoid resentment.
Human resources managers keep abreast of changes in workplace safety standards and employment laws to ensure the organization maintains regulatory compliance and meets industry standards.
This section explores some of the benefits of outsourcing in human resource management.
Whether your employees work in the finance, HR, or marketing department, professional development is key to making themselves relevant, competitive, and future-ready in the workforce of tomorrow. When companies prioritize professional development, retention is greatly enhanced.
Gallup and Workhuman surveyed full-time and part-time 4,439 US adult employees. When asked if their company pushed them to upskill, the participants — who were 18 years old and above — answered “strongly agree.” Due to this encouragement, the report found that these employees have a 47% lower chance of seeking new job opportunities.
However, professional development involves resources. From developing training programs to finding an appropriate mentor or training venue, this initiative can leave HR departments stretched too thin, thus deprioritizing core business activities. Additionally, training programs should be tailored and engaging for all employees; otherwise, they won’t fully invest in their development.
An HR outsourcing provider can augment your team with HR managers and other HR experts who can develop training programs that are tailored to address skill gaps, encourage leadership, and meet workforce needs.
With the help of advanced employee training software, staff members have a clearer picture of their career trajectory, so the skills they learn suit their current position or prepare them for a future role in the organization. This encourages self-learning while also providing HR managers with data on the effectiveness and engagement of the training courses.
If there’s something that HR departments should never neglect, it’s compliance. Compliance makes the difference between a lawful organization and costly lawsuits. As the primary drivers of compliance, HR staff familiarize themselves with employment laws, workplace standards, and data privacy regulations, so the company fulfills its legal duties and avoids penalties.
With the amount of workload that HR managers face, there’s a tendency for compliance to be relegated to the back seat. Workplace bias, discrimination, and harassment are just a few of the compliance challenges HR managers face. Let’s also not forget that compliance issues can originate from payroll processing errors and a lack of qualified legal guidance.
HR outsourcing companies employ HR managers who are knowledgeable of employment laws and workplace standards at all levels of government. They help your business navigate the complexities of legal frameworks, ensuring your business remains fully compliant with local (overseas) laws and standards.
Outsourced HR managers can also review workplace policies and conduct compliance training, so your workplace becomes a positive environment for all employees — regardless of their gender, age, or race.
Local labor is more expensive, with the average cost of hiring sitting at $4,683 USD per hire. Obviously, recruiting and hiring costs differ between roles, companies, and industries. According to the US Bureau of Labor Statistics, HR managers earn an annual median salary of $140,030 USD.
As labor costs rise due to inflation, businesses turn to cost-effective options, such as contract workers and offshore outsourcing services, to offset costs while still benefiting from the specialized expertise of these contract and outsourced professionals.
Outsourcing to the Philippines drastically slashes your labor and overhead expenses, thanks to its lower wages and cost of living. In fact, on average, Filipino HR managers earn $10,482.54 USD to $12,579.05 USD a year.
By collaborating with an HR outsourcing provider, you can work with cost-effective HR managers who possess the same or higher caliber as local HR managers. Because outsourcing HR tasks puts less strain on your budget, you can better plan for future HR and business investments.
While outsourced HR services carry plenty of advantages to your business, be prepared to encounter these challenges when outsourcing in human resource management:
HR outsourcing may be cost-effective, but it’s easy to fall prey to overspending and compromising your company’s financial health if you don’t track your expenses. HR outsourcing costs encompass everything from labor to compliance fees. Hidden fees, such as currency exchange rates and technology upgrades, can likewise affect your budget.
No outsourcing company is perfect. However, an HR outsourcing company that doesn’t understand the nuances and peculiarities of your workplace culture can lead to unmet needs and expectations. Hence, you might end up being dissatisfied with the provider’s quality of HR services.
Data security and privacy are critical to HR outsourcing. Outsourcing does carry a degree of risk, as you’ll be allowing the HR outsourcing provider to process and store your data. If the outsourcing company’s security infrastructure is weak and employee data gets leaked, you’ll be in for a lot of trouble with your internal resources and, of course, the law.
In HR outsourcing, interactions take place virtually. Unfortunately, time zone differences can mean delayed responses and lost productivity. Because time is of the essence when outsourcing in human resource management, your HR outsourcing firm can adjust to your business hours for real-time HR support.
This section resolves the challenges discussed in the previous section. Follow these best practices to reap the benefits of HR management outsourcing:
It’s all about creating a budget and being aware of the costs of human resources outsourcing. Do extensive research on the Philippines’ cost of living and average salaries for HR managers. Consider also the project complexity, headcount, software, and your preferred experience level of HR managers. All these factors can influence your monthly total bill.
Additionally, don’t forget to ask for the breakdown of costs. The right HR outsourcing provider is transparent and will be happy to dissect the expenses of their outsourcing services.
While outsourcing expenses vary from provider to provider, anticipating all the possible costs can better financially prepare your business for expected and unexpected expenses. This way, you can enjoy the fruits of your provider’s service offerings and achieve a high outsourcing ROI.
The provider you’ll work with can make or break your company’s HR management operations. Well-experienced HR outsourcing companies possess deep knowledge of your industry.
Thanks to this knowledge, they can understand industry nuances and requirements. Because these HR and payroll service providers have worked with different clients, they can tailor their outsourced HR management services to your business needs.
In line with this, choose an outsourcing company experienced in outsourced HR management. Likewise, it would be better if the external provider has ample experience in providing HR management outsourcing services to clients operating in your industry. This minimizes the risk of unmet expectations and dissatisfaction with the outsourcing company.
Never, ever skip cybersecurity. This starts with vetting your HR outsourcing partner’s cybersecurity capabilities.
Probe into the provider’s IT infrastructure, data security practices, remote work policies, fraud detection measures, and risk management strategies. Ask about their background-checking processes and how they hire HR managers with integrity. Most importantly, check if the company is certified by the International Organization for Standardization (ISO).
When outsourcing in HR management, you’ll want to err on the safe side since your employees’ data is at stake. One data breach or insider threat can expose your data to hackers and cyber criminals.
If you’ve already started working with an HR outsourcing company, don’t make the mistake of being too complacent with your data security. Here are three tips:
When outsourcing in human resource management, the company has already prepared offshore HR managers who have agreed to work on your schedule. Building trust and forming a strong relationship with your offshore HR management team boils down to communication. Without proper communication, the partnership crumbles — and that’s something you wouldn’t want to happen.
Here are five tips for effective communication:
At KDCI Outsourcing, we understand the vital role of HR management in driving organizational success. Our offshore HR managers are equipped with all the right skills — from technical to soft skills — to handle your HR department and liaise with your internal team.
By integrating AI, automation, and modern HR technologies into your workflow, we can enhance your HR operations, improve operational efficiency, reduce errors, usher in innovation, and free your internal resources from boring administrative tasks.
Let KDCI Outsourcing oversee your HR department. Hire an HR manager or build a full HR team with us. Let’s get talking today!
Outsourcing has become a powerful strategy for businesses that want to scale efficiently, reduce costs, and stay competitive in a fast-changing market. Among the world’s top outsourcing destinations, the Philippines continues to stand out in 2026, thanks to its skilled workforce, strong cultural alignment with Western businesses, and government-backed infrastructure.
In this article, we’ll explore the top outsourcing companies in the Philippines and highlight what makes them leaders in the industry. Whether you’re a startup looking to build your first offshore team or an established enterprise aiming to expand operations, this comparison will help you identify the right partner to match your business goals.
If you’re looking to scale your operations and considering working with an outsourcing company from the Philippines to delegate some of your business’ functions, then this article is written for you.
With a rich history of being the world’s “call center capital” — known for offshore customer service operations that support various global and multinational companies, the business process outsourcing (BPO) industry in the Philippines has successfully evolved.
Today, it is an intricate, fully-developed system that now supports a wide range of outsourcing services and offshore business processes, including but not limited to:
From customer support, IT, accounting, and finance, to creative design, HR, logistics, and procurement, outsourcing companies in the Philippines now empower businesses with functions that used to only be available inshore, at significantly more cost-effective rates.
With its skilled, English-speaking workforce, strong cultural compatibility with American, Australian, and European businesses, as well as a government-backed outsourcing infrastructure, the country has become the go-to destination for companies looking to outsource business functions. It’s the reason why a lot of offshore outsourcing companies have risen to fame over the past couple of years.
That’s exactly why we created this guide. Below, you’ll find a detailed breakdown of the Top 10 Outsourcing Companies in the Philippines (2026 Edition) — who they are, what they do best, and why you might want to consider them for your business.
Whether you’re a medium-sized business looking for a small but dedicated team offshore or a larger organization preparing to scale with outsourced staff, this list will give you a clear picture of the landscape and help you make a confident decision.
Let’s get started.
If you’ve been looking for the best countries for outsourcing solutions, we’re also almost positive that most, if not all, of the lists included the Philippines as a top destination for offshoring and outsourcing, as has been the case for decades now.
But, why exactly? What’s in it for you when you outsource to the Philippines?
So, before diving into the list of top outsourcing companies in the Philippines, let’s quickly cover the five key reasons why this country remains to be a global leader and the most ideal outsourcing destination in 2026:
The Philippines offers significant cost savings, allowing organizations to save up to 70% on staffing and operational costs compared to hiring domestically. This is primarily due to the lower cost of living and more competitive wages in the Philippines.
Beyond just salaries, however, outsourcing to the Philippines also lets businesses save on overhead expenses like office space, equipment, and utilities since these are already incorporated into the fees. This allows for a reallocation of capital to other critical business functions like research and development or marketing, driving revenue growth and productivity, without compromising quality (in essence, value for money).
The country boasts a large and diverse pool of professionals with extensive industry experience. Each year, hundreds of thousands of college graduates enter the workforce with degrees in fields like IT, business administration, finance, and human resources.
This talent pool is not only highly educated but also known for strong work ethic and dedication. The workforce is skilled in a wide range of services, from customer service and data entry to more complex tasks such as software development, financial analysis, and property management.
A key advantage is the high level of English proficiency among Filipinos since English is an official language and is primarily used in business and education. This fluency, coupled with a neutral accent, ensures seamless communication with clients and customers from Europe, Australia, and the US.
Additionally, the Philippines has a strong cultural affinity with Western cultures, particularly the United States, which facilitates smooth collaboration, reduces cultural misunderstandings, and fosters a productive work environment. The Filipino culture’s emphasis on hospitality and customer service is a natural fit for client-facing roles, so you can rest assured that your offshore team can meet the specific needs of your growing business.
The Philippine government has played a crucial role in nurturing the country’s BPO sector. It has implemented various programs and policies to encourage foreign investment that will support the industry’s growth and innovation.
As such, every BPO company in the Philippines is empowered by: (1) tax incentives and duty exemptions for registered BPO companies; (2) investments in infrastructure to support the industry’s technological needs; and (3) training programs aimed at upskilling the workforce in areas like IT, data analytics, and English proficiency.
When you choose to outsource to the Philippines, you are taking advantage of a well-developed industry with a continuously developing tech and structure, backed by strong government support that is geared to empower your business, too.
The Philippines’ large labor pool and established outsourcing ecosystem make it easy for businesses to scale operations up or down as needed. Whether a company needs to start with a small team of a few agents or expand to a large-scale operation, the infrastructure and talent are readily available through BPO services from the Philippines.
This flexibility is a significant advantage, allowing businesses to adapt to market fluctuations and manage their growth without substantial financial risk. The BPO industry is also highly adaptable to different work models, including remote and hybrid arrangements, further enhancing its appeal. Whatever phase your company is in, you can utilize outsourcing to match your client needs and drive forward your business’ ongoing success.
Of course, to maximize all the advantages that we have covered above, it is important to find a BPO company that will truly match your business’ specific needs.
Choosing the right outsourcing partner is a critical business decision and you need to do it with all the information you can get. After all, it’s not just about finding a company with a good reputation, it’s about finding one that’s a perfect fit for your specific needs — both in terms of technical skills and overall culture.
So, as you evaluate potential outsourcing partners in the Philippines, here are the key factors you should be checking:
With the above criteria in mind, we have compiled a list of the best outsourcing companies in the Philippines — so you don’t have to! These are the companies that are preferred by most businesses across the US and Australia, which offer services across customer support, IT and software development, human resources, and more.
Let’s get to know them.
Company & Service Overview:
KDCI Outsourcing is a Pasig City-based outsourcing company with years of experience and is committed to helping businesses succeed. KDCI focuses on building high-performing teams of skilled professionals in the Philippines, enabling companies worldwide to achieve their goals. KDCI empowers experts in fields like accounting and financial services, customer support, back office services, IT and web development, among others.
KDCI’s Strengths:
With flexible engagement models and a personalized approach to recruitment, KDCI hires and trains your offshore staff based on your brand’s culture. They also help ensure continuous team improvement by making sure that your offshore team seamlessly integrates with your organization and provides your inhouse teams the support they need.
KDCI is best for companies that want a hands-on outsourcing partner to build teams that feel like an extension of their in-house staff.
Company & Service Overview:
As a global BPO leader with a significant presence in the Philippines, Concentrix provides a full spectrum of customer experience management services, integrating advanced analytics and technology to deliver end-to-end solutions.
Concentrix’ Strengths:
Concentrix offers a full suite of omnichannel support, including voice, chat, social media, and email. They are also highly focused on optimizing the entire customer journey and leveraging their robust infrastructure to manage large-scale operations.
Concentrix is best for businesses looking for data-driven customer experience solutions with the ability to scale globally.
Company & Service Overview:
One of the most recognized names in the outsourcing industry, Teleperformance has a massive footprint in the Philippines, providing a wide range of services from customer care and technical support to finance and back-office operations.
Teleperformance’s Strengths:
With years of experience in the outsourcing industry, Teleperformance specializes in providing multilingual support and have made significant investments in technology and AI-driven solutions integrated with human expertise to enhance service delivery.
Teleperformance is best for companies that need enterprise-grade outsourcing solutions with guaranteed reliability from a trusted global leader.
Company & Service Overview:
Foundever specializes in customer experience management and digital solutions. The company is particularly known for its focus on employee training and engagement, which it believes directly improves service quality. Foundever offers services across customer support, technical support, sales and retention, back-office support, and more.
Foundever’s Strengths:
This outsourcing company is recognized for its high employee satisfaction, which leads to better service delivery. It offers a range of omnichannel solutions supported by innovative tools and has extensive experience across various industries including healthcare, tech, and hospitality among others.
Foundever is best for businesses that prioritize consistent, empathetic, and people-centric customer experiences.
Company & Service Overview:
Alorica delivers customer experience and back-office solutions across numerous industries such as banking, healthcare, and retail. The company differentiates itself through its use of digital-first and data-driven insights to personalize customer interactions and streamline operations.
Alorica’s Strengths:
Alorica leverages advanced digital transformation tools, including chatbots and analytics. It offers a wide range of scalable customer experience and back-office services and has a strong global reputation.
Alorica is best for companies that want tech-enabled outsourcing to enhance customer engagement and optimize their operations.
Company & Service Overview:
Cloudstaff specializes in providing skilled, remote staff and teams to businesses worldwide. They hire and train virtual assistants, accountants, marketing specialists, and other professionals for various industries. With a strong focus on technology and an employee-first culture, they offer future-forward and enterprise-grade solutions for companies looking to build their offshore workforce.
Cloudstaff’s Strengths:
They have a strong emphasis on providing a positive work environment, which helps in staff retention. Their model is highly flexible and transparent, allowing clients to have more direct control.
Cloudstaff is best for businesses of all sizes that want to build a dedicated, remote team that feels like an extension of their in-house staff.
Company & Service Overview:
TaskUs is a multinational outsourcing company with a strong presence in the Philippines. It specializes in digital-first support and content moderation. It has a strong presence in tech-enabled industries like SaaS, fintech, and gaming, and emphasizes flexible scaling to meet the demands of rapid growth.
TaskUs’ Strengths:
TaskUs has established itself by providing scalable outsourcing solutions to fast-growing tech companies and startups. The company focuses on agile solutions that bring trained team members and advanced tech together.
TaskUs is best for high-growth businesses or startups that need a scalable and tech-savvy outsourcing partner.
Company & Service Overview:
IBM brings its enterprise-level, AI-powered outsourcing capabilities to the Philippines, offering expertise in a wide range of services including IT, finance, HR, and customer service. With cutting-edge AI assets and trained agents, IBM takes pride in empowering end-to-end business transformation.
IBM’s Strengths:
IBM provides global IT expertise and digital transformation solutions. The company is highly focused on AI adoption, data security and compliance, making it an ideal choice for businesses looking for multi-function outsourcing from a trusted provider.
IBM is best for medium to large businesses that need a reliable partner for IT and back-office services.
Company & Service Overview:
MicroSourcing specializes in offshore staffing and managed services, providing a unique model that allows businesses to build dedicated offshore teams that feel like an extension of their in-house staff. They can hire and build teams for marketing, finance, real estate, e-Commerce and other industries.
MicroSourcing’s Strengths:
MicroSourcing offers flexible staffing options, from hiring a single role to building full, integrated teams. They are particularly strong in creative, IT, and back-office roles and provide clients with a high degree of transparency and control.
MicroSourcing is best for organizations that want direct control over their outsourced teams while still leveraging a BPO’s expertise and infrastructure.
Company & Service Overview:
More popularly known as TTEC, Teletech is another global leader in customer experience with strong operations in the Philippines. They provide a comprehensive suite of services, including customer support, digital solutions, and back-office services.
TeleTech’s Strengths:
TTEC has made significant investments in digital customer engagement tools and offers 24/7 global coverage. The company has deep expertise in customer retention and satisfaction, ensuring a high-quality service experience.
TeleTech is best for companies that want global customer experience solutions with a strong and reliable Philippine delivery center.
The Philippines continues to lead the global outsourcing industry, and in 2026, businesses of all sizes are taking advantage of its talent pool, infrastructure, and cost benefits.
Whether you’re just getting started with outsourcing to scale your ongoing business operations or looking for a new partner to explore more offshore staffing solutions, the companies on this list represent some of the best options available for building a reliable, skilled, and scalable offshore team.
Today, outsourcing is about strategically scaling your business while focusing on what you do best — provided that you’re working with the right partner.
Still not quite sure who to choose? Start by asking us.
At KDCI Outsourcing, we specialize in helping medium to large businesses build dedicated offshore teams that deliver world-class support without the overhead costs of hiring in-house.
From customer service to IT to human resources, we help you build a dedicated team that matches your brand and business goals. With a client-focused approach and a proven track record of helping businesses scale sustainably, we make it easier for you to focus on growth with an experienced, outsourced team.
So, let’s talk about how we can support your outsourcing needs in 2026. Contact KDCI today.
Human resources is the key that holds your business together. While HR departments play a significant role, managing them comes with its own set of challenges, such as labor shortages, burnout, skill gaps in AI, budget constraints, and operational inefficiencies. To address these challenges, businesses resort to human resources outsourcing.
HR outsourcing offers significant advantages that in-house HR teams can’t. If this strategy is on your radar right now, this guide will teach you how to outsource human resources the right way.
This tutorial helps you understand the process and best practices for outsourcing human resources. Put the following procedures into action, and you can reap the many benefits of outsourced HR.
If outsourcing is a new venture for your company, you have to understand what outsourced HR is as well as its benefits and drawbacks.
To start, HR outsourcing is a process of delegating HR functions to a third-party vendor in a foreign country, providing HR support in outsourced human resource management, background checking, benefits administration, payroll, HR management, and recruitment.
Some of the benefits of outsourced HR include:
On the other hand, HR outsourcing has its drawbacks, such as:
By researching HR outsourcing, you’ll know what to expect and make smart decisions for your business.
HR outsourcing is not an overnight decision; it’s a commitment and an investment for long-term success. Before you outsource human resources, it’s important to have a good, hard look at your company’s HR functions — some even use HR consultancy services to find clear answers. For starters, here are four signs you need to outsource human resources:
Remember, employees are looking for more than just a good paycheck. They also want to work for companies with ample professional development opportunities, competitive benefits, and a non-toxic work environment.
HR outsourcing providers can enhance your talent acquisition and retention strategies, refine your training programs, and improve your workplace culture, so you can attract and retain high-performing employees.
This data exemplifies the demand for automation and efficiency while addressing evolving workforce needs. However, when done in-house, technology upgrades can be expensive.
But when you outsource human resources, the service provider can integrate advanced HR technologies and tools into your day-to-day workflow to automate tedious processes and simplify the HR experience for internal staff.
Outsourced HR compliance officers can take care of your compliance needs, leveraging their expertise to ensure your company is free from workplace hazards and discriminatory employment practices.
Just by looking at the signs above, you already have a rationale for outsourcing as well as a clear idea of which HR services to outsource. Don’t solely rely on observation, though. Interviews, surveys, and data analytics can shed light on blind spots and provide data-driven insights on the current state of your HR department and workplace.
HR outsourcing may be a more cost-effective venture, but it doesn’t mean coming in unprepared for all the possible costs you might incur. When you outsource human resources, expect the following expenses:
Scope of work, project complexity, experience level of outsourced employees, headcount, pricing model, and location can also affect your total outsourcing fee.
While it’s hard to determine the exact amount of money you’ll need for outsourcing HR, understanding outsourcing costs can help you prepare a realistic monthly budget, minimize overspending, and measure your outsourcing ROI.
Don’t forget to account for long-term business goals. At some point in the partnership, your business will grow, and you’ll want a budget that will scale to your current business needs.
It’s so easy to be overwhelmed by the ubiquity of human resources outsourcing companies online. Even Googling “HR outsourcing companies” yields a lot of results.
If you’ve grown tired of the classic Google method, consider chatting with ChatGPT for prospects. Here’s a fun fact: Our lead asked ChatGPT for the best Philippine AI companies, and one of the recommendations included KDCI Outsourcing.
By using ChatGPT, you can find and shortlist potential outsourcing providers much faster than a traditional Google search. These recommendations are not random, though. In fact, they are based on multiple factors, such as the company’s reputation and expertise as well as the SEO rankings and quality of published content. These data make it easier for ChatGPT to curate HR outsourcing companies.
Another method — albeit a more human one — is by asking your network (virtual or otherwise) for suggestions. All it takes is the right people to help you find the right provider.
Whether you’ve found 10 or 20 potential outsourcing companies, the next step is to vet your prospects. When evaluating potential outsourcing partners, take note of the following:
At this point, you’ve probably removed a few potential partners from your list. Let’s move on to the next step.
The vetting doesn’t stop at the initial screening. Booking a meeting with an outsourcing partner is a huge opportunity to dive deep into their capabilities as a provider. Here are questions you can ask during the meeting:
Transparent and trusted outsourcing providers are more than eager to answer all your questions. They understand that you’re risking your data and investing money into their services, so they want nothing but the best for you.
Most importantly, use this meeting to set your expectations and performance metrics with the vendor.
It’s normal to feel reluctant when making big decisions. Most of the time, marketing claims are just claims until they’re proven right in front of your eyes. Those answers from your interview questions? Maybe they’re not enough to make you fully commit to the partnership. Thankfully, HR outsourcing companies offer trial periods.
Think of trial periods (or trial projects) as a “demo” or “preview” of the provider’s expertise and service quality. What’s great about accepting a trial project is that it exposes most of the green and red flags of your offshore HR team and the HR outsourcing company itself.
Here are the green flags to look out for:
Conversely, here are the red flags:
If the trial period did not work out as expected, it’s okay to move on to other prospects. It’s better to go through the whole vetting process than waste time and money on the wrong HR outsourcing partner.
What if my offshore HR employees passed the trial period? Congratulations! You can now officially outsource human resources. To build a long-lasting outsourcing relationship, follow these tips:
Outsourcing partnerships take time to build. So long as the relationship is grounded in trust, accountability, and shared responsibility, there’s a huge chance that it will last for years.
At KDCI Outsourcing, we help medium to large-sized businesses scale their in-house HR department with a dedicated offshore HR team from the Philippines. Our staffing solutions are designed to augment your existing team with outsourced roles in payroll, HR data analysis, recruitment, talent acquisition, and many more.
With our strict hiring process and commitment to innovation, we ensure that our AI- and human-driven HR services exceed your expectations and meet your business needs.
If you’re looking to outsource human resources and build your own team, contact us now for assistance!
For businesses today, customer experience is EVERYTHING. So much so that a smooth, personalized, and reliable interaction with your brand can mean the difference between winning a long-term client and losing one to the competition. The stakes are high.
So, off the top of your head, how much is your business currently investing on customer service? More to the point, are you getting maximum return on investment out of it?
For a lot of medium to large businesses (those who are in a space of continuous growth and are currently looking to scale their operations), keeping customer service in-house can be expensive and often unsustainable. Recruiting, training, and retaining skilled customer service agents takes significant time and budget — valuable resources that could be redirected to driving core business growth instead.
With an outsourced customer service industry so rich, it has been dubbed as the “call center capital of the world,” the Philippines has become the go-to destination for businesses that want to deliver top-notch customer service while keeping costs manageable.
With a large pool of English-speaking talent, a strong cultural alignment with businesses in the US, Australia, and Europe as well as decades of proven expertise in business process outsourcing, the country continues to attract companies of all sizes across various industries.
The good news for growing businesses: outsourcing customer service is one of the smartest ways to scale your business operations. Whether it’s managing calls, responding to live chats, or handling escalations, outsourcing to the Philippines lets you access skilled professionals without the overhead of hiring in-house.
So, in this guide, we’ll walk you through the benefits of outsourcing customer service to the Philippines, key considerations before making the move, practical tips for success, and the top providers in 2026 that are well-suited for businesses like yours.
Keep reading to learn more.
The Philippines has been the global leader in BPO services for more than two decades. While the outsourcing space in the country has now expanded to various spaces including finance, human resources, and even AI-powered recruitment, customer service remains to be one of the most in-demand offshore outsourcing services for US businesses.
But what exactly makes it such an attractive option, especially for businesses like yours who are looking for cost-efficient yet high-quality solutions?
Here are 5 of the key reasons why Philippine customer service outsourcing is highly preferred:
The Philippines ranks consistently as one of the largest English-speaking nations in the world, with strong proficiency in both written and spoken communication. Filipinos are also known for their neutral accent, making them easily understood by Western customers.
When you hire a customer service team from the Philippines, you are tapping into a pool of skilled professionals who can clearly and effectively connect with your English-speaking customers.
On top of their excellent communication skills, Filipino customer service representatives are often praised for their professionalism, empathy, patience, and customer-first mindset.
The country’s cultural alignment with the US, Australia, and Europe makes it easier for businesses to outsource without worrying about tone or communication gaps. This way, you’re not only meeting your customers expectations in terms of language, you’re also strengthening your business with customer service operations that are aligned with your team’s culture.
Outsourcing to the Philippines allows companies to save up to 60 to 70%, because of lower labor costs as opposed to hiring in-house staff in Western countries. Typically, the average monthly cost of having one customer service representative ranges from $349.79 USD to $437.23 USD.
The best part is, this affordability doesn’t come at the expense of quality — Filipino BPO agents are trained to deliver professional, world-class service. So, you can rest assured that your customers will be getting excellent customer service, at a fraction of the costs. Talk about value for money!
With decades of experience, the Philippines boasts mature outsourcing ecosystems and strong call center services that empower all types of businesses.
From robust telecommunications infrastructure and tools to Philippine government support through tax incentives and training programs, the customer service and BPO industry in the Philippines is an intricate system that you can fully depend on. Businesses outsourcing here can rest assured that the systems in place are reliable and sustainable.
Known for enterprise-scale outsourcing which often requires hundreds of agents, the Philippines is also friendly to smaller setups. Many providers now offer flexible engagement packages where medium-sized businesses can start with just a few agents and scale as needed.
If you’re currently in a growth phase and just looking for ways to take some of the tedious tasks off your staff’s plate, having an offshore team for your customer service function might just be the best way to go.
Want to learn more about outsourcing customer service to the Philippines? Explore this further here: The Pros & Cons of Outsourcing Customer Service to the Philippines.
For now, let’s move on to the benefits of customer service outsourcing.
From a holistic perspective, customer service outsourcing is mostly about creating a lean, competitive advantage that allows businesses to grow faster. If you’re managing a business that is currently in this phase, you can definitely consider having a Philippine team of customer service agents to help you scale faster (and, of course, smarter).
Here’s how medium to large businesses can benefit from outsourcing their customer service functions:
Outsourcing your customer support is one of the most effective ways to lower your operational expenses without sacrificing quality.
Instead of shouldering the significant financial burden of an in-house team — including salaries, benefits, rent for office space, training materials, and tech infrastructure — you can tap into a more cost-effective model. Outsourcing significantly reduces these overhead costs, allowing you to invest your savings back into your business.
Most managers know this: finding, hiring, and training a high-performing customer support team can be a time-consuming and expensive process.
When you outsource, you skip the extensive (and expensive) recruitment and onboarding stage and get immediate access to a pool of seasoned professionals who are already vetted, trained, and prepared to handle a variety of customer interactions, from voice support to live chat and email. These experts from customer service outsourcing companies bring with them a wealth of experience, ensuring your customers receive top-tier service from day one.
Freeing up your internal resources from the day-to-day demands of customer service allows your leadership team to concentrate on what truly drives your business forward. Think of it as a way to take your time back.
By entrusting support to a specialized partner, you can redirect your attention and energy toward strategy, product innovation, and market expansion. This strategic shift ensures that your core business objectives remain the priority, accelerating your company’s ongoing growth and competitive advantage.
Of course, the ultimate goal of any support function is to create a positive experience for your customers, and outsourcing to the Philippines can help you achieve this.
Philippine customer service agencies are known for their commitment to service excellence. Their agents are not only highly trained but also possess a natural sense of empathy, leading to quicker issue resolution, smoother interactions, and a more positive overall experience for your customers. This level of service helps you build brand loyalty and a strong reputation.
Business needs can change quickly, and your support team needs to be able to adapt.
Outsourcing gives you a level of flexibility and scalability that is difficult to match with an in-house team. Whether you need to start with just a few agents or plan to double your team in response to a growth spurt or seasonal demand, your outsourcing partner can seamlessly adjust the team size to meet your needs. This ensures you always have the right level of support without the logistical hassle or long-term commitment of hiring new full-time employees.
To maximize all these benefits, it’s important to make sure that you are doing outsourcing right.
While there is no one-size-fits-all approach to having a successful offshore team for your customer service needs, there are industry best practices that you can follow in order to make the most out of customer service outsourcing.
Once a business decides to outsource, it’s easy to view the relationship as a simple transaction: simply paying another company to handle a task. However, the most successful outsourcing relationships are built on collaboration.
The key here: outsourcing is a partnership. Consider your outsourced customer service team as an extension of your own company, with your chosen provider acting as a true collaborator in achieving your business goals. By following these best practices, you can ensure your outsourcing partnership will truly empower you to have a more efficient, scalable, and customer-centric organization.
Before you begin the search for a partner, you must first define your goals. What do you want to achieve through outsourcing? Is your primary goal to reduce costs, extend your support hours, or perhaps improve your customer satisfaction scores?
Clearly outlining these objectives will help you select the most suitable partner and establish a clear framework for measuring success. This first step ensures that your partnership is built on a strong foundation of shared understanding and purpose.
Jumping in with a massive team from the start can be risky. A better approach is to begin with a manageable team, maybe around 5 to 10 customer service agents.
This “crawl before you run” strategy allows you to test the waters, refine your processes, and build trust with your outsourcing partner without a huge upfront investment. Once you’re confident in the process and the partnership, you can seamlessly scale your team as your business grows.
It’s easy to think that more channels are always better, but that’s not always the case.
Take a strategic look at your customer base and determine which communication channels — such as live chat, email, phone support, or social media — are most effective for your business. Focusing on the right channels prevents you from wasting resources on platforms that don’t resonate with your customers and ensures you’re meeting them where they are.
When outsourcing customer service and technical support services, it’s crucial to maintain a healthy level of involvement.
This means establishing regular check-ins, performance reviews, and robust reporting systems to ensure your customer service operations remain aligned with your business goals. Active oversight ensures that you retain visibility and control, keeping the outsourced team integrated with your business and aware of your expectations.
The agents you hire will be the voice of your brand. Therefore, it’s essential to choose a partner whose culture and values align with your own.
Look for a provider who shares your commitment to customer service, communication style, and ethical standards. This alignment ensures that your outsourced team acts as a natural extension of your company, providing a seamless and authentic experience for your customers.
While these are typically the tips that businesses who successfully outsource customer service follow, it’s important to identify the approach that works best for your own business. After all, no one knows your business like you do.
If you need more information about the customer service outsourcing process, read: How to Outsource Call Center Services to the Philippines.
Now that we’ve gone through the what, the why, and the how, it’s time to discuss the who of customer service outsourcing. As we’ve already established that this is a partnership, who you’re outsourcing this function to can make a huge difference.
Not all outsourcing providers are made equal, that’s a fact. So, to help you choose one, here’s a look at some of the leading outsourcing companies in the Philippines that are well-suited for medium to large businesses looking for dedicated customer service teams in 2026.
Based in Pasig City, KDCI Outsourcing specializes in building custom, on-brand call center teams for businesses. Their process involves a personalized approach, from vetting and training agents to aligning them with your brand’s unique voice and goals. They focus on quality and efficiency by providing certified customer service agents for various channels like email, live chat, or phone.
Beyond offshore staffing, KDCI ensures continuous improvement through managed operations. They provide a dedicated account manager to oversee your customer service and gather data, ensuring your business has the necessary insights to refine and enhance its support strategy for optimal performance.
Sutherland Global Services offers comprehensive, data-driven customer interaction services. They provide seamless omnichannel support across voice, chat, and email, ensuring a consistent customer experience. Their use of data analytics helps businesses gain valuable insights into customer behavior for more personalized and effective interactions.
With an established global presence, Sutherland offers scalable solutions and multi-language support while maintaining local expertise. They also invest heavily in specialized training for their agents and integrate advanced technologies like AI to streamline processes, ensuring high-quality and efficient service.
As a global leader in customer experience, Concentrix focuses on a strategic approach to enhance customer engagement. They specialize in customer journey mapping to identify key touchpoints and opportunities for improvement. Their omnichannel strategy ensures a cohesive experience across all channels, from online to phone.
Concentrix leverages data and analytics to personalize each interaction, making it relevant and engaging for the customer. They also prioritize employee experience, recognizing that a motivated and engaged team is key to delivering superior customer service.
Alorica provides a wide range of customer experience solutions designed to transform how businesses interact with their customers. They create customized strategies for various industries, offering everything from customer service and technical support to sales solutions. Their services are supported by digital innovations like chatbots and a strong global presence.
A key part of Alorica’s strategy is a strong focus on workforce solutions. They use a data-driven approach to understand and predict customer behavior, enabling businesses to make informed decisions while managing a talented and well-equipped team.
Foundever offers a suite of customer experience solutions aimed at fostering meaningful customer interactions. Their core strength lies in their omnichannel approach, which ensures a consistent and integrated experience across all communication channels. This is backed by a global presence that provides multi-language support with local cultural expertise.
Foundever utilizes data-driven strategies and innovative technology, including AI, to enhance efficiency and customer engagement. They place a strong emphasis on their human resources, providing continuous training and development to ensure a skilled and motivated workforce that is ready to deliver on-brand service.
If you are looking for more options, check out: The 10 Best Call Centers in the Philippines.
Now, let’s talk about your business specifically! Let’s find out if you’re ready to outsource your customer service function.
Go ahead and ask yourself (and your team) these questions:
If you answered “yes” to at least one of these, outsourcing customer service could be the strategic move your business needs in 2026.
The Philippines has long been the world’s customer service hub — and for good reason. With its skilled workforce, strong cultural alignment, and cost-efficient solutions, it offers medium-to-large businesses the opportunity to provide world-class customer experiences without breaking the bank.
At KDCI Outsourcing, we specialize in building dedicated customer service teams tailored to your business needs. Whether you need a few agents to cover multiple channels or a growing support team to scale with your operations, we’re here to help you deliver seamless customer experiences.
Let’s talk about how we can support your customer service goals in 2026 and beyond. Contact KDCI Outsourcing today.
Technology becomes obsolete — fast! Breakthroughs in technology have not only opened doors for hyperconnectivity, but also convenience and advancements in many industries. Hence, businesses are now faced with a silent obligation to modernize and keep up with technological advancements.
Even employees, including IT staff, are pressured to upskill to meet industry and business demands. It’s not just that, though. From heavy workload to skill and knowledge gaps, IT teams have become overwhelmed and stretched thin with too many things on their plates.
For forward-thinking companies and employees, one strategy reigns supreme: Information technology outsourcing (ITO). As one of the commonly outsourced departments, IT outsourcing has become a vital avenue for business innovation and success.
Whether it’s hiring external experts for a project or bolstering cybersecurity for an extra layer of protection, outsourcing empowers businesses for the future of IT and futureproofs them against sophisticated cyber threats. This article explores ITO meaning, benefits, and use cases. If you’re looking to harness IT outsourcing, read on below.
Information Technology Outsourcing, or ITO in short, is when a company contracts with a third-party outsourcing provider in a developing country to perform IT functions and processes, including cybersecurity, software development, IT support, and web hosting. Businesses engage in ITO to cut costs, maintain competitive advantage, and enhance operational efficiency.
Onshore outsourcing IT is a practice of partnering with a domestic outsourcing partner. Since the client will be working with locally outsourced employees, this strategy eliminates cultural barriers and promotes a collaborative experience that isn’t bound by significant time zone differences.
However, this model may be the most expensive due to the cost of local labor. With labor shortages and limited geographical scope, companies may find it challenging to hire a specialized IT expert within their home country.
Nearshore outsourcing is when a company outsources IT processes to external providers in a nearby geographical location. In this case, a US company outsources IT projects to Brazil, Colombia, or Mexico.
Nearshore ITO offers the right balance of lower labor costs, cultural compatibility, and minimal time zone differences. Unfortunately, political instability and a limited talent pool may push companies away from nearshoring IT.
Offshore ITO is the full package of outsourcing: Cost savings, a wider talent pool, and linguistic and cultural compatibility. It is when a company partners with an external service provider in a faraway geographical location. Hence, if a US-based business offloads IT projects to the Philippines or Malaysia, it’s considered offshore outsourcing.
Offshore outsourcing companies provide round-the-clock support to ensure faster development cycles and project completion. They also employ IT professionals who are proficient in English for seamless communication with clients.
Although this outsourcing model is the most cost-effective among all models, its success lies in clear, regular communication and effective team management.
Businesses — even those with existing internal IT teams — benefit from ITO. Below, let’s explore how the advantages of IT outsourcing pave the way for business success:
One of the best benefits of information technology outsourcing is increased access to external experts with the same expertise and qualifications you’re looking for locally. But if there’s one thing that sets global talent apart from local hires, it’s cost-effectiveness.
To begin with, the average hiring costs in the US sit around $4,683 per hire. However, this amount can be higher in the IT industry. Let’s look at how much each IT professional takes home in the US per year:
On the other hand, here’s how much a Filipino IT professional earns for the same roles annually:
By hiring talent from a developing country like the Philippines, you can save on labor, training, and equipment costs by as much as 70%!
These professionals are also equipped with world-class skills that they acquire and hone from their college education, certifications, and work experiences. This ensures that all outsourced projects will be handled and accomplished by top-notch experts.
While tools and software are staples of the 21st-century business environment, they constantly evolve. Spiceworks found that IT budget increases were planned by more than half of surveyed companies (66%), citing IT infrastructure upgrades as their rationale (52%).
Upgrades come not just with training and consulting costs, but also operational delays and lost productivity. Hence, companies are then faced with two choices: Keep up or get stuck. However, not upgrading also costs businesses lost opportunities for scalability and innovation and puts them at a higher risk of cybersecurity threats.
If you want that much-needed upgrade without the significant capital investment, you can partner with an IT outsourcing company. The best IT outsourcing companies come equipped with the most sophisticated tools — including artificial intelligence and cloud technology — to support your IT needs and integrate into your workflow. This also minimizes learning curves associated with learning a new tool or software.
Speaking of upgrades, enhanced cybersecurity deserves its own spot here. According to the World Economic Forum, survey participants were most concerned about the following organizational cybersecurity risks:
Statistics also found that by 2029, companies can lose $15.63 trillion USD due to cybercrimes, up from a 2025 forecast of $10.5 trillion USD. Thankfully, ITO can help minimize your company’s risk of cybercrime.
ITO offshore outsourcing companies boast secure IT infrastructures, deploy on-site security systems, and implement data security practices. They also employ URL filtering systems, firewalls, VPN tools, updated antivirus programs, and end-to-end data protection solutions for safe data access, processing, handling, and storage.
With a round-the-clock IT team that monitors network activity, conducts security audits, and executes response strategies outlined in the company’s business continuity plan, your business is less likely to face downtimes caused by cyber threats.
To further ensure data integrity and confidentiality, ITO companies conduct rigorous employee background checks to avoid insider threats and internal data breaches. Because these providers train employees on cybersecurity, your company will get the peace of mind it deserves.
The fast-paced nature of today’s business environment thrives on productivity and efficiency.
Thankfully, outsourcing brings the gift of operational efficiency. Engaging in information technology outsourcing doesn’t mean laying off or firing your entire internal IT team; it’s about augmenting your organization with the right external expertise.
Collaborating with an IT outsourcing partner allows you to build a dedicated offshore team for non-core IT tasks, enabling your in-house staff to focus on core business activities and IT competencies. This eliminates delays in internal IT projects and builds operational efficiency necessary for business growth.
As they say, time is money. After all, the first business to make waves in the market can mean gaining a huge competitive advantage over other competitors. What if your company wants to accelerate development and be the first to release an all-new, groundbreaking software? Of course, the solution is information technology outsourcing.
Partnering with one of the best BPO companies speeds up time-to-hire and helps you scale your workforce, significantly cutting out development time without increasing labor costs. Combine round-the-clock external expertise with the provider’s advanced technologies, and you’ll be launching your software before your competitors do.
Here are four examples of IT functions to outsource to an ITO company:
If your business develops software or platforms, you’ve probably had your fair share of making users wait as your help desk specialist escalates the issue to a more qualified specialist.
Increased ticket volume is another problem if your company lacks manpower, which further delays ticket resolution. For customers, this screams poor and inefficient technical support.
Outsourcing help desk support to one of the top help desk outsourcing providers or ITO companies can do wonders. Benefits include:
Developing software is a rewarding experience. But the work involved in development is rife with challenges associated with software development. On top of unclear project requirements, software developers are grappling with tight deadlines, quality assurance, frequent upskilling, and evolving software requirements.
Partnering with a reliable IT outsourcing partner eases these challenges. Let’s take a look at the perks of outsourcing software development:
Those stunning websites you see online are all thanks to the hard work of web developers and designers. But when one website looks good on a certain browser (say Google Chrome or Firefox), but looks bad in another, it’s poor cross-browser compatibility.
If we throw in mobile compatibility, website optimization, user-friendliness, and security threats into the mix, you’ll end up with a stressed-out team of web developers. That’s where outsourcing web development comes into play. By collaborating with an IT outsourcing company, you’ll get:
Whether your customers are using desktop computers or smartphones, cybersecurity should never be taken for granted. Alarmingly, cyber threats have now permeated mobile phones through dubious applications, unsecured networks, and network spoofing.
With the sophistication of cyber threats, businesses are left scrambling for the best cybersecurity talent. Looking at the average salary of a US cybersecurity specialist, hiring one costs a lot of money. Labor shortages at home add to the challenge, as well.
On the other hand, cybersecurity specialists struggle with not just stress, but also with compliance and security management. After all, businesses rely on these professionals to protect and ensure resilience against cyber risks and disruptions.
As mentioned earlier, ITO can bolster cybersecurity. The benefits of outsourcing cybersecurity include:
As companies rely on technology for productivity, ITO has inevitably become the present and future of business strategies. IT outsourcing enables businesses to find qualified IT talent, adopt new technologies, drive innovation, and reallocate resources to high-value IT operations. In the Philippines, there are a plethora of IT outsourcing providers.
The best one is no other than KDCI Outsourcing. Our offshore staffing solutions are designed to harness your business’s growth potential in your industry, whether that’s finance, human resources, IT, property management, or real estate.
From software developers to security analysts, our outsourced IT professionals will handle your non-core IT tasks and fortify your business security framework with cutting-edge cybersecurity solutions.
Ready to outsource your next (or pending) IT projects? Get in touch with our outsourcing team today, and let’s help you get started!
What do business leaders often think of when HR is brought up? In the past, it would be the number of paperwork associated with managing people, employee records, payroll documents, and a never-ending pile of compliance forms.
To some extent, this is still true today. But it’s 2025. The field of human resources has gone through a shift reflective of the global workforce’s changing landscape. At a time where hybrid work, global talent mobility, and rapidly shifting employee expectations shape the people aspect of businesses, HR has successfully transcended the realm of transactional paperwork into a strategic, core business function that drives business growth.
This means that the stakes are higher for HR departments. And when the stakes are high, so are the costs. That’s where (some of) the challenges arise.
With an added pressure to create great employee experiences without foregoing the compliance requirements, as well as integrate advanced HR tech while reducing turnover rates — we know, that’s a lot — a lot of businesses worldwide have turned to Human Resources Outsourcing (HRO) providers who can take most, if not all, of these functions from their plates and empower the business with globally-competitive HR.
So, in this blog, we’ll explore this transformation and what businesses should look for in an HRO partner. We’ll also give you a rundown of the 10 best human resources outsourcing companies that can empower you to empower your team this year and beyond.
Let’s get started.
To fully understand the advent and popularity of human resources outsourcing, it’s important to place it in the context of the evolving demand for HR departments across all types of businesses in various industries.
In truth, outsourcing HR is nothing new. For years — nay, decades — companies have already been relying on external providers for shared services and key HR functions like payroll processing, benefits administration, and even employee engagement. This 2025, the HRO industry has taken on an improved approach, influenced by several global shifts that the workforce has seen in the past couple of years. These changes and trends include, but are not limited to, the following:
The COVID-19 pandemic, the rise of outsourcing options, and the clamor for work-life balance all contributed to the rise of remote and hybrid work setups. Today, most teams are distributed and working across different geographies. As such, HR management has become more complex in that every HR professional is now expected to ensure compliance with varying labor laws, manage cross-border payroll, and support virtual team collaboration.
AI-powered and AI-driven HR technology, automated payroll systems, and predictive analytics for talent retention are now being adopted by HR departments across the US, Australia, and Europe. Is AI replacing HR professionals? We don’t think so. However, HR experts who can and do use AI are definitely way ahead of the game and would most likely replace those who refuse to adapt. Thankfully, today’s leading HRO providers (including the ones we have included in the list below) provide HR tech platforms as part of their outsourced HR services.
Gone are the days that employees only stay with businesses to make a good salary. This 2025, most talent put a prime on great employee training and overall experiences. It could be the difference between a valuable employee staying or moving on to another company.
Who is most affected by this change? Your HR department. In order to build engaging workplaces that employees would like to stay in, HR experts are expected to launch initiatives and wellness programs that will support career growth and engagement. This demand is met by getting offshore staffing services with an HR outsourcing provider, too.
With all these changes considered, it is imperative for forward-thinking organizations — be it a multinational corporation or a budding small business — to have an HR department that empowers you to keep up with all these trends. If you’re considering working with an outsourced HR company, there are factors you need to look into to make sure that you are partnering with the right one.
Companies that outsource HR know that the process of selecting a provider can be overwhelming, especially with so many options available. While cost-savings has always been the top reason for outsourcing, businesses are no longer choosing the cheapest option when it comes to outsourced HR.
In fact, they are (and you should) evaluate providers based on these six key aspects:
Can this HR outsourcing company manage employees in multiple countries with varying local laws and tax regulations?
If you have team members across the globe, with different compliance requirements and employee regulations, you want an outsourcing service that will handle all of these efficiently, from HR administration to payroll processing and performance management.
Does the HR outsourcing service offered come with an integrated HR platform with features like payroll automation, AI-driven recruiting, and data analytics?
This is a non-negotiable aspect of HR today. The best HR outsourcing solutions are those that seamlessly integrate AI so you can benefit from automated HR functions and improved employee relations.
As an HRO provider, can their solutions grow WITH and FOR your business?
Whether you’re hiring 10 employees or 1000, can this HRO provider keep up with the pace of your business? One of the key reasons why businesses get HR assistance from external providers is to get agile HR expertise that match the exact needs of the business.
Does the HR provider go beyond compliance to help improve retention, engagement, and workplace culture?
Again, it’s not just about delegating tedious paperwork. Human resources outsourcing services are supposed to address a business’ HR needs in a holistic sense, from employee onboarding to training and ongoing engagement.
Will this HR outsourcing provider help you save on costs but still give you measurable improvements in your HR operations?
The key here is value for money. Businesses are not looking for the cheapest provider, even though the costs of outsourcing are definitely less than that of in-house hiring. In reality, companies deem a provider as the “best HR outsourcing company” if it helps them yield maximum outsourcing ROI through efficient HR admin, employee relations management, and in some cases, added HR consulting services.
Do their values, communication style, and service model align with your company’s way of working?
Think of the provider as an HR business partner. With that perspective, it’s quite crucial to find one that fully gets what your business needs. Since HR is mostly a people function, you need a team that fully aligns with your mission, vision, and values as a business.
Now that we have clarified what to look for, let’s go ahead and answer the question “Who should you outsource your HR function to?” With the abovementioned criteria in mind, let’s look at the 10 companies leading the HR outsourcing industry this 2025.
Here’s our curated list of standout HRO providers, as well as their approach to specific HR challenges that most businesses face today.
KDCI Outsourcing is best for businesses looking for tailored offshore HR staffing solutions.
Headquartered in the Philippines, KDCI is a reliable go-to partner for businesses of all sizes, particularly for companies looking to scale. KDCI allows businesses to hire fully-outsourced HR teams with a wide range of HR services — from recruitment process outsourcing and payroll management to employee engagement programs — all delivered through a bespoke strategy and AI-powered HR efficiency.
Having worked with businesses in the US and Australia, their strong cultural alignment with global businesses, combined with cost-efficient solutions, makes them an attractive option for startups and enterprises alike. If your business is growing quickly and needs an HR partner that can scale operations smoothly without sacrificing quality, KDCI is a good option for you.
ADP is best known for its payroll accuracy and decades of HR innovation.
With over 75 years of experience, ADP has grown into a global leader in human capital management, offering cloud-based solutions that integrate payroll, HR, talent, time, tax, and benefits administration. Backed by advanced analytics, compliance expertise, and a proven track record, ADP helps organizations transform HR from a back-office task into a strategic advantage. If you’re looking for a partner that combines reliability, innovation, and scale, ADP remains one of the most trusted HR outsourcing providers worldwide.
Insperity is popular for delivering scalable HR solutions that meet businesses where they are.
Whether you’re a startup, a growing midsize company, or a large enterprise, Insperity provides dynamic HR services and technology to support every stage of growth. From risk management and HR infrastructure for small businesses, to efficiency-driven HR operations for midsize companies, and advanced solutions for enterprises of up to 5000 employees, Insperity adapts to every business’ unique needs. If flexibility and growth-focused HR support are what you need, Insperity can be your trusted partner.
For combining technology, data, and human experience, Accenture is a top choice.
With expertise in HR transformation, managed services, and organizational design, Accenture helps companies thrive at the intersection of people and technology. Their talent consulting solutions focus on leadership development, cultural transformation, and change management, ensuring businesses are ready for disruption. Accenture enables organizations to close talent gaps, boost productivity, and unlock human potential at scale. If you’re looking for a partner that unites innovation with people-first strategies, Accenture is the HRO provider for you.
IBM is the go-to for businesses looking for an AI-driven approach to HR.
IBM applies an AI-first framework that modernizes HR functions, automates routine tasks, and delivers consumer-grade employee support across payroll, benefits, and workforce services. Their operate-and-transform model enhances agility, reduces costs, and frees HR teams to focus on innovation. With deep industry expertise and a strong ecosystem of technology partnerships, IBM helps businesses redesign HR workflows to deliver personalized employee experiences and measurable business outcomes.
Rippling has quickly risen to prominence by offering an all-in-one HR, IT, and finance platform.
Startups and small-to-medium businesses love Rippling’s simplicity and flexibility. From onboarding to payroll to benefits, everything is managed in one place. Its automation features save time for lean HR teams, while its scalability supports companies as they grow. If you’re a fast-scaling startup or SMB that needs a simple, powerful HR system, Rippling is a reliable starting point for outsourcing your HR.
For businesses with distributed teams, Remote is a reliable HRO partner.
As remote and hybrid work remain the norm, Remote has carved out a niche as the go-to provider for managing distributed teams. They specialize in employer of record (EOR) services, making it possible for companies to hire employees globally without setting up entities in every country. Remote also offers payroll, benefits, and compliance management for international teams. So, if your company employs talent across multiple countries, Remote simplifies compliance and global HR management.
Similar to Remote, Deel focuses on helping companies hire and manage international workers.
Their strength lies in compliance: Deel ensures that every contract, tax form, and benefits package aligns with local regulations. With a user-friendly platform and strong legal infrastructure, Deel is trusted by companies expanding globally at speed. If your biggest challenge is navigating the legal complexities of global employment, Deel is your ideal HR business partner.
TriNet is best known for industry-specific HR services and solutions.
TriNet is a professional employer organization (PEO) that tailors its HR outsourcing solutions to specific industries like tech, nonprofits, healthcare, and retail. They provide payroll, benefits, compliance, and risk management, all while understanding the unique needs of each sector. Their approach helps companies avoid “one-size-fits-all” solutions. If you want HR outsourcing tailored to your industry, TriNet can help you tap into specialized expertise.
Paychex is a trusted name in HR outsourcing, particularly for small to medium businesses across the US.
Their services include payroll, HR technology, retirement services, and compliance support. With 24/7 support and easy-to-use platforms, Paychex remains a reliable choice for companies that want straightforward outsourced HR management. If you’re managing a growing SMB and seeking reliable, all-around HR services, Paychex is a great option.
After reviewing these top HR outsourcing companies, you may still be wondering whether outsourcing HR is the right move for your business right now. And that’s totally fine. The truth is, not every organization is immediately ready to take that step.
So, one last check! To help you assess your readiness, we’ve prepared a quick checklist of key factors to consider before deciding to outsource your HR functions.
Before choosing from the top providers above, answer these questions to help you assess if HR outsourcing is the right move for your company:
If you answered “yes” to at least one of these, then it’s settled — outsourcing human resource services to the Philippines could be the strategic advantage your business needs this 2025.
You can get started by asking KDCI Outsourcing about our HR outsourcing services.
At KDCI Outsourcing, we specialize in building dedicated HR teams tailored to your business needs. Whether you’re looking for a single HR professional to work on specific functions or a complete offshore HR department, we’re here to help you streamline operations, improve compliance, and support your people.
With a client-focused approach and a proven track record of helping businesses scale sustainably, we make it easier for you to focus on growth while we handle your HR functions.
Contact us today. We’d love to chat about your HR outsourcing needs.
Whether it’s an annoying case of screen flickering or the ever-frustrating installation error message, no software or hardware is free from issues. While some hardware or software malfunctions can be addressed without any help, not everyone is tech-savvy. If ever, some technical problems are so complex that they require the expertise of a professional.
This is why a help desk is integral to businesses. From basic to complex technical queries, a help desk can provide the support a customer needs at the moment. However — as your business grows and acquires more customers — help desk support agents can end up overwhelmed in a sea of queries.
Increasing internal headcount and investing in technology are good ideas (on paper) — but they’re not the most accessible solutions considering the cost of hiring local employees and acquiring new technologies. The saving grace? Help desk outsourcing services.
Help desk outsourcing gives your business a strategic and competitive advantage. In addition to streamlining help desk processes and slashing costs, your in-house agents can pool their knowledge and energy on key business initiatives — which translates to one thing: growth.
If you want to get a good ROI from outsourcing IT help desk, partnering with an experienced help desk outsourcing provider is the first step you must take. But first, let’s learn about help desk support and the services you can outsource.
Customer service and help desk share a common dominator: assisting people. However, they’re not the same. Customer support centers on resolving general or business-related concerns. On the other hand, help desk support focuses on addressing queries and troubleshooting technology-related problems.
Common issues handled by a help desk support team include:
Like customer service agents, help desk staff utilize a variety of optimized digital support channels — including live chat, email, and remote software.
Help desk services are diverse, spanning from password issues to hardware malfunctions. Below are eight examples of services that a help desk outsourcing provider can help you with:
From corrupted drivers to manufacturing defects, hardware malfunctions can be caused by anything. Whether it’s a computer that abruptly shuts down (or restarts) or a keyboard that doesn’t register key presses onscreen, a help desk team can diagnose and help customers troubleshoot hardware issues to keep their peripherals up and running.
Printer issues are frustrating, mainly because they tend to occur when you urgently need something to be printed out. These issues can stem from paper jams, empty ink cartridges, or slow WiFi printing.
Depending on the severity of the issue, a help desk provider can ask a user to toggle the settings, check their WiFi connection, or update the driver to make their printer function as normal.
In business, efficiency is king. But when software performance issues strike, efficiency suffers. Help desk services teams identify the root cause of the performance issue and address it without delay, so users can get back to working on their tasks right away.
Everyone relies on the internet and online services. That’s why connection issues have become everyone’s worst nightmare. In fact, 31% of individuals surveyed by the Uptime Institute Data Center Resiliency Survey 2024 said that IT disruptions are rooted in connection and network problems, followed by power (18%) and cooling (7%) issues.
A help desk support team can pinpoint the causes of a connectivity issue and provide an appropriate diagnosis, helping maintain uptime and productivity.
Bugs and glitches happen from time to time. But even so, they disrupt productivity and cause financial damage to businesses. On average, $84,000 USD is lost to software glitch-induced downtime per hour.
Help desk support teams have experts equipped with the technical knowledge and proficiency to address software problems. By reaching out to a help desk support agent, businesses can prevent productivity loss and financial issues before they happen.
You’ve probably encountered an “installed failed” error message at least once in your life. Because business operations rely on software and tools, we expect nothing but a smooth installation process to maintain productivity. But when installation issues arise, they become a source of frustration.
Help desk support agents are not only knowledgeable about a software’s system requirements, they also know how to resolve installation issues, such as crashes and corrupted files, for hassle-free installation and operation.
We forget our passwords; it happens sometimes. But if there’s anything worse than forgetting your own password, it’s getting locked out of your own account due to multiple failed login attempts. A help desk professional can help users gain access to their accounts and educate them on password management.
Viruses and malware are becoming more sophisticated. While your computer may have the best anti-virus program, this program is only as good as the person using the device. One careless mistake could make your computer vulnerable to viruses and malware, which is dangerous if you process and store sensitive information.
Help desk professionals understand the inner workings of cyberthreats. With their knowledge, skills, and patience, they can identify security lapses, remove troublesome viruses and malware, and offer risk management tips to minimize future infections.
While outsourcing help desk is a good investment, the right outsourcing company can turn your investment into real, measurable results. Here is a list of the best help desk outsourcing providers in the Philippines:
Praised for its stellar offshore outsourcing services, KDCI Outsourcing is a top dog in the field of outsourced customer support. Its catalog of customer support outsourcing services includes tech support, quality assurance, help desk, and many more.
Blending human labor and empathy with cutting-edge AI solutions, KDCI Outsourcing delivers personalized, round-the-clock help desk support services that strike the right balance of speed, efficiency, and innovation.
Digital Minds BPO offers a wide array of outsourced customer service, including e-commerce customer support, technical support, help desk support, and many more. Its help desk services focus on troubleshooting, tiered support, email and browser set-up assistance, remote support, and many more.
With Digital Minds BPO’s 24/7 help desk support services, you can lower labor costs, maintain business operations, increase customer satisfaction, and speed up resolution times.
Magellan Solutions is every small and medium-sized enterprise’s (SME) best friend. It supports overwhelmed help desk departments with cost-effective help desk outsourcing services that fuel growth, scalability, customer satisfaction, and operational efficiency.
With achievable performance benchmarks, partnering with this premier outsourced provider sets your help desk department up for future success.
Emapta is a leading outsourcing company for high-octane businesses. It offers outsourced IT helpdesk services that help scale your business operations while optimizing costs for the long haul. With a pool of high-performing help desk professionals that specialize in various IT support services, Emapta promises fast and efficient technical assistance — day or night.
Outsourced is an offshore staffing company that helps businesses build a dedicated offshore team of help desk professionals, from help desk support agents to service desk engineers.
This company leverages the Philippines’ time zone advantage to provide uninterrupted help desk outsourcing services to businesses in the US, allowing customers to seek help desk assistance outside normal business hours.
Based in Makati City, Philippines, SuperStaff Outsourcing is a company that excels in knowledge process outsourcing (KPO), recruitment process outsourcing (RPO), back-office support as well as outsourced customer service and e-commerce.
Its outsourced help desk services are backed by college-educated, English-speaking professionals with certifications in CompTIA A+ and the like, enabling them to provide high-quality technical support to users. SuperStaff Outsourcing’s help desk services operate 24/7, ensuring your customers get the technical support they need at any time.
MCVO Talent Outsourcing Services is a BPO company that markets its services to American, Australian, British, and Canadian SMEs. The firm’s IT help desk outsourcing services are powered by talented agents who can understand the intricacies of technical issues and provide easy-to-understand solutions to customers of varying tech-savvy levels.
Thanks to their knowledge of your ticketing system, these professionals can easily adapt to your processes and maintain high productivity levels upon onboarding.
Based in Cebu City and Davao City, Philippines, Select VoiceCom (SVC) is a company specializing in multiple outsourcing services, including customer service, order processing, market research, and more.
By outsourcing help desk services to this provider, your customers can enjoy multichannel technical assistance and hassle-free resolutions at any time of the day.
SVC’s English-proficient agents also provide you with self-service knowledge bases for basic and non-urgent technical issues, further streamlining your help desk operations and boosting customer satisfaction and loyalty.
Located in Davao City, Flatworld Philippines is an outsourcing company known for its world-class office facilities and IT infrastructure. It specializes in call center, data, IT, and virtual assistance services.
Outsourcing help desk services to Flatworld Philippines gives you access to tiered support that routes technical issues of varying complexities to the appropriate resource. This simplifies issue escalation, boosts manpower efficiency, and enhances customer satisfaction.
Flatworld Philippines also supports multiple help desk channels — including social media and phone calls — for enhanced convenience.
Eastvantage is a BPO company specializing in nearshore and offshore outsourcing. From marketing to IT outsourcing, this firm can handle a wide range of services thanks to its extensive outsourcing experience.
Aimed at businesses in Australia, the EU, and the US, Eastvantage’s outsourced IT and help desk support focuses on achieving operational efficiency by augmenting in-house teams with outsourced technical support. This way, internal teams can dedicate their expertise to high-value tasks.
With professional help desk agents on board, your customers can enjoy personalized, seamless technical assistance all year round.
Maintaining an in-house help desk team is no walk in the park. Labor is expensive, and overhead expenses are adding up over time. There’s also the hidden cost of ticket backlogs, burnout, and turnover in daily help desk operations. When businesses are strapped for resources, help desk outsourcing becomes their ultimate savior.
At KDCI Outsourcing, we take care of your help desk for you. We source emotionally intelligent help desk professionals who are tech-savvy and have the integrity to maintain confidentiality in every correspondence. We build help desk support teams that mesh well with your local and business culture.
Our world-class help desk technologies can handle omnichannel support, data analytics, and automation ticket creation and routing — modernizing and futureproofing your help desk operations.
Give your help desk a well-deserved overhaul. Reach out to us and let’s help you build the perfect offshore help desk team.
What started out as a few agents, has grown into an invaluable partnership with KDCI. With more than 40 team members, we are lucky enough to count as part of our Cedar Family. Thank you so much KDCI for making our Company better!
We have found KDCI to be a consistently reliable partner, always willing to ‘go the extra mile’ to ensure our valued customers receive the best possible service.
KDCI plays a very important role in our catalog and content operations. They are responsive, kind, and always willing to help us as much as possible. We have been working together for more than 4 years, and we hope our partnership will be even more fruitful in the future.
Having collaborated with KDCI.co for our creative needs, I can confidently attest to their unparalleled expertise and dedication. Their team consistently delivered innovative solutions that not only met, but often exceeded our expectations. Their professionalism and attention to detail are commendable.
KDCI were able to grow with us with any future requirements. We have a lot to do when it comes to our business, and everytime we come back, they're right there with us and able to deliver.
KDCI's team has been instrumental in helping us not only modernize our platforms but also increase the experiences for the customer, and to deliver on the tsunami of content that came their way.
We had a lot of difficulty finding qualified talent in the United States. Honestly, I don't think we had thought about outsourcing at all as a potential option, but we were very open to it once we heard about it. We love our KDCI team. They're just like a regular part of our team, it's just that they're thousands of miles away.
It's been five years since we started working with KDCI, and it just keeps getting better and better. We've grown together and achieved a lot of shared success. Overall, they're incredibly professional yet fun to work with. We are incredibly happy to have found them.
We're so glad we partnered with KDCI to develop a unique platform that delivers personalized customer experiences without compromising functionality or security. It was an amazing experience, I won't hesitate to start another project with them again.