Get ready for the next wave of job creation and investment! The Next Wave Cities Program is our best chance for the development of the Philippine countryside.

1. Alejandro P. Melchor III
Deputy Executive Director for ICT Industry Development
Department of Science & Technology
Information and Communications Technology Office

2. Philippine IT-BPO Industry:
The country’s premier sunrise industry
T
Total Employees (000s) A
Annual Revenue (US$B)
700 $12.0
643 $11.0
600 $10.0
525 $8.9
500
442 $8.0 $7.1
400 372
$6.1
$6.0
300 $4.9
300
236
$4.0 $3.3
200 163
$2.2
101
$2.0 $1.3
100
0 $0.0
2004 2005 2006 2007 2008 2009 2010 2011 2004 2005 2006 2007 2008 2009 2010 2011
Source: Business Processing Association of the Philippines (BPAP)

3. Gartner and McKinsey forecast strong
growth of Global IT-BPO to 2020:
$ 1.5-1.6 Trillion addressable market by 2020

4. India & Philippines rank #1 & 2 in…
Talent competitiveness Index Risk index for English BPO
Cost for non-voice BPO
Demographic profile

5. Philippines #2 after India in worldwide IT-BPO
SSource: Aon Hewitt

6. Philippines now preferred IT-BPO destination
Market leaders on hypergrowth mode

7. The Perfect Storm--
• A window of opportunity to dramatically
increase PH market share in IT-BPO…
• …to ensure that the Philippines emerges as a
big winner, similar to India and China earlier.
• …to accelerate countryside development
There has never been a better opportunity to
develop the entire Philippines!

8. Next Wave Cities Program will ensure this growth spreads
to the entire Philippines

9. iPPP: ICT Industry Development Programs
Talent Development
Stepping-Up the Value Chain
Designed to
Next Wave Cities enable the
entire ICT
Industry to
ICT-enabled Creative Industry
Development
contribute
$50B in
Domestic ICT Industry direct
Development revenues by
2016…
ICT Marketing & Research
iGDP Program
ICT for Productivity and Growth

10. Next Wave Cities Program Components
1- Research & Road Mapping
2- Talent Development
3- Organizational Development
& Capability Building
4- Marketing
5- IT-preneurship & Technology
Business Incubators
6- Business Environment &
Incentives
Next
Wave 7- Infrastructure &
Cities TM Smarter Cities

11. Next Wave Cities IT-BPO Scorecard
• College and high school graduates
Talent • Professionals
• Schools and degree programs
• Airports
• Roads
Infrastructure • Utilities (telecom, power, water)
• Real estate
• Rental
• Regulatory fees and taxes
Cost
• Median pay
• Utility costs
• PEZA-approved facilities
Business • ICT Council
Environment • Real estate developers

12. Next Wave Road Map

13. Next Wave Cities Program Components
1- Research & Road Mapping
2- Talent Development
3- Organizational Development
& Capability Building
4- Marketing
5- IT-preneurship & Technology
Business Incubators
6- Business Environment &
Incentives
Next
Wave 7- Infrastructure &
Cities TM Smarter Cities

14. ICT Workforce Capability Development Program
National e-
Competency
Framework
Aims to augment
Global
National ICT Competitivenes
efforts of CHED and
Skills Registry s Assessment TESDA and support
Database
Globally-
Tool (GCAT) BPAP’s programs in
competitive order to triple the size
Filipino ICT of ICT Talent Pool by
Workforce 2016, improve
employability by
IT Professional Industry Driven
Certification Curriculum 200%, and develop
the core skills
and technical skills
One e-Learning required by Industry
Portal

15. Industry-driven curriculum: IT-BPO Specialization Track,
designed with the help of IBM, Accenture and HP
Approved by the Commission on Higher Education
Courses Units
Business Communications 3
Service Culture 3
Principles of Systems Thinking 3
Fundamentals of Business Process Outsourcing 101: 3
BPO Business Model/Design and Introduction to Operations
Management
Fundamentals of Business Process Outsourcing 102: 3
BPO Operations Management
Internship 6
TOTAL UNITS 21

16. Business Communications - developed by a team led by Accenture
Course Description
The course builds the students understanding and basic competencies on effective communication in the workplace. It
introduces students to key concepts of business communication, methods and techniques for its efficacy and its impact
to organizational success. Actual business applications and scenarios are used to illustrate the fundamentals of
effective business communication.
Key components I. Communication in the Workplace
C. Telephone and Business
III.Elements of Communication
D. Business Correspondence
A. Language and Context
B. What and Why of Communication 1) Elements of Written Interaction
2) Tone and Readability & Punctuation
VII.Communication in the Workplace Usage
A. Business Communications Defined 3) eMail Etiquette
B. Face to Face Communications 4) Practical Applications
1) Individual vs Team Interaction VIII. Communication in the Workplace
2) Effective Listening
E. Project Management Documentation
3) Non-Verbal Communication
F. Client Presentation
4) Business Etiquette
5) Practical Applications:
G. Employment Communications

17. Sample Industry-driven curriculum:
for graphics & animation

18. Next Wave Cities Program Components
1- Research & Road Mapping
2- Talent Development
3- Organizational Development/
Capability Building
4- Marketing
5- IT-preneurship & Technology
Business Incubators
6- Resource Mobilization &
Incentives
Next
Wave 7- Business Environment/
Cities TM Smarter Cities

19. NWC Strategic Planning for ICT Councils

20. Luzon Baguio City ICT Council
Dagupan ICT Council
ICT Urdaneta City Council for ICT (UCC-ICT)
Councils Albay ICT Association(AICTA), Inc.
Cagayan Valley ICT Council
Vigan ICT Council
ICT@Bicol Council
Aurora ICT Council
Bataan-Olongapo-Zambales -Subic Educational
Development Organization for Information
Metro Clark ICT Council
Balanga ICT Council
Malolos ICT Council
Bulacan ICT Council
Nueva Ecija ICT Council
Tarlac ICT Council
City of San Fernando Pampanga ICT Council
Laguna Industry Network for Knowledge,
Innovation & Technology (LINK-IT) Foundation
Cavite Information and Communication
Technology Council (CICTC)
Local ICT Committee of Taytay, Rizal
BPO/ITES Council of Quezon
City (BICQC)

21. Next Wave Cities Program Components
1- Research & Road Mapping
2- Talent Development
3- Organizational Development/
Capability Building
4- Marketing
5- IT-preneurship & Technology
Business Incubators
6- Resource Mobilization &
Incentives
Next
Wave 7- Business Environment/
Cities TM Smarter Cities

22. Career Marketing campaign will open more minds to IT-BPO

23. At these pay rates, Filipinos need not go abroad
Source: BPAP, 2012

24. Next Wave Cities Program Components
1- Research & Road Mapping
2- Talent Development
3- Organizational Development/
Capability Building
4- Marketing
5- IT-preneurship & Technology
Business Incubators
6- Business Environment &
Incentives
Next
Wave 7- Infrastructure &
Cities TM Smarter Cities

25. Technology Business Incubators will accelerate
ITpreneurship in Next Wave Cities
TBI for ICT-based Small and
Medium Enterprise in
Region 8
The University-based TBIs
DOST-PEZA Open Technology
Business Incubator
UP Visayas Cebu
University of the Philippines Business Incubator for
Los Banos TBI IT
Central Luzon State University University of San Carlos TBI
Ayala Foundation's TBIs Agriculture and Food TBI
25

26. IBM is an adviser for the NWC incubator program
IBM Innovation Center, Quezon City

27. Next Wave Cities Program Components
1- Research & Road Mapping
2- Talent Development
3- Organizational Development
& Capability Building
4- Marketing
5- IT-preneurship & Technology
Business Incubators
6- Business Environment &
Incentives
Next
Wave 7- Infrastructure &
Cities TM Smarter Cities

28. INCENTIVES ARE A GAME-CHANGER
Aggressive incentives—led by LGUs—can attract locators to NWCs
Tax Utilities
• Vat Reimbursement • No cost or subsidy for utility
• Income Tax Rebate services
• Corporate Business Tax Rebate
Education
Occupancy • Overseas training subsidy
• Rent • New hire training subsidy
• Fully furnished office and • Continuous education subsidy
datacenter facility
• Completing and maintaining Recruitment
international standard facilities • Domestic campus recruiting subsidy
• Repair and upkeep of facilities • Head hunter fee reimbursement
•Recovery fund for certain
Network Cost percentage of interns
• IT Bandwith
• Network/Telephone/Printer Set- Retention
up • Lump sum per employee

29. Resource mobilization strategy: Leveraging
donor agencies to augment resources
Initial discussions underway
ADB Knowledge Hub Program
Priority Industry development
Competitiveness for PH cities

30. Next Wave Cities Program Components
1- Research & Road Mapping
2- Talent Development
3- Organizational Development
& Capability Building
4- Marketing
5- IT-preneurship & Technology
Business Incubators
6- Business Environment &
Incentives
Next
Wave 7- Infrastructure &
Cities TM Smarter Cities

31. Smarter Cities as a
driving force for national progress

32. ASEAN, China and India as the world’s premier growth engine:
GET READY FOR THE NEXT WAVE OF GROWTH AND INVESTMENT!
By 2030:
• ASEAN, China, India Region (ACI) combined GDP could quadruple
and exceed that of the US and Europe combined
• ACI share of world investment projected to be 40% of global total
• ACI Region will comprise almost half the middle class of the world
• ASEAN’s middle class population expected to rise from 24% in 2010 to
65% in 2030
• Wages in ASEAN, China and India will rise 3-fold
• Philippines can sustain GDP growth of 7%, on par with China, India
and Vietnam—largely due to IT-Enabled Services
Source: ADB: ASEAN, the PRC and India: The Great Transformation?

33. ASEAN ICT Master Plan 2015
ASEAN Economic Integration by 2015
ASEAN wants to project itself as the premier global ICT Hub
The Philippines can be the premier ICT Hub of ASEAN...
GET READY FOR THE NEXT WAVE OF GROWTH AND INVESTMENT!
Pillars
• Economic 2. People 3. Innovation
Transformation Empowerment
and Engagement To nurture a Key Outcomes
To promote trade & creative , • ICT as an engine of
entrepreneurship To enhance quality innovative and growth in the ASEAN
in the ICT sector. of life through green ICT sector countries.
And Build an ICT affordable and
engine of sectoral equitable ICT • Recognition for ASEAN as
change. a global ICT hub
• Enhanced quality of life
Foundation
for people of ASEAN
4. Infrastructure Development
- To provide the next generation infrastructure enabling policies. • Contribution towards
ASEAN integration
5. Human Capital Development
- To develop a skillful ICT workforce and knowledgeable community.
6. Bridging the Digital Divide
- To evaluate countries and people through ICT Capabilities

34. Thank You
Department of Science and Technology-
Information and Communications Technology Office