Last week, my esteemed SVP invited his close friend, who’s also a dear friend of JCCI, Mr. Rahul Dewan, to discuss the growth, challenges, and the inevitable rise of artificial intelligence (AI) in various business sectors. Specifically, the focus was on the Information Technology and Business Process Management (IT-BPM) industry and the majority of startups. This raises the question of whether AI will lead to job displacement or enhance the performance of individuals in the technology and service sectors.
Innovations in the IT-BPM Industry
The IT-BPM industry in the Philippines is on the brink of substantial growth, with ambitious targets set to exceed 1.84 million jobs and generate $39 billion in revenue by mid-2024. There’s a reason for this projected growth, and that is the resilience — the resilience and agility of the Filipino workforce that has propelled us to the top as one of the leading location delivery services in the world. IT and Business Process Association of the Philippines (IBPAP) President and Chief Executive Officer, Mr. Jack Madrid, even said in a recent event that “employment created by the IT-BPM sector is expected to hit the 2-million mark in 2025.”
The Philippines is a global leader in this industry, as Filipinos have undeniably been developed for this type of work. We have shone brightly in the service of others, and we deemed ourselves as such. We are a generous bunch and truly very welcoming to other cultures that we interact with. That speaks highly of our mindset as an empathetic workforce that graciously serves the people, with it being our second nature.
Given that we have almost three decades of experience in the said industry, we also have an advantage — and that advantage is not only our capable workforce, we have a highly favorable business environment that comes with the cheapest labor costs. Growth, as we know, is also contingent on the need for investments in more PEZA-accredited real estate, infrastructure, network connectivity, and power supply. Thus, the IT-BPM industry also identifies strategic locations, including digital cities, to support expansion outside Metro Manila.
AI vs. The Human Workforce
Going back to the Filipino workforce, we have both the sincerity and the empathy to excel at this level of service — something that AI can never even pretend to emulate.
AI may be a very powerful tool, but it isn’t something we should fear, but rather respect. In retrospect, we had already been exposed to AI years ago. It was a product back then, it served as a means to compile data for our reports, and sometimes even a scripted reply from a mindless program in those days was considered AI. Not advanced AI, not generative AI, just AI.
As ChatGPT now demonstrates its ability to generate complex code and create artificially generated pictures and videos (mini-movie productions), it appears to be significantly more powerful and intelligent than the average human being by at least 55%, according to statistics. However, it still falls short of replicating human capabilities. Although it may strive to emulate human capabilities through its language model, it can never fully replace the intricacies of human interaction and emotion.
As for the challenges ahead, I’m confident that as long as we, the workforce (yes, that includes us), can adeptly integrate with the evolving AI landscape, we’ll maintain our competitive edge in future years. This is precisely where generative AI emerges as a pivotal factor.
What’s New with the IT-BPM Industry?
The Philippines’ IT-BPM industry leaders have set up an AI Council to help upskill workers in generative AI. They said the industry acknowledges the significant disruption that generative AI may bring and wants to leverage the technology to make workers more productive and efficient.
The IBPAP added that the AI Council will collaborate with learning academies and industry associations such as the Analytics and Artificial Intelligence Association of the Philippines (AAP). “Together, they aim to enhance the workforce’s skills in programming, data science, data analytics, and AI ethics, with the overarching goal to empower professionals with advanced capabilities, enabling them to take on higher-value tasks,” the industry group said in a statement.
With these initiatives in motion, our workforce, particularly in the IT-BPM sector, should navigate the challenges of exponential growth without major setbacks. It’s crucial to maintain the belief that we wield control over our destinies, rather than being overshadowed by generative AI. However, it’s worth considering that with its assistance, we might ultimately become a more proficient and astute workforce.
As the renowned Aussie roboticist and futurist Rodney Brooks aptly stated, “Artificial Intelligence is a tool, not a threat.”
For the latest information on our industry events, visit our Events page today.
