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  • IT labor gap seen to curb ICT growth
     
    By Miguel R. Camus
    Research Staff

    THE shortfall in the supply of information-technology (IT) professionals will be one of the greatest obstacles to the Philippine information and communications technology (ICT) industry’s growth in the coming years.

    “BPOs [business-process outsourcing companies] have been setting up shop in the Philippines and this has been putting pressure on the availability of qualified IT personnel,” said Rodell Garcia, CIO of Globe Telecommunications. He was speaking Friday at the ICT and Sustainable Development Conference sponsored by De La Salle University.

    A 2008 study by XMG, a global ICT research firm, revealed that the IT labor pool in the Philippines grew 10 percent in the past five years and that growth is expected to shrink to only 3 percent in the next two to three years—not enough to supply the ICT industry’s growth, which has been estimated to grow by 30 percent to 35 percent until 2010.

    Garcia said one other problem of the industry is the high attrition rate. “Currently, our attrition rate stands at about 17 percent to 20 percent. Of this figure, a significant portion—about 50 percent—leaves for other countries.”   Given these factors, Garcia said there remains the main problem, which is the mismatch between supply and demand. This has forced companies to become more proactive in their approach. “To achieve the required skill level, companies are beginning to collaborate closely with the members of academe so that the students, upon graduation, will be more prepared.”

    A surprising trend given the relatively higher pay of IT professionals is revealed by Prof. Sherwin Ona of the De La Salle University’s College of Computer Science: the lack of qualified IT professionals also stems from the large decrease in the number of students enrolling in ITC-related courses.

    “Enrollment in ITC-related courses has dropped significantly since the late ’90s, mostly because students turn to nursing, tourism and education-related courses,” said Ona, adding that these are seen as the surest ways to get a job abroad.

    The ITC-related courses are still relatively new when compared with something as traditional as health or education; thus, people, particularly the students’ parents, veer away from these ITC courses and stick with what’s familiar.

    In light of this, Ona said it was “very important to attract more students” to ease the industry’s lack of IT professionals. 

    Ona said universities must also be more proactive by reaching out to companies. “We have taken several steps such as offering new ICT courses and requiring students to take on-the-job-training programs in companies to better prepare them for work.” 

    He added this was why De La Salle sponsors events such as the ICT and Sustainable Development Conference in order to develop working relationships with companies seeking IT professionals. “The ITC industry can only truly move forward as long as there is a synergy or fusion between the industry, government and academe.” 

    In the same conference, Herminio Pugeda, executive vice president of Union Bank of the Philippines, outlined the growing importance of ICT in today’s business, where ICT should be aligned with the needs of management to maximize ICT’s utility.

    “There is a need for management to get involved in discussions regarding ICT,” he said, adding that in the same way, chief information officers must also “transform their thinking and try to view problems and solutions as a chief executive officers.”

    He said in today’s business that this is a rarity that must be addressed by management because it is critical to aligning ICT goals with business goals. “Collaboration between management and IT is critical and can no longer be ignored as IT is a major partner in the modern business environment.”

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