Outsourcing
Interview with Royce Percival: insights and advice for businesses outsourcing or operating in the Philippines
Based in the Philippines since 2015, Aussie expat Royce Percival is Country Manager for Macquarie Technology Group. In this interview, he shares insights and advice which will be of interest to any business outsourcing or setting up a team in the Philippines.
After moving to the Philippines in your role, what was the biggest culture shock?
Throughout the Philippines, whether in business or personal life, relationships often carry more weight than process. Building trust, rapport, and genuine personal connections will frequently achieve better outcomes than relying solely on policies, procedures, or hierarchy.
Success is often determined not just by what you know, but by the quality of the relationships you build and maintain.
Another critical cultural consideration is the importance of family. Family responsibilities often take precedence over many other commitments and can significantly influence personal and professional decisions.
Are there any differences in the way companies engage and motivate their workforce in the Philippines v Australia?
In my experience, employee engagement in Australia has traditionally been centred around individual achievement, autonomy, flexibility, and career progression. People generally expect direct communication, clear accountability, and are comfortable working independently.
In the Philippines, while those things are still important, I’ve found there’s a much stronger emphasis on relationships, team culture, recognition and personal connection. Employees want to feel part of something bigger than themselves and genuinely connected to their colleagues, leaders and organisation.
One of the biggest differences I’ve observed is the importance of regular feedback and recognition. In Australia, many employees are comfortable with the idea that “no news is good news”, provided expectations are clear. In the Philippines, employees place a much higher value on feedback, acknowledgement, and reassurance. Taking the time to recognise contributions, celebrate achievements, and maintain open communication can have a significant impact on engagement, confidence and performance.
What has impressed me most is the loyalty and commitment that Filipino employees demonstrate when they feel genuinely invested in by their organisation. When people feel valued, respected, and supported, they will often go above and beyond for their team and the business. It is one of the greatest strengths of the Filipino workforce and something I have come to greatly admire over the years.
Why did you gravitate to the Philippines as opposed to India or other offshore locations?
While cost efficiency is certainly the primary consideration, for us it was equally important to find a location and have a BPO partner that we could build long-term capability, attract great people, and create a genuine extension of our Australian teams rather than simply an offshore operation.
The Philippines offered the right combination of talent, communication skills, cultural alignment and time zone compatibility. The workforce is highly educated, customer focused, and possesses strong English language capabilities, which is critical when supporting Australian stakeholders.
What has always stood out to me, even from my time working in Australia, is the cultural fit. We’ve always prided our business on being a family-oriented organisation, a place where people can make a difference, collaborate with one another, and contribute to something bigger than themselves. Those values resonate strongly with Filipinos. Filipino professionals are collaborative, adaptable, and genuinely service oriented. These qualities align extremely well with the way we operate as a business and have been a significant contributor to the success of our Philippines team over the years.
What is your advice to other businesses looking to establish a team in the Philippines for the first time?
My first piece of advice is to think long term. You will achieve the greatest success in the Philippines if you view your local team as a strategic extension of your business, not simply a cost saving initiative.
Invest in leadership, invest in culture, and take the time to understand the local environment. Some of the simplest initiatives can have the biggest impact. Branding your team with company merchandise, providing team shirts or jackets, celebrating milestones, and organising regular team lunches and outings all help build a strong sense of belonging. These initiatives are relatively easy and affordable to deliver locally, and they create a powerful connection to your organisation.
Secondly, be present. If possible, relocate or appoint an expatriate leader on the ground, and encourage key leaders from Australia to visit regularly. There is no substitute for face-to-face interaction when it comes to building relationships, understanding your people, and establishing trust. The talent available in the Philippines is exceptional, but like anywhere in the world, people want to feel connected to the organisation and see a future for themselves within it.
As an expatriate leader, one of the most important lessons I’ve learned is to adapt your leadership style rather than trying to replicate Australian workplace culture. It’s important to create an environment where people feel safe to speak up, share concerns, challenge ideas and provide feedback. Trust is everything. Once established, it unlocks a level of engagement, loyalty, and commitment that is incredibly powerful.
Where possible, invest in experiences that bring your teams together across locations. Giving employees the opportunity to travel to Australia for training, collaboration, or as part of a recognition program can be immensely rewarding. We continue to do this within our own business and have seen firsthand the positive impact it has on engagement, professional development, and the connection people feel to the wider organisation.
Above all, remember that relationships matter. Your business will thrive in the Philippines when you invest in your people, embrace the culture, and demonstrate a genuine commitment to the country and its workforce.
What is one thing you’ve learnt from Filipinos and one thing they may have learnt from you, that has created a positive change?
One of the biggest lessons I’ve learnt from Filipinos is the remarkable resilience, optimism, and sense of community they bring to both life and work. Time and again, I have seen people remain positive, supportive, and focused even when facing significant personal or professional challenges. That mindset has influenced not only how I approach leadership, but also how I view teamwork and problem solving.
