offshore/in house/freelance/honen

Cebu City Workforce Models: Compare 4 Hiring Options

April 14, 20256 min read

In today's dynamic global economy, businesses are under increasing pressure to optimise operational efficiency while maintaining quality and scalability. Nowhere is this more relevant than in Cebu City, a rising economic powerhouse in the Philippines, particularly renowned for its vibrant BPO industry and skilled English-speaking workforce.

This article presents an in-depth comparison of four prominent workforce models: in-house teams, offshore teams, freelancers, and the Honen model—a managed staffing solution specialising in sales and marketing support. Each model is examined through key criteria such as cost, control, communication, security, scalability, expertise, and legal implications.

For businesses operating in or expanding to Cebu City, the right workforce strategy can be the difference between scaling successfully or facing costly inefficiencies. This comparison equips business leaders with the knowledge required to align workforce strategy with organisational goals.


Understanding the Honen Workforce Model

What Is Honen?

Honen is an Adelaide-based business process outsourcing (BPO) and sales enablement firm that offers remote staffing and lead generation solutions. Honen’s model stands apart as a managed service provider focused on supplying virtual assistants (VAs), sales development representatives (SDRs), and customer service teams.

Key to its proposition is offering cost-effective remote staffing without long-term contracts, ideal for Australian businesses seeking high-quality, scalable sales and marketing support.

How Honen Works

Honen sources remote talent—primarily from Asia, including the Philippines—who are integrated into the client’s operations. However, Honen manages the administrative and HR side, including payroll, performance tracking, and infrastructure.

Businesses retain control over day-to-day priorities, while Honen ensures operational continuity, freeing clients from local HR, recruitment, and training burdens.


In-House Teams in Cebu City: Pros and Cons

Advantages of In-House Hiring

Cebu City is a top-tier destination for building in-house teams thanks to:

  • Strong Talent Pool: With over 10 universities, Cebu City produces highly educated graduates across IT, engineering, and business disciplines.

  • Cost Efficiency Compared to Metro Manila: Labour, real estate, and living costs are lower, making competitive salary offerings more feasible.

  • Established IT-BPO Infrastructure: The city has world-class facilities, special economic zones, and government incentives for BPO operations.

  • Cultural and Operational Control: In-house teams integrate easily into the company culture and allow for hands-on management and alignment with long-term goals.

Disadvantages

However, this model also presents significant challenges:

  • High Overhead Costs: Office space, HR, equipment, and benefits add up quickly.

  • Labour Law Complexity: Philippine employment law requires strict compliance—especially around termination, benefits, and work hours.

  • Limited Expertise in Niche Fields: Scaling an in-house team to include specialised skill sets (e.g. data science, sales enablement) can be slow and expensive.


Offshore Teams: Benefits and Drawbacks

Why Offshore to the Philippines?

For businesses in Cebu City, creating offshore teams (i.e. hiring remote teams outside Cebu) may still yield substantial benefits:

  • Cost Savings: Labour costs are 50–70% lower compared to Western markets.

  • Global Talent Access: Broader access to diverse skill sets and technical capabilities.

  • High English Proficiency and Cultural Affinity: Especially advantageous for Australian and US-based companies.

Operational Challenges

Despite the benefits, offshoring requires:

  • Robust Management Systems: To handle remote supervision, quality control, and time zone differences.

  • Data Security Measures: Legal and technical safeguards must be in place, especially for IP and client data.

  • Infrastructure Due Diligence: Internet and power stability in offshore areas vary.


Freelancers in Cebu City: Flexible but Risky

Advantages of Hiring Freelancers

Freelancers offer unique benefits for businesses needing flexibility:

  • Cost-Effective: You pay only for project-specific work.

  • Fast to Hire: Platforms like Upwork and OnlineJobs.ph streamline recruitment.

  • Access to Specialised Skills: Freelancers bring niche expertise on demand.

  • Scalable and Agile: Ideal for project-based or seasonal work.

Limitations to Consider

  • Lack of Long-Term Commitment: Freelancers juggle multiple clients.

  • Security and IP Risks: Independent contractors may lack enterprise-level data protection.

  • Quality Control: Work consistency varies across freelancers.

  • Integration Difficulty: Freelancers may struggle to align with company culture or values.


Key Comparison Criteria

To choose the best workforce model for Cebu City, consider the following:

  1. Cost: Total spend including salaries, benefits, overheads, and training.

  2. Control: Oversight, performance tracking, and cultural alignment.

  3. Communication: Time zones, language proficiency, and collaboration ease.

  4. Security: Data protection, IP safeguards, and compliance.

  5. Scalability: Speed and ease of adjusting workforce size.

  6. Expertise: Access to niche skills and depth of experience.

  7. Legal Complexity: Employment law, contracts, and compliance burden.


Comparative Table: In-House vs Offshore vs Freelancers vs Honen

comparison


Criterion-by-Criterion Breakdown

1. Cost

  • In-House: High due to full benefits, infrastructure, and training.

  • Offshore: Competitive; significant savings over local hires.

  • Freelancers: Project-based rates; low overhead.

  • Honen: Managed pricing, mid-range; higher than freelancers but includes value-added services.

2. Control

  • In-House: Full control.

  • Offshore: Partial control, reliant on management frameworks.

  • Freelancers: Low control; task-based.

  • Honen: Shared control—clients direct daily tasks; Honen manages admin, payroll, and performance.

3. Communication

  • In-House: Seamless.

  • Offshore: Some timezone friction, but English fluency helps.

  • Freelancers: Varies based on freelancer and location.

  • Honen: English-speaking staff, likely minimal barriers.

4. Security

  • In-House: Controlled environment.

  • Offshore: Risks exist—vetting and contracts essential.

  • Freelancers: High risk if unmanaged.

  • Honen: Likely standardised protocols; due diligence still needed.

5. Scalability

  • In-House: Limited agility.

  • Offshore: Highly scalable.

  • Freelancers: Immediate up/downscaling.

  • Honen: Offers rapid scale with operational support.

6. Expertise

  • In-House: Local talent, potentially limited in niche areas.

  • Offshore: Global expertise access.

  • Freelancers: Best for niche and creative tasks.

  • Honen: Focused on sales, marketing, admin, and SDRs.

7. Legal Risk

  • In-House: Highest—compliance with full Philippine labour code.

  • Offshore: Jurisdictional challenges.

  • Freelancers: Contract-based simplicity.

  • Honen: Honen manages employment risk; clients hold service contracts only.


Strategic Fit for Different Business Sizes

Startups

Recommended Models: Freelancers or Honen

  • Minimal overhead, rapid execution.

  • Honen provides structure without admin complexity.

SMEs

Recommended Models: Hybrid (In-House + Offshore or Honen)

  • Combine local culture integration with remote scalability.

  • Offshore or Honen models fill gaps in skills and reduce cost.

Enterprises

Recommended Models: In-House Core + Offshore or Honen Extensions

  • Use local core teams for control; outsource support functions.

  • Honen is ideal for scaling customer service or SDRs.


Final Thoughts

No single model is universally “best.” The right workforce model for a business in Cebu City depends on:

  • Budget constraints

  • Need for control vs flexibility

  • Data sensitivity

  • Speed of scale

  • Regulatory comfort level

The Honen model presents a particularly compelling option for Australian businesses or those needing a structured offshore solution without administrative hassle. It blends flexibility, performance management, and regional familiarity with competitive costs and easy communication.

For Cebu-based operations or expansion, the right strategy might include a mix—leveraging in-house for integration, offshore for volume, freelancers for agility, and Honen for managed scalability in revenue-driving roles.

🚀 Ready to Build a Smarter, Scalable Team in Cebu City?

Don’t settle for outdated hiring models. Whether you're scaling fast, launching a new market, or simply tired of the overheads, there's a better way to grow.

👉 Discover how Honen’s remote staffing solution can unlock cost-effective, performance-driven growth—without the headaches.

✅ Fully managed remote teams
✅ Sales & marketing specialists
✅ No long-term contracts
✅ Built for Aussie businesses

🎯 Book a free strategy session today and see how Honen compares.

👉 Talk to a Workforce Strategist https://honen.au/

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