4 Tips for Business Process Outsourcing (BPO) Success
Jul 30, 2020
We’ll begin at the
beginning with explaining what exactly BPO, or business process outsourcing is.
Business Process Outsourcing (BPO) is the process of contracting internal business
processes to a third-party service provider. This provider should be a BPO
expert and have proven success streamlining business, while also cutting costs
and improving efficiency.
Typically, as a business
is defined, most processes are completed in-house. However, as a business grows
and reaches a certain level of growth, those in-house processes need to grow
and change as well in order to meet the growing needs of the process being
performed. Many businesses are simply limited in the amount of capitol they can
consistently invest in internal processing. Outsourcing to an expert BPO
organization allows growing companies to focus on their core objectives rather
than processes that support those objectives.
In order to gain
optimum success through BPO, you should consider the following:
1. Why do businesses
outsource their non-core business processes? Using a BPO expert allows growing businesses
to reduce their processing costs substantially. As industry experts, BPO
providers are able to leverage lower cost labor markets, use cutting-edge
technology and software for processing, and increase employee productivity by
reassigning personnel involved with the outsourced area to perform other needs
of the business, leaving executive Management free to focus on core business functions.
Because BPO providers focus exclusively on processing business needs expertly,
they are able to be proactive in processing your business processes accurately
and with improved results. As experts, BPO businesses invest greatly in
up-to-date technology, new and changing regulations/requirements and training
staff for the new processes.
2. How to identify business
processes to outsource. Before you make a
decision regarding the areas of your business to utilize a BPO expert, it is
vital to understand exactly what your core business competencies are. It seems
likely you have some idea of what your core business consists of. Once you
identify your core business processes and your non-core business processes, it
is easy to identify the business processes that support your core
3. Realize the
benefits of integrating BPO into your business:
Do a little research.
Exploring the defining principals of BPO will help a business understand its
potential. Once you have done research regarding outsourcing business processes
to a third party, you will see that there will be a tremendous cost-savings. Performing
a cost analysis will demonstrate the potential cost-savings your business could
be looking at. A cost analysis of business performance is a very smart and
recommended first step to deciding future business directions. A cost analysis
is not only a calculation of business costs, it is also a way to factually
compare your business processing cost to that of a BPO third party provider.
4. Consider the best
location for your BPO third party provider. Once your business has decided to
proceed with outsourcing options, the next steps is to consider the physical
location of that BPO provider. Using a BPO provider in the U.S. is a win-win.
Keeping your business within the United States will be of great benefit to you,
as well as the local economy.
Business Efficiency Using Integration, Inc.
As a primary business process automation outsourcing provider,
Integration’s goal is to empower all its client’s to focus on their core areas
of expertise, while leaving the business process automation services to our team of experts. This
is accomplished by supplying excellent business process automation services
that enhance your company’s ability to provide increased reliability and cost
savings to your customers.