Business process outsourcing, often referred to simply as BPO, is the contracting of a specific business task, or tasks, to a third-party service provider.
The beauty of BPO is its flexibility – you can choose which services to outsource from internal business functions, such as invoicing and supplier payments, to customer-related services like IT and marketing – to practically any service that is currently ran ‘in-house’ and can be dealt with more efficiently and less costly than from within.
Originally the prerogative of large multinationals, it’s now widely acknowledged as a great option for any small or medium sized business looking to streamline processes and increase profit and productivity. Could your company benefit from BPO? Here are some of the main advantages:
Fast, Efficient Services
The various processes are outsourced to specialists who have the latest technology and expertise – so the tasks are completed more quickly, and to a higher standard than if they were done in-house – avoiding expensive training courses, technology and everything that comes with service improvement. Improve your services without ALL of those hurdles, and instantly too.
More Time for the Core Business
Often in business, there are tasks that simply need to be done – tasks that are often repetitive, time consuming yet still much-needed. With those dull but essential back office processes taken care of, you have more time to concentrate on the core of your business.
You’ll be able to get out on the shop floor and crack the whip to increase productivity – poor old John won’t know what’s hit him! (Note: we don’t actually advocate whipping your employees. Bad for morale, that.) But on a serious note with the old adage in mind ‘time is money’, not only is BPO an increase in efficiency, and reduced timescale to completion BUT that reduction actually frees up company time to focus on the job at hand – YOUR business needs and developments.
There’s fantastic potential for making savings. For a start, you’ve saved the time, money and hassle of hiring and training personnel.
And the added bonus of working with an outsourcing company is that often with ‘regular’ staff the working day can include other aspects of their day, housekeeping routine tasks – when outsourcing specialists have a far better ability to move with the times and implement new procedures as they happen.
Finally, with your non-core processes out the way, you can focus on the fast growth of your business – which means more time to develop new products and increase sales, more time to increase your market share and branch out into other markets, and more time to build on your excellent customer relations.
Actually, paying for a measured and specific service means that you get just that – you pay for the service, you pay for that time and that time only.
So, if those pesky back office services are draining time and money from your business, and you’re looking to run your company more quickly, cheaply and efficiently, why not look into business process outsourcing?