BPO [Business Process Outsourcing] has been the latest mantra in India today. As the current sources of revenue face slower growth, software companies are trying new ways to increase their revenues. BPO is top on their list today. IT services companies are making a quick entry into the BPO space on the strength of their existing set of clients.
An ordinary BPO center that takes care of pure back office operation [e.g. payroll, data entry] will not be as expensive as a call center.
The philosophy behind BPO is specific, do what you do best and leave everything else to business process outsourcers. Companies are moving their non-core business processes to outsource providers. BPO saves precious management time and resources and allows focus while building upon core competencies.
Call centres apart, functions outsourced span purchasing and disbursement, order entry, billing and collection, human resources administration, cash and investment management, tax compliance, internal audit, pay roll...the list gets longer everyday. Call centres address sales support, airline/hotel reservations, technical queries, bank accounts, client services, receivables, tele marketing.
Benefits derived from BPO can be summarized as:
access to expertise,Operational cost control,cost savings,improved accountablity,improved HR.
India has one of the largest pool of low-cost English speaking scientific and technical talent. This makes India one of the obvious choice to outsource to business process.