What are the Advantages of BPO?
The main reason why companies outsource their business processes is to reduce the cost of implementation. Due to economies of scale, a BPO provider – particularly a provider that bases its operations in countries with low labor costs – can frequently provide delivery of processes at a much lower cost than the cost a company would incur by implementing the processes in-house. In addition, BPO converts the fixed costs of having full-time employees perform business processes into variable costs that are only incurred when work is actually needed. The reasons that a company might use BPO, however, are not limited to this. Because of its expertise in specific process areas, a BPO provider may be able to deliver a higher quality of service than the quality that could be delivered in-house. Furthermore, using BPO allows a company to focus more on its main business and free its people to work on more strategic tasks. BPO also allows flexibility that permits a company to more easily adapt to th
