Advantage of Business Process Outsourcing (BPO)

Advantage of Business Process Outsourcing (BPO)


Advantages of Business Process Outsourcing (BPO)

What is BPO?

Let’s imagine that you are managing a manufacture company with many stakeholders all over the world. Thera are many business processes running every day, such as manufacturing management, supply chain management, marketing campaigns, human resources management… and sometimes there is some short-term business processes occurs by demand. In such case, your company might be distracted from its core business, manufacturing, since its management resources are distributed into various sectors. So, how companies can deal with large amount of business process needed to be taken care every day? Fortunately, BPO is a great deal for this.

Business Process Outsourcing, popularly known as BPO, is the business strategy where one company hires another company to perform a certain task for them, i.e. they outsource a certain job. Say for example the mentioned manufacturing company, they can outsource their supply chain management process for a specialized company, they also can hire a professional marketing company to run their ads. By outsourcing potential processes, the company can focus in their core value and optimize business performance.

Advantages of BPO

The reasons for a company outsourcing their business process are simple, that are limitations of time, resource or experiences... So does BPO only helps organizations to overcome these weaknesses? In fact, BPO comes with a series of advantages. Some of those are discussed follows:

1. Cost reduction with shorter response time

The most obvious and visible benefit relates to the cost savings that outsourcing brings about. Setting up a new business process is costly which requires both experienced employees and expensive facilities.  One of the biggest advantages of BPO is that they increase the speed of the business processes outsourced to them. They have a very good response time and the clients can focus on the core activities. They save on investing in fixed assets and fixed costs. Adopting BPO helps your company cut off these huge spending with much lower costs and shorter time.

2. Increasing business efficiency

You may worry about the efficiency of outsourced processes when you are not fully managing them inside your company. Don’t worry! Almost BPO providers own professional staff and robust infrastructure to serve your needs. Since they are specialists in the hired field, their experiences from previous projects can contribute to your current project. This way, your business problem is solved by experts. It much more effective than recruiting new team, training them and performing everything from scratch. Since tasks are set up right after the contract is signed, idling time is also minimized. In overall, if you have appropriate BPO plan, it can be an optimal strategy for your firm in which the business efficient can be maximized, whereas costs for it, in term of money, resources and time, are minimized.

3. Availability of experienced professionals

Recruitment new employees and train them to fit new demands is costly and may be not feasible for short-term tasks. Outsourcing the tasks to an established company with all the resources, fruitful results are right at your fingertips without any effort. You no longer need to invest in recruiting and training expensive resources for your business. A good BPO partner always have matured team of experienced staff in your specific field. So if you outsource your supply chain management, rest assured your supply chain will be handled by skilled supply chain managers who are experts in their field. Same goes for IT services or accounting etc.

4. Accessing to latest updated technologies

Buying equipment, facilities and software to setting up a new business process is expensive. Nevertheless, these resources are getting outdate day by day. Therefore, it becomes difficult for a company to stay updated with the latest developments. BPO help you addressing this risk. Your outsourced tasks will perform with latest technologies provided by experienced professional BPO partner.

5. Focusing on core areas

Handling many business processes at the same time make your management resource to be distributed and easily get exhausted. Keeping core business inside you company and outsourcing possible process is an advance strategy to maintain your company’s core values and optimize your business efficiency. This also leads to better employee productivity and helps them make better and more informed business decisions.

6. Flexibility

Outsourcing non-core activities to a BPO partner allows a company to be more flexible. Your company does not need to invest into fixed assets and thus, can save cost. With its large pool of experts, the BPO partners can easily adapt with client changes in task requirements or in task scaling up or down.

SHAREWORK is an experienced BPO company owning strong portfolio with hundreds completed BPO projects signed with companies all over the world. SHAREWORK understands your company’s difficulties when handling numerous of business processes at hand. All your requirements with BPO services with be satisfied with matured and creative operation teams of SHAREWORK. Please don’t hesitate to contact us at for any question or service inquiry. Follow our website to see more blogs at SHAREWORK.