What is BPO (Business Process Outsourcing) ?

What is Business Process Outsourcing (BPO)? BPO is to subcontract various business operations/services to outside suppliers. Most companies are now referring to the outsourcing of services as BPO. The term BPO became popular and synonymous with “offshore outsourcing” to India or Philippines. Where companies are sending their administrative, standard, low valued tasks to low-cost locations and save cost by using cheaper labor.

BPO work well when the tasks are standardized, and outcomes are well defined. Many companies got into trouble when they tried to outsource complex tasks or not well-defined tasks, then the suppliers struggled to complete the tasks successfully. The bad outcomes are unfairly blamed on the bad BPO, and many companies swore that they will not do any BPO for as long as they live.

But there are places for good and successful BPO. There are many non-strategic tasks that companies shouldn’t invest in time and resources to do in-house. They should let others who made it their objectives to be better and cheaper in those non-strategic tasks.

At JKA, we successfully helped multiple clients to reduce their fixed costs and investments costs by taking over non-strategic tasks. We are working on processes such as payroll, data cleansing, compliance, credentialing etc. and we are doing these tasks at large volume. We achieved economy of scale and lower costs for our client.

One big reason for our success is that we worked closely with our clients on the transition. We invested int the documentation of the processes, developed playbooks, train our team and measure outcomes.

If you want to get more information about Business Process Outsourcing, visit our website: http://jkadvisory.us/bpo-services/

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