Business Process Outsourcing: How Does It Impact Your Business?

Author: Bob Kruse

According to the Hackett Group, a financial research firm, "World class companies outsource a substantially larger portion of their IT processes (44.5% compared to 30.2%) than peer group companies: close to half of all their technology infrastructure-related processes." Outsourcing ensures the experience of a strong helping hand supporting you at every step. A business can enjoy many advantages if business activities are outsourced to a reliable BPO company.

Take for instance the IBM Corporation that outsourced its contact center needs. The company achieved remarkable results in terms of a ninety-seven percent reduction in the cost of customer contact. They could also shorten their outside sales cycles by 80%. The customers reported that the customer service representatives exceeded their expectations in almost 78% of the calls. World class companies are turning to outsourcing as a practical and profitable option mainly because it helps them meet the demands of the marketplace and their customers more quickly and efficiently. It allows companies to focus more on their core competencies.

Undoubtedly, outsourcing is a positive step that will bring about a constructive change in your business performance. Until now, companies were expecting major benefits such as improved efficiency and reduced costs. But things have changed; they are now receiving much more from BPO professionals such as operational expertise, improvement in productivity, customized services, and much more.

Benefits that Bring about a Positive Impact

Given below are the benefits that justify the positive impact of business process outsourcing on businesses.

• Improvement in productivity

With business process outsourcing, executives and management can focus more on those functions that are more significant for the business. Experienced and skilled personnel can focus more on the sales and marketing strategies rather than issues such as VAT returns or payroll. It is a fact that executives spend more than 80 percent of their time in the management of these and other day to day issues. However, with business process outsourcing, these statistics can be changed.

• Customized services

A reliable BPO firm provides quality services customized to meet your specific organizational requirements. This is made possible by the presence of well-trained personnel and availability of more resources in an established BPO company.

• Helps save money

There are several companies that offer BPO services and are able to carry out the work very easily, within the required turnaround time. Generally, their operational costs are very low. The cost of labor is low as well. Outsourcing therefore saves you valuable dollars as well as time.

• Allocation of resources

Many companies that opt for business process outsourcing can efficiently reallocate personnel into such areas that would have a constructive impact. This includes expansion or opening of new office in another region.

• Flexibility

With efficient BPO services, businesses can achieve more flexibility. It can also help in speeding up the major business processes.

• Operational expertise

A good BPO company can effortlessly offer relevant expertise. If you choose to go for an in-house set up, it may prove to be rather difficult and expensive.

• A wide range of skills can be accessed

With outsourcing, you gain easy access to skilled professionals and benefit from their knowledge and expertise. They will help your organization function seamlessly and profitably.

Choose the Right Provider

Only the right service provider can ensure all the benefits of outsourcing. Therefore the time you devote to searching for a good outsourcing firm is well spent. Look for an established BPO firm that has flexible pricing plans in tune with your requirements. Check out features such as TAT; accuracy, security, and confidentiality ensured; and flexibility. With a dedicated outsourcing firm as partner you can take your business to the next level.

Posted in: Outsourcing