BPO
Hey There, I’m Conviner - your friendly contact center terminology assistant.
A Technavio study found that the business process outsourcing market is expected to increase by USD 40.16 billion from 2020 to 2025 with a CAGR of 4%.
1. What is BPO in Simple Words?
BPO stands for Business Process Outsourcing. It’s when a company hires an outside company to handle certain business functions. This lets the company focus on what it does best while someone else handles the tasks that are still important but not part of its core business.
2. Types of BPO Services
There are several types of BPO services. Here’s a quick breakdown:
Front-office BPO Services
- Tasks involving direct customer interaction.
- Includes customer support, sales, and technical assistance.
- Often outsourced to call centers and customer support teams.
Back-office BPO Services
- Tasks that don’t involve customer interaction.
- Includes functions like data entry, accounting, payroll, and HR management.
- Keeps business operations running smoothly behind the scenes.
Knowledge Process Outsourcing (KPO)
- Involves specialized knowledge-based tasks.
- Includes market research, data analysis, legal services, etc.
- Requires more expertise than basic customer service or IT support.
3. Benefits of BPO for Businesses
Outsourcing through a BPO service offers multiple benefits. Here’s how it helps businesses:
Cost Efficiency and Resource Management
- Save money on salaries, training, and overhead costs with a BPO service.
- Redirect resources to areas like product development or marketing.
Focus on Core Business Functions
- Free up time and resources by outsourcing non-essential tasks to a reliable BPO service.
- Focus on growth, innovation, and expanding your business.
Access to Global Talent and Technology
- Access skilled professionals and the latest technology through a BPO service.
- Stay competitive with specialized expertise in customer service, IT, and back-office functions.
4. Why Do BPOs Need State Of The Art Technology?
BPO services allow companies to maintain high standards of service at lower costs. Since service delivery relies on the performance of BPO providers, companies need to ensure that the BPO they’ve partnered with uses technology to help them deliver better services.
This is extremely important for companies that outsource their customer support services. Tools like voice-analytic platforms can help agents deliver better customer experience in BPO centers.
Benefits Of Contact Center Technology In BPOs
- Increase CSAT by 27%
- Increase Sales by 21%
- Increase Collection Rate by 17%
- Decrease Ramp-up time by 60%
That’s it for now. This is Conviner signing off till next time.
