Business

Outsourcing

Вро
Process
Definition

Business Process Outsourcing is a

business practice in which an organisation
outsources a business process to some
other organisations or external agencies
to save cost and time.
 Customer
Support Call
Process Answering
EXAMPLES

Help Desk Busines Outsourcing

Party
OF BPO

SERVICES

Verification
Third
IT

Telemarketing
Services
Objectives of
BPO

• To improve the efficiency of

organisation
.
To attain greater productivity
To reduce operation cost
0
To strength of workforce
. To focus on core areas of
business
Features of BPO

• Flexibility
Cost effectiveness
Time Saving
• Speed
• Availability of Expertise Workforce
 Advantages

Minimisation of cost

Concentration on core
business

Outside expertise
•Efficiently meet customer
demands

•Revenue increase

•Improved Speed and

Efficiency
• Increased flexibility
•Expand Global Presence
• Time Saving
 Disadvantages
MI

Security issues
-Hacking
-Data breaches

Communication issues
•Depending too much on service providers.
•Underestimating costs of services
 Types of
ВРО

Front office Back office

outsourcing outsourcing
Offshore Nearshore

outsourcing outsourcing

Horizontal
Vertical outsourcing
outsourcing
• Front office outsourcing - refers to
outsourcing of external business
functions. eg : customer services.
• Back office outsourcing - refers to
outsourcing of internal business.
Recruitment of manpower.
• Offshore outsourcing - BPO contract
-

made outside home country .eg : doing

IT work of US company in India.
• Nearshore Outsourcing - BPO contract
entered between companies in neighbouring
countries. eg : US company outsourcing work
to Canada.

Horizontal Outsourcing - BPO company

performing particular business function in
different industries. eg: performing
accounting in varous industries.
• Vertical Outsourcing - BPO offers various
functional services in particular industry. eg :
offering various services to textile industry.
THANK YOU

PRESENTED BY

HELNA BEN ADICT