Business process outsourcing is a way to improve your company’s profitability. It allows companies to reassign non-core, typically back-office functions, to a trusted business partner. Back-office functions can include human capital, information technology, finance and accounting, supply-chain management and more.
Doing so provides companies with the chance to realize improved service quality while increasing scalability. This also tends to be less expensive in the long run than assigning the same functions to in-house employees.
After sitting down to evaluate your business and discuss your needs, your trusted business partner would help you develop a Service Level Agreement (SLA). This agreement would cover the scope of work specifying what your company can expect to receive, as well as to what degree and at what frequency.
The SLA provides the mechanism for control. Structuring every aspect of the service allows our company to offer yours a variety of solutions at a variety of price points, all based on the bundle of services you choose.
Many companies offer business process outsourcing services. However, not all of them offer a tailored model which leverages seasoned professionals working side-by-side and on-site with your own team. Some outsourcing companies don’t even offer Service Level Agreements, which is dangerous: it can lead to misunderstandings on both sides and can result in your company failing to realize the full value of the service.
It’s also smart to make sure you’ll have access to a central off-premise team who can provide additional support. Otherwise, your company will have nobody to turn to when there are questions about, or problems with, the work the on-site team is performing.
According to Forbes, BPO can be the key to the long-term success of your business.
"Companies that successfully create and sustain value year after year are rare. Many try to, but a recent study of 2,000 companies over 10 years…found that only one in 10 achieved sustained, profitable growth. One activity sets such winners apart: they often use capability sourcing in more innovative ways than their competitors."
It’s not just about cutting costs: working with a qualified BPO firm gives you access to experts who have solved problems just like yours in the past. This can make all the difference when you’re dealing with a crisis or are trying to design policies and processes which will support your business in the long run.