Business Process Outsourcing (BPO) is the practice of contracting a specific work process or processes to an external service provider. The services can include IT Systems Management, payroll, accounting, telemarketing, data recording, Customer Services, Customer support, and more. BPO usually fills supplementary — as opposed to core — business functions, with services that could be either technical or nontechnical.
Masdar Business Process Outsourcing Services include:
- Customer Service Outsourcing
- Administrative Outsourcing
- Accounting Services Outsourcing
- Account Payable (AP) / Account Receivable (AR)
- Knowledge Process Outsourcing (KPO)
- Payroll Outsourcing
- Sales Outsourcing
- Data Entry & Document Verification Outsourcing
Decrease Costs: Outsourcing cuts down on costs for in-house labor, particularly for staffing and training, and for the work space to accommodate local employees. An outsourcing company physically located in a developing country leverages lower-cost labor markets. Finally, outsourcing enables businesses to use variable-cost models, like fee-for-service plans, instead of fixed-cost models that are required when retaining local employees.
Concentrate on Key Functions: Outsourcing allows businesses to hone in on their main offerings instead of company functions that aren’t directly tied to their core processes. For example, when outsourcing, the company won’t have to monitor the payroll accountant’s performance. Rather, it can focus its energies on highlighting its business differentiators and maximizing overall growth. In turn, these actions can boost a company’s competitive advantage and enhance its interactions with the value chain. Ultimately, the company can enjoy improved customer satisfaction and increased profits.