Types of outsourcing
Business Process Outsourcing (BPO)
Importance of Business Process Outsourcing
Business Process Outsourcing is contributing greatly to the economy growth and development of many countries around the world. This business services is helping companies to give out those tasks that could be a burden to other companies who specializes in those areas.
It helps organization cut costs by reducing HR Costs - salary bills, employee benefits, administration overheads. It allows companies to concentrate on their core activities.
|Benefits of outsourcing defined - Image credit: Crow Creation|
It helps to reduce recruitment and training expenses that companies do incur. It helps Improve quality of service and productivity by bringing greater accountability and transparency in production standards.
It enables an organization to get increasing volume of paperwork and routine administration work done quicker and at significantly lesser cost. BPO also offer all round the clock service availability which is very important in customer service related operations.
Types of Business Process Outsourcing Services
BPO services are generally categorized into:
1. Horizontal BPO: Horizontal BPO vendor specializes in carrying out particular functions across different industry domains. The type of services companies under this category render are wide. Examples include: outsourcing in procurement, payroll processing, HR, facilities management and similar functions, benefit administration, tax solutions.
2. Vertical BPO: A vertical BPO focuses on proving various functional services in a limited number of industry domain
s. Healthcare, financial services, manufacturing and retail.
Services rendered by BPO Companies
1. Customer Service Support
3. Technical Support Services
4. Insurance Processing
5. Data Processing Services/ Data Entry Services
6. Legal Services
7. Property Maintenance Services
8. Data Conversion Services
9. Research Services
10. Book keeping and Accounting Services
11. Healthcare Services
14. Travel and Hospitality
16. Transaction and Payment Processes
17. Delivery Services
Top Global BPO Companies
1. IBM :- International Business Machine, the company offers technological services to different companies around the world.
2. Accenture:- Accenture is a global management consulting and outsourcing company.
3. Genpact:- Genpact is a global business process and technology management services company. Genpact recently announced expansion in South America.
4. Stream Global Services:- As a global BPO, Stream is best known for its sales and customer support services.
5. Tata Consultancy Services:- It is India's largest BPO services provider and a part of the larger Tata Group of companies (which include everything from cars to chemicals to consultants).
6. Convergys Corporation:- A relationship management BPO company.
7. Wipro Technologies:- Wipro reported $4.7 billion in revenue in 2010. Wipro is a global information technology services company headquartered in India.
8. Infosys BPO Limited:- is the BPO subsidiary of Infosys Limited. It was established in April 2002. On March 31, 2014, it had 28,658 employees servicing 144 clients in its 26 delivery centers in 13 countries.
9. Contact Solutions:- Contact Solutions was Incorporated in Nigeria as Private Limited Liability Company in 2002 and commenced full operations in Jan 2006. It is one of the leading Contact Centre Services and Customer Management Solutions provider in Nigeria.
10. CNSSL Contact Centre Limited (CNSSCC):- This is a subsidiary of Communication Network Support Services Limited (CNSS). It was formed in 2009 as the first indigenous call centre outsourcing company in Nigeria. Its contact centre services cover the entire spectrum of customer support and telemarketing needs of enterprises with expertise in inbound call centre services, outbound call centre service, market research, products consumer research, consumer surveys and data collection.