What is BPO: differences for outsourcing and its advantages

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What is BPO: differences for outsourcing and its advantages

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There are processes that can contribute to the development of companies without necessarily participating in the main focus of the business, this is the case of Business Process Outsourcing, also known as BPO.

But, after all, what is BPO?

Created as a response to changes in the labor market, BPO is treated as a type of outsourcing of services and processes in a business.

The concept of what is BPO is to adopt new technologies or resources that do not increase the number of employees. In this post, we will understand the relevance of this.

Check and follow with us what outsourcing is and how essential BPO can be for the sustainable growth of your company.

What is BPO?

When leading their teams, managers seek to reconcile the increase in productivity with time and investment savings to increase profitability.

It turns out that the fulfillment of these objectives goes through an intense flow of secondary, but fundamental processes. As a result, the main focus is overshadowed.

And this is where BPO has grown as an attractive solution for companies of all sizes and segments. The reason for this is that outsourcing can free your employees from taking care of these small processes.

What is outsourcing and the differences with BPO

BPO is not necessarily an outsourcing in itself. There are differences between both models, among them:

  • implementing a BPO model involves a complete remodeling of company processes, while outsourcing only covers the transfer of activities;
  • The outsourcing tends to be focused on the use of human resources;
  • The BPO is guided more by the use of new technologies and the transfer of functions for a specialist.

Imagine that your team spends a lot of time registering information in the system and that this also translates into several filling errors.

With BPO, you could invest in software capable of automating processes.

It would also be possible to delegate this task to a team of specialists who specifically deal with this stage of the process and can generate more promising results.

The differentiation with outsourcing, therefore, is in the search for more productivity. While hiring an operating company only transfers responsibilities.

The understanding of what BPO is can be applied in any sector, as long as there are processes and flows to be worked on.

But in general, the areas that make the most use of BPO are:

  • administrative;
  • commercial;
  • Supervisor;
  • financial;
  • accounting;
  • HR sector.

Thus, it is safe to say that outsourcing and BPO are different. With some similarities and peculiarities that make each one of them more accessible according to their demand and objective.

And do you want to know the benefits of BPO for your business? We'll talk about that next!

Why invest in BPO?

Imagine that, after negative feedback, the employee exposes the difficulty in focusing on the essence of their work due to so many secondary tasks.

It is a common symptom of the everyday reality of the Digital Age: the need to focus on several aspects, but not to focus on the details.

But the market demands this attention multidisciplinary so that companies can stay in the spotlight.

Investment in BPO, then, can be the solution so that employee productivity above, be driven, ensuring better feedbacks.

In this way, we have already managed to evaluate some of the benefits to invest in the concept of what BPO is. Among the main ones, we highlight:

Cost reduction

A simple technology, capable of minimizing the number of processes under the responsibility of each employee, is already a significant reduction in operating expenses.

Productivity increase

With the adoption of automation technology, for example, the employee focuses more on the core business of his profession, assuming a more strategic role in the company and with more free time to be productive.

More productive professionals are more engaged with the company.

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More internal flexibility

More agile, compact and lean processes help to make the company more flexible. And, with the sudden changes in market trends, driven by digital transformation, it is quickly understood how much companies should pay attention to this.

How to implement BPO in a company?

Arguably, BPO is associated with the use of new technologies. Only in this way are costs actually reduced and, at the same time, they generate more security for employees to produce more.

Therefore, every company must plan to understand where, how and why to invest in BPO – something that can be defined based on the tips below:

Essential step by step to implement the BPO:

  • map the entire organization and every step of the entire workflow;
  • identify which of the processes can be outsourced;
  • search for the best solutions of BPO, in the market that meet your demand;
  • you have monitoring metrics to follow the evolution of the work.

Of the steps above, however, one of them is the one that stands out the most: the identification of which processes can be benefited with the BPO.

To do this, make a comparison of how much the BPO solution can translate into results in relation to what is already produced in the company.

Then assess what the technology solution can improve in your workflow.

Sometimes, the gain may not be so obvious, which would translate into an unnecessary investment.

In such cases, specific training, for example, can add much more value to the company, improve the organizational climate and increase everyone's satisfaction.

Finally, it is important to discuss internally what are the risks associated with implementing this type of solution.

It is worth noting that, regardless of the quality of the BPO solution, it implies the transformation of the workflow in the company.

Consequently, much must be planned for the company to start producing more and better with less use of human resources, time and investment.

And so, it was possible to understand what BPO is, its importance for the continuous improvement of processes in the productive flow and how to plan for its implementation?

Count on HR Consultant UK. We are an HR software that works in the process optimization such as results monitoring, overview, admission and dismissal, hiring, holeries, vacation control and more.

You can use our technology to pass on your employees' activities to our system.

We are a way of improving productivity at work and we reduced 30% of costs your HR.

Get to know the other features of the application and talk to a specialist now!



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