Tuesday, November 18, 2008

Business Process Outsourcing


BPO is the process of transferring some of an organization's repeated non-core and core business processes to an outside provider to achieve cost reductions while improving service quality. Such as USA and UK tranfer their activities to countries like India , Philippine, China , Mexico, Philippines, South Africa, Mauritius, Malaysia, Australia, Ireland New Zealand ect. Nowadays many more companies are passing their non-core operations to third-party service providers. 

Many IT professionals are familiar with the term business process outsourcing (BPO), but knowing how to distinguish it from other types of outsourcing requires some scrutiny.

 Though some forms of BPO may include both IT management and business operations, the approach is primarily about turning over functions such as payroll, accounting, billing or even real estate management to a third party. Though these business processes may depend on IT, they are separate functions from core IT operations, such as data center activities or network management ect. 

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