Business process outsourcing refers to the inspection of business processes and corresponding functional departments by enterprises, outsourcing these processes or functions to suppliers, and reorganizing these processes by suppliers. BPO is the transfer of all the functions of the functional sector (such as transaction processing, policy service, claim management, human resource, Finance) to the supplier. The outsourcing suppliers manage these functions in their own systems according to the service agreement. Some BPO contracts are paid according to the service level, linking the supplier's income with the business performance or the cost savings.
Business process outsourcing can promote enterprises to focus on limited resources and capabilities, focus on their core businesses, create and maintain long-term competitive advantages, and achieve the purpose of reducing costs and ensuring quality. It is mainly manifested in the following aspects:
The business process outsourcing services can effectively improve the support role of auxiliary business on the core business and increase the overall profits.
The business process outsourcing services to further focus on core business management, and achieve effective control of supplementary services.
The business process outsourcing services outsourcing business to improve the quality at the same time, it will change the business into a creative field.
The business process outsourcing services to break the traditional industries in the new market environment (business) to form a joint line across business areas and outside companies, formed a long-term strategic partnership, to enhance their competitiveness.
The business process outsourcing services to control and reduce production costs.