Outsourcing business processes to other companies to manage and execute.
Business Process Outsourcing (BPO) occurs when an organization turns over the management of a business process to a third party that conducts the activity based on a set of predetermined performance metrics.
is the procurement of particular services that involve ongoing outsourcing of specific business processes. In certain industries, design, manufacturing, inspection, and logistics may be outsourced. More recently, BPO has come to include internal, "back-office" functions such as internal audit, finance, billing, accounting and other operations support. BPO "front office" functions may include customer relationship management, with sales, call centers and fulfillment services."Business process" means a sequence of defined steps necessary to achieve a business objective. Business objectives can include any business operation, including product design, marketing, sales, finance, accounting, manufacturing, logistics, supply chain management, customer relationship management and other special business relationships.
Many companies outsource business processes to other companies to manage and execute. Few companies outsource core business processes that they depend on for their unique position in the market. They fear that the outsourcer won't be able to improve the process quickly enough to respond to market changes. Some companies are now offering to outsource such processes, arguing that they have an approach that will let the owner make changes in the process as needed.
Occurs when an organization turns over the management and optimization of a business function to a third party that conducts the activity based on a set of predetermined performance metrics. A BPO vendor manages people and processes, while traditional outsourcers focus on life cycle management and hardware uptime. Typically, companies that are looking at business process outsourcing are hoping to achieve cost savings by handing the work to a third-party that can take advantage of economies of scale by doing the same work for many companies. Or perhaps the cost savings can be achieved because labor costs are lower due to different costs of living in different countries. (See Labor arbitrage)
BPO is the outsourcing of back office and front office functions typically performed by white collar and clerical workers. Examples include accounting, human resources and medical coding and transcription.
The practice of outsourcing non-core internal functions to third parties. Functions typically outsourced include logistics, accounts payable, accounts receivable, payroll and human resources. Other areas can include IT development or complete management of the IT functions of the enterprise.
Managing the technology and providing the staff required for an entire business process. In healthcare, customers typically choose to outsource processes such as member enrollment, billing, and claims processing.
Accenture Business Process Outsourcing units and solution units develop and deliver business process outsourcing services, helping clients achieve higher performance at lower costs. We provide clients with immediate access to best-in-class processes and proven, scalable services delivered through our global network of delivery centers. Business Process Outsourcing units are responsible for creating, acquiring and managing scalable solutions that can be offered to multiple clients, often incorporating the capabilities of our service lines, affiliates and alliance partners.
business process reengineering
Business Process Outsourcing (BPO) is the leveraging of technology or specialist process vendors to provide and manage an organization's critical and/or non-critical enterprise processes and applications. The most common examples of BPO are call centers, human resources, accounting and payroll outsourcing. Business process outsourcing may involve the use of off-shore resources.