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Business process outsourcing: Better customer service and better price

Globalization, the heightened need for security, and mergers and acquisitions have made the business world a more complex place, and [businesses] use consultants to help move through that landscape,” says Eric Figueroa, an economist with the BLS.

Gone were the seafaring days to trade lambs and textiles. As the global market need requires and presents better and new products, there is now a very high demand of customer service and technical expertise offshore. As giant companies consolidate to save money, they are transferring their human-resources functions outside mainland. JP Morgan Chase, General Motors, HSBC and Sprint are just among the few that caught the Business outsourcing mania. Now, more and more companies are mining human resource offshore. Offshore outsourcing has expanded and improved due to the mobility of globalization. Right now sales and marketing, customer service, technical support, billing and information, banking and finance health care consultation and travel and hospitality— all these companies have sought offshore human resources.

The business process outsourcing markets have become globalized in the past 10 years. Just as BPO have become common that buyers should at least consider to enable process improvement and cost reductions, the global sourcing of BPO is becoming an option that merits consideration. The key issue for outsourcing buyers today, therefore, is how to develop a service delivery model that can fully exploit global sourcing opportunities and is supportive of overall corporate strategies, goals and principles.

After having decided to outsource all of its business process baring its core competing area, an enterprise also has to plan and strategize of how it would actually outsource, to whom and how it would integrate this whole process which is equally crucial for maintaining its competitive edge of its competition. Any corporate house having debated on the various business processes that it wishes to outsource now needs to pick the right outsourcing firms/agencies by doing the necessary due-diligence in terms of researching and analysing a particular firms capability and credentials and its track record for having accomplished outsourcing activity for reputed clients. Equally essential to brainstorm is how would one be bringing all these different outsourcing firms together while integrating the different business components and ensuring this does not entail into complicated issues consuming more time and energy.

The innovations of offshore outsourcing has contributed much toward increased development in either economies. Since business process outsourcing involves an exchange of services, it results to an increase in international flow of capital. Many Information technology zones are created to the increasing demands of business process outsourcing companies such as secured location, clear phone reception and Internet ready area.

The Philippines is considered as the best source for business process outsourcing. Most call centers especially the big ones are strategically located to ensure safety and privacy of the information of the foreign companies they serve especially in the banking and finance department.

Daven Michaels is an award-winning outsourcer and author of the book, ‘Outsource This!’ Daven has been honored more than any other individual or outsourcing organization. You can get more information on outsourcing by visiting www.OutsourcingOutsourcing.Com.

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