What does outsourcing mean?
Outsourcing generally describes the process of contracting out individual business processes from one company to another. Firms are usually seeking to reduce their costs and they tend to outsource activities that are not part of their core business, are also time-consuming and hold them back from conducting their daily business. This means that outsourcing often involves areas such as data processing or accounting.
What is Business Process Outsourcing?
BPO is a particular kind of outsourcing. The special thing about it is that companies contract out their entire business processes. But what exactly does that mean?
In the case of BPO, companies not only outsource partial areas of their operations (e.g. a department), but their entire business processes. This is also the most important difference between this and “normal outsourcing”. Service providers, which offer BPO, therefore make it possible for other companies to make use of suitable all-round solutions, so that they can concentrate on their own core business again. BPO services may not just involve performing administrative tasks, but also analysing and optimising the business processes.
A BPO flow chart – how business optimisation can be a success story
The first step in optimising business operations in the best possible way is for companies to analyse their existing processes and KPIs. They need to discover which processes are operating well within the company and which ones are consuming far too many resources. They then have to decide whether to opt for outsourcing or Business Process Outsourcing. Once they have made their decision, they can engage a service provider.
Finding the right service provider
More and more companies are deciding to outsource entire business divisions. This trend has been recognised and there are therefore more and more service providers that are specialising in BPO and are focusing on precisely these processes as their core business. However, the range of services can vary enormously. It is therefore important for companies to decide what is crucial for them. But how do companies then find the suitable service provider?
Technology, expertise and results
Outsourcing entire business processes also means that the service provider has to make available a wide range of resources. In the end, their goal is to offer their customers the best results. As well as offering the latest technology and specialist expertise, the key issue for service providers also involves achieving perfect results. It is therefore necessary to use trained specialist personnel, who have some experience in outsourcing and specific experience of the sector involved. Service providers offer specialist personnel and services for a wide variety of sectors – for example, in the field of telecommunications, insurance or energy supplies – and can therefore support companies in the best possible way. Service providers should also be able to handle a broad range of activities, make available one contact partner for everything and have extensive business operations in order to ease the pressure on companies as far as possible.
The goals of BPO
As was mentioned at the outset, saving costs is often the main reason for introducing a BPO process. However, if BPO is performed successfully, it is possible to achieve other side-effects too, such as increases in effectiveness and efficiency. By outsourcing processes, which cost time and money, employees can once again make use of their actual business skills, as they no longer have to handle additional duties that go beyond their basic field of work. This enables companies to maintain their competitiveness in the long term. If firms opt for BPO, they also gain access to expert knowledge and can use the latest technologies that are employed by service providers without having to draw on their own resources.
Everything from one source – with Rhenus Office Systems
Rhenus Office Systems is the service provider that specialises in document and information management as well as customer service management. Whether physical, hybrid or digital – the range of services is extensive and supports the entire document and information cycle. The services are individual, but can also be booked in packages. Companies have access to one contact partner, who accompanies the complete project. Rhenus completely takes over time-consuming activities, which keep companies from their daily business – and does so across Europe. As a result, companies can increase their internal efficiency and achieve the best results. Launch your BPO operations now – with Rhenus Office Systems.