Unlocking Efficiency: How Business Process Outsourcing Services Can Transform Your Operations

We can see the acronym BPO (Business Process Outsourcing) increasingly appearing in the modern business context.  According to ringcentral.com, business process outsourcing is on the rise, with the global market expected to gain $230.2 billion in value by 2027.  

Before diving deeper into the topic, it is important to understand what an outsourcing company is. Simply put, an outsourcing company provides certain services on behalf of other businesses. In this article, we’ll uncover the benefits of BPO, using real-world examples to see concretely how you can improve efficiency, reduce costs, and accelerate your company’s growth. 

Keep reading to discover everything you need to know when it comes to outsourcing operations.

What is business process outsourcing (BPO)?

Business process outsourcing (BPO) is the practice of contracting an external provider to manage certain business processes, with the main purpose of allowing companies to focus on their core business.

Examples of outsourced services:

• IT and software development
• Human resources and recruitment
• Customer support and call center
• Accounting and finance

These services can be outsourced locally, to nearby countries (nearshore), or to remote locations (offshore), depending on the company’s needs and strategy. A concept that combines both offshore and nearshore strategies to deliver services worldwide is the Global Delivery Model. In this case, a company collaborates with BPO providers in multiple locations around the world, organizing service delivery on an international scale, and creating a strategic partnership. 

How BPO helps businesses scale?

When it comes to the benefits of BPO, we generally talk about costs, time to market, and internal team focus. 

1. Cost savings

In terms of costs, outsourcing can help companies lower costs related to hiring full-time employees and managing infrastructure.

2. Faster time to market

By working with specialized external teams, companies can develop and launch products faster. A good example here is Slack, which partnered with MetaLab to develop its initial app, which contributed to its much faster success. You can see the full case study here.

3. Internal team focus

When we talk about internal team focus, we mean that by outsourcing specific tasks, internal teams are freed up to focus on the company’s core activities.

Driving innovation through global expertise

With BPO, you gain access to specialized global talent and benefit from the diverse expertise of industry professionals around the world. Many major companies have leveraged international outsourcing to their advantage. For example:

• WhatsApp outsourced app development to Eastern European developers, significantly reducing costs.
  
• Alibaba collaborated with U.S.-based development teams to build its platform, accelerating its global expansion.

If you’re interested in outsourcing software development to Romania, our team is at your disposal, offering high expertise, technical talent, smooth communication, and competitive costs. 

Real-world examples of effective BPO

To better understand how BPO improves efficiency, let’s take a look at some real-life examples:

• Slack → UX design by MetaLab (Canada)

Outsourced app design to MetaLab to accelerate the launch and get a professional product from the start.

• WhatsApp → Development in Eastern Europe

Worked with Eastern European programmers to reduce costs and maintain a small but efficient in-house team.

• Alibaba → Backend developed in the US

Chose US developers for robust infrastructure, paving the way for international expansion.

• Nike → Global Customer Support

Outsourced customer support to provide round-the-clock support to customers worldwide in multiple languages.

How to choose the right BPO partner

It is important to look beyond BPO services and see outsourcing more as a strategic partnership. When choosing a BPO partner, make sure that:

1. There is transparency in the processes, and the partner maintains open and efficient communication.

2. Values are aligned, and the BPO partner understands your company’s organizational culture.

3. The partner has a high level of expertise in your specific domain (a niche approach can help you choose more wisely).

Red flags:

• Rigid contracts and a lack of flexibility on the part of the BPO partner signal difficult communication and a burdensome process.
• Lack of clear Service Level Agreements (SLA). Make sure there are well-defined understandings between you and the BPO partner on: what needs to be delivered, in what time frame, at what quality standards, etc.

Why smart companies scale with BPO

As we’ve seen in the previous sections, there are several BPO benefits, such as cost reduction, access to international expertise through global talent outsourcing, allowing internal teams to focus on strategic activities, accelerating time to market, etc. 

Smart companies choose to outsource operations because when you have access to well-trained, globally distributed teams, you can scale your business faster, with better control over costs. 

In the technology sector, outsourcing software development to Romania is a highly advantageous option because Romanian teams offer a mix of technical know-how and competitive costs.

In the tech field, it’s very important to choose the right development team because the performance and user experience of your application depend on their skills and ability to meet your customers’ needs.

Want to integrate outsourcing with custom tools?

Hi, we are the BEE CODED team! We specialize in combining BPO services with customized automation, helping companies streamline their operations.

Looking to integrate outsourcing with tailored tools? Explore our SaaS development services, and let us help you optimize your operations with smart outsourcing.