BPO and KPO may belong under the same umbrella, but they must be and encountered in the offshoring and outsourcing industry in the. Activities performed by BPO and KPO are as different as chalk and cheese. Read primary differences between BPO and KPO. With the help of following points, we can understand the difference between BPO and KPO. BPO and KPO are the important buzzwords in the.
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At present, there is hardly any multinational company which is left untouched from outsourcing its business operations. Knowledge Process Outsourcing KPO is a subsegment of BPO, wherein those opo which involve knowledge related work are handed over to outside party. These professional personility can work for their own field task and no different process or different job responsible like BPO.
The organization may be betweeh different entity or the subsidiary of the main organization that can be located in the same country or overseas to minimize cost. Low-level decisions can also be taken by these firms. A BPO is capable of handling both front end and back end operations of an entity.
Some of the key differences are listed in the table below: We’ve rounded up some of the important facts to remember about the two concepts to simplify and clarify what KPO and BPO are really all about. Based on a work at www.
With the global outsourcing sector showing steady growth, despite the looming slowdown, there have been many KPO and BPO units coming up especially in the developing nations. The major cause behind the outsourcing of business process is to reduce costs and maximize efficiency.
So if you compare the functionalities and expertise involved, KPOs are far better than BPOs, but both of them help businesses to streamline their operations and making them cost effective. The motive behind such outsourcing is not only to reduce cost but to get specialised solutions for which availing in-house resources might be tough. If one has skill, he will definitely be employed in BPO.
Difference between BPO and KPO
Knowledge Process Outsourcing or KPO refers to the assignment or transfer of knowledge plus information related process to another organization. If you will be outsourcing key tasks, make sure you find an outsourcing and offshoring service provider that has the expertise and knowledge needed to write your story of success instead of a bad outsourcing experience.
Being the most popular educational website in India, we believe in providing quality content to our readers. It usually consists of the difgerence office or front office operations. Telecommunication, where there are various functions like sales of new connections, activation of service, segregation of connections into pre-paid and post paid, land line connections, internet services and then after sales services.
What is the difference between BPO and KPO
Betweeb Might Diffetence Like: Almost all the transnational companies, today, outsource their non-core activities, just to pay attention to their primary business. On the other hand, highly specialised and knowledge based services are outsourced to KPOs.
BPO is volume driven. BPO refers to the outsourcing of peripheral activities of the organization to an external organization to minimize cost and increase efficiency.
BPO is usually back office services and front office services mostly related to IT stuffs while KPO is usually core functions that requires knowledge and specialised skills.
If required, refer to the URL of this page in your new post. An differrence is made up of various processes. Outsourcing of routine or peripheral business functions is in vogue. The trend started in the late eighties when businesses sent parts of their processes to be completed in foreign countries. Now whenever you hear of a BPO, in your mind first thought comes is of Telecommunication service only, because we are using it daily and we often call up the customer care executive for resolving minor problems.
KPO on the other hand is related to djfference professional fields, like Law, taxation, accounting and technical and IT support. Companies usually outsource such processes to BPOs which are not directly linked to its value chain. For BPO such difefrence is not needed and the nature of work is limited which is taught to the executives during their incubation period.
This process of customer handling is also a process differencd the organisation which needs to be handled very effectively and hence BPO centre are set up.
The services like capital and insurance market services, legal services, biotechnology, etc.
Difference Between BPO and KPO – Indiaclass
Math Question Source Space Requirements Be specific in skills required, number of employees, and timeline. BPO provides services like customer care, technical support through voice processes, tele-marketing, sales, etc.
This process of handling customers by customer care executives is best example of BPO. BPO depends on upon differenec arbitrage. Data entry, call centers are some examples of BPO operations. Even businesses outsourcing their services to KPOs do a more extensive research before giving a contract to a particular KPO, as a good KPO can be the differentiating factor between a good market offering and a bad one.
Also, the training provided by the KPOs is more rigorous and sector specific. The focus is made on the process, i. BPO requires good communication skills and basic computer knowledge in employees.
Add new comment Your name. These activities are directly related to core offering of parent company. BPO provides an array of services such as:.
Business Process Outsourcing or BPO is outsourcing of some of the business functions to a third party in order to save money. BPO focuses on low-level process, whereas focus is on the high-level process. KPO is another kind of outsourcing whereby, functions related to knowledge and information are outsourced to third party service providers.