One of the most important advantages of BPO is the way in which it helps to increase a company’s flexibility. However, several sources have different ways in which they perceive organizational flexibility. Therefore business process outsourcing enhances the flexibility of an organization in different ways.
Another way in which BPO to a company’s flexibility is that a company is able to focus on its core competencies. With its excellent telecommunications infrastructure and its pool of superior talent. A company may be able to grow at a faster pace as it will be less constrained by large capital expenditures for people. A variable cost structure helps a company responding to changes in required capacity and does not require a company to invest in assets, thereby making the company more flexible.
Process Outsourcing is the umbrella term that includes business process outsourcing. It is categorized into back office outsourcing- which includes internal business functions such as human resources, financing and accounting. They often provide similar services, have similar geographic footprints, and have similar quality improvement approaches.
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