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.