What is BPO?
Today, STAFFVIRTUAL's CEO Ike Stranathan talks about the business process outsourcing (BPO) industry. What is it? What can it do for your business? Watch the video to learn more.
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Video Transcript:
Hi there guys, this is Ike Stranathan, the CEO of STAFFVIRTUAL, we are a business process outsourcing (BPO) company from California, with offices in the Philippines. I often get asked “What is business process outsourcing”. This acronym. What does it stand for? What does it mean? A lot of people fully don’t understand the term. But business process outsourcing is the technical term for offshoring our outsourcing services providers, oftentimes located in lower-cost countries like here in the Philippines, or in India. And, business process outsourcing is essentially when a company outsources a specific process, whether it be back-office, customer support, IT processes, creative processes, to a third-party vendor. So, business process outsourcing companies aren’t necessarily located offshore. Many companies use onshore providers. So a company in New York City, for example, might partner with a call center in Nebraska, where the labor is a little bit less expensive to get that process done. Other companies go a step further and go offshore to further reduce those costs and increase efficiency and profitability for that business. So, to summarize business process outsourcing is the moving of a critical process offshore to a third-party provider. This is happening for a lot of reasons, the number one reason is cost-saving, also you’re seeing efficiency gains, scalability, and of course business continuity. That’s another big reason why we’re seeing this explosion in the business process outsourcing industry.
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