DIFFERENCE BETWEEN BPO AND KPO PDF

Published by on August 22, 2021
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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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BPO provides an array of services such as:. BPO, abbreviation of Business Processing Outsourcing, means getting a business process implemented using the channel of outsourcing. KPO, short for Knowledge Processing Outsourcing, is the latest outsourcing bop, which involves the application of training and expertise to research, data analysis, and other information-based activities.

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. Both forms of outsourcing work in a B2B environment where the service provider and buyer of services both are business organizations.

BPO requires betwfen communication skills and basic computer knowledge in employees.

For BPO such qualification is not needed and the nature of work is limited which is taught to the executives during their incubation period. Add new comment Your name.

Difference Between BPO and KPO

It is helpful for those who are under-graduate or graduate and are not able to be employed in any company. While front office services are related to client interaction and customer support, back office services are related to finance and HR.

KPO, on the other hand, could be considered as a part of BPO, but it involves outsourcing of core functions that require specialized skills and knowledge. KPO provides great quality work and deliver everything on-time with uninterrupted services. Companies usually outsource such processes to BPOs which are not directly linked dirference its value chain. Almost all the transnational companies, today, outsource their non-core activities, just to pay attention to their primary business.

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What is the difference between BPO and KPO

In spite of its popularity, however, understanding the two concepts can be a little tricky, especially for annd who are new to the outsourcing and offshoring scene. An organisation is made up of various processes. Leave a Reply Cancel reply Your email address will not be published. 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.

BPO, short for Business Processing Outsourcing, is the business diffeence focuses on tasks, ranging from manufacturing products to providing customer care.

Difference between BPO and KPO | BPO vs KPO

Netween usually consists of the back office or front office operations. BPO refers to the outsourcing of non-primary activities of diffrence organization to an external organization to minimize cost and increase efficiency. So if you compare the functionalities and dlfference involved, KPOs are far better than BPOs, but both of them help businesses to streamline their operations and making them cost effective.

The different types of BPO are explained below:. It is an extended version of BPO. On the other hand, KPO, abbreviation of Knowledge Process Outsourcing, means outsourcing a process which requires processing knowledge in one form or another. The major cause behind the outsourcing of business process is to reduce costs and maximize efficiency.

Why KPOs are emerging at a rapid pace now?

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More or less they are both process outsourcing. BPO provides services like customer care, technical support through voice processes, tele-marketing, sales, etc. Also, the training provided by the KPOs is more rigorous and sector specific. Because functions outsourced by KPOs require specialized skills, experience, and knowledge, recruiting talent for this form of outsourcing could be challenging.

Conversely, KPO is dependent upon knowledge arbitrage. Please post your comments and questions as a separate thread. The trend started in the late eighties when businesses sent parts of their processes to be completed in foreign countries.

The Key Differences Between BPO and KPO

Com and higher degrees can be appointed in a KPO dealing with accounting and taxation work. BPO is the general term for the outsourcing of business functions to a provider outside the company called betwewn outsourcing when done overseas to cut costs.

Knowledge Process Outsourcing KPO is a subsegment of BPO, wherein those processes which involve knowledge related work are handed over to outside party. Your email address will not be published.

If outsourcing is done to a company situated outside the parent company’s country, it is known as offshore outsourcing. The organization may be a different entity or the subsidiary of the main organization that can be located in the same country or overseas to minimize cost.

KPO can require greater expenditure compared to BPO because it is mostly driven by the lack of professionals in certain sectors within developed countries.