{"id":2022,"date":"2017-10-09T17:05:19","date_gmt":"2017-10-09T15:05:19","guid":{"rendered":"http:\/\/upon.wmp.mx\/?p=2022"},"modified":"2018-11-30T10:05:18","modified_gmt":"2018-11-30T09:05:18","slug":"business-process-outsourcing","status":"publish","type":"post","link":"https:\/\/wmp.mx\/en\/business-process-outsourcing\/","title":{"rendered":"Business Process Outsourcing"},"content":{"rendered":"<p>According to a study by the Information Services Group (ISG) the demand of outsourcing of IT systems and business processes in medium-sized companies has been increasing. <a href=\"http:\/\/www.softselect.de\/business-software-glossar\/business_process_outsourcing_bpo\">Frequently outsourced services are usually:<\/a><\/p>\n<ul>\n<li>Finance and accounting<\/li>\n<li>Payroll<\/li>\n<li>Recruiting<\/li>\n<li>Company pension<\/li>\n<li>IT<\/li>\n<\/ul>\n<h2><strong>What is BPO?<\/strong><\/h2>\n<p>But what exactly is Business Process Outsourcing (BPO) and where is the difference between BPO and common outsourcing?<\/p>\n<p>BPO describes the externalization of business processes. In contrast to common outsourcing which focuses on supportive processes, BPO means outsourcing primary value chains. BPO has two main characteristics:<\/p>\n<ul>\n<li>The BPO service providers oriented towards strategic goals of their customer.<\/li>\n<li>Services are customized and good business relationships are a priority (\u201cone-to-one approach\u201d).<\/li>\n<\/ul>\n<h3><strong>Advantages<\/strong><\/h3>\n<p>There are several reasons in favor of BPO, <a href=\"http:\/\/www.softselect.de\/business-software-glossar\/business_process_outsourcing_bpo\">for example<\/a>:<\/p>\n<ul>\n<li>Focus on core activities<\/li>\n<li>Save costs<\/li>\n<li>Increase quality<\/li>\n<li>Access to specialized knowledge<\/li>\n<li>External innovation impulses<\/li>\n<li>Transfer of business risks to a BPO service provider<\/li>\n<\/ul>\n<h3><strong>Disadvantages<\/strong><\/h3>\n<p>Even though there is a possibility of saving money, sometimes BPO is not worth it because of:<\/p>\n<ul>\n<li>Dependence on outsourcing partners<\/li>\n<li>Loss of control due to shifting of business processes to external parties<\/li>\n<li>50% of IT projects fail<\/li>\n<li>Project selection, project management and project monitoring are ineffective<\/li>\n<\/ul>\n<p>In general, standardized processes which are the same or at least very similar in every company qualify well for outsourcing.<\/p>\n<p>&nbsp;<\/p>\n<h2><strong>3 Types of BPO:<\/strong><\/h2>\n<p>There are three types of Business Process Outsourcing:<\/p>\n<h3><strong>Internal: Shared Service Center (SCC)<\/strong><\/h3>\n<p>The SCC is an in-house company representing the interface between different departments providing services for all of them. Usually, a SSC operates autonomously.<\/p>\n<h3><strong>Internal-external: Joint Venture between a company and a service provider<\/strong><\/h3>\n<p>A Joint Venture is a cooperation between a company and a BPO service provider. Both parties contribute with their corresponding competencies which in the best case are complementary. Due to the lack of clear areas of responsibility there is a risk of both companies blaming each other for mistakes.<\/p>\n<h3><strong>External: Complete outsourcing<\/strong><\/h3>\n<p>The company hands over full control and responsibility to a service provider. On the one hand, a lot of the above-mentioned advantages are possible, on the other hand, several risks and dependence on the service provider may emerge.<\/p>\n<h2><strong>How to outsource successfully<\/strong><\/h2>\n<p><a href=\"http:\/\/www.computerwoche.de\/a\/best-practice-im-sourcing,2525987\">In order to outsource successfully, a company should know\/have:<\/a><\/p>\n<ul>\n<li>The market and its costs and quality<\/li>\n<li>Expertise in negotiation in order to determine requirements, evaluations and elaboration of proposals<\/li>\n<li>Good judgement about the provider\u2019s quality<\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<p>Especially in a foreign country BPO often represents an easy way to comply with local norms and legislation without expensive training. <a href=\"https:\/\/wmp.mx\/\">WMP Mexico Advisors<\/a> is your local BPO partner and takes care of your:<\/p>\n<ul>\n<li>Accounting<\/li>\n<li>Reporting &amp; Controlling<\/li>\n<li>Payroll<\/li>\n<li>Fiduciary Company Management<\/li>\n<li>IT Support<\/li>\n<\/ul>\n<p>Our partner <a href=\"http:\/\/www.acensblue.com\/de\">Acensblue<\/a> is happy to help you with recruiting and HR questions.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>According to a study by the Information Services Group (ISG) the demand of outsourcing of IT systems and business processes in medium-sized companies has been increasing. Frequently outsourced services are usually: Finance and accounting Payroll Recruiting Company pension IT What is BPO? But what exactly is Business Process Outsourcing (BPO) and where is the difference [&hellip;]<\/p>\n","protected":false},"author":5,"featured_media":2023,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"mc4wp_mailchimp_campaign":[],"footnotes":""},"categories":[37,5,11],"tags":[],"class_list":["post-2022","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-consulting-en-2","category-consulting","category-uncategorized"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Business Process Outsourcing - WMP Mexico Advisors<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/wmp.mx\/en\/business-process-outsourcing\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Business Process Outsourcing - WMP Mexico Advisors\" \/>\n<meta property=\"og:description\" content=\"According to a study by the Information Services Group (ISG) the demand of outsourcing of IT systems and business processes in medium-sized companies has been increasing. 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