KNOWLEDGE REPOSITORY _
Useful information, hints
We created our knowledge base to provide our visitors with useful information and advice in the following areas of business life.
What is Business Process Outsourcing?
Business process outsourcing (BPO) is more than simply transferring tasks to an external provider. The service provider not only takes over the daily tasks and responsibilities related to the outsourced process, but also becomes responsible for improving the process and ensuring more efficient operations. Today, the outsourcing of financial and accounting processes is increasingly shifting from transaction handling toward qualitative business transformation. Business process outsourcing relies heavily on the latest IT developments in the search for cost-effective solutions.
How Did Business Process Outsourcing Begin?
In the 1980s, globalization significantly reduced telecommunications and transportation costs, intensifying competition between countries and giving new meaning to cultural openness.
In the late 1980s, British Petroleum took a radical step by separating its business processes. They realized that remaining competitive in the market required focusing available knowledge on core business activities. Non-critical activities were systematically outsourced. This path initiated by BP is what we now call business process outsourcing.
Advantages of Business Process Outsourcing
The Internet has brought enormous changes to the business environment. Competitors now reach customers not only from the neighboring street but from distant countries as well. The days when every company had its own accounting department are long gone. Today, an increasing share of market players outsource their financial and accounting activities (and more), often supported by web-based technologies. These companies understand that in terms of speed, flexibility, and cost efficiency, this is an effective way to move to the next level.
Outsourcing resources allows a company to focus on its core activities and remain competitive. Outsourcing business processes, particularly financial and accounting processes, helps companies control costs and better define and execute their processes. In this way, companies can access the best-quality financial, IT and other back-office services available on the market.