Since the arrival of Industrial Revolution 4.0, business process outsourcing services have been reinvented, thanks to intelligent workflows and the use of automation, artificial intelligence, cloud, and many other emerging technologies in the BPO services.
Digital innovations and technologies have created a vast scope of opportunities for Industrial leaders. When it comes to the ITES (Information Technology Enabled Services) industry, BPO services is the leading segment in India. The industrial revolution in the BPO sector is helping businesses evolve and grow at a rapid speed.
In this article, we will discuss the fundamentals of business process outsourcing, call answering services, and the future of BPO in 2022.
What is Business Process Outsourcing?
The Internet Revolution led to cascading effects in Information Technology. Business Process Outsourcing (BPO) is one of those cascading effects.
BPO refers to the practice of using third-party services for your business operations that require finely tuned skills.
Businesses used business process outsourcing primarily for their supply chain systems in the early days, for instance, soft drinks manufacturers; however, since technologies essentially took over the world, many businesses are outsourcing processes to accomplish the task.
With so many industries using BPO services in some capacity, including banking, financial services, healthcare, and manufacturing, the versatility of Business Process Outsourcing services is strengthening market growth. Benefits, such as reduced operating costs and improved efficiency of business processes, are helping to drive market growth.
Types of business process outsourcing
Front-office services: It is the process that involves the agents interacting directly with the customers and consumers. This kind of service includes marketing and customer support.
Back-office services: It involves agents handling the internal business processes of the company. Back-office services generally include administrative business functions like quality assurance, payment processing, and order tracking as well as human resource functions.
Types of Business Process Outsourcing (based on the location of the vendor)
1. Onshore BPO- Outsourcing to another firm whose premises are located in the same country is called onshore outsourcing.
2. Offshore BPO- Outsourcing to another firm whose premises are located in a different country is called offshore outsourcing.
3. Nearshore BPO- Outsourcing to another firm whose premises are located in the neighboring country is called nearshore outsourcing.
Different types of BPO services
Some common types of BPO services:
1. ITES- ITES stands for Information technology-enabled services, also known as web-enabled services or remote services is a large variety of separate operations that improve the workability of any organization using Information technology. The services that come under ITES include:
Production Support Analyst
Service Desk Analyst
Call Center Services
2. KPO- In this type of outsourcing, businesses hire service providers to perform the particular operations using their advanced expertise. Most highly skilled jobs fall under Knowledge Process Outsourcing (KPO), which include:
Data Analysis & Interpretation
Research & Development
Medical & Healthcare
3.LPO- Stands for Legal process outsourcing, LPO is a process through which law firms, in-house legal departments, and related organizations outsource legal work to geographic areas where the services are quite economical. They hire expert paralegals who can perform complex tasks with ease like:
Performing legal research
Legal coding support
Drafting patent applications
Creating legal agreements
4. RPO- Many organizations prefer research process outsourcing (RPO). It majorly involves research and data analysis processes. Those organizations who find doing the job themselves difficult and expensive outsource the job to the experts who can perform the tasks at a lower cost. Some RPO services that businesses outsource include:
Research related to investment
Primary & Secondary market research
Analyzing researched data
Why must businesses outsource processes?
In the age of cloud and digital solutions, clients seek providers that can elevate their way of doing business, lower their cost of innovation, facilitate flexibility, and improve the speed of their time to market. It is vital to deploy a variety of large and niche providers in the right mix to achieve the desired results. And, it can only be achieved by using business process outsourcing services.
Below we are listing some reasons why businesses must outsource BPO services in 2022:
Get your work done by experts
By outsourcing BPO services, you get your processes handled by experts. No matter how skilled your team is, there will come tasks that would require you to hire experts to perform them. Outsourcing removes that hassle of hiring experts and helps you save a lot on the cost.
Focus on core competencies
Since many companies prefer to focus on their core competencies while outsourcing the business processes that involve hiring staff and establishing infrastructure. Delegating time-consuming processes to third-party vendors is always beneficial as it allows you to focus on the core operatives that give your business the maximum profit.
Get tasks completed on time
As we stated earlier, outsourcing BPO services will free your team’s time allowing them to focus on core business processes. It, in turn, will help to complete the tasks on time. This way, both your in-house tasks and outsourced tasks will be done on time.
Reduces the risk
Having experience in a specific field will allow you to better anticipate the risks and mitigate them. Similarly, when specialist tasks are outsourced to people with the appropriate level of expertise, they can more effectively and easily plan for and identify these risks.
Helps in streamlining processes
It is again another huge advantage of outsourcing business process outsourcing. Businesses can easily monitor how work is progressing, what has been accomplished, due dates, and payment schedules by outsourcing. By having a clear picture of what is going on, you can identify ways to increase efficiency and reduce costs.
Incorporate new technologies
In the rapidly evolving world of technology, big data, the cloud, and marketing automation are becoming more popular. Why spend your time and resources training people when you have the option of outsourcing BPO services to a company that already has experience with these technologies?
Easy to achieve targets
The advantage of outsourcing is that it helps you plan and execute more precise projects that would be otherwise impossible to implement. You will, as a result, have the opportunity to test out new ideas without sacrificing your primary business objective.
Different time zones keep your business running 24/7
When you outsource to a company that is located in a different geographical region than you, your business manages to run even when you are sleeping. And which business leader wouldn’t want that? Outsourcing allows your business to run 24/7, which, in turn, helps businesses gain a bigger customer base and profit growth.
How technology is reinventing the BPO industry?
In the past few years, BPOs have emerged as a highly valuable value proposition that is taking center stage. Technologies such as cloud computing, big data analytics, and Robotic process automation are critical in this evolution. Technology-savvy businesses in today's environment have an advantage over their competitors.
The BPO industry in India has enjoyed a superb run over the past decade, witnessing huge growth opportunities and innovation. The future of BPO services in 2022 depends on the ability to adapt to new business models and technological advances.
Let’s have a look at how technology is reinventing the face of the BPO industry:
Robotic Process Automation- Customers today demand companies to be modern, technologically advanced, and efficient. The growing impatience and dislike for waiting times have led to the development of automated systems. Business clients can now have their queries answered within minutes, saving them both time and money, thanks to fast RPA based call answering services. The emergence of Robotic Process Automation in the BPM industry is offering significant cost savings.
The report by Deloitte suggests that RPA can optimize repetitive processes, requiring very little optimization, or is repetitive. This report predicts that, by 2025, RPA will replace 16% of repetitive jobs.
Cloud Storage- Cloud computing allows businesses to store and share data more efficiently and more quickly. Using cloud storage also reduces the cost of data storage and retrieval. Businesses stay competitive by using the cloud to deliver data, thus eliminating the need for unnecessary storage and reducing the cost of data retrieval and storage.
Moreover, cloud computing is both economical and cost-effective from an infrastructure cost perspective, allowing Next Gen BPO service providers to build industry-specific capabilities and solutions that triple the productivity benefits of outsourcing.
Big Data & Analytics- In the future, businesses will use real-time business intelligence to differentiate themselves from their competitors, retain competitive advantage, or rise to the top. Data will continue to be a vital component to calculating statistics and assessing performance. It has indeed a major role to play in improving BPO services.
BPO companies collect a lot of data. So, big data analytics is extremely relevant to them. By analyzing the data, they can provide their clients with strategic insights. They can also engage their clients, which, in turn, will increase customer retention.
What are the benefits of using these technologies in the BPO industry?
There is no denying that technology will play even a more pivotal role in the BPO industry in the coming years. The BPO industry in 2022 will face rapid growth due to the use of intelligent operations in the services.
Here we are listing down some benefits these technologies are offering to the BPO industry:
1. Providing technology-enabled services will benefit both the BPO service provider and customers, who will receive better service and a greater return on their investment.
2. BPO providers can put themselves on top technologically enabled industry lists by integrating data analytics, cloud platforms, and mobility solutions into their business model.
3. Businesses are viewing and addressing business problems much more efficiently thanks to the introduction of new megatrends in technology.
4. With the rise of process automation robots, which carry out menial work, BPO services providers can focus on services that enhance the business.
5. The introduction of technology in the BPO industry has led it to become one of the most secure industries in terms of technology control, data control, employees control, disaster recovery, and management control.
With the adoption of growing technologies, the BPO industry is sure to gain a competitive edge and lead the market.
Moreover, the technology trends have also changed call answering services in the BPO Industry. Read on to know how the use of technology in call answering services is leading to profit growth and better customer satisfaction.
How modern technologies are revolutionizing call answering services?
The introduction of new technologies has changed the ways businesses operate. It includes call answering services as well. Although the aim of these call answering services remains the same: screening the calls, taking orders, handling calls, scheduling appointments, and delivering messages accordingly. However, it benefits businesses in multiple ways by increasing productivity, boosting customer satisfaction, and cost-saving.
The technology of today has created a wide variety of different kinds of call answering services. Some of these are:
Automated answering services- Such a service is used by airlines, banks, and telecommunication companies, among others. The caller can press various numbers to access a variety of options. In some cases, customers interact with live agents, and in others, questions can be answered automatically (such as payments, account information, etc.).
VoIP systems- It allows individuals to transmit voice and multimedia content over the Internet using VoIP phones or software like softphones (can be installed on desktops and mobile phones, like Google Hangouts). A VoIP phone system lets you make calls over the internet, which can help companies with cost savings.
A VoIP service also allows users to set up local numbers, which is valuable for businesses with offices or presence throughout the country or world. The messages can be sent in text or voice formats.
Live answering services- By using a live answering service, companies and individuals can have callers greet them in a customized way. Service representatives also can take messages, forward urgent calls, book appointments, process orders, and handle customer requests. In addition to answering questions 24/7, live answering services offer local phone numbers so clients can reach them.
Live customer agents can also handle administrative work, such as scheduling. Many of these customer agents are bilingual, which allows them to have better communication with the customer.
Read More: Why Businesses Opt for Call Answering Services?
Call answering services in 2022
The telephone answering business is already experiencing changes in technology with the advancement and growing use of artificial intelligence, automation, IoT, big data, and machine learning.
When people call customer service, they are frequently frustrated that they are speaking with a machine. New technologies enable these machines to sound human-like, making it hard for people to sense that they are speaking to a machine. Incorporating all these technologies is leading call answering services to become faster and offer more efficient communications. It, in turn, makes these services result in a better customer experience.
With the internet becoming more efficient, personalized, and affordable, businesses must implement these technologies to keep ahead of their industries and maintain employee and customer satisfaction.
At Go4Customer, we offer the most technology-enabled BPO services to offer custom-tailored solutions to businesses. We ensure that our solutions perfectly meet your business requirements and witness rapid growth and customer satisfaction. To know more about our services, connect to our experts now at sales@Go4customer.com.