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Glossary

What is Knowledge Process Outsourcing (KPO)?

Knowledge process outsourcing (KPO) is the process of outsourcing information-related, core corporate activities. It is employed in operations and is a requirement for creating excellent services and products. High-level work requiring technical knowledge, abilities, and expertise is handled by third-party contractors. In order to obtain, evaluate, and use data efficiently, contractors working on such information-related business activities must specialize and have knowledge in certain areas.

Various types of Knowledge Process Outsourcing

Consider the following four types of knowledge process outsourcing that are mentioned below. So, let’s have a look at them.

1. Insights and Data Analytics:

Data analytics refers to the modeling, cleaning, examining, and altering of the organization’s data to exclude the essential information. By proposing relevant and helpful discoveries, it aids firms in making informed strategic decisions. Analyzing data from suppliers, customers, financials, and employees can reveal crucial trends that can be utilized to make informed company decisions.

2. Market Research:

Pre-surveys in market research allow companies to test the waters. It informs them whether a product or service will be well received by customers. Market research services give vital information on economic trends, competitors, demographics, client purchasing patterns, and current market trends to businesses.

3. Performance Management and Global Reporting:

By providing performance assessment and efficient reporting, they help to boost productivity and operational excellence across industries. Performance management ensures that a set of activities or outputs is effective and efficient in achieving an organization's objectives. It might focus on an individual's, a department's, or the entire company's performance.

4. Management of Data:

The practice of obtaining, storing, and using data in an efficient, cost-effective, and secure manner is known as data management. In an enterprise, digital data management encompasses a wide range of practices, procedures, activities, and rules. To satisfy stakeholders, business analytics and reporting must be strong. Data management does this by providing efficient data integration, storage, retrieval, and sharing options.

What are the Key Gains of KPO?

Well, here we summarized a list of a few major gains of knowledge process outsourcing. They are mentioned below. Have a look at them!


  • One of the biggest advantages of KPO is cost-effectiveness. There is no need to set up an external infrastructure for special tasks.


  • Better utilization of resources. Don't need to pay recruitment costs.


  • Accessing and sourcing talent. Organizations can get the best work within the budget as they can adapt to changes.

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