Business Process Outsourcing (BPO) is about being responsible for a
process, not just providing the IT application and infrastructure.
Define the process you want handled and then find someone who can
handle that process for you.
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Business Process Outsourcing
Business Case: "How can we outsource our business processes to the new EU members in Central and Eastern Europe"
Overview: BPO gives the
responsibility of running a process to a 3rd party, such as a Shared
Services Center, Call Center, vendor or an external partner compared to
what would otherwise be an internal service. With BPO, you typically
want to achieve cost savings by handling the process to a 3rd party
than can take advantage of economics of scale by doing the same work
for many subsidiaries (shared services) or by shifting the process to a
business partner, i.e. vendor.
Benefits: With the new EU
members in Central and Eastern Europe (CEE), cost savings can be
achieved because labor costs are lower due to different costs of living
compared to Western Europe. The best locations for BPO centers in CEE
are Budapest, Krakow, Warszawa, Poznan, Prague and Wroclaw. This is not
only due to labor costs but also due to infrastructure, available
skills and economical and political stability.
Outcome: Improved services for
IT-intensive business processes outsourced to an external provider who
performs these services based upon defined and measurable performance
metrics.
Case Studies:
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