The Difference Between a BPO Vendor and a BPO Partner
Companies tend to outsource customer care, data processing, technical support, and other activities to gain efficiency and save time. However, while selecting the outsourcing vendor, it is important to realize one aspect that is often neglected – it is not necessarily the same to work with a BPO provider and with a BPO partner.
Both may provide outsourced business process management services, yet the nature of the cooperation, degree of participation, and approach to strategy may differ significantly.
What Is a BPO Vendor?
An outsourcing vendor usually delivers certain services as per the contract agreed upon between the two parties. The business organization will state what is required to be done, and the outsourcing vendor delivers it as per the requirements.
In some cases, the outsourcing business could provide services such as customer calls, email handling, data entry, and even order processing. The vendor will take up responsibility to deliver services as per the contracted time frame and other requirements.
This is ideal when there is a clear process to be done. When a business has its processes and requirements in place and seeks a vendor to do it, then things become easier.
What Is a BPO Partner?
A partner in BPO tends to have a more cooperative attitude. In addition to just getting the job done, he cooperates with the company in achieving the bigger picture within the operations.
He can analyze the process workflow and come up with suggestions as to how it can be optimized. He also advises on technology and process changes in accordance with changing needs of the business.
The partnership is more hands-on. Communication and feedback from both sides is frequent and constructive.
The Difference in Approach
Sometimes, the most notable distinction is involvement.
Vendors usually care about performing the service that was defined in the contract. Partners, however, do not concentrate on the performance but think of the contribution of the outsourced activity towards reaching the company’s goals.
For example, when there are more and more complaints, the vendor will notify about it through the required channels. While the BPO partner will look for the reasons for that increase and analyze customer contacts.
It is important to mention that neither of them is universal and should be used by all businesses. It depends on the process and support.
Why Communication Matters
Effective communication is important for any outsourcing arrangement, but even more so when companies are anticipating constant improvement.
Meetings, reports on performance, feedback sessions, and clear escalation policies can assist the two parties in staying on the same page. This also makes it easier to pinpoint any problems before they escalate into operational problems.
Companies should know who their primary contact person will be, what is the time frame for dealing with any concerns, and how the performance will be assessed.
Look Beyond the Price
The cost is obviously one of the things which should be taken into account when making the choice. Still, the lowest price might sometimes not take into account other aspects influencing the value in the long run.
The experience of the provider, its people, the quality of technology used, the approach to security, reporting, scalability, and employee training are all issues which should be considered.
It would be good to know how well the provider is dealing with the unexpected growth of work. A company might now have enough resources, but later need more.
When Should a Business Choose a Partner?
The collaborative nature of BPO relationships is helpful if a company needs something beyond just the performance of certain tasks. Businesses that are growing fast, experience changes in their clients’ demands, have complex workflows or are working on process development may require a partner that would adapt along with them.
Before making up their mind, the businesses should set their priorities and understand how active participation of the outsourcing firm they want to choose would be required.
A good BPO relationship presupposes a well-defined division of responsibilities, specific goals, open communication and understanding. The companies who need a structure in their outsourcing activities may choose Incinque Business Solutions, a customer service outsourcing company among others.
