Business Process Outsourcing – BPO
Business process outsourcing, or BPO, is a business practice in which one organization hires another company to perform a task (i.e., process) that the hiring organization requires for its own business to operate successfully. BPO has its roots in the manufacturing industry, with manufacturers hiring other companies to handle specific processes, such as parts of their supply chains, that were unrelated to the core competencies required to make their end products. However, organizations in other industries adopted the practice through the years. Now, the use of BPO has expanded so much that organizations of all kinds — for-profit businesses, nonprofits, and even government offices and agencies — contract with BPO service providers in the United States, throughout North America and across the world to perform numerous processes.