There was a huge up tick in business process outsourcing (BPO) in 2000, says Julie Giera, vice president at Giga, a Cambridge, Massachusetts-based research and advisory firm specializing in the technology industry. She attributes BPO’s double digit growth to the popularity of Web-enabled offerings. BPO soared because companies are seeing the benefits of using an application service provider (ASP). Giera defines the ASP model as application rental over the Web.
The Every Woman’s Company needed 30 top salespeople nationwide for the roll out of its financial seminars for women. The company signed Erin Brockovich (the real person, not Julia Roberts) as its spokesperson. But the company found out quickly putting together a sales force was as easy as, well, as battling a big California polluter.
ASPs have proven they are an efficient and cost effective way to share expensive applications. The most successful ASPs have made customer service a bedrock of their business. So it’s natural when a good client asks an ASP to help take on a related business process, the supplier wants to agree.
What a great question! Business Process Outsourcing (BPO) has generated a number of definitions. Before I tell you my definition, I want to describe the history of outsourcing to show how the term business process outsourcing came about.
In the game of chess the gambit, or opening maneuver, is one in which a player seeks to gain an advantage quickly. It is the same in business today for, in order to compete effectively in a global environment, almost all companies need to do things faster. Outsourcing is an excellent game plan, or long-term strategy, to use in achieving those initiatives…
PricewaterhouseCoopers (PwC) and BP Amoco (BPA) have embarked on a significant outsourcing collaboration that has the potential of being a watershed event.
Two current trends driving the growth of business process outsourcing (BPO) are the trend toward outsourcing of packaged software applications and the trend for end-to-end hosting management of those applications. Within BPO’s segment of the outsourcing industry are such critical, non-core functional transactional processes as payroll, payroll tax services, and benefits administration.
As the outsourcing industry heads into the final year of the century, growth will be driven by a blending of the traditional and newer segments of the industry, according to Donna Crane, vice president, marketing, Systems and Computer Technology Corp. (SCT).
Business Process Outsourcing (BPO) is paving the way for leading companies to compete globally and increase profitability into the new millennium.