Over the last 15-years, the number of companies that have entered the service providers sector has increased greatly. Companies can see the opportunities available in the business process outsourcing (BPO) industry that is worth S$548.5 Billion.
All businesses want to reduce their costs, so using a BPO provider makes sense. With the lack of quality assurance measures, you must pick the right provider based on price and quality of service.
In such a dog-eat-dog industry, the quality and prices have dropped to alarming levels, with those who provide BPO services just wanting your business.
When using business process outsourcing services, your company mustn’t fall victim to the many online scammers that exist within the industry.
Here are 5-key things to be aware of when hiring any BPO service providers.
There will be a number of important factors as to why small businesses choose to use BPO companies. A chance to save money is often the main driving factor when hiring a BPO company that can give your organization a competitive advantage.
Many organizations also see it as an opportunity to enhance the level of productivity that their business achieves. Using an outsourcing provider allows you to concentrate efforts on your core business.
It is up to you, the business owner, to make sure that the outsourcing partner you hire meets all your outsourcing business processes. This may mean dealing with grand view research or any new technology that your company may introduce.
Hiring a BPO service provider allows your in-house team to get on the core functions of your business needs while the outsourcing partner handles non-essential tasks. Risk assessment should be done when asking the service provider which tasks to do.
It’s essential that you select the right BPO company for your offshore outsourcing business functions needs. The service quality of the third-party service provider is paramount; otherwise, you will end up spending more money and not achieve lower costs.
BPO vendors can come from the same country, neighboring countries, or any other foreign country with a westernized culture as long as they can work with the latest technologies that modern businesses work with.
Outsourcing to third-party providers in the information technology sector will also help to improve your front office functions.
Risk management is vital when hiring the right service provider within the BPO market space.
All businesses who are looking to hire an outsourcing service for any kind of office work must require the right vendor from their shortlist of three providers to issue them with a Request for Proposal (RFP).
The outsourcing company must issue you with a Request for Information form. Questions will be asked about the projects that are outsourced. The answers given within the form will help you when making a formal Request for Proposal.
When all the RFP details have been dealt with by your human resources team, make sure you are not hasty when it comes to picking the right partner. It is good to want a global presence and even global expansion for your business but remember you can negotiate the contract on offer.
The negotiations may be on price and payment processing; as long as the two companies are willing to compromise and you have a good business case, then things should work well.
Remember, it is not all about saving the dollar; customer experience is very important within the whole process of finding the right outsourcing partner.
When qualifying vendors, business leaders advise you to conduct a video interview via Skype with your onshore outsourcing team and theirs. This will allow both parties to be clear on the services that are needed.
It also allows you the chance to see how well their Internet works, and they can see how your center operations and back-office functions work.
Make sure that you compile a list of questions you need to ask. Your team should be up to speed and have a good knowledge of the topics within the answers that will be discussed.
The topics up for discussion will be as follows:
The last thing to do is agree on a contract with your chosen BPO service provider. Make sure you have an order of preference list in place in case contract negotiations fail with your preferred choice.
Submit the contracts to the BPO provider as listed below:
When hiring services, the company providing the services may want you to sign their own terms within a contract they provide. This is not advised; it is seen as a good business practice to have one contract that you all adhere to, and this should be in the client’s contract.
When in negotiations, you must be clear with your level of service agreement. The agreement must state any penalties if standards are not met.
The contract can also include an Exit Strategy whereby termination of the contract can be carried out if the standards provided drop below the setout requirement stated within the contract.
Remember that your company is paying good money for the services provided by the BPO. Therefore, it is important to select carefully based on what suits your organization’s needs within the manufacturing industry, digital marketing sector, or any other area you may excel in.
It would be easy to just base your selection on who provides the cheapest package. This would be a mistake; it will probably end up costing your organization money in the long run. Try to select and hire with all-around performance in mind.
Value for money should be one of your main concerns for your business. Do not spend precious time and effort on time-heavy tasks when you do not need to.
Those providing outsourced work for your company’s business processes should enhance your business, not hinder it.
Our talented team of VAs is willing and able to provide the service you need to help your company grow. With this in mind, please contact us so that we can help set you on the right track to hiring the perfect BPO provider.
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If you can’t manage time efficiently, your productivity will suffer and ultimately affect your agency’s profitability.
There is an option that will enable you to exponentially increase your productivity.
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High Literacy Rate – At 98%, the Philippines has one of the highest literacy rates in the world. This is quite an achievement considering the Philippines is essentially a developing economy.
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