The Whole Ball of Wax
- Topics:
- Contracts and SLAs,
- Project Management
- Tags:
- BPO,
- Business Operations,
- Business Process Outsourcing (BPO),
- It Operations,
- It Services,
- Outsourcing,
- Outsourcing & Subcontracting,
- Outsourcing Company
- Source:
- Penton Media
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Overview: Unlike traditional outsourcers, BPOs can connect processes in new, efficient ways that their clients never dreamed of. But once you turn over an entire business function to a third party, it's hard to turn back if the outsourcer doesn't meet your expectations. While the reasons companies switch to outsourcers almost always focus on saving money, BPOs provide additional benefits, such as faster time to market, greater productivity, access to expert strategic thinking, higher customer satisfaction ratings and an increase in market share. Giving an outsider access to confidential data makes some companies uneasy. That reticence is assuaged, however, when they realize that deals with BPOs haven't led to widespread exposure of company secrets, thanks to provisions in the contracts which help ensure confidentiality. Businesses dictate the terms of a BPO relationship through the contract. Negotiating an effective contract can make the difference between a flexible relationship that the client can control and a relationship that controls the client. Organizations shopping around should consider hiring a consultant to help analyze the details of the contract, and avoid standard, canned agreements.
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Format: HTML | Date: Nov 2001 | Pages: 4
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