What is a BPO Call Center and What Does It Do?

Roshni Khatri

19th May'22
What is a BPO Call Center and What Does It Do? | OpenGrowth

Every organization does not have employees, resources and other necessary abilities to meet the customer’s requirements. Customers anticipate the response in 15 minutes or less, so meeting the expectations may not always be attainable for a small or bootstrap business. To overcome this issue the concept of BPO comes in. 

BPO is a company or call center that outgrows your current in house solutions, to handle some or all your inbound or outbound calls. So outsourcing can streamline your internal operations to make the business more efficient. This can help you in improving customer services and free up resources. With this you should also know about CRM system as it can help in building the network and relationship with the clients or customers. BPO is a large undertaking and usually provides outsourcing solutions.  

 

What is BPO?

The act of outsourcing some portion of your business operations from a third party is known as outsourcing or Business Process Outsourcing (BPO). In other words, a BPO is a group of employees who handle inbound and outbound customer calls on behalf of other corporations. If your company does not have the bandwidth to handle customer calls whether it is inbound or outbound then outsourcing is a good option. 

So BPO is a call center business that manages and executes customer contact or service functions. This business concept applies to the manufacturing companies that outsource large segments of the supply chains. 

In such a dynamic and highly competitive business world, there are several businesses which opt for outsourcing processes. Usually, the BPO practices are adopted in the front office and back-office operations. The back office works to support the business operations such as accounting, payment processing, IT services, human resources and regulatory compliances. In contrast, the front office includes customer-related services such as tech support, marketing and sales. 

 

What is BPO?

 

Highlights and Challenges of BPO

Outsourcing is about making a contract with a third party related to your business process. It was estimated that in 2013, the global BPO industry was estimated to be about 83 billion dollars and since then it is on the rise. In short, this industry is the fastest-growing sector. Due to massive growth, there is a high level of competition in this field. However, it has some pros and cons as mentioed below:

 Highlights

Cost-Effective

Outsourcing the business processes and activities can be cost-effective for a client company. As they save on investing in fixed assets and fixed costs and can redirect these funds for their core activities. This is also cost-effective for developing countries, as it saves money.

Development

BPO plays a significant role in developing the IT and BPO industry, as the government encourages the people to open offices, where these services will be offered. So by this project, a boost can be offered to new entrepreneurs who have the desire to start their own business.

Skilled Human Capital

When we outsource one of the business activities to a BPO, then we are sure that the services will be provided by skilled manpower. For instance, if you outsource your supply chain management, then it is assured that your supply chain will be handled by skilled supply chain managers, who are proficient in their field. The same concepts go with the IT and Accounting sectors also.

Speed

It is one of the most prominent features or advantages of the BPO sectors that they increase the speed of the business processes outsourced to them. They have enough time to respond to the clients and this enables the clients to focus on core activities. Thus the services of BPO speeds up the whole process and is important in customer service cases. 

Thus the BPO plays a vital role in expanding and meeting the needs and requirements of the clients. You can grow your business globally through channel partners, by outsourcing the business operations. 

 

Challenges

The immense growth of the industry and the higher-level competition in this domain have set some challenges for the BPO industry. The industry has to deal with highly demanded customers, tight budgets, crazy work hours, schedules and customer satisfaction. Here some challenges are described as follows:

Increasing the Customer Expectations

It is difficult to meet the expectations of the clients and customers. For the BPO sectors, it is also complex to deal with and satisfy every need of the customers. The digital scenario and tools have increased the expectations of the customers and it results as a big challenge for the BPO industry.

Communication Channels

The number of communication channels has increased over the past decade. People are moving to social media channels to send messages, emails and unusual calls. This proves quite challanging for BPO companies to decide which channel to concentrate on, while interacting with clients.

Different Time Zones

The different time zone is another prime issue for the Business Process Outsourcing companies. The clients and vendors can operate in two different time zones that are far apart. This difference in time can create many problems like online meetings, communications and many more. Usually, the vendor shifts the office hours to meet the needs of the Client Company. 

 

Highlights and Challenges of BPO

 

How Does a Call Center Work?

Online merchants, telemarketing companies, help desks, polling services and mail order organizations use the Business Process Outsourcing to sell the products or offer the services. There are three common types of BPO and these are described:

Inbound Call Center

These call centers handle a considerable volume of calls. Incoming calls to these call centers are delivered through toll-free numbers and may pass through an integrated Voice Response (IVR) system. When any call comes to the inbound call center then it is based on the line and information provided by IVR and placed into a system designed to deliver the calls as agents become available. Agents have to log in to a special telephone set to indicate that they are ready to work and ACD automatically delivers the calls to agents who have been waiting for the longest.  

Outbound call Centers

In the outbound call centers, the representatives may be making calls to sell the products and services, take surveys, collect bills or or perform other customer interaction duties.These originated from the computer that dials the number and hands the call to the agent. These calls travel over commercial telephone lines through long-distance carriers. 

Virtual Call Centers

It provides a richer set of features at a reduced cost. Many companies have opted for virtual call center services. It is a combination of inbound and outbound call centers with advanced features. This call center can be operated from anywhere and the set is quick and easy. The user just needs a computer or phone with the internet to access the services. The advantage of virtual call centers is the possibility to integrate them with existing tools like CRM and sales support systems. 

Thus the customers are the prime element for any business, therefore to meet up their requirements is the key of a successful business. By following the CRM software you can retain the customers and also can build a strong and diverse network of your business. 

 

Conclusion

It is a fact that not every business has the resources to keep waiting times short, resolve tickets quickly or provide the IT expertise that is expected by the customer. In this case, the most efficient solution is to outsource it to experts. With this, the BPO call centers help you in getting assurance that your customers receive high-quality support without taking time and resources away from other core functions. 


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A keen observer, who loves to spend time with nature. A fun loving person, enjoys to explore the new aspects of life. Passionate about reading and learning new things. Roshni is dedicated towards her work and has worked in different professions.

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