Common Misconceptions About BPO Fulfillment

Common misconceptions of BPO fulfillment

Common Misconceptions About BPO Fulfillment

Despite being a $24.6 billion industry, few company leaders fully realize the power of business process outsourcing to propel growth. As you research potential risks and rewards of working with a BPO partner, you’ll want to reconsider these common misconceptions about BPO fulfillment:

It’s a risky venture.

There is a tremendous amount at stake when you decide to outsource business processes, administrative tasks and back-office functions. Companies often question whether their supply chain, customer care programs and brand reputation will be compromised. As a result, many business leaders believe that outsourcing is a risky venture. However, you can mitigate many of these potential risks, including loss of control, innovation and cost, by investing time and effort into the research and bidding process.

We'll get locked into a fixed contractYou’ll get locked into a fixed contract.

Cost predictability is one of the major benefits of outsourcing key business operations. While long-term partnerships are the foundation for successful BPO relationships, a reputable partner will not lock you into a rigid contract. You will work closely with your contact center account manager to pinpoint the services that fit your company’s processes and budget. BPO partners who understand seasonal volume changes and business growth are part of the journey offer flexible contract options when you need to scale up or down. 

 

Customer data can be easily compromised.

Many company leaders hesitate to outsource business operations because they mistakenly believe that customer and company data will not be secure. However, a BPO provider’s reputation rests upon its ability to prevent system breaches. This includes keeping sensitive data protected from the exploitation of predators. Creating a secure IT infrastructure and vetting employees for trustworthiness are key concerns for contact centers. Additionally, tapping a BPO provider’s top-rated security solutions and deep understanding of varying industry regulations will likely strengthen your procedures so that your company can easily pass a compliance audit.

You'll give up control of your businessYou’ll give up control of your business.

Putting a portion of your business operations into the hands of another company requires a great leap of faith. However, as partners you will work closely with your BPO provider to create a shared vision and goals. The best partnerships integrate cultures and align strategically to implement innovative strategies. Training is also critical for your outsourcing provider to oversee daily operations. They should receive the same quality training as internal teams for seamless integration. Most importantly, your account manager will commit to providing you with the data you need. This data will help you improve processes and uncover hidden insights that can open up new streams of revenue.

It’s too hard to communicate your business needs and goals.

Transitioning into any new partnership requires exceptional communication skills and complete transparency. Many communication challenges are completely avoided when companies adopt clear processes for transferring information. It is critical that you delegate responsibility to a key staff member who has the authority to make quick decisions. Setting up a Vendor Management Office (VMO) will provide formal oversight for controlling costs, addressing problems immediately, evaluating services and seizing new opportunities.

You won’t have dedicated agents.

BPO contact centers offer shared and dedicated agent models. While the lower cost of a shared model is a huge incentive for outsourcing, companies with large-scale operations or that collect sensitive data may need an assigned team to manage its customer care center. Whichever setup you select, a well-trained workforce who understands your brand messaging is better prepared to predict which products or solutions are the right fit for your particular customers.

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