What is a BPO company, and how does it work?

Business Process Outsourcing (BPO) is a subset of Business Process Management (BPM). The process itself involves contracting certain operations to a third-party service provider called a BPO company. Typically handling non-core, internal mechanisms, it caters to specific business functionality. BPO services may comprise of Back Office Processes, Sales support, IT solutions, Accounts, Billing, and Customer Care services, along with many others.

The main advantages of outsourcing with a BPO company are increased operational efficiency, reduced internal costs, and increased flexibility, catered by onshore and offshore centers of the company itself.