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Types And Importance Of Business Process Outsourcing Services

By Author: Graham Burns
Total Articles: 16

Today, almost everyone is trying to get their hands in BPO. Sadly, most of them are unaware of the categorizations and there’s more to it than just procuring an outsourced order. Unless you know the kind of order you can handle well, your endeavour might bite the dust in absolutely no time.

Why BPO?

Business process outsourcing services bring immense benefits to small and medium businesses as large corporate entities look for effective solutions to manage their non-core business functions.

BPO aids to manage more efficiently everyday business records at a reduced price for large business establishments. This saves data backlogs and helps avoid adverse effects towards their decision making processes. Outsourcing the extra jobs to reliable BPO companies are thus a beneficial option to them; it is how the non-core business data processing procedures and back office tasks get done professionally, resulting in maintaining business records that are always accurate and updated.

BPO: The Types

Let’s split the entirety of BPO services under two broad categories:

• Horizontal BPO: This is about outsourcing centering upon functions. Here, a vendor will specialize upon particular functions that he will carry out across different industry domains. Procurement, HR, payroll processing and facilities management – all come under this type. The subtype that comprises all these is Automatic Data Processing or ADP. Even benefit administration and tax solutions come under this.

• Vertical BPO: As the above mentioned markets mature, the focus should turn on providing vertical services, which will prove multiple functional services within a limited number of industry domains. This includes healthcare and financial services; manufacturing, retail, business services, utilities and energy.

Business Processing: The most common services offered

• Transcription services: This caters to the requirements of medical, legal and business firms. Trained professionals transcribe the dictations provided and it requires exceptional efficiency to provide error-free transcripts within strict deadlines.

• Website design/SEO: There are professional BPO companies that offer systematic website design and SEO services for bigger companies dealing in healthcare, medical and legal sectors. The services must cover every phases of web designing and search engine optimization procedures. This is extremely beneficial for the outsourcing companies when they want to build and maintain easily navigable, search engine friendly websites to attract more clients.

• Medical billing and coding: Medical bills and claims with coding errors can lead to denial of claims, thus affecting cash flow of medical facilities adversely. A reliable and efficient outsourcing firm can help submit accurate medical billing and claims data while maintaining deadlines, providing customers maximum reimbursement benefits and thus increasing the medical firms’ reputation. From claim processing to submission and following-up, these BPO firms manage all the tasks right and with remarkable efficiency.

• Data entry services: Managing huge volumes of data on a regular basis is essential for any large firm, which brought the data entry services into existence. Completing documentation procedures correctly on time is something they specialize in; it helps the larger firms to maintain and streamline their data with zero trouble. It helps them to focus on core competencies and improve overall business efficiency. The data usually relates to claims and forms processing, book and image conversions, surveys and document conversion.


Business Process Outsourcing services, besides taking the load off the heads of larger companies, provide better data security, which is essential for striving and maintaining their core service quality and accuracy, so data processing and transcription tasks through experienced professionals is the only way to go!

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