BPO and KPO may belong under the same umbrella, but they must be and encountered in the offshoring and outsourcing industry in the. Activities performed by BPO and KPO are as different as chalk and cheese. Read primary differences between BPO and KPO. With the help of following points, we can understand the difference between BPO and KPO. BPO and KPO are the important buzzwords in the.

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Difference Between BPO and KPO

Key diffefence Inclusive Growth in PH? This process of customer handling is also a process for the organisation which needs to be handled very effectively and hence BPO centre are set up.

The trend started in the late eighties when businesses sent parts betweeen their processes to be completed in foreign countries. Differencr entry, call centers are some examples of BPO operations.

Business Process Outsourcing BPO and Knowledge Process Outsourcing KPO are two business terms also considered popular buzzwords in the past frequently used and encountered in the offshoring and outsourcing industry in the Philippines.

It is an extended version of BPO. For a layman, both seem to be the same, but in reality there is a profound difference. Almost all the transnational companies, today, outsource their non-core activities, just to pay attention to their primary business.

The services like capital and insurance market services, legal services, biotechnology, etc. Subscribe to our mailing list. Based on a work at www. While front office services are related to client interaction and customer support, back office services are related to finance and HR. And the motive behind such outsourcing is directly linked to cost reduction.

Outsourcing of routine or peripheral business functions is in vogue. BPO – anybody who have passed 10th or 12th with average communication skills with computer ipo can work for any process whether it could be of Data entry related for Telecomm process, Bank process, Insurance process, Mortgage process, and Mediclaim process etc. Business Process Outsourcingknowledge process Outsourcing Philippines.


KPO involves outsourcing of core functions which may or may not give cost benefit to the parent company but surely helps in value addition. These professional personility can work for their own field task and no different process or different job responsible like BPO.

Nowadays, it has become a fashion or trend for youngsters in some countries to work in BPOs just for time pass. The organization may be a different entity or the subsidiary of the main organization that can be located in the same country or overseas to minimize cost.

What is the difference between BPO and KPO

Top Contributors Today Sankalan Bhatt Some functions include animation, designresearch and development, digital marketing ahd, and legal services. BPO focuses on low-level process, whereas focus is on the high-level betwween.

BPO provides services like customer care, technical support through voice processes, tele-marketing, sales, etc. Please post your comments and questions as a separate thread. Your email address will not be published. This process of handling customers by customer care executives is best example of BPO. Some of the key differences are listed in the table below: It is helpful for those who are under-graduate or graduate and are not able to be employed in any company. BPO depends on upon cost arbitrage.

Because functions outsourced by KPOs require specialized skills, experience, and knowledge, recruiting talent for this form of outsourcing could be challenging.

BPO is more focused on finding cost-efficient business solutions, that’s why most of the tasks being outsourced are those that are not directly linked to a company’s value chain.

Math Question Source Space Requirements Be specific in skills required, number of employees, and timeline. BPO, short for Business Processing Outsourcing, is the business that focuses on tasks, ranging from manufacturing products to providing customer care.


vpo KPO, short for Knowledge Processing Outsourcing, is the latest outsourcing process, which involves the application of training and expertise to research, data analysis, and other information-based activities. Let us first define both the terms.

The Key Differences Between BPO and KPO

BPO refers to the outsourcing of peripheral activities of the organization to an external organization to minimize cost and increase efficiency. BPO is the general term for the outsourcing of business functions to a provider outside the company called offshore outsourcing when done overseas to cut costs.

Why KPOs are emerging at a rapid pace now? At present, there is hardly any multinational company which is left untouched from outsourcing its business operations. Leave a Reply Cancel reply Your email address will not be published. So if you compare the functionalities and expertise involved, KPOs are far better than BPOs, but both of them help businesses to streamline their operations and making them cost effective.

It is a process where a number of people are working for a specific business. Both forms of outsourcing work in a B2B environment where the service provider and buyer of services both are business organizations. More or less they are both process outsourcing.

KPO is another kind of outsourcing whereby, functions related to knowledge and information are outsourced to third party service providers. Knowledge Process Outsourcing or KPO refers to the assignment or transfer of knowledge plus information related process to another organization.