Business Process Optimizing (BPO) brings attention to the highest-value processes — the ones that are most aligned with the business goals and strategy — for the best return on investment.
In order to become and remain successful and competitive, businesses must continuously improve their processes. Failure to do so is likely to result in higher costs, lower revenues, less motivated employees and fewer satisfied customers.
BPO is a powerful tool to use to keep all aspects of operations running optimally.
What does BPO do?
Within every organization there are common business processes designed to meet objectives. However, for any number of reasons some of these processes may be slow, inefficient, unreliable, duplicative and redundant. A BPO process puts all of these processes under fresh scrutiny, using models, metrics and analysis to make evaluations and identify needed improvements that will produce better performance. When implementing new processes businesses can use BPO to make sure those processes integrate smoothly and perform properly.
BPO brings attention to the highest-value processes — the ones that are most aligned with the business goals and strategy — for the best return on investment.
The main benefits of BPO for organizations?
Simply stated, a BPO program enables organizations to process more with higher quality, less waste and less effort. This is particularly advantageous for startups and other companies faced with tight budgets that need to reach profitability quickly.
The specific benefits of BPO for companies fall into three main categories:
- Efficiency – One of the first benefits organizations often see upon implementing a BPO program is increased efficiency. After all, many processes are often fraught with waste due to a number of factors such as manual effort, poor interdepartmental handoff and a general inability to effectively monitor overall progress. Shedding a fresh light on processes helps companies recognize and eliminate inefficiencies to the benefit of the bottom-line.
- Effectiveness – Once a process becomes more efficient, BPO can then be used to make that process more effective. Among the many benefits of greater process effectiveness are the ability to handle exceptions faster and better, the ability to make better, more informed decisions, and the ability to execute consistently, which is critical for providing a better customer experience. When all processes are running effectively and are aligned with corporate strategies and objectives, companies become more profitable and more competitive.
- Agility – In today’s ultra-competitive business world the need for a company to be agile is more critical than ever before. In fact, companies whose processes are inflexible to change are going to get left behind. The need to change can come from almost anywhere, both inside and outside of an organization. New opportunities may necessitate change in order to capitalize on them. New business partners or customers may require change in order to accommodate a different way of doing business. And don’t forget governmental and International regulations that may require a company to change its processes.