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What Is Commercial BPO?

Article Details
  • Written By: C.B. Fox
  • Edited By: Susan Barwick
  • Last Modified Date: 09 November 2016
  • Copyright Protected:
    2003-2016
    Conjecture Corporation
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Commercial Business Process Outsourcing, or commercial BPO, is the outsourcing of services related to the running a business. Though many BPO companies are located in a different country than the client, there are also outsourcing arrangements done in the same country. Many different business processes can be outsourced, including bookkeeping, financial record keeping, and the overseeing of business procedures. The arrangement is said to be commercial if the client is a business operating for profit.

There are a variety of services that a commercial BPO company can provide. Some of the more common business processes that are outsourced are those that deal with customer relations. Call centers that answer questions for new or existing customers, provide customers with account information, and provide help and support are commonly used by commercial BPO companies. In many cases, the cost of outsourcing these types of operations saves a significant amount of money while allowing the business to focus on other things.

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Though many of the services provided by commercial BPO companies could be provided by employees with minimal training, there are also specialty companies that provide services that require more advanced skills and knowledge. Advertising, legal and accounting services are often outsourced, providing services that require an in-depth knowledge of the culture, laws and financial institutions in the home country or region of the client. These services are commonly outsourced to a company in another country, a company within the same country, or to an independent contractor.

Managing and overseeing the running of a business can also be done through the use of a commercial BPO. Most often, these services are provided through an analysis of the financial records of the business rather than through hands-on management at the site of the business itself. By providing an analysis of how a business operates, a commercial BPO company can offer advice into how the business can run more efficiently.

A single business can work with a variety of different commercial BPO companies. Large BPO companies can offer a variety of services while smaller ones may specialize. Outsourcing certain components of a business can help a business run more efficiently and focus on its own area of expertise.

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