Redefining the BPO Competitive Landscape through BPM
Companies in the Business Process Outsourcing (BPO) industry have become “boxed in” by external and competitive forces. This is driving the main point of competition towards price which has negative impacts on profit margins. Some BPOs are trying to get out of the box through better software applications, but creating those based on traditional development approaches, or buying independent software companies, aren’t providing the gains sought. Business Process Management (BPM) software represents a paradigm shift and an opportunity for BPO players to compete on value delivered, not price charged.
In business, few things are less rewarding than competing on price. By definition, it means customers view your offering as a commodity that is indistinguishable from others. Price competition steals the margin all competitors need to invest in differentiating their offerings. Without that investment in innovation, companies become stuck in a downward spiral.
BPOs need to innovate. Rather than continuing to “lift and shift” processes to lower wage geographies, BPOs need to reimagine client’s processes so they can be accomplished with more automation, more control, and greater service. What clients thought of as simply a back office necessity can be turned into a way for them to offer better service to their customers. BPOs who can deliver this capability have found a way out of the price competition game. This paper lays out a clear path for them to follow.
Download this whitepaper to learn how BPOs can break out of the box with a complete BPM Suite!