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The full business value available from business process outsourcing (BPO) today is realized on a relatively limited scale due to deficient management behaviors and practices, showed a new report from Accenture, conducted in conjunction with Everest Group and the Outsourcing Unit at the London School of Economics.
Data shows only 20 percent of engagements are delivering sufficient business value to be classified as high performance BPO…
Working with a BPO is becoming almost second nature to many in the business world with things moving and changing very quickly. Where is your mindset in relation to your BPO? Do you measure success only on the basis of cost reduction?
This is an interesting article that shows that BPO engagements need to be measured on business outcomes and improving your business performance rather than just cost reduction.
Look at the steps you take to engage with your provider? Are you taking the initiative to drive high performance? Do you provide incentives and feedback when performance is not meeting the outcome you would like to achieve? Working on this element will strengthen the relationship and ultimately drive cost reduction further.