Business modules incorporate a standard operating procedure for handling customer queries. Two types of calling methods include BPO and call center.
They can be used by small as well as vast ventures based on the motive of communication. In case the telephonic work is not computerized, they become even more important. Both can be used for a variety of online or offline functions.
Key Takeaways
- BPOs offer various services, including customer service, technical support, and data processing, while call centers primarily handle incoming and outgoing calls.
- BPOs provide more specialized services than call centers, which may focus solely on customer support.
- BPOs may operate in multiple locations, while call centers are centralized in a single location.
BPO vs Call Center
The difference between BPO and call centres is that the former deals with overseas tasks while the latter is mainly associated with local issues, depending on the diversity of clients. Both are safe means of establishing business communication when day-to-day paperwork is not possible. It is essential to choose the one which gives maximum returns with minimum investment.
BPO stands for business process outsourcing. The acronym has been used for ease of communication for a long time now. The main criteria of work in BPOs are regulations, the handling of incoming and outgoing sources for the successful conduct of operations, etc.
A lot of foreigners are also associated with such services. All companies do not compulsorily need business process outsourcing. Call centres are mostly designated to maintain appropriate official relations between the customers and the company.
The people working at call centres serve as the human link between the producer and the consumer. They are paid based on the number of calls handled and issues resolved in a day. A lot of youngsters enrol in such work as they can make easy and quick money with less effort.
Comparison Table
| Parameters of Comparison | BPO | Call Center |
|---|---|---|
| Actual Meaning | It helps in establishing official communication channels between third-party vendors and actual businessmen. | A place where people are delegated to handle telephonic calls from and to the customers associated with the venture. |
| Operations Conducted | Human resources, accounting, etc. | Making and receiving calls, while maintaining comprehensive data regarding the same. |
| Relevance in Marketing | Helps in seamlessly conducting back-office operations. | Customer support and timely grievance redressal are catered to. |
| Significant Functions | Boost sales and marketing, among other trifle areas like tech support, etc. | Building long-term relations with clients and enhancing the reliability of the concerned venture. |
| Most Common Types | Horizontal BPO and vertical BPO | Inbound call centers and outbound call centers. |
What is BPO?
BPO referred to as business process outsourcing, is a subdivision of communication industries. The most common usage is found in overseas companies as they cannot rely only on the limited staff they are working with.
In this context, outsourcing refers to the further distribution of work among people working in similar fields of interest. The advantages of business process outsourcing include the provision of a strong support system for IT functions and the maintenance of high-quality regulations for all the people associated with the particular firm.
The risks stoop low due to the reliability of the comprehensive mechanism employed. Confidentiality is high in such ventures since people work mostly in groups.
The disadvantages of business process outsourcing include a surge in hidden costs for budding ventures. These go unnoticed early on but subsequently affect the budget deeply.
In case the contract is not updated, numerous legalities might arise after the non-renewal policy is exhausted. It is best to let professionals handle outsourcing for the betterment of the whole community.
What is Call Center?
Call centres are common areas where humans or artificial intelligence-driven machines handle queries from customers. They may either call to understand the issues (outbound) or receive calls made on the respective customer care number (inbound).
It is considered that the efficiency of this area is crucial to the degree of consumer satisfaction. The advantages of call centres include the enhancement of public relations and boosting sales to a considerable extent.
The potential customers are further assured good response. All this directly influences the position of the company in the respective market, and the consumer base is strengthened quite strongly.
The disadvantages of call centres include a lower degree of control over the operations and a lack of confidentiality. The workers might not be able to meet the expectations due to personality differences.
On the other hand, the venture might even lose some vital clients if the call centre personnel default in one way or the other. Work-life balance also suffers as a result.
Main Differences Between BPO And Call Center
- BPO is a form of subcontract between companies functioning overseas that helps in outsourcing work in a reliable fashion. Call centres are online or offline duties assigned to people for handling a variety of customer care issues.
- Certain operations which form a part of BPO ventures include human resources, accounting, quality assurance, IT regulations, etc. Mostly all the call centres rely on telephonic operations – receiving calls from dissatisfied customers and making calls to all types of customers.
- The marketing sector relies on the mode of BPOs for handling overseas operations. On the contrary, call centres are mostly localized sectors based on the need of the hour.
- Some of the most common functions of BPO are boosting sales and handling tech issues. Call centres are mainly associated with the strengthening of ties between two alternate sources.
- The main types of BPOs include horizontal BPOs and vertical BPOs. On the other hand, call centres are classified based on the mode of calls – inbound and outbound.
- https://www.taylorfrancis.com/books/mono/10.1201/9781482280623/call-center-handbook-keith-dawson
- https://www.emerald.com/insight/content/doi/10.1108/08858620110400205/full/html
Last Updated : 06 August, 2023
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Chara Yadav holds MBA in Finance. Her goal is to simplify finance-related topics. She has worked in finance for about 25 years. She has held multiple finance and banking classes for business schools and communities. Read more at her bio page.
The comparison table is very helpful in understanding the specific parameters and functions of BPOs and call centers.
The article provides a comprehensive explanation of the differences between BPO and call centers, including their functions, operations, and relevance in marketing.
The detailed explanation of the risks and benefits of both BPOs and call centers provides valuable insights for businesses considering these options for their operations.
The article’s explanation of the relevance of BPO and call centers in establishing communication channels and handling customer queries is very informative.
The distinction between BPO and call centers in terms of confidentiality and control over operations is an important aspect to consider for businesses.
The article effectively highlights the significance of BPOs for overseas companies and the importance of call centers in enhancing public relations and sales.
It’s interesting to know that BPOs are more focused on operations like human resources and accounting, while call centers are mainly devoted to customer support and grievance redressal.
The advantages of call centers in strengthening consumer satisfaction and public relations are particularly noteworthy in the article.
The advantages and disadvantages of both BPOs and call centers are well-explained, providing a balanced view of their impact on businesses.
The comparison between horizontal and vertical BPOs, as well as inbound and outbound call centers, offers a clear understanding of the types of services provided by each.