KPO means Knowledge Process Outsourcing. It defines the outsourcing of core business operations related to information that is competitively relevant or that forms an essential part of the value chain of a corporation. Knowledge Process Outsourcing requires advanced technological & analytical skills and a high standard of professional experience.
The reason behind Knowledge Process Outsourcing includes an increase in technical knowledge and skills, added value production, cost-saving opportunities, and a lack of skilled labor. The territories that are especially prevalent in outsourcing the information process involve India, Eastern Europe & Sri Lanka notably Romania, Poland, and the Baltic States. KPO is a continuation of the outsourcing of business processes, but with much greater complexity of the industry.
Types of Knowledge Process Outsourcing
Its facilities cover all ways of analysis and collecting information, For Example:
- IPR (intellectual property research) for patent applications
- Equity research, business & market analysis
- Legal &medical services
- Training, consulting, and R&D in areas such as biotechnology & pharmaceuticals and design & animation, etc.
Advantages of KPO
- Reduced cost
- Shortage of eligible workers
- Offers most graduates at quite minimal prices
- KPO helps to minimize unemployment and support their economy, and high-end services are delivered at a low cost
- Offer flexibility to time management skills and HRM.
Limitations of KPO
- Security- Classified information about the company can be lost.
- The employee‘s integrity and the quality of his work can not be guaranteed.
- KPO is time-consuming, so fails to offer the client requiring instant results with a rapid fix.
- Lack of coordination among partners may lead to complications due to language, legal, l& cultural barriers.
- Personnel and work quality can’t be ensured.
- Skilled Employee shortfall.
- Reduction in Communication due to Language barrier.
- Inability to protect the company’s intellectual property.
KPO Companies List in India
- Sutherland Global Services
- Boston Analytics
- SG Analytic