Business process outsourcing also known as BPO refers to contracting of a specific function or business task to a third party service provider. Typically, specific functions are outsourced by companies as a cost-saving measure. BPO can be classified into two major categories namely back office outsourcing and front office outsourcing.

Back office outsourcing includes internal business processes such as payroll, Human Resources, billing or purchase while front office outsourcing comprises of customer-facing functions such as technical support or marketing. Largely, BPO functions are contracted not only outside a company to a third party, but are also contracted outside one’s country to reduce costs, which are also referred to as offshoring. The BPO industry has emerged as one of the biggest industries offering a plethora of opportunities worldwide. The advantage outsourcing has to offer easily outshines the drawbacks.