Are BPOs different from Captive Shared Service Centers?

The new business pipeline of many captives is dictated by Head Office. Not a few captives, though, are mandated to solicit business from (internal) customers and cultivate customer relationships, notwithstanding that their service fees are based on a fixed amount or rate about actual costs incurred. In the latter situation, BPOs and Captives should then be subject to the same business dynamics. If this is true, the skill sets required for one should be exactly the same as the other. I haven’t worked for a 3rd party BPO so that I can’t really tell for sure. Do you have strong views about this?

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2 thoughts on “Are BPOs different from Captive Shared Service Centers?

  1. Hi sir b, these are great topics. Two things I’ve noticed as i have both been with captives and third party bpo’s are: 1. Degree of commitment and service 2. Leverage of industry practice.

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    • I figure that you are saying that, over the long run, captives are better avenues for securing commitment and service and ensuring best practice. What do you see the advantage of third party BPOs to be, apart from cost?

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