Those who know about BPO (Business Process Outsourcing) would easily understand what is KPO because both are forms of outsourcing. KPO stands for 'Knowledge Process Outsourcing,' and is considered an offshoot of BPO. While KPO may have been derived from BPO, it is different from the latter. As the name suggests, BPO focuses on business processes. On the other hand, KPO deals with subcontracting related to knowledge and information.

What sets KPO apart is domain expertise or specialization. KPO jobs involve processes which are analytical or intellectual in nature. Basically, KPO works by gathering data and transforming them into information that will help in a decision-making process. Employees in the KPO industry not only search for information but also analyze and interpret the data or knowledge provided or searched. This is why people who work in the industry must have analytical and technical skills. KPO companies usually look for and hire qualified professionals, including (but not limited to) accountants, engineers, statisticians and those working in the medical field (like doctors).

So what are the functions or services offered by KPOs? These are research and development, intellectual property, data mining and analytics, market and business analysis, biotechnology and pharmaceuticals, legal services, medical services, writing and content management, intellectual property research, network management, equity and investment, design and animation, as well as training and consultancy. Vendors that provide these functions or services are often found overseas. For instance, the United States relies on the services of skilled personnel in India and the Philippines.

Now you know about KPO and how it differs from BPO. You are encouraged to learn more about what is KPO and what it is about if you would like work in the industry in the future.

Outsourcing jobs is something more and more companies are doing. In the past, only large organizations outsourced; now, even small companies and startups are doing it. If you have your own company, you are probably wondering if you should do the same thing. Before you make a decision, consider what your organization needs and whether or not outsourcing will help achieve your goals.

Most companies, large and small alike, outsource for two reasons: reduced cost and increased productivity. Low cost is the main advantage offered by outsourcing. By subcontracting work to a third party, particularly one overseas, you can significantly reduce your expenses. One reason why outsourcing jobs is less expensive is because you need not shoulder exorbitant overhead expenses. The third party company spares you from spending for additional office space. If your company's capital is limited, outsourcing may be a good idea because it will help you stay on budget.

Meanwhile, outsourcing allows for increased productivity because it enables the organization to focus on core competencies. Non-core activities (like administrative functions and back-office operations) take time and attention away from activities that truly matter, those that will cause your business to grow and thrive. If your company needs more time for business-related concerns, you may need to think about outsourcing jobs soon.

Now you know three of the many reasons companies outsource. If you find that your organization needs these benefits, outsourcing jobs will certainly be advantageous for you.