Call Centers

Differences between BPO and KPO

BPO stands for Business Process Outsourcing while KPO stands for Knowledge Process Outsourcing.

With the rapid growth of businesses in terms of size and volume most of the business companies prefer to outsource most of their routine works to various call centers such that they save their precious time and focus their all attention to the business development and their core competency. Some of the common tasks of BPO are payrolls, call centers and accounting. Outsourcing these common works to a different unit or establishment cuts the cost of the whole business process and eliminates the time wastage.

KPO on the other hands involves those specialized tasks which need a greater degree of expertise, in-depth analysis and deeper perspective of the works. These works include legal work, research and development, web content, design, and many others.

Following are the basic differences between a BPO and KPO:

• KPO industry serves specific domain based processes and businesses in contrast to the BPO.


• KPO demands a greater level of knowledge and expertise in handling the specific job responsibility than that of BPO.


• BPO on the other hand focuses more or less on commodity business which reaches to the target customers through the use of IT and communication technology.


• The BPO market is long term in nature as compared to the KPO market. With every passing day the BPO market base is expanding and so is the various processes outsourced through it.


• The KPO involves the front end, back-end and other processes in between .It includes business research, clinical research and other tasks as well which are not undertaken in BPO.