Document Process Outsourcing vs Business Process Outsourcing in 2013 & Beyond

By Chris Cosgrove posted 02-05-2013 16:00














Business Process Outsourcing has transformed how many organizations have leveraged economies of scale in second and third world countries to create cost savings opportunities for burdened processes.  However, in light of rising labor costs, particularly in BPO mainstay countries like India, many US based organizations have begun nearshoring efforts to mitigate these fluctuations in cost.  Couple that with cultural and linguistic barriers, and you have a recipe that is not necessarily indicative of success.

Due to advances in cloud infrastructure, technology solutions, and the networking of economies, new approaches to outsourcing are unfolding to the advantage of organizations frustrated by traditional BPO challenges as listed above.  Through cloud-delivery, and what we like to term Document Process Outsourcing, organizations of all sizes (not just enterprise level), are able to capture the benefit of advanced technology made available in the cloud.  

In particular, many document processes can be improved through a DPO approach and often include the following:


-Accounts Payable Processing

-Sales Order Processing

-Insurance Claims Processing

-Healthcare Chart Conversion Processing

-EOB Processing

-Mortgage Application Processing


One of the fundamental differences for DPO vs. BPO is that DPO enables an organization to retain ownership of the process itself, while using advanced technology to accelerte the process.  Because the technology is made available in the cloud, there is limited infrastructure investment, so it's favorable from a capital expenditure perspective and breaks down barriers to entry especially for SMB organizatoins who often can't justify bringing in niche technology.

If you evaluate the invesment dollars required to automate said processes, you can quickly get into the high hundred thousands and even millions of dollars making investments in these technologies out of the question.  However, DPO approaches empower the same organizations to benefit from automation technologies that BPO providers leverage without turning the keys of the entire process over the the service provider.

It can often become a win from a process, risk, and financial perspective and is rapidly becoming an amenable delivery approach for companies that were previously passed over.

Ironically, many large organizations are open to this strategy as well, having offshored with BPO providers and run into security, cultural or cost issues that have become impediments to continued operational agreements.

To learn more about Document Process Outsourcing and how it is transforming business processes and creating efficiences for companies of all sizes, especially mid-market, read more here !

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