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Challenges in Knowledge Process Outsourcing

Tara Estacaan, Hubport Group
Wednesday, November 11, 2009

The elements of successful KPO venture lies in the areas of personnel recruitment and training. In addition to that, training them to develop domain expertise and providing value for client companies through presenting highly distinguished products. Good internet marketing outsourcing services, for instance, can create more competitive edge alongside contending regions. KPO firms must know how to provide quality deliverables in a certain time frame since this will also help them build a credible image in the outsourcing market.

However, quality results cannot be maintained if challenges cannot be addressed in the long run. Certainly, as in any kind of business, there are several issues that a KPO company has to face. Although there are higher opportunities that are available for KPOs, there are also daunting concerns to be attended to so that the road to development can be smoother and will not suffer big setbacks.

Take to mind the standards for quality. This is true for all kinds of services like internet marketing outsourcing or in medical transcription services. The processes that are conducted in the knowledge process domain can require higher quality, since client stakes are higher as well. For new clients, it is normal for them to be apprehensive at first due to the impression that a low-cost vendor delivers lower quality results. For this negative view held towards low-cost destinations to be overcome, there must be a good system that will substantially generate top-notch outputs.

Bigger investment must also be made by KPOs since work stations must also need superior equipment. Ordinary data collection and analysis found in BPOs may not require workstations like the ones needed for knowledge process jobs.

The level of control in KPO projects can become another concern in outsourcing to a vendor. Confidentially of data and product keys can be a source of apprehension so risk management should be applied without laxity.

The issue on hiring, retaining and maintaining talents is also a challenge. The high scale of KPO functions will sometimes prove difficult. Add to this the effort a company has to exert in finding trained KPO professionals. Manpower providing medical transcription services and internet marketing outsourcing are not that many. Skills for data interpretation and analysis can be learned but few people in the population are capable of doing these tasks. Some are still learning the methods of specializing in these areas, and may take some time to become serviceable for the outsourcing industry. The same holds true with the demand for search engine optimization experts. Hiring talents that can provide domain expertise becomes a hindrance to expansion of KPO services.

It is sensible for the KPO industry to impart constant training and upgrade in development modules so that their people can be more competent in their job performance. When clients are satisfied with results, this can create a favorable reputation for a business. Good feedback can mean more business for a KPO and when this happens, the international outsourcing market can be confident in sourcing out labor from districts like the Philippines.

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