Outsourcing companies provide services to a third-party organisation on a consigned agreement from both the parties. When an organisation outsource its business processes offshore it involves high probability of saving operational cost against the subsequent loss in control over the company’s products or services. BPO outsourcing could be defined as a mutual understanding between two firms to help each other for a smooth sail in their long-term business partnership on a contractual basis.
To collaborate with an outsourcing process you need to have solid information about the service provider and their future goals. There are two types of outsourcing, total outsourcing and partial outsourcing. In case of total outsourcing the company shifts its whole process to an offshore organisation. On the contrary, partial outsourcing is selecting only the non-core process to an adept vendor to ensure the completion of the outsourced project within a certain amount of time.
What is SLA and TAT? How is it different from each other?
When choosing a BPO service provider there are agreements based upon the quality and quantity of known as SLA and TAT. Service Legal Agreement or SLA is a contract signed between the vendor and the organisation that defines the level of quality and quantity of work which is anticipated from the end user of the service. SLA contract relies on certain key-metrics that most call centre offers. They are:
- Reliability: This is one of the major key-aspects that a BPO service provider must offer. The reliable nature of a BPO firm generally depends upon the limited decrease in quality of services and the uptime percentage.
- Responsiveness: Time is an important key-factor when it comes to a good BPO service provider. Aptness in responding to customers and scheduling the service dates defines the metric of responsiveness.
- Limitations: The SLA agreement does not mention certain possibilities and issues like, in case of natural disaster how will the service provide cater facilities to the organisation and to the customers.
- Service delivery: Each and every SLA contract must put into account for monitoring service delivery process as guaranteed to the end user. A virtuous and trusted BPO outsourcing service provider will definitely accommodate better service delivery by tracking every move of an agent.
- Non-delivery penalties: In case, if there is a lack in the services or in completion of the project within the time period, then there must be a clause referring to the reimbursement of the money by the service provider.
On the other hand, TAT or Turnaround Time is a part of SLA. It is the over-all time taken to fulfill an appeal. It can be counted as one of the key-metrics SLA deal to estimate the time of an operating system taken to arrange the algorithms. TAT is generally associated with the timeliness and effectiveness measure. For instance, TAT is calculated from the very beginning of a call received by an agent till the end of the call for a help desk query.