What business processes can be outsourced? Most companies hand off IT services, HR management, customer support, accounting, manufacturing, marketing, logistics, and administrative tasks to a third-party provider. This approach, known as business process outsourcing (BPO), takes routine work off your team so they can focus on core competencies.
Understanding how outsourcing works helps you decide which business operations to outsource and which to keep in-house. Read on to learn what each function involves, what to weigh before you choose a partner, and how to tell when it’s time to outsource and find the setup that fits your business goals.
8 business processes that can be outsourced
What business processes can be outsourced? Eight functions come up most often, from IT and HR to logistics and administrative support.
1. Information technology (IT) services
Businesses nowadays rely on technology to innovate amid challenges and competition. Outsourcing IT services provides access to expertise and tools without incurring additional costs for infrastructure and staff.
What business processes can be outsourced in IT? These are the most common:
- Software development. It involves delegating application design, development, testing, and maintenance to third-party providers.
- Infrastructure management. The BPO company maintains IT components, including servers, networks, databases, and cloud resources. It also performs monitoring, security, and optimization tasks.
- Cybersecurity. The BPO company monitors and protects IT systems from malware, phishing attacks, data breaches, and insider threats.
- Technical support. Third-party professionals provide frontline IT assistance to employees or customers. They assist end users with hardware, software, and network issues. They also manage inquiries, service requests, and incident resolution, improving efficiency and user satisfaction.
- Cloud services. The provider delivers cloud computing resources and platforms. These services can consist of infrastructure as a service (IaaS), platform as a service (PaaS), software as a service (SaaS), and cloud migration and integration solutions.
Ticket spikes are a common trigger for outsourcing technical support. One e-learning company’s IT help desk was fielding about 700 tickets a day across phone, email, and webchat whenever new courses launched. After a one-week onboarding and training program, Unity handled 90% of user requests within two weeks of deployment.
2. Human resources (HR) management
Effective human capital management supports business growth but can prove complex and resource-intensive. Companies that outsource HR activities can streamline administrative duties, reduce overhead expenses, and gain access to specialist HR knowledge.
Commonly outsourced HR tasks include:
- Payroll processing. The BPO organization supervises salary calculation, distribution, and management. It facilitates accurate, compliant, and timely processing for tax filing and direct deposit setup.
- Employee benefits administration. The third-party outsourcing provider oversees staff benefits, including health insurance, retirement, and pension plans. It also handles related tasks, such as enrollment and claim processing.
- Recruitment and staffing. Outsourced hiring involves independent agencies finding and recruiting candidates. This strategy can streamline processes such as job sourcing and selection and reduce time to fill.
- Compliance and regulatory management. Letting third-party experts handle compliance helps maintain adherence to laws, regulations, and standards and reduce legal risks.
- HR consulting and strategic planning. Using best practices and customized solutions, the BPO team can provide strategic guidance and support in HR-related matters. This is closest to knowledge process outsourcing, since it relies more on specialist expertise than on routine administration.
3. Customer support and service
Customer experience plays a major role in brand loyalty. In PwC’s 2025 Customer Experience Survey, nearly a third of consumers said they stopped buying from a brand because of a poor customer experience. Outsourcing customer support and service tasks can help businesses provide 24/7 assistance, tap into multilingual support capabilities, and scale operations to meet fluctuating demand.
For customer support and service, consider outsourcing the following:
- Call center services. Outsourcing call center services means contracting BPO providers to manage customer calls and support. Trained customer service representatives can handle tasks efficiently, helping provide 24/7 support, faster responses, and scalable teams.
- Multilingual support. Delegating multilingual assistance can improve accessibility and satisfaction. Agents who speak more than one language can communicate with customers in their own language, helping expand global reach and reduce language barriers.
- Social media management. Allowing BPO providers to handle social media involves real-time engagement, marketing, and reputation management. They can help businesses build brand awareness and maintain an online presence.
- Contact center as a service (CCaaS). By outsourcing customer support, businesses can gain cloud-based call center solutions that may improve customer service efficiency.
For example, a private equity firm specializing in Amazon brands was struggling to keep up with a surge in customer requests. After Unity took over its inbound customer support, the team reached a 95% net satisfaction score within 90 days, and the client then added five agents and two team leaders.
4. Accounting and finance
Fiscal management depends on accurate financial records and careful cash flow monitoring, and it comes with regulatory obligations. Outsourced accounting and finance services can help companies simplify their finances and support compliance with accounting standards and tax requirements.
What business processes can be outsourced in this area? Explore the accounting and finance-related business processes that service providers, such as offshore outsourcing companies, can manage:
- Bookkeeping. Outsourcing bookkeeping and accounting involves delegating financial tasks (e.g., recording cash flow transactions and maintaining ledgers) to BPO firms. They help keep records accurate and compliant while businesses focus on core activities.
- Tax preparation and planning. Third-party financial specialists can handle tax returns and analyze their implications. They can also develop strategies to help reduce liabilities and support compliance.
- Financial analysis and reporting. Outsourcing this business process entails having independent experts evaluate data and prepare reports on business performance. Their modeling and forecasting expertise can support more informed decisions and help improve financial performance.
- Auditing and compliance. Third-party providers conduct financial audits and internal control assessments. They help verify data accuracy and flag areas for improvement, supporting transparency and compliance.
5. Manufacturing and production
In today’s international market, organizations can struggle to manage manufacturing and related business processes and keep to production schedules. Partnering with a BPO provider for certain manufacturing and production processes can offer several strategic benefits.
Third-party providers can help enterprises reduce production costs, improve product quality, and shorten time-to-market. By outsourcing non-core production work, client companies can focus on product design, marketing, and distribution while benefiting from cost-effective, efficient services and economies of scale.
Below are the manufacturing and production processes open for outsourcing:
- Production assembly. External manufacturers have specialized equipment and skilled labor to assemble components into finished products.
- Component manufacturing. Third-party vendors source parts from suppliers, which can reduce inventory costs and give access to a broader supplier base. They can help reduce in-house production risks.
- Packaging and labeling. Outsourcing packaging and labeling involves leveraging a BPO provider’s expertise in design, sourcing, and logistics coordination to improve product presentation and manage costs.
- Quality control and inspection. Subcontracting quality control entails third-party inspectors assessing product quality and compliance. They conduct inspections, tests, and audits to help maintain standards and support customer satisfaction.
6. Marketing and advertising
Marketing and advertising help bring a company’s products and services to life, draw public attention, and encourage customer engagement. Outsourcing certain marketing processes can provide access to specialized expertise, creative talent, and marketing technologies, which support business objectives.
What business processes can be outsourced in marketing and advertising?
- Digital marketing. BPO companies manage online channels, including social media, email, and blog posts. They can help increase website traffic, support lead generation, and improve campaigns using analytics tools and search engine optimization (SEO) strategies.
- Graphic design and creative services. Companies work with third-party vendors to develop assets, including logos and branding materials. Their creativity and expertise can help produce visuals that appeal to audiences and support brand identity.
- Market research and analysis. BPO organizations gather and analyze data on market trends, consumer behavior, and competition for their clients. They conduct surveys and focus groups to provide insights that can help businesses make informed decisions.
7. Logistics and supply chain management
Effectively coordinating activities from manufacturing to delivery supports smooth and timely distribution and cost savings. Outsourcing these business processes can improve supply chain visibility and flexibility, helping companies adapt to market changes. Deloitte’s 2024 Global Outsourcing Survey lists agility as a key driver of outsourcing, alongside skilled talent and cost reduction.
Here are the logistics and supply chain management functions that can be outsourced:
- Warehousing and distribution. Outsourcing warehousing involves partnering with service providers or fulfillment centers to store inventory and manage stock. This can streamline workflows and support timely delivery.
- Transportation management. BPO providers coordinate the movement of goods from suppliers to customers. They offer services such as freight brokerage, forwarding, and last-mile delivery, which can help manage costs and improve visibility throughout the transportation process.
- Inventory optimization. Third-party vendors use inventory planning and management software to support inventory services. They use data analytics to reduce costs and align inventory with demand patterns, improving accuracy and streamlining replenishment.
8. Administrative support services
Administrative tasks are necessary for daily operations but can be time-consuming and resource-intensive. BPO providers use virtual assistants (VAs) and specialists to provide administrative support. They can help businesses focus on higher-priority objectives and operations, streamlining workflows and easing the administrative load.
What business processes can be outsourced in administrative support? Services from onshore, nearshore, or offshore BPO firms can include the following:
- Virtual assistance. Hiring VA services means acquiring remote workers for email management, appointment scheduling, and travel reservations. These VAs can provide on-demand support, helping organizations manage routine tasks without needing full-time staff.
- Data entry and management. Outsourcing these business processes to specialists can support accuracy and data integrity, freeing internal resources for other priorities.
- Transcription services. Outsourced transcription converts recordings into written documents.
- Document processing and management. BPO providers handle scanning, indexing, archiving, and retrieval tasks, which can improve accessibility and support compliance.
Not all outsourcing providers can offer these services, and not all functions belong to third-party teams. Read our guide to know what and how to hand off tasks.
What is BPO and its benefits?
BPO is defined as delegating non-core functions to a service provider to improve efficiency and revenue.
Below are some of the compelling reasons why outsourcing works:
- Cost savings. Outsourcing helps reduce overhead costs and infrastructure spending. Savings can be as high as 70%, depending on the services rendered, the provider’s pricing model, and the length of engagement. To create a predictable budget, consider a BPO provider with transparent pricing.
- Access to a global talent pool. The World Economic Forum’s Future of Jobs Report 2025 found that skill gaps were the most-cited barrier to business transformation. With outsourcing, you can tap into specialized expertise and skills that might not be available internally or locally.
- Scalability. With outsourcing, you can adjust capacity based on demand and budget. Suppose you want to outsource IT support. With Unity, you can start with a small core team. As your volume grows or as your needs evolve, you can increase the headcount or scale back when ticket volume is low.
- Efficiency and service quality. BPO providers typically follow industry best practices, invest in technology, and train personnel to manage outsourced business processes.
To maximize the benefits of outsourcing, pay attention to the timing. Know the signs it’s time to outsource.
What are the signs a company needs to outsource?
Common signs include a growing workload, limited in-house expertise, inefficient processes, poor service quality, high costs, and low value.
- Increased workload. Outsourcing to a BPO company can help reduce pressure on internal staff, redistribute tasks, and prevent burnout.
- Limited expertise. A lack of specialist skills or knowledge in particular areas might indicate the need for additional assistance.
- Inefficient processes. Outsourcing can help simplify internal procedures that are inefficient or time-consuming.
- Poor service quality. Difficulty maintaining quality standards might indicate a need for external expertise.
- Excessive costs. Rising prices or strict budget constraints might motivate firms to seek cost-effective solutions through outsourcing.
- Lackluster value proposition. Outsourcing allows you to access specialized expertise and resources, improving your competitive advantage.
How do you choose the right BPO partner?
Evaluate industry experience, check client reputation, review technical capabilities, maintain strong security, and analyze contract terms.
- Evaluate experience. Look for a BPO provider with a proven track record in your industry.
- Assess reputation. Check client testimonials and reviews to gauge reliability and satisfaction.
- Review capabilities. Ensure the BPO vendor can handle your needs and offer relevant services.
- Check communication channels. Opt for a provider that you can reach via phone, chat, or email for seamless collaboration.
- Scrutinize quality assurance. Confirm adherence to quality standards and certifications to maintain consistent service delivery.
- Prioritize data security. Look for providers with robust security measures to protect sensitive information.
- Investigate cost-effectiveness. Balance cost considerations with service quality to maximize value.
- Analyze contract terms. Review contract terms, including service-level agreements and termination clauses, for clarity and flexibility.
