This article is authored by Chin Chee Choon (Director)
All businesses have an absolute imperative to continue to focus on growth objectives and deliver quality products or services to stay profitable. However, back-end financial processes – from billings and collections to vendor selection and accounting are also crucial as these activities affect the overall business health as a whole. Many small businesses face productivity challenges in handling these tasks in an efficient and profitable manner. Too often, organisations drain internal resources (in some cases, in areas they don’t specialise in) to handle back-end activities that are tedious and resource-intensive. The new Business Process Outsourcing (BPO) domain combines expertise and technological capabilities to significantly improve and change things.
Digital technology is changing the way we interact, operate and compete. The new frontier in the information age, where many of us find ourselves in now, are in the midst of three fundamental shifts: The transformative nature of applying data to business decisions, the emergence of cloud technology in business and mobile engagement in everyday tasks, ranging from social to work. To put a case in point, data is fast becoming a competitive advantage, whilst cloud technology is garnering increased interest for its capabilities to become a new path for many business models. What’s more, the lack of having real time business information may mean a weaker service delivery or even lost revenue opportunities.
Digital transformation has brought new opportunities for businesses to optimise their business processes for productivity gains and improved decision-making, amongst many other benefits. There is no denying of what BPO can do for business. In recent years, BPO has evolved into a tech-driven model to boost productivity through automation. With technology playing an increasingly important role in today’s business, it is crucial to improve current business infrastructure through innovation. When the business goes through major changes, such as rapid growth, acquisition or even diversification, companies can find themselves disrupted by growth. By staying on top of business data and developing best practices, companies, in particular entrepreneurs and Small & Medium Enterprises (SMEs) operating with very limited resources, can stay ahead of the curve through productivity leaps and service innovation with the help of technology.
Increasingly, organisations around the world are using cloud technology to enact large-scale change, whether within individual business units or across the organisation. Digital transformation and cloud accounting are especially powerful game-changers for SMEs due to the high levels of productivity gains and enhanced business agility to do things quicker and better.
In today’s rapidly advancing business world, new technologies such as emerging mobile collaboration are shaping a new kind of business process service. This shift is growing as the next-generation business process services offer solutions to digitise activities in response to cost pressures. For instance, cloud accounting is fast becoming an important aspect for businesses, especially small businesses that need to concentrate its focus on growth objectives, can no longer afford the immense amount of time needed to pour through paper trails and manual bookkeeping processes. Cloud accounting not only results in cost savings, but it also has great potential to support businesses to improve workforce collaboration and giving you a better overview of your finances by having information at your fingertips.
Delivering business value is key to sustaining a high-performing BPO relationship. By leveraging technology as a competitive advantage, rather than viewing it as a mere system infrastructure, it allows BPO suppliers to move beyond the provision of full-time equivalents by offering additional value-add services. Through additional technology-based services, clients can achieve more with less, while BPO business models will evolve with a lesser degree of reliance on human resources which will in turn, reduce the rate of unnecessary human-related errors.
As the volume and complexity of data continue to grow, many businesses are constantly trying to make better sense of the massive information tide. As such, clients are looking for BPO providers to provide transaction analytics, understand the insights and identify opportunities which can add real value to their business. Data analytics provide enterprises with actionable insights into their business operations and further support growth objectives, providing the clarity needed for an actionable game plan.
Technology has helped to streamline work processes, rendering it more efficient and cost-effective with its quicker turnaround and error elimination from manual processes. Furthermore, commercial acumen and the ability to interpret numbers into meaningful business information are critical skillsets that business leaders need to have in order to remain relevant in this information age that we all operate in today. As such, BPO providers are more generally more involved in offering actionable insights into business strategies for their clients. Digitisation and real-time dashboards allows businesses to be updated with clarity of their day-to-day performance which are directly linked with their business goals. Through the use of analytics, it allows people to sift through large amount of data and identify outliers more accurately in a more efficient manner. Understanding how the role has changed and the challenges put forth with technology is important to recognise the advantages of opportunities presented in this digital age.
By being always on the lookout for what’s on the horizon and being an innovation-led firm, our team at Nexia TS is delighted to roll out a new service line offering cloud-based accounting, business automation and AI analytics capabilities. Ascend is the result of our collaboration with leading strategic partners, built with the vision to help drive your business to greater heights.
For more information, please contact:
Mr Chin Chee Choon
Director, Corporate Advisory