Drawing parallel between hospitality and BPO business

October 27, 2011: Dining out at restaurants has become prominent among people and they prefer that than cooking on their own at home. Similarly most of the businesses prefer to outsource their functions than doing it in house. Businesses have realized that outsourcing certain functions are more beneficial than performing it in house. Outsourcing is more popular among the western countries and is becoming popular in the rest of the world.

The demand for high quality services is increasing around the world and it will continue to grow in the future. As a result more and more service providers are entering the market offering huge spectrum of choices to the clients.

In a sense operating an outsourcing business is similar to running a restaurant. Both have the same challenge of attracting customers and retaining them as loyal customers.

Food is an unavoidable part of human life. Tradition and culture influences the kind of food one eats, from where he eats, and when he eats. It is also influenced by the individuals taste, budget, and his needs. Some of them cook food by their own, while dine out at restaurants occasionally and some others regularly. For a restaurant to flourish the manager need to meet the customer expectations and even deliver more than what the customer expects.

This is the same with Business process outsourcing. The manager needs to make sure that the customer needs are met and the standards set by the clients are met.

The parameters that influence how the client’s needs are met include:

  1. The information provided by the client and its quality which is similar to ingredients used in cooking.
  2. The level of knowledge of the employees which in the case of a restaurant is the cook
  3. The assurance given by the service provider in terms of quality which is similar to the taste of food in a restaurant.
  4. The technology used which is similar to the facilities in a restaurant.
  5. The level of service provided by the service provider which is similar to that of the waiters.
  6. Infrastructure and security which in the case of a restaurant is the safety in the kitchen.

Another main similarity between an outsourcing business and a restaurant is that both require people. Both these services cannot be fully automated and people forms an integral part of the business.

A challenge faced by both the services is that the client has a spectrum of choices. In order to retain a client the business should identify their needs and make sure that these needs are met in the best possible manner. If the client is not satisfied he might ask you to improve or just switch the service provider.

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