The intersection of technologies has transformed the way businesses are conducted. By now, it’s no more a secret that cloud computing is increasing the pace of change occurring in today’s business landscape. When viewed with global standpoint, cloud potential is far beyond virtualization and server consolidation. It is fuelling up innovation and impacting every existing/new sector so that they can deliver innovations to improve the experience for their customer groups. Here comes a new terminology – Business process as a service (BPaaS). It can be connoted as the delivery of BPO services that is sourced from the cloud platform and are constructed for multi-tenancy. These outsourced services are automated and delivered via Internet-based technologies on consumption-based pricing models. 

The term BPaaS encompasses a number of ideas which is based on cloud hosting services such as Software-as-a-Service (SaaS), Infrastructure-as-a-Service (IaaS), Platform-as-a-Service (PaaS), and IT-as-a-Service (ITaaS). BPaaS holds all these options together to provide a completely automated business process.  This, in turn, enhances the ability to respond to changing business needs by integrating requisite IT resources. For example – transaction management, which is required to be maintained in a central database, to evaluated or analyzed. If this task is delivered using cloud hosted networks – it would be referred as BPaaS. Be it technologies, integration points associated with managing business processes – outsourcing can pay off dividends.  Specifically, when business operations are delivered over the cloud, organizations get more time to plan strategically and pragmatically.

Let’s dig a little deeper to comprehend with the commendable job of cloud computing when it comes to outsourcing businesses processes:

Years ago even today, companies are forced to outsource their business operations to a third-party service provider, and these operations are either managed manually or programmatically.  In some cases, even complete business outsourcing companies need to execute operations either manually or through automation. The emergence of cloud technology is breaking this stereotype and taking businesses to a more service-oriented approach, eliminating the constraints with respect to flexibility, costs, and implementations.

The major difference between conventional packaged applications and business process as a service (BPaaS) that BPaaS is service-oriented which is underpinned by well-defined interfaces to deliver seamless business functions. These cloud optimized services can leverage automation, standardization, and repeatability to utilize and deliver the services to the customer groups.

Does BPaaS Make Sense for Forward-thinking Companies?

There are a plenty of reasons available to support the adoption of cloud powered business processes as it delivers higher quality at a lower cost, which is actually not possible for businesses to replicate for themselves. Most of organizations don’t deliver their offerings directly to their consumers, or do their own audits, or taxes. They outsource these non-core activities to an outsourcing firm. Although these functions are non-strategic, however must be managed and maintained to continue on the success roadmap. Outsourcing every non-core function such as human resource, accounting, transportation, manufacturing, and even the staffing is a compelling way as it incurs low or no upfront costs while ensuring high performance. 

Every business has a mandate to grow. Getting too much engrossed in server maintenance activities or allocating your helpdesk with more and more responsibilities (without thinking about their actual bandwidth) – can’t drive much business growth. Focused approach can only translate into quick wins. Here, outsourcing key functions of infrastructure (especially time-consuming maintenance related functions) is the best to go option as it will allow your IT to focus where it’s most needed. Moving these functions to cloud will enable organizations to free up their IT staff so that they can quickly roll out new functionalities.  

Cost Factor: Inducing Clients to Outsource Business Processes

There is a host of reasons behind BPaaS adoption; however, cost remains the top driver. There is no denying the fact that you need to invest a good amount to set up a new business that also includes regulatory and compliance costs, labor costs, administrative costs, infrastructure costs, and the list goes on. These costs can amount to hundreds of thousands of dollars depending on the nature and size of the business.  However, there’s a best way. Virtually every business function can be outsourced. Cloud technology obviates the need for capital investment in technology, offering consumption-based pricing, which is similar to electricity usage. 

Reliability and Security: The Other Two Driving Factors

While cost factor being always on the top, the other two reasons and for some the prime factors behind moving business processes to cloud are reliability and security. Today, no business can afford downtimes or data loss as it can not only cause financial implications, however can take toll on business reputation. Cloud enables operations to be connected and managed centrally. The scalability of cloud allows businesses to utilize its pool of networked resources and scale up/down infrastructure when needed. As everything is managed centrally at service provider’s end, your IT team will get enough time to concentrate and deliver new innovations.

On top of that, BPaaS provides multi-lingual and multiple deployment environments support that connect the related services at ease.

BPaaS is swathed with capabilities that can enable organizations to work on transformative issues and augment their point-of-sale techniques to better serve their customer groups. The technology is in the cloud that can cater to changing customer needs and revolutionizing trends with its innate characteristics.  Above all, it allows delivering fantastic innovations without demanding hefty upfront investments.