Knowledge Process Outsourcing (KPO)

ˈnɑːl.iǰ ˈprou.sis ˌɑːwt.ˈsɔhrs.iŋ / Knowledge Process Outsourcing (Kpo)

Definition

Knowledge process outsourcing (KPI) is a practice where a company taps an external party to perform core activities or knowledge-based processes that are integral to its value chain.KPO is a subset of outsourcing that involves the allocation of difficult, high-level tasks to individuals with a high degree of specialization in a particular area. By working with subject-matter experts, a company that practices KPO avoids the cost of training and developing new resources.However, unlike in business process outsourcing (BPO), where the objective is usually to save money and reduce internal workload, KPO mostly focuses on acquiring knowledge-based work that requires subject expertise, skilled labor, and technical knowledge.

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