What is Labor Union? What is a Labor Union?
A labor union or trade union is a shared association of employees who meet together to create agreements on the conditions that affect their jobs. In history, the labor union has a difference in salaries to a higher-degree for low-skilled than for high-skilled jobs. As a result, the union is reducing income disparities.
Labor unions have a massive effect on the employment and daily lives of both unionized and non-unionized workers. Reports and studies have shown the impact of labor unions on wages, marginal gains, overall salaries, pay inequalities, and security in the workplace. Importance of labor unions
Labor unions are vital because they tend to set requirements for education, skills, salaries, working conditions, and the quality of life of employees. Union-negotiated earnings and benefits are typically greater than those enjoyed by non-union employees. Here are other advantages of labor unions: Labor unions aim to provide our country with economic justice for the workers and social justice.
Labor union employees are getting better pension benefits. Not only are they more likely to get a fixed retirement payout. Their employers are also paying 28 percent more to their advantage.
The influence of labor unions on overall non-union employment is about as massive as the impact on total union wages.
Labor union workers are more likely to earn paid leave than non-unionized workers.
Workers under the union labor have 18 to 28 percent more healthcare advantage and 23 to 54 percent more likely to provide employer-provided pension plans.
What is Distributed Workforce? What is a distributed workforce
A distributed workforce refers to a company’s framework where employees have different options and means of working. A company might have a small in-house core team, several remote teams, and some that can render in-house and remote work. Some companies also have mobile employees that go to different locations for their tasks.
Communication is an important aspect of a distributed workforce. They should be able to communicate with each other and collaborate with the use of different tools and software for file sharing, work chat, and screen monitoring. Distributed workforce companies
Some companies operate in a distributed workforce. Most of them are Software as a Service (SaaS) companies such as Automattic, which operates 100% remotely. Whereas, some companies, have specific remote positions offered, mostly in engineering and software development.
What is Workforce Optimization? Definition of Workforce Optimization
Workforce Optimization is a company practice that incorporates customer service contact center technology to promote operating productivity. Call center workforce optimization combines call center technology, applications, and interactive platforms into a common management point to improve the exposure of client experiences, employee efficiency, and business processes. The policy, meanwhile, includes the automation of operations, accessibility of results, regulatory compliance, and the resolution of staff-related business issues.
Workforce optimization develops the customer's opinion of your company. Customer experience is a journey that customers are embarking on while engaging with a company, and customer contact points are destinations along the way that make a trip worthwhile. Significance of workforce optimization
Workforce optimization includes automating operations, data visibility, complying with regulations and managing staff-related business concerns. Call centers use it to enhance the administration of the staff and the efficiency of agents.
When workers are out of employment, their morale declines, and their willingness to leave their jobs starts to increase. Through using the workforce optimization tools, you can track productivity patterns to see if the employee's productivity levels are beginning to decrease.
It is also crucial to note that each company views WFO from a particular lens based on unique goals. These goals are usually vertical, but they are often guided by corporate leadership and the company's particular business plan.
What is Business Process Outsourcing (BPO)? What is Business Process Outsourcing BPO?
Business Process Outsourcing (BPO) is the engagement of services from a third-party provider. BPO uses various technology-enabled services to hasten the delivery of services. The business activities could be back-office such as, but not limited to, payroll, accounting, human resources, or front office jobs like customer service, sales, and marketing, etc. In the case of content providers, these business activities could mean hiring writers, remote editors, or virtual assistants.
BPO speeds up processes and enhances efficiency. Companies that outsource some of their business activities use their time on core services and competencies. With this shift in focus, companies improve their current processes that may result in improved customer satisfaction. BPO helps companies divert their resources to more critical business strategies. Often, companies find it impractical to hire a full-time position in-house because of the cost associated with doing so. How does Business Process Outsourcing work?
When a business engages an external specialist to manage and operate some of its internal processes, it's referred to as business process outsourcing. Such ‘processes’ include customer service, accounting and finance, or sales. It is different from hiring an agency to do specific tasks, as the outsourcing provider (BPO) is more concerned with the ongoing production of labour-intensive tasks, instead of the higher-level strategy and guidance.
Now, business process outsourcing has broadened and is more akin to staff augmentation, or staff leasing. What are the benefits of business process outsourcing?
There are many benefits to outsourcing, as well as some downsides and risks. The common benefits include: Cost savings: significant savings of up to 70%, leveraging the lower global salaries Global market: access to a bigger employment pool of talent Global presence: having operational across the globe increases trade opportunities Flexible workforce: reduces internal local labour and employment compliance obligations Leverage skill: leveraging the skills of other specialist companies Focus: enables the client company to focus on their core functions
Business process outsourcing examples
The business process outsourcing sector is a vast industry, generating over $200bn annually, and employing many millions of people worldwide. Some examples include: Big enterprise
Facebook and Uber outsource many of their operational functions, including content moderation for Facebook, and customer service for Uber Medium-size businesses
A medium business with 50-500 staff might outsource the labour-intensive accounting and finance functions to a team in the Philippines. Small business and entrepreneur
It is common for small business owners to have a Virtual Assistant (VA) working for hem full time, remotely from the Philippines. What are the different types of BPO?
The type of business process outsourcing can be characterised by their specialisation, location, and size. Generalist or specialist BPOs
Business process outsourcing is in the human resources and professional services sector. However, their services extend across all industries. The majority of BPOs are generalist, in that they offer a full range of professional services, although some specialise in certain verticals (ie accounting, or animation). Location
Business process outsourcing typically operates form developing nations such as the Philippines, India, and Colombia. They typically have cheaper cost-of-living and bigger populations. Different locations offer different advantages. Size of BPO
The bigger BPOs employ more than 250,000 people. They are huge, global operations. Medium-sized BPOs range from 500-5,000 staff and offer a full range of services. The smaller BPOs might have 1-500 people. Functions of business process outsourcing
Collectively, business process outsourcing provides any kind of staffing solution. Common functions of BPO include: Finance and accounting: operational, technical and specialist functions Healthcare: various functions of the backend of the healthcare and health-insurance industries Creative and content: everything from post-production of Hollywood movies to newspaper and website content Tech, IT and development: network management, web and app development and maintenance Sales & customer support: ongoing sales and customer operational support and delivery Marketing: ongoing marketing, communication and branding activities Talent and HR: externalising the management of company HR, recruitment and compliance Administration: general business administration and operational activities Top BPO companies in the world's top outsourcing hubs
A wide range of BPO companies in different parts of the world provide utmost services to their Western and local clients. Many of them have even earned awards and recognitions by award-giving bodies due to their performance on both the roles they take and on their way of taking care of the employees.
Check out the top BPO companies in several outsourcing destinations below: Top BPO companies in the Philippines Top Indian BPO companies Top South African BPO companies Business Process Outsourcing (BPO) services
Outsource Accelerator is the most trusted source for independent information & advisory for Business Process Outsourcing (BPO). We have over 4,000 articles, 200+ podcast episodes, and a comprehensive directory with 700+ BPOs… all designed to make it easier for clients to learn about, and engage with, business process outsourcing.