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Business process outsourcing (BPO) is a way of subcontracting several business-related operations to third-party vendors. The term BPO originally applied wholly to manufacturing industries, like soft drink companies that outsourced large fragments of their supply chains, BPO now refers to the outsourcing of services, as well. In other words, businesses adopt BPO practices in the two main sections of back-office and front-office operations; back-office BPO points to a company contracting its kernel business operations such as accounting, payment processing, IT assistance, human resources, regulatory compliance, and quality assurance to external professionals who ensure the business runs smoothly.

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