'BUSINESS PROCESS-AS-A-SERVICE'-the next game changer?

Rajendra Deshpande, CIO, Intelenet Global Services | Monday, 09 May 2016, 06:55 IST

Headquartered in Mumbai, Maharashtra, Intelenet Global Services is a provider of business process services and customer management solutions. The company uses 120+ indigenously Developed Technology Tools and offers integrated BPO services.

The advent of disruptive forces has fundamentally introduced new information technology models leaving the business process management industry at the onset of the next evolution cycle. Service providers are examining and gauging changes in their sourcing models to envisage newer BPO practices. This pursues from a changing reality where buyers of BPO services are today revisiting their technology & operational frameworks, business applications, in an inclusive and unified manner to achieve improved outcomes and costs.Further, virtualization and cloud computing have opened doors to a hybrid cloud environment. Combinations of these have led service providers with ubiquitous, on-demand information access to deliberate innovative, scalable and non-linear models.

Business- Process-as-a-Service (BPaaS) is one such model that is emerging as the next revolution in process management industry. According to Gartner, business process as a service (BPaaS) is the delivery of business process outsourcing (BPO) services that are sourced from the cloud and constructed for multitenancy. The services will be delivered at a pay-as-you-go basis based on the cloud service models of the provider. 

BPaaS enables the buyers to receive business process services on a consumption or subscription basis through a shared set of resources (people, application, and infrastructure) from a single provider. Moreover, itsservice-oriented approach helps to optimize solutions by combining all aspects such as services, processes, applications and infrastructure into one approach. It enables companies to leverage automation as well as standardization of business processes.

The BPaaS model is run with the help on Internet based technologies and differs from the traditional approach as it helps in optimization of cost at the operational level, application level as well as at the technological level. It makes use of Software-as-a-service and Infrastructure-as-a-Service approaches to create a unified layer of technology infrastructure to provide automated services. Multiple processes are uploaded on the internet based cloud platform which not only performs but also monitors them.

Integrating services and offering them as a bundle provides greater flexibility and predictability in adjusting with resources to meet the ever changing needs of the business. Moreover, the solutions can be accessed remotely and allows organization to plan for future expansions.

By adopting BPaaS, companies can cut costs on hardware and software maintenance and reduce TCO. With BPaaS, companies can save on the expenses that would otherwise be spent on costs of operating, upgrading and updating software – both process and resource wise. This allows businesses to spare resources of the bandwidth that would be spent on mundane tasks and allow them to focus on more revenue making activities. These way resources do not have to invest their time in entering data, cross checking accuracy of the information entered etc.

Some of the characteristics of BPaaS are:

  • A BPaaS service enables providers to offer wide variety of pricing models such as Pay-per-use on monthly or annually basis or through subscription model, etc
  • It can be configurable basis the process that is being designed
  • A BPaaS service usually ought to have well-defined APIs so as to be easily connected to related services
  • Software platform, infrastructure, etc. is all managed by the service provider  provides the entire business process delivery in a utility model
  • It is usually beneficial for customers because it directly impacts their savings and positively reflects on their top line & bottom line

BPaaS environment can give access to best practices for a multitude of services and deliver significant business benefits along with cost savings and efficiency gains. However, one needs to be sure that the BPaaS environment must be able to handle massive scaling capacity and should be able to go from managing a few processes for a couple of customers to being able to support hundreds if not thousands of customers and processes.

It’s not just about adoption cloud but also changing the approach towards our business model with better orientation of the providers, buyers, product vendors to partner and achieve business success. It, hence, calls for sufficient collaboration and co-creation.  BPaaS is certainly not about lifting and plugging expensive solutions into legacy processes, but rather about redesigning an entire process to achieve the desired results and business outcomes.

By leveraging the Cloud-based ecosystem, BPaaS today has the potential to increase a company’s agility and responsiveness by integrating services, processes, application and infrastructure. It is enabling several organizations to outline their long term plans that can be individually tied back to unified platforms for delivery.  BPaaS is at a nascent stage currently being driven by forces of automation and software driven outsourcing. A shift towards promoting the development and adoption of such models is rising to achieve efficiencies and a competitive edge. Business Process as a Service can thus help organisations streamline operations whilst gaining economies of scale!