Feb. 28, 2013
-- Based on the interests of the organizations the outcomes of executing Knowledge Process Outsourcing will differ. The firms can sustain their competitive advantage in a cost-effective manner through KPO, if they are already running knowledge based operations. Further, the companies can arrive at their end-state through KPO, if they are extremely interested in improving their knowledge competitive scale. The major role of KPO is either knowledge-novice or knowledge-sawy irrespective of the type of service. However, the extent of involvement of an organization in KPO is determined by their position in the five levels of knowledge competition. The firms those are ranked low in terms of analytical sawiness scale will come under level 1 and level 2 categories. Such companies are interested in taking up the tasks those are less risky and readily extractable. Hence, these companies are found to earn the successful outcomes through the tasks those need so much of domain knowledge. The companies those already running knowledge based and complex operations (Level 3 companies) and those could observe their operations to provide services with good quality and hence they could arrive at cost advantage and high productivity. In these companies, actionable insights are the major driving force in the decision making process. The companies those are handling analytically sawy process can be successful by adopting KPO and these firms will experience all the advantages of outsourcing similar to other levels of firms. However, the companies in level 4 and 5 can standardize their process and improve their scalability and this is not possible in other levels of companies.