OUTSOURCING – A GLOSSARY OF KEYWORDS

• Back Office Operations: This refers to functions which requires less face – face interference with Client or her personnel. Such activities are majorly administrative in nature, such as customer service, information technology, data processing, accounting, payroll administration, etc.
• Back Sourcing: This refers to the process of recalling activities or functions previously outsourced to be done inhouse. This occasions when an outsourcing agreement has expired or is been terminated.
• Baseline: This relates to the drawn out and clear parameters for the outsourcing services.
• Business Process Outsourcing (BPO): This is a type of outsourcing where a third-party service provider is employed to carry out one or more business functions in a company[1]. Can be seen as delegation of task to a third party.
• End to End process: The completion of a business process from beginning to end[2].
• Offshoring: this is the practice of basing a business (or some part of its operations) in a different country[3].
• Outsourcing: The transfer (or delegation) to an external service provider of the operation and the day-to-day management of a business process[4].
• Request for Information: A formal process of gathering information from potential customer.
• RFP: This is an acronym which stands for Request for Proposal. It is a business tool used to show intent in a particular product or service[5]. It is also often used to propose the terms and conditions of an agreement in delivery of specific services.
• Service Level Agreement: this is a binding and enforceable document between a service provider and its client detailing the commitments of each party and showing a map of their arrangement.
• Statement of Work: Refers to a document that reflects the schedule or frame of work to be carried out in a project.

With the definitions simplified, you are better positioned as you walk the path of your outsourcing decision.