Top 52 BPO Interview Questions and Answers (2024)

Here are BPO interview questions for fresher as well as experienced candidates to get their dream job.

1) What is BPO? It’s Meaning & Full Form

BPO is abbreviated as Business Process Outsourcing. When a company wants its non-core work to be done by an expert at cheaper costs, then they easily outsource their work to another country, which is called Business Process Outsourcing.

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2) What are the major BPO sectors for outsourcing?

The major BPO sectors for outsourcing are:

• IT and Communication
• Medical and health services
• Insurance
• Finance
• Law and Jurisdiction

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3) Why working in night shifts is important?

Night shift is important because:

• BPO business operates through the night can produce more volume and meet the demand of the market.
• Night shift is necessary to match the working hours of foreign countries.

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4) What is the main difference between onshore and offshore outsourcing?

The main difference between onshore and offshore outsourcing is:

Onshore outsourcing can be defined as anything outsourced nearby the country, whereas Offshore outsourcing can be defined as a project or work allotted outside the country, which is not nearby.

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5) What are inbound and outbound call centers?

Inbound call centers will only receive calls, while outbound call centers will place calls. In the general inbound call, centers function as the company’s service department while outbound handles the service department.

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6) What are the advantages of BPO?

The advantages of BPO are:

• It improves productivity and human resource.
• BPO can be adopted to cope up with the changing demand of customers.
• It enables call center owners to utilize the latest technology at a lower cost.
• It helps any company to focus on core business areas.

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7) What are the disadvantages of BPO?

The disadvantages of BPO are:

• There can be a communication gap between customers and companies.
• The Time zone difference between the two companies creates a problem in calling.
• The company may sometimes feel a loss of control in customer service.

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8) What is the difference between KPO and BPO?

The difference between KPO and BPO is:

KPO	BPO
The full form of KPO is Knowledge Process Outsourcing.	The full form of BPO is Business Process Outsourcing.
It requires an understanding of the business.	It requires basic computer and communication skills.
Services in KPO include legal services, market, and business research, etc.	Services in BPO include technical support, customer care, sales, telemarketing, etc.
Involvement with the client is low.	Involvement with the client is high.

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9) What are the different types of BPOs?

BPOs are segmented into five different categories.

• Administrative department: It makes sure the smooth information flow from one part to another.
• Purchase department: It ensures the supply of products, production equipment.
• Selling department: This department promotes business growth and client retention.
• Call center: It ensures effective customer service.
• Back office: Ensures the perfection of data and process management tasks.

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10) Why companies outsource?

Here, are reasons for outsourcing by companies:

• Outsourcing saves costs.
• Companies can focus on core activities.
• An organization can get quality work done by the experts in a specific domain

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11) What is BPM?

BPM stands for Business Process Management. It is a management approach that focuses on optimizing organization operations to increase client satisfaction.

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12) What is the call center?

A call center is a customer care center where phone calls are handled in large numbers.

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13) What is the scope of BPO in the current market?

In a situation where companies failed to survive in the market, BPO has achieved a milestone in an economic crisis.

It helped to reduce the unemployment rate marginally in developing countries.

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14) What are the popular or common software products used in BPO industries?

The popular or common software products used in BPO industries are 1) CRM software, 2) HRM software, and 3) ERP. This software helps them to manage the day to day activities, employees, customers, etc.

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15) Explain important elements of BPO

This is a commonly asked BPO job interview question. Important elements of BPO are:

• Customer integration services: It includes Marketing, order processing, customer support, etc.
• Back office transactions: It involves logistic activities, warehouse management, etc.
• Software operations: This includes application development and testing, implementation services, etc.
• Finance services: It involves Account payables, account receivables, auditing, and more.
• Knowledge services: This element contains payroll service, workforce training, etc.
• HR services: This BPO element includes data analytics, data mining, customer feedback, and many more.

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16) What are the different types of RPO?

Different types of RPO are:

On-Demand RPO: It provides support during the recruitment cycle of a business.

Short term RPO: It is a process of the increasing team as when needed.

Point of service RPO: This type of RPO is an implementation of the recruiting process.

Full Cycle RPO:  It is a way of performing the recruiting cycle within a targeted area of business.

Long term RPO: It is a management of end to the end recruitment process.

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17) Why computer skills are important for a BPO job?

Most of the time, the interviewer usually asks for basic computer skills, but if the job demands more computer work, they will hold a practical test to check your computer skills.

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18) List the important documents needed to get the response from the vendor before outsourcing?

Important documents needed to get the response from a vendor after outsourcing are: 1) Request for information, 2), request for a quote, and 3) request for tender, etc.

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19) Why is career opportunity for non-voice BPO better than voice BPO?

In both types of BPO, the opportunities are the same, but it depends more on an individual’s interest and personality.  Once you gain expertise in the work, you can quickly head toward the management or support side.

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20) What is Insourcing?

Insourcing is a contradictory term of outsourcing.  In this work sourcing type, instead of outsourcing various work to vendors, they insource within the organization.

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21) How to handle customers in an inbound or outbound process?

In the inbound process, the customer must feel comfortable with a calm conversation tone. The outbound process requires a more convincing and advertising pitch to grab the attention of the client.

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22) Did you learn anything new recently which can be helpful to BPO’s?

Knowing additional language apart from English is always beneficial in BPO’s. A person who wants to work in BPO can learn any other foreign language such as French or Spanish. It always gives you more chances of securing jobs in BPO’s.

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23) What is ISO:9000?

ISO:9000 is a standard of mapping quality for the company.  Most of the BPO companies have accepted ISO:9000 as the benchmark for the quality of service they offer.

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24) What are the job activities you have to maintain in BPO?

The main activity in a BPO is to handle the customer’s queries effectively and satisfactory. You also to coordinate well in a team to offer the best service possible to the customer.

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25) What is co-sourcing?

Co-sourcing is neither insourcing nor outsourcing. In this outsourcing type, some part of work is done by the organization, and other work is done by the vender. In the night shift, all the business work is done by the organization.

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26) What are the important types of outsourcing?

Types of outsourcing are: 1) onshore outsourcing, 2) offshore outsourcing, and 3) nearshoring.

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27) Define professional outsourcing

Professional outsourcing can be defined as a specialized service like legal, accounting, purchasing, administrative support, IT, etc.

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28) Define multi outsourcing

Multi outsourcing is outsourcing that can be applied to any business area. It is generally used when referring to IT services and outsourcing.

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29) List the types of BPO services

The types of BPO services are 1) Horizontal and 2) Vertical.

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30) What are the services which come under voice support?

The services that come under voice support are:

• Call Center Services
• BPO services
• Outbound service
• Legal process outsourcing
• Technical support services
• Healthcare BPO services
• Customer service outsourcing
• Inbound service
• Telemarketing services

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31) Mention the services that come under non-voice support

The services that come under non-voice support are:

• Chat Support Services
• Data Entry Services
• Email Support Services

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32) List inbound call center services

• Inbound sales
• Technical support services/help desk services
• Customer support/service
• Order booking/order processing

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33) What is back-office outsourcing?

An organization that decides to outsource the internal process of its working is known as back-office outsourcing.

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34) What is front office outsourcing?

Front office outsourcing can be defined as a service that is related to customer care.

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35) What is an automatic call distribution?

Automatic call distribution is software that answers calls and routes them to a particular department in the organization.

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36) Explain voice-based BPO’s

Voice-based BPO is a business where the employees are needed to talk to the clients. It can be for support or sales.

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37) What is nearshore outsourcing?

Nearshore outsourcing the business project that is granted to the neighbouring country to be completed.

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38) What is LPO?

LPO stands for Legal Process Outsourcing. It is a process of organization that outsources every legal work to other legal organizations.

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39) Explain the webchat process?

Web chat process is a method of communicating with the customer in the call center via chat heads on the website.

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40) What is IT outsourcing?

IT outsourcing refers to business searching for technology-related resources outside the company. It is required for functions like maintenance, support, infrastructure, and software development.

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41) Define manufacturer outsourcing

Manufacturer Outsourcing is the most common outsourcing service. It involves an organization with industry-specific production of goods.

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42) What is process specific outsourcing?

Process-specific outsourcing can be defined as a particular outsourcing operation related aspect to units or organizations that specialize in them.

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43) What are the activities involved in BPO?

The main activity required in a call center is to handle the queries of the client effectively. It also includes coordination with a team to offer a good service to the client.

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44) What are the risks associated with BPO?

The major risk associated with BPO is that personal information of customers can be leaked.

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45) How to improve customer satisfaction?

The customer service can be improved by:

• Offering proactive service for a customer.
• Studying both compliments and complaints.
• Providing multi-channel support.

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46) How are call centers related to BPO?

A call center is one of the first processes in a business that is openly outsourced.

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47) What is Procurement Business Process Outsourcing?

Procurement BPO is the provision of the business function. It is a facility of the purchasing department of one organization by another organization.

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48) What is horizontal BPO?

Horizontal BPO services typically offer functional centric outsourcing facility and traditional back-office services.

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49) What is vertical BPO?

A vertical BPO mainly focuses on providing functional services in a limited number of industry domains.

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50) What is reshoring?

Reshoring can be defined as a way of returning the manufacturing and production of goods to the organization’s original country.

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51) Explain the non-voice process

The non-voice process is a subsection of BPO in which employees sit behind a desk and fulfill the duties the client might not see. It includes email support, chat support, or back-office tasks.

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52) Explain outsourcer

In the BPO environment, the organization that outsources their work to another firm is known as the outsourcer.

Here is a list of frequently asked HR round interview questions and answers you might be asked during your BPO job interview.