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YELLOWLILIESPVTLTD.
REPORT
BUSINESS PROCESS OUTSOURCING
BY : VIJETA GUPTA
[ T Y P E T H E C O M P A N Y A D D R E S S ]
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BUSINESS PROCESS OUTSOURCING
Defined simply, BPO is the preparation, capture, warehouse, retrieval and utilization ofinformation for an organization. Data processing is accompanied by extractinginformation from a current or custom designed form, fax, catalogue, book, electronic
media or an on-line entry system, whilesimultaneously offering an internet-based data entry and query service. This servicebureau concept alleviates the need for onsite data entry personnel, Optical CharacterRecognition (OCR) software and hardware while ensuring the utmost integrity, accuracy
and security.
The BPO actors: Saunders et al. (1997) recognize that outsourcing has two main actors:the outsourced and the outsourcer . The first is the customer or client who outsourceshis processes while the second, the enterprise or commonly called the vendor, deliversoutsourced services. The process owner Shroffs Foundation Trust is the organizational
interface of the two enterprises during all the outsourcing activities.
The BPO mechanism: Financial Times (2004) explains the mechanism of BPO whereby aBPO provider assumes primary responsibility for delivery, maintaining and developing a
business process or sets of functions. Contracts are usually long-term and, in somecases, staff responsible for the outsourced function move across the customer to theprovider .The two above concepts give a micro-economic dimension to BPO as amanagement strategy. When we look at the bigger picture and consider the macro
framework, we should include a third actor: the Government or thecountry in which the service is being delivered. We can therefore emphasize from thevery outset that BPO as an industry has three main actors: the client who requires theservice, the vendor who provides it and the country which is the location from which theservice is provided.
How to set up a call centre
TECHNOLOGIESSoftware: No one size or type fits all. Applications should be selected on the basis of
features, interoperability and usability. Custom software is best, but off-the-shelf
applications can be used as long as they are customized to meet your call centresneeds.
Voice Network: You'll probably want to base your network on VoIP technology to take
advantage of the technology's cost, software integration and call-routing benefits.
Servers: Look down the road and acquire systems with enough speed, memory andstorage scalability to handle your call centres operations for at least three years.
Displays: LCDs save power and space, and they're easy on the eyes. The screens
should be large enough to accommodate your software's graphical interfaces without
creating eyestrain.
Headsets: Ear gear should be tight yet comfortable. Detachable components promotegood hygiene.
Keyboards: To prevent repetitive-motion injuries, make sure the keyboards are
adjustable and aren't too stiff or lightweight.
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LAYOUT
Floor Plan: The best way to determine the ideal floor plan is to try a variety of different
options to maximize the number of agents per square foot while still providing an
effective flow. A program like Autodesks AutoCAD can be a big help in designing anefficient layout.
Space: Is there enough physical space to accommodate the number of planned agents?Have you planned for future growth?
Aisles: The aisles between workstations should be wide enough to allow for efficientmovement and meet local building-code regulations.
Workstations: Workstation furniture should be selected and configured to help agents
handle their tasks efficiently and with minimal wasted movement. Look for full-service
manufacturers that provide not only agent furniture systems, but also storage cabinets,
meeting tables, chairs, and administrative and executive office furniture. You'll end upwith a more cohesive system at a better price than you would working with disparate
vendors.
Supervisor Stations: Supervisors need to see and be seen. Make sure your layout has
positioned supervisory personnel in central and prominent locations.
Noise Control: Noise-abatement techniques, such as wall and cubicle soundproofing, as
well as noise-cancelling headsets, will enhance call quality while boosting agent
productivity.
Ergonomics: Workstations, chairs and computer-input equipment should all
feature ergonomic designs.
POWER
Design: Will power be dropped in from the ceiling or will it come up from the floor?
Outlets: Are there enough outlets to support all the equipment that will be used?
Wiring: To prevent dangerous snags and trips, wiring and cables should be totallyconcealed in the flooring, the walls and the furniture.
Backup: An emergency generator can keep your centre running independently of the
main power grid. At the very least, in the event of a power failure, a generator can allow
the centre to power down gradually and safely.
ENVIRONMENTAL CONSIDERATIONS
Heating/Cooling: People and equipment both need adequate environmental controls.Call centres that are too cold or hot degrade agent performance and potentially shorten
equipment life.
Air Filtering: Dusty, dirty air can make agents drowsy, burn their eyes and provoke
allergies. Dust can also gum up equipment, so invest in a high-quality air-filtering
system.
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Lighting: Good lighting is an often-overlooked design element. Dim, overly bright or
improperly positioned lights can drain agent productivity. The money spent on hiring a
lighting expert won't be wasted.
Security: Closely analyze your call centre for security weaknesses. You'll need to
address three areas: technology security (affecting networks, servers, software and
other technologies), physical security (affecting the call-centre site) and employeesecurity Overlooking any of these areas can lead to serious long-term consequences.
The process is probably something along the lines of:
Customer calls This is purely the design of the existing telephone call. It does not
reflect any background process issues affecting the customer.
Agent handles call Whilst with a simple process such as this the call routing is easiest,
the customer has no idea of how they stand in relation to the rest of the calls arriving.
Will they be answered in the next 10 seconds or is the wait half an hour? You all know aswell as me in this case the call is ALWAYS answered just as you decide to hang up and
you hear the Hello, thank you for calling just as youve gone past the point of no re
Although the system is simple, the scope for customer dissatisfaction is high. As with the staff rota
example above, a few simple changes can lead to massive results in goodwill, customer and staff
satisfaction.
Below are a couple of examples of simple call routing changes (getting progressively more
complex) that can be applied to most phone switches.
Example 1. (Simple ACD)
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In this case at least the customer knows they are calling the correct company.
Once in the ACD the customers call is then routed to the next available agent, NOT the next
person prepared to take a call.
The welcome message can also incorporate an out-of-hours message advising of opening hours oran emergency contact.
Example 2. (Skills-based routing)
By the addition of a single voice menu, calls are now routed by team. The customer has one choice
to make and can almost immediately speak to the next available agent in the section they require.
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Example 3. (Hold system)
Note the area in the dashed line is a loop until an agent is available. The timings are between
messages and the agent availability check is continuous. Music can be added between the holdmessages.
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Below is a further refinement of the system giving the option for the customer to leave a
message on an IVR (interactive voice response) system. This is the logical next step.
That being said, you need to refine the general business process to accommodate the
call-backs generated by such a system.
The diagram below is the last of the general call-flow ones. These models use the
assumption that all teams are separate. Other call-flow manipulation could include:
If the customer service team is busy, wait 20 seconds then check if a sales teammember is free, if so route the call (and vice versa).
If you have a high demand on one team and low on the other, calls can route to the low-demand team as an overflow.
Both these options, however, mean that the teams have to be cross trained on the
others policies, procedures and scripting where required.
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This is about as complex as most start-up call centres need to get and the above facilities should
be available either as part of the main package or as a bolt-on to any switch made after about
1985.
However, care needs to be taken in menu design. Nested menus, menus with four or more options
and overtly technical phrasing in the menu commands will ultimately drive abandon rates up.
Now the required set-up has been decided, its time to move onto the final section. This is where
buy-in from the staff is at its most valuable.
As soon as you get to this point you can also capture messages out of hours.
turn in hanging up.
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Software RequirementsSupported system and application software for accessing Microsoft Online Services are
shown in the following table.
Software Supported version
Operatingsystems
Windows 7 Enterprise
Windows 7 Home Basic
Windows 7 Home Premium
Windows 7 Professional
Windows 7 Starter
Windows 7 Ultimate
Windows Vista Business
Windows Vista Enterprise
Windows Vista Home
Windows Vista Ultimate
Windows XP Professional (SP2)
Windows XP Tablet PC Edition (SP2)
Windows Server 2003 (SP2)
Macintosh OS X (10.4)
Macintosh OS X (10.6)
System software Microsoft .NET Framework 3.0 SP1 or Microsoft .NET Framework 3.5In Office Live Meeting, Macintosh OS X clients will not have access tovoice, video, or client-side recording.
Browser software Windows Internet Explorer 8 (on Windows 7, Windows Vista, andWindows XP)
Windows Internet Explorer 7 (on Windows Vista and Windows XP)
Microsoft Internet Explorer 6 (on Windows XP)
Windows Internet Explorer 8 is recommended for the Microsoft Online
Services Administration Centre.
Firefox 3
Safari 3 (on Macintosh OS X 10.5)
E-mail clientsoftware
Microsoft Outlook 2010
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Microsoft Office Outlook 2007 (SP1)
Microsoft Office Outlook 2003
Microsoft Outlook 2011 (on Macintosh OS X 10.5)
Microsoft Entourage 2008 (on Macintosh OS X 10.5)
Microsoft Entourage 2004 (on Macintosh OS X 10.4)
Microsoft OnlineServices Sign Inapplication
.NET Framework 3.0 SP1 when running on Windows XP
Instantmessagingsoftware
Microsoft Office Communicator 2007 R2
Conferencingsoftware Microsoft Office Live Meeting 2007 R2
Officeapplications onMicrosoft
SharePointOnline
Microsoft Office 2010
Microsoft Office 2007
Microsoft Office 2003
Microsoft Office for Mac 2008
Office for Mac 2004
Hardware Requirements
Hardware requirements for client computers used to connect to Microsoft Online Services
are shown in the following table.
Operatingsystems
Hardware requirements
Windows 7 1 gigahertz (GHz) Pentium processor and 1 gigabyte (GB) of system
RAM (32-bit) or 2 GB of system RAM (64-bit)
Windows Vista 1 gigahertz (GHz) Pentium processor and 1 gigabyte (GB) of systemRAM
Windows XP 500 megahertz (MHz) Pentium processor (recommended 1 GHz) and256 megabytes (MB) of system RAM
1. A good PABX system with the number of expanding telephone lines. Take at least5 trunk lines to make it more available to users.
2. A network for the pcs that the users will be using.3. A network diagram of the telephone system and the computer system.4. Computer Requirements
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5. PBX Requirementsand6. Dialogic Telephony Card Requirements
Computer Requirementsrecommend running Acarda Messenger on a computer with Windows 2000/XP. The
minimum specification for the computer should be:
Pentium III or equivalentTypically 128M RAM1 ISA slot per ISA-compatibleDialogic Card.or 1 PCI slot for the PCI Dialogic Card. PCI cards are not supported on Windows 95/98.
PBX RequirementsAcarda Messenger requires a PBX telephone system to transfer calls. However, if you donot intend to enable recipients to transfer back to someone within your company thenyou DO NOT require a PBX telephone system as a standard analog telephone line will be
sufficient. For telephony applications to work, your telephone system must be able totransfer calls by switch-hooking and sending DTMF tones. Most modern PBX's function inthis way. If it is a digital PBX, you will need to have an analog card installed.
Dialogic Telephony Card RequirementsTo connect the computer to your telephone line you require a professional DialogicTelephony Card.
ERP
OpenERP has functions to manage a call centre. If, when you installed the CRM module,
you selected the option for calls youll be able to manage incoming and outgoing calls.
Call management can be used for two particular needs:
Entering customer calls so that you keep a record of the communication attached to apartner or a sales opportunity,
Managing a call centre with operators who handle lists of calls to carry out one afteranother.
To enter details of a phone call, use one of the two following menus:
CRM & SRM Phone Calls Inbound, CRM & SRM Phone Calls Outbound.
The phone call will then be visible on the partner form to give you complete visibility of
the events about that customer or supplier.
You can manually encode calls that happen or you can pass them into OpenERP. But for
mass campaigns, you can import a list of phone calls to make. To do this, click on the
import link at the bottom of the list of phone calls. On the GTK client use the toolbar
button Form Import at the top. Phone calls that have occurred in the open state. The
different operators can be assigned calls and handle them one by one using the
menu CRM & SRM Phone Calls Outbound New Outgoing Call. The operator can open
the calls one by one. For each call, after having contacted the customer, the operator
can click on one of the following buttons: Cancel: you cancel the call. For example you could cancel the call if youve tried to call
them more than three times.
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Held: youve spoken to the customer by phone. In this case the operator can change thecase section and send it to sales opportunities, for example. You could alternatively
leave it in this state if you dont need to carry out any more actions with this customer.
Not Held: the customer hasnt been called; youll try to call him again later.
Advanced Customer Relations
OpenERP also supplies several tools to improve and automate relationships with
partners. They wont be described extensively here, just introduced briefly.
The supplier/customer portal gives you the ability to provide your suppliers and
customers with constrained access to OpenERP. They will then be able to view or entersets of information directly online to OpenERP. For example they could enter their
orders, reprint their invoices, or work on communal projects. To activate the portal you
should install the modules that start with the string portal_.
The email gateway lets you interface the CRM with incoming and outgoing emails. Thescripts used for the email gateway are available in thecrmmodule in the
scripts subdirectory.
Outlook and Thunderbird plugins let you synchronize your contacts between your email
client and your ERP. They both enable you to create sales opportunities based onexchanges you have with the customer.
The rules for automating actions enable you to send emails automatically based on the
event, such as assigning opportunities to the most appropriate person. To access the
CRM rules, use the menu CRM & SRM Configuration Cases Rules.
The segmentation tools let you create partner groups and act on each segment
differently. For example you could create pricelists for each of the segments, or start
phone marketing campaigns by segment. To enable the management of segmentationyou should install the modulecrm_profiling.
Thebase_report_designermodule enables you to create letter templates in
OpenOffice and automate letters for different prospects. OpenERP also has plugins for
MS Word to simplify the creation of mass mailing.
Five ERP CRM Providers
SAP
Founded in 1972, SAP is considered the pioneer of ERP. With close to 40,000 employeesserving 38,000 customers across the globe, SAP has been commanding a huge chunk ofmarket share since ERP solutions first came to prominence. The companys ERP CRM
suite rounds out its broad portfolio of business applications, enabling companies to trulyimprove every single aspect of their operations.
SAPs ERP CRM suite has also received numerous industry accolades, and was recentlynamed the market leader by analyst firm Forrester Research.
OracleOracle was founded more than 30 years ago, and has been providing innovative businesssoftware solutions ever since. In recent years, the software giant has extended itsportfolio of ERP solutions through the acquisition of companies such as PeopleSoft,
Siebel, and JD Edwards. These mergers, as well as Oracle s take-over of Telephony@
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Work, a leading call centre solutions provider, have given the company a solid edge and a broad portfolio of offerings in the ERP CRM market.
Today, Oracles ERP CRM solutions are used by over 4.6 million end users across a
variety of industry sectors. Additionally, a recent Gartner study shows that Oracles ERPCRM applications were used in 60% of all CRM implementations in 2005.
NetSuiteSince 1998, NetSuite has been a leader in providing fully integrated enterprise-qualitytechnology solutions to small and mid-sized businesses. The NetSuite family ofapplications includes packages for accounting and ERP, CRM, and e-commerce. Thecompanys ERP CRM offering, as well as its other solutions, are designed to providepowerful capabilities in an affordable, easy-to-use environment.
Forrester Research has given NetSuites ERP CRM package high ratings, raking it as thenumber one hosted solution for opportunity management, forecasting, salesmanagement, dashboards, product catalogues, activity management, and documentmanagement.
EpicorFounded in 1984, Epicor is an up and coming player in the ERP CRM space. Named to
Fortune Magazines 100 Fastest Growing Companies list in 2006, the company offers abroad range of ERP, CRM, and professional services automation (PSA) solutions to mid-market businesses around the globe.
InforMore than 70,000 companies rely on Infor solutions to meet their most complex needs.
Infors suite of solutions includes ERP, CRM, enterprise asset management, productlifecycle management, and performance management. The company is a proven leader
in the business software field, ranking as the 10th largest software provider in the worldwith over 8,000 employees and $2.1 billion in annual revenues.
SAP ERP BenefitIncreased productivity Improve cost control through integrated management of key
business processes across your organization
Improve operational efficiency by extending the reach of business processesthroughout and beyond the enterprise
Accelerate response to market changes and competitive challenges Reduced coststhrough increased flexibility Improve process standardization, efficiency, andadaptability by utilizing service-oriented architecture (SOA)
Gain access to transactions, information, and collaborative activities across a broad
business community Add specific functionality as needed to support evolving business requirements Reduce capital outlay by eliminating the need to purchase third-party software
Lower costs by standardizing enterprise software on a single integration platform Enable faster, more cost-effective business expansion by eliminating the complexity ofmanaging home grown or heterogeneous software applications Faster, higher ROI Userapid implementation techniques that cost less than half of what traditional approaches
cost Gain rapid access to needed functionality through preset defaults and pre packaged,industry-specific versions
Enhance the value of existing software investments by increasing their use throughoutthe enterpriseInnovation without disruption Take advantage of new functionality through SAP ERPenhancement packages rather than upgrades
Implement functionality to support business processes incrementally as your business
requires an evolutionary approach that protects your existing IT investments andreduces costs
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On the other hand, SAP customers are more satisfied than Oracle's. When we look at
two metrics - executive satisfaction and employee satisfaction - SAP scored higher thanOracle. In fact, SAP had the highest satisfaction rating of all the ERP vendors included inthe study (and there were dozens of them).
ORACLE ERP Benefit
Increase the value and return on investment (ROI) from the existing ERPenvironment. Decrease the total cost of ownership (TCO) of the ERP system Enable quicker access to accurate management information Harmonise, standardise or redesign ERP business processes
Manage business changes such as mergers, acquisitions and divestments Add new features and functionality
NETSUITE ERP Benefit
A single and enterprise wide integrated business software system. The suite possesses a
respectable balance of application breath and product depth.
Flexible digital dashboards. The ERP dashboards are an impressive showpiece.
Role-based application navigation and security. NetSuite believes this structure providesa distinguishable difference from other ERP systems. While we generally agree, it isultimately up to each individual to determine whether this paradigm is an advantage ordisadvantage.
A native thin-client solution designed for on-demand Internet delivery.
Strong market leadership. NetSuite is a marketing powerhouse. The company pumpsnear $100 million annually in aggressive advertising, marketing and media.
Several industry specific or vertical market solutions.
The companys Partner Relationship Management (PRM) module is well designed,thoroughly integrated throughout the application and provides good lead distribution,
joint forecasting, commission management and partner performance metrics.
While limited to SMB companies, NetSuites ecommerce shopping cart is the best
integrated solution in the SaaS ERP market. Advanced functionality such as the keywordmarketing module, affiliate management, eBay integration, promotional URLs, real-timecredit card processing and basic SEO capabilities collectively provide an impressive e-commerce solution
INFOR ERP Benefit
Cut costs and produce better products See whats happening in every corner of your business Make smarter decisions Get the right product to the right customer at the right time Keep the promises you make to your customers
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COMPARE VENDORSVendor Epicor ERP
SoftwareNetSuite ERPSoftware
Consona ERPSoftware
About Company
Company Logo
CustomerFocus
Epicors ERPsolutions help
midmarketorganizations anddivisions and
subsidiaries of the
Global 1000maximize their mostimportant resources
for profitablegrowth. Solutionsare available for anumber of industries
includingmanufacturing,distribution,
services, hospitalityand retail.
NetSuites maincustomer base
consists of growingand medium sizebusinesses
predominately in the
eCommerce,wholesale anddistribution, software,
professional servicesand retail sectors.
Consona serves thesmall to mid-size
manufacturingsegment, primarilycustomers in the 5 to
150 user range.
Virtually all productand service segmentsare represented in its
customer base.
Highlights Offers next-generationenterprise
resource planning(ERP) solutionsprovidingcapabilities across
the entireenterprise,includingmanufacturingworkflow
Based on themost agile andadaptablebusiness
architectureavailable, EpicorICE 2.0,combining
collaborative Web2.0 concepts withEpicor True SOA to provide
unprecedentedscalability and
on-demandaccounting/ERPsoftware
application withover 6,600customers
Provides oneseamless system torun accounting,
order management,inventory,fulfillment and
shipping, CRM andecommerce
Give youremployees
anytime, anywhereaccess to yourbusiness software
and slashtechnology costsand hassles withSaaS (Software as
a Service)
Use of Microsofttechnologyestablishes a
seamlessinteractionbetween allelements of the
Intuitive ERParchitecture
Industry-specific,flexible solutions tobetter match
businessrequirements
Focused on rapidgrowth through
consolidation
Serves small tomid-sizedmanufacturers
Focus on qualityand customerservice
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flexibility onalmost any device
Provides globalsolutions availablein over 150
countries andover 35 languagesthat comply withlegal and industrystandards
Financial Modules
Offers
Financial orAccountingFeatures
Epicor Financial
Management andAccounting softwarefeatures general
ledger, cashmanagement,accounts receivableand other financial
tools.
NetSuite Online
Accounting offersgeneral ledger,accounts receivable,
tax management andother financial tools.
Consona
Made2Manage ERPoffers financial toolsfor key accounting
tasks.
Human Capital Management Module
Offers HumanCapitalManagement or
other HRFeatures
Epicor HumanCapital Managementincludes recruitment,trainingadministration
managementfeatures.
NetSuite HumanCapital allows users totrack timesheets,manage payroll,manage expense
reports as well asother HR duties.
Consona DTR ERPsolution includesfinance features suchas general ledger,accounts payable and
accounts receivable.
Inventory Control Module
OffersInventoryControlFeatures
Epicor WarehouseManagementincludes features forinventory control.
NetSuite Inventoryand Warehousemanagement offersreal-time inventoryvisibility, inventorycost management andother inventory
tracking tools.
Consona DTR ERPsolution includesinventory controlfeatures such asmulti-warehouse andmulti-locationinvenentory
management.
Open Source Options
Offers OpenSource or OnDemand
Options
Epicor eCommerce isoffered as OpenSource
Yes No
Project Management Module
Offers ProjectManagementFeatures
Epicor Planning andScheduling softwareincludes features for
NetSuite offers avariety of ERPsolutions with Project
Consona DTR ERPsoftware includes acosting feature that
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estimations, costing,scheduling and other
features to aid inprojectmanagement.
Managementfunctionalities.
can track individualprojects and includes
variance reporting.
Supply Chain Modules
Offers Supply
ChainManagementFeatures
Epicor Supply Chain
Managementsoftware includesfeatures to
streamline acompany's supplychain processes.
NetSuite Inventory
and WarehouseManagement includesfeatures improve
inventorymanagement.NetSuite Shipping andFulfillment helps
streamline acompany's shippingprocesses.
Encompix ERP
contains so supplychain managementfeatures; such as
inventory and costing.
Warehouse Management Module
Offers
WarehouseManagementFeatures
Epicor Warehouse
Management ismade to streamlineall aspects of
warehousemanagement.
NetSuite Inventory
and WarehouseManagement includefunctions to increase
warehouse efficiency.NetSuite also hasother softwaresolutions to help with
work orders and costmanagement
I will choose openERP for my Business Process OutsourcingVendor will be SAP
BPO Supply Chain Management services
BPO Supply Chain Management services provide an efficient, outsourced back office thatis focused on value optimization and sustainability at each step of the supply chain, fromBuy & Make to Store, Move & Sell.
End-to-end supply chain processes Sustainable, green and energy-efficient operating models Logistics optimization services Leading supply chain platform technologies A global delivery framework