Knowledge process outsourcing or KPO for short is a form of outsourcing where information and knowledge related work are outsourced to a different company in the same country or in an offshore location. Popularly outsourced KPO functions include business analysis, technical analysis, research and development and financial consultancy services amongst others.
Companies mainly outsource KPO services to reduce cost and save on other resources. Over the past ten years India and Eastern Europe have been the two most prominent KPO outsourcing locations. Knowledge process outsourcing is a great way for a company with a shortage of skilled professionals to hire the services of low-cost but skilled KPO experts from another country.