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BPO vs. Shared Services: Choosing the Right Model for Your Business

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BPO vs. Shared Services: Choosing the Right Model for Your Business

Trying to figure out how to run your support operations without setting your budget on fire? You’re not the only one. 

With cost pressures rising and growth plans in motion, the conversation around business process outsourcing vs. the shared services model is heating up fast.

81% of business leaders are adjusting strategies to reduce costs and boost efficiency, often through automation and outsourcing. 

So what’s it going to be: outsource to a third-party pro Inbound vs. Outbound Call Centers: Key Differences & Benefits or build an internal machine? 

Let’s break it down.

 

What’s the Difference? Understanding BPO vs. Shared Services

Business process outsourcing (BPO) means handing off certain business functions (like customer service or IT support) to a third-party vendor. 

This setup is super flexible and lets you scale fast, especially with seasoned call center BPO providers. Meanwhile, a shared services model pulls those same functions together under one internal team that supports multiple departments.

✔️With BPO, you let someone else steer the ship. 

✔️With shared services, you keep the wheel but centralize control. 

One gives you speed, the other gives you consistency.

There’s also a mindset difference. 

  • BPO is like renting a ride—you get where you’re going, but someone else’s GPS is in charge. 
  • Shared services are more like owning the car: it takes more maintenance, but you decide the route, the stops, and the playlist.

 

BPO: Pros, Cons, and When It Wins

BPO: Pros, Cons, and When It Wins

Outsourcing is mainly appealing for one big reason: savings. Many companies jump into outsourcing call center operations to cut costs by up to 70%

BPO services benefits include access to: 

  • Specialized talent, 
  • Lower labor costs, and 
  • Faster service ramp-up without the HR headaches.

When to go BPO:

  • You need to scale fast but can’t hire in-house
  • Your internal teams are already at capacity
  • You want native support for new markets and time zones

The trade-off? You’ll have to keep a tight grip on vendor performance—or risk inconsistent service.

✔️Another bonus: BPOs often come with built-in playbooks. These providers have already solved problems you’re just now encountering. That experience means fewer rookie mistakes and quicker results, especially during rapid growth or product launches.

 

Shared Services: Efficiency Through Centralization

Now flip the script. A shared services contact center brings support functions in-house under one roof. Think of it as your internal agency that serves multiple departments with the same team and systems.

The shared services model can be a game changer for companies looking to cut duplication and bring order to the chaos. It’s cost-effective in the long run, but it takes: 

  • Upfront planning, 
  • Tech investment, and 
  • A whole lot of alignment across teams.

✔️When shared services make sense:

  • You want tighter control over quality and performance
  • Your org has multiple teams needing similar support
  • Standardization and process consistency are mission-critical

The upside? You’ll run a tighter ship with cleaner workflows and better alignment.

✔️And let’s not forget the cultural upside: internal teams speak your company’s language, understand its quirks, and already buy into the brand’s mission. That shared DNA can make all the difference in CX.

 

Cost, Control, and Customer Experience

Cost, Control, and Customer Experience

Both models work. But they don’t work equally well for everyone. The insourcing vs outsourcing decision should be guided by your goals, not just this year’s budget.

If trimming expenses is urgent, BPO might get you a cost-effective call center solution faster. But if you’re playing the long game and want full control over the brand and CX, shared services are the way to go. 

✔️Ask yourself:

  • How much control do we need?
  • How fast do we need to grow?
  • Are we chasing savings, consistency, or a better customer experience?

You should also consider talent availability. Some regions simply don’t have the local talent pool you need, or it’s too expensive. In those cases, going BPO can help you stay competitive without draining your budget.

 

How Call Center Studio Supports Both Models

Here’s the best part: you don’t have to choose between flexibility and control. Whether you’re running a lean shared services contact center or managing multiple BPO vendors, Call Center Studio helps you stay in charge.

  1. Omnichannel tools: Let your agents handle customer interactions from voice, email, chat, and social—all in one place. 
  2. Smart routing: Automatically directs incoming calls or messages to the best available agent based on skills, availability, or customer history. 
  3. Live reporting: Real-time dashboards that show key metrics like wait times, call volumes, and agent performance, so you’re never flying blind.
  4. AI insights: Uses machine learning to detect trends, flag issues, and suggest improvements. Think of it as a data-driven coach. 

Call Center Studio BPO supports everything from daily workflows to strategic decisions. You can: 

  • Spin up new teams fast, 
  • Monitor performance from anywhere, and 
  • Build processes that flex with your business.

 

Final Thoughts: Strategy Over Shortcut

✔️Lean into BPO if you want speed and global reach on a budget. 

✔️Go with shared services if you’re optimizing for control, quality, and collaboration. 

✔️And no matter which path you take, let your tools—like Call Center Studio—carry the weight.

Because in the end, it’s not about outsourcing or insourcing, it’s about setting up a system that actually works for you, your team, and your customers.

Just make sure your tech stack can keep up with wherever you’re headed next.