knowledge process outsourcing (KPO)

Definition

A form of outsourcing where knowledge and information related work is carried out by a different company or subsidiary within the same organization to save costs or resources. In contrast to manufacturing outsourcing, this usually involves high-value work carried out by highly skilled staff, for example research, development, analysis and consultancy. KPO firms may also make business decisions on behalf of the source company, though these will typically be low-level and easily undone by the source company.

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