Calculating benefits received from Business Process Outsourcing (BPO): An empirical study of a food industry company in Iran

Today, outsourcing is recognized as one of the most effective strategies in the business world. In this regard, outsourcing of business processes is considered to be one of the most common forms of outsourcing. The purpose of this study is to provide Indepth and quantitative analysis of the benefits of BPO in a dairy plant in Iran and how these benefits affect the willingness of senior plant managers to increase the levels of outsourcing of business processes. Therefore, Structural Equation Modeling (SEM) based on BPO Benefit Analysis is used. The population of the study consisted of 50 managers who all answered a questionnaire containing 20 questions. Responses were analyzed using the Partial Least Squares (PLS) method. The research method is a quantitative experimental one. The findings of this study show that cost planning has a higher value than real cost savings and this is one of the benefits of BPO.