The most commonly used method of outsourcing is Business Process Outsourcing (BPO), where companies delegate specific business functions or processes to external service providers. BPO can cover a wide range of tasks, from customer support, data entry, and payroll to IT services, accounting, and digital marketing. This approach allows businesses to focus on their core activities while relying on experts to handle non-core but essential operations.

BPO can be further divided into onshore, nearshore, and offshore outsourcing depending on the location of the service provider. Onshore outsourcing uses providers within the same country, nearshore involves nearby countries with similar time zones, and offshore outsourcing uses teams from distant locations, often to reduce costs.

For SMEs and large corporations alike, BPO is popular because it delivers cost savings, access to skilled professionals, and scalability. Companies can efficiently meet demand fluctuations without investing heavily in permanent staff or infrastructure, making BPO the preferred outsourcing method worldwide.