Capterra Glossary
Business Service Provider (BSP)
A business service provider is a type of service provider that rents third-party software applications to businesses. Business service providers offer an affordable way to acquire computer programs by means of networks. They tailor computer programs to fulfill the requirements of their customers and provide back-office solutions by outsourcing nearly all of their business operations. This includes mail delivery, payroll, finance, building security, administration, bookkeeping, human resources, and so on.
What Small and Midsize Businesses Need to Know About Business Service Provider (BSP)
Business service providers operate standardized business processes on behalf of their customers, delivering their services across a network to multiple customers using a "pay as you go" payment model. Business service providers offer business process outsourcing, or BPO. Front-office BSPs provide customer-related services like a contact center. Back-office BSPs handle business functions such as finance and accounting or human resources. Most BPO services are delivered on a fee-for-service basis.
Related Terms
- Enterprise Resource Planning (ERP)
- Procurement
- Total Cost of Ownership (TCO)
- Vendor
- Supply Chain Planning (SCP)
- Telematics
- Senpai
- Vendor Management
- Value-Added Reseller (VAR)
- Bill of Materials (BOM)
- Supply Chain
- Smart Factory
- Scanner
- SCADA (Supervisory Control and Data Acquisition)
- Radio-frequency Identification (RFID)