"KPO: This is a form of outsourcing, where knowledge-related and information-related work is carried out by workers in a different company, usually in a different country. This typically involves high value work carried out by highly skilled staff, and the KPO firm often makes many low level business decisions."
Knowledge Process Outsourcing (KPO) is still in its infancy and represents the least mature of the three broad outsourcing categories. Here knowledge-related and information-related work is carried out by staff in the supplier company, which may be in the same country or in an offshore location. This typically involves high-value work carried out by highly skilled staff.
KPO firms, in addition to providing expertise in the processes themselves, often make many low level business decisions on behalf of their clients.