Business process outsourcing is a sub-set of outsourcing that requires contracting third-party service providers for various business-related operations and responsibilities such as IT, finance & accounting, back office process, e-commerce & support, procurement, human resource & recruitment process to different organizations. BPO solutions help to strengthen core business. Normally, the service is classified into the back office work. Many firms, from small start-ups to large, prefer for outsourcing processes as new and innovative services are readily available in highly competitive business environment.
COVID-19 Scenario Analysis:
- With COVID-19 rapidly spreading around the globe, BPO companies and third-party service providers are struggling to cope with changing working conditions.
- Some of the top problems faced by BPO organizations are data security and the impact on productivity due either to inadequate infrastructure in employee homes or lack of supervision.
- The other issues include difficulty in recording calls when working remotely and exposure to clients of personal employee data.
- Organizations are taking several measures to ensure that remote working does not adversely affect the productivity of contact center agents.
Top Impacting Factors: Market Scenario Analysis, Trends, Drivers and Impact Analysis
Reduction in barriers of international trade and improved telecommunications & IT capabilities have led to a situation where organizations are increasingly interlinked to each other for business, encouraging demand for the BPO services market.
Rise in adoption of application outsourcing and increase in digital transformation in the organization are some of the factors that drive the demand for the BPO service market as startups are now becoming BPO customers.
Lack of effective communication between client and vendor and the presence of other artificial outsourcing services becomes an obstacle for the growth of the BPO service market.
The global Market Trend are as follows:
- An organization's business activities are classified into critical, core, and non-core activities. Core activities are the primary competencies of the company which gives a strategic advantage to the company. Critical activities demand specialized skill-setting. Similarly, non-core activities are supporting activities that involve relationship management in large measurements between consumers and products. Nowadays, companies have started focusing on core activities to maintain their market presence and expand their customer base, resulting in the outsourcing of resources for non-core activities and thus generating avenues in Business Outsourcing Market. This also leads to greater productivity of employees and helps them to make better and more informed business decisions.
- Business process outsourcing companies can choose to outsource specific services or business functions based on their individual needs. These services include payroll, information technology, logistics, and legal services. Labor cost reduction as well as the removal of overheads resulting from human resources and equipment is some of the possible benefits of outsourcing. Business process outsourcing services offer greater flexibility as it allows businesses to respond more quickly to changing market dynamics by tailoring BPO processes as the market changes.
- It has seen tremendous growth over the years due to multiple advantages of the BPO industry and estimates reveal that this growth will be seen in the future as well as. The BPO industry is currently responsible for creating the second-highest number of jobs, and the global BPO market is estimated to cross an astonishing $400 billion. The remuneration given to the employees is also one of the best in the industry, which is one of the main reasons young people have to work at BPO. The BPO industry has employed many talented young people and has changed the GDP of various small countries.
Key Benefits of the Report:
- This study presents the analytical depiction of the BPO service industry along with the current trends and future estimations to determine the imminent investment pockets.
- The report presents information related to key drivers, restraints, and opportunities along with detailed analysis of the BPO service market share.
- The current market is quantitatively analyzed to highlight the global BPO service market growth scenario.
- Porter’s five forces analysis illustrates the potency of buyers & suppliers in the market.
- The report provides a detailed BPO service market analysis based on competitive intensity and how the competition will take shape in coming years.
Questions Answered in the BPO Service Market Research Report:
- What are the leading market players active in the BPO service market?
- What the current trends will influence the market in the next few years?
- What are the driving factors, restraints, and opportunities in the market?
- What future projections would help in taking further strategic steps?
BPO Service Market Report Highlights
By Organization Size
Key Market Players
DP, LLC, Conneqt Business Solution Limited, WNS (Holdings) Ltd, Capgemini, Conduent Inc., Accenture PLC, Tata Consultancy Services Limited (TCS), Infosys BPM Limited, IBM Corporation, TTEC Holdings, Inc.