The Outsourcing market is seeing major changes in service offerings and business models as technology is increasingly embedded into services. The growing acceleration of digital services, intelligent automation and analytics services, is rapidly changing the fabric of business process services and outsourcing.
Gartner has recently published the “Hype Cycle for Business Process Services and Outsourcing, 2017”. This influential report has been helping BPO companies match investment planning with operational and business goals throughout the years.
Some of the key trends within the business identified in the report:
- “Provider-defined business process services: These are evolving from supporting ad hoc processes to be-the-business — defined by the provider.
- Use of digital technologies to deliver business process services: The impact that digital technologies — like natural-language processing, the Internet of Things (IoT) and blockchain — are having on the provisioning and delivery of business process services as they morph into digital services is reshaping the front and back office. These services are forcing organizations to rethink and redesign their business process strategies.
- The adoption and use of automation technologies and advanced analytics to deliver business process services: The impact that intelligent automation, robotic process automation (RPA) and advanced analytics are having in the delivery of business process services is transformational. This is because the industry is moving into data-driven decision making within services, where artificial intelligence is augmenting human judgment. Both intelligent automation services (the application of artificial intelligence in service delivery models and solutions) and advanced analytics are reshaping the delivery of business process services.
- The "new" BPO market structure: Mergers and acquisitions (M&As) in the BPO market will accelerate as providers invest and implement be-the-business (please see "Market Trends: New Business Model and Digital Service to Drive Next-Generation BPO Services in 2016") and digital service strategies.”
Digital Business Consulting Services and Intelligent Automation Next-Generation Services will transform the market in the medium term, with Customer journey analytics attracting an increasing amount of interest in several industries and from multiple functions.
These are technologies that will have transformational or high-benefit ratings and are expected to be mature technologies within the next five years. Ensure that you make the right investments and lead the industry.