Advent of digitalization, globalization, and urbanization have intensified competition between organizations. In order to sustain, organizations have diversified the way their operations perform drastically. Leading companies across the globe are focusing towards skilled resources on core competencies and provide third-party with of their non-core activities, this process is called outsourcing. Business process outsourcing (BPO) is the process of outsourcing some of the business processes of an organization to an external service provider. It is the practice of hiring a service provider /company to handle day-to-day or various business processes as a third party service provider. The outsourcing is performed on a contract basis to specifies required specialized functions or requirements.
Global BPO Business Analytics market was valued at US$ 8,823. Mn in 2018 and is projected to increase significantly at a CAGR of 25.1% from 2019 to 2028. Analytics is basically used in order to enhance company’s shareholder value as the delivering outcomes are higher performance business processes. There are different types of analytics that are applied to business process outsourcing by businesses such as contracting out the activities, outsourcing the service, in-sourcing, co-sourcing, benefit-based relationship handling operations, and many others.
The proliferation of Internet services is closing gaps between late deliveries. Increasing broadband Internet connectivity is expected to drive the demand for outsourcing services from developing economies. Business processes which can offer higher effectiveness through capacity augmentation is driving the adoption of business analytics.Earlier applications developed were intended to store all data such as transactional details over a network. This generated data has increased from the recent past. In addition, prices of digital data storage devices have decreased, but the need to analyze data have increased. A business that relies on outsourcing is inclining towards the adoption of analytic software owing to the increasing need for the high-performance process with enhanced features. BPO organizations are focusing to offer business specialization which in turn is increasing focus towards outsourcing various services from the third party thus reducing the cost of process setup.
BPO business analytics market is further categorized by type and application. The type category includes HR, procurement, F&A, customer care, logistics, sales & marketing, training, and product engineering. The BPO business analytics for sales & marketing have witnessed high adoption currently, owing to growing demand to increase customer base and company’s product across developed and developing economies. The application category includes BFSI, manufacturing, healthcare, retail, and telecom. BFSI sector segment currently dominates the global BOP analytics market. This is primarily due to increasing demand to analyze the outcomes of processes that are being outsourced. Hence, BFSI organizations are expected to increase the adoption of BPO analytics in the near future.
Based on regions the global BPO business analytics market is divided into five regions which include North America, Europe, Asia Pacific, Latin America, and the Middle East and Africa. an organization that is North America-based are outsourcing business process on a high rate owing to its cost-effective benefit.